XeDAR Corporation Awarded U.S. Air Force Contract for Virtual Task Trainer , Advanced Virtual Training System

Business Wire, Sept 8, 2008

DENVER -- XeDAR Corporation (OTCBB: XDRC), which provides homeland security consulting and IT services to the Departments of Homeland Security and Defense, the national intelligence agencies and the U.S. Military, announced today that it has been awarded a contract from the U.S. Air Force to create three Heavy Weapons Virtual Task Trainers (VTT) for the Basic Aerial Gunner Course. Work under the contract will be performed by XeDAR's Point One subsidiary in Arlington, Virginia, and is expected to be completed within six months.

The significance of this contract is three-fold: First, it addresses a critical component of homeland security, preparation. "Readiness is the foundation of homeland security, and effective training is the key to readiness. This Air Force training program depends on interactive 3-D technologies including animation and guided skill-development, precise 3-D modeling, cutting-edge, hands-on reliable training, and comprehensive support--all of these are inherent strengths of XeDAR's proprietary interactive 3-D technologies," said Dale Smith, Director of Point One. "XeDAR has the expertise and the software now to address this complex transfer of knowledge, and to do it at a fraction of the cost of traditional training."

Second, this marks the third U.S. Air Force contract to be awarded to XeDAR this year that utilizes XeDAR's interactive 3-D software and training services. Mr. Smith explains that this third contract confirms that XeDAR has "the full support of the AF Career Field Manager from the Pentagon as well as the Major Air Commands on this initiative." He added that Point One and XeDAR are not complacent as a result, but are committed to--and currently working on--other proposals for this technology.

And, third, this contract signals new opportunities in a growing market. "We have consistently demonstrated how XeDAR's 3-D imaging technologies can improve readiness and reduce costs," said Hugh Williamson, Chief Executive Officer of XeDAR. "This third contract indicates that XeDAR has a solid base in an emerging market with enormous growth potential throughout the military and the homeland security community."

XeDAR's technology uses advanced 3-D digital models and virtual trainers to provide Air Force personnel the rigor of a traditional training regime and the necessary expertise to meet very stringent military qualifications--all in the efficient world of virtual reality. The technology animates real training procedures, including disassembling/assembling parts, rotating, moving, cross-sectioning, x-ray/context view and zooming--all of these are rendered in real time in virtual reality. Personnel receive authentic advanced training, while the costs are greatly reduced. In addition, the training personnel learn the critical characteristics of each part (name, part number, cost, mean time between failure, torque values, etc.); these characteristics are reinforced by hyperlinks from each part, which provide for additional relational knowledge of sub-assemblies, technical manuals, learning management structure, supply ordering systems, etc.

About XeDAR Corporation

XeDAR Corporation provides strategic consulting, systems analysis, predictive modeling, digital imaging, and geospatial data analysis tools and services to the Department of Homeland Security, the Department of Defense and other national intelligence agencies, as well as commercial clients.

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