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FLYHT Aerospace Solutions Ltd. TSX.V: FLY OTCQX: FLYLF November 2016

FLYHT's November 2016 IR Presentation

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FLYHT Aerospace Solutions Ltd. TSX.V: FLY

OTCQX: FLYLF

November 2016

November 2016

TSX.V: FLY

OTCQX: FLYLF

Disclaimer

Forward Looking Statements

This discussion includes certain statements that may be deemed “forward-looking statements” that are subject to risks anduncertainty. All statements, other than statements of historical facts included in this discussion, including, without limitation,those regarding the Company’s financial position, business strategy, projected costs, future plans, projected revenues,objectives of management for future operations, the Company’s ability to meet any repayment obligations, the use of non-GAAP financial measures, trends in the airline industry, the global financial outlook, expanding markets, research anddevelopment of next generation products and any government assistance in financing such developments, foreign exchangerate outlooks, new revenue streams and sales projections, cost increases as related to marketing, research anddevelopment (including AFIRS 228), administration expenses, and litigation matters, may be or include forward-lookingstatements. Although the Company believes the expectations expressed in such forward-looking statements are based on anumber of reasonable assumptions regarding the Canadian, U.S., and global economic environments, local and foreigngovernment policies/regulations and actions and assumptions made based upon discussions to date with the Company’scustomers and advisers, such statements are not guarantees of future performance and actual results or developments maydiffer materially from those in the forward-looking statements. Factors that could cause actual results to differ materially fromthose in the forward-looking statements include production rates, timing for product deliveries and installations, Canadian,U.S., and foreign government activities, volatility of the aviation market for the Company’s products and services, factors thatresult in significant and prolonged disruption of air travel worldwide, U.S. military activity, market prices, foreign exchangerates, continued availability of capital and financing and general economic, market, or business conditions in the aviationindustry, worldwide political stability or any effect those may have on our customer base. Investors are cautioned that anysuch statements are not guarantees of future performance and that actual results or developments may differ materially fromthose projected in the forward-looking statements.

Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, therecan be no assurance that such expectations will prove to have been correct. The Company cannot assure investors thatactual results will be consistent with any forward-looking statements; accordingly, readers should not place undue relianceon forward-looking statements. The forward-looking statements contained herein are current only as of the date of thisdocument. The Company disclaims any intentions or obligation to update or revise any forward-looking statements orcomments as a result of any new information, future event or otherwise, unless such disclosure is required by law.

www.flyht.com

November 2016

TSX.V: FLY

OTCQX: FLYLF

The “New” FLYHT

• New management in key positions (CEO, CFO, VP Sales)

• Enhanced BOD with industry veterans

• Experienced sales team generating interest

• OEM & operator acceptance of FLYHT’s solution• Over 1,200 shipments and/or installations and growing rapidly

• Revenues accelerating – Record setting quarters in 2015 & 2016

• AFIRS product completed with industry leading TSO for Safety

Services (TSO-C159b)

• Strong pipeline of major opportunities

Automated Flight Information Reporting System- AFIRSTM

November 2016

TSX.V: FLY

OTCQX: FLYLF

Investment Highlights

• Multiple revenue streams: initial hardware installation sales

and then recurring revenue

• Robust recurring revenue gross margins of 75-85%

• Five-year customer contracts renew at expiry

• Greater than 2.3 million flight hours using AFIRS; and shipped

and/or installed over 1,200 units worldwide

• Certified on 95% of all aircraft used for commercial air transport;

significant barrier to entry

• Agreements in place with two global OEMs

November 2016

TSX.V: FLY

OTCQX: FLYLF

The AFIRS Solution – More Than Tracking

November 2016

TSX.V: FLY

OTCQX: FLYLF

Iridium SATCOM

Enhanced Global Flight Tracking

Aircraft Health Monitoring

FDR Streaming Fuel Management

FLYHTVoiceFLYHTMailACARS over Iridium

FLYHTLogFLYHTASD

FLYHTHealth FLYHTStream FLYHTFuel

AFIRS™ UpTime™ - Core Products

• Technology provides real-time aircraft situational information • Improves maintenance and aircraft operations to save money

November 2016

TSX.V: FLY

OTCQX: FLYLF

FLYHTASD – Aircraft Situational Display

November 2016

TSX.V: FLY

OTCQX: FLYLF

Customer Success Stories

• AFIRS alerted an airline customer of a high engine vibration and they were able to take the aircraft out of service to diagnose and fix the issue.

• The replacement cost for the engine: $5.2 million• The repair cost based on AFIRS-driven data: $780 thousand

• First Air in Canada leading the industry with FLYHT’s real-time FDR (black box) streaming technology

• Raised the standard of their tracking and automated alerting with a technology

• Customizable to set their triggers for streaming, frequency of flight following reports and select data that is sent to the ground

November 2016

TSX.V: FLY

OTCQX: FLYLF

AFIRS/UpTime - Competitive Advantages

Feature FLYHT Other Satcom

OEM

Tracking

Solutions

QAR/Health

Monitoring

Global voice coms X X XFANS/Safety Services X XACARS over Iridium X XQAR X X XAircraft health monitoring (Trends &

exceedances - engine/airframe) X X X

ICAO:Global flight tracking X XAutonomous distress tracking XLive black box streaming XReal-time systems diagnostics XTSO C-159A (Voice and Data) XSTCs supporting 95% of air transport

aircraftX

November 2016

TSX.V: FLY

OTCQX: FLYLF

Recent Successes

• Received a $2.3 M interest free government loan

• Record revenue in Q3 2016 of $4.1 M -second consecutive positive quarter

• $5 million equity raise in Q2 2016 - oversubscribed

• Receipt of proceeds on the sale of IP License - $2.5 M USD

• Signed 146 aircraft fleet – Avmax Aviation Services Inc. (Canadian Leasing Company)

• Significant interest by large aircraft OEMs

• Engine manufacturers

• Business jet manufacturers

• Factory option on Bombardier CRJ

• Factory option on Airbus A320 and A330

November 2016

TSX.V: FLY

OTCQX: FLYLF

Exploding Business in China

• Growth of sales in China and building relationships – 19 airline

customers

• Signed 6 airlines in 2016; More in sales funnel

• October - signed IT company contract for single airline – $4.3M USD

• First Chinese customer for real-time data services in August 2016

• Initial contract $1 M which can grow with aircraft additions

• Reference customer for other Chinese airlines

• FLYHT’s cloud-based UpTime installed for Chinese data customer and

Avmax customers

• Formal cloud-based Uptime launch is coming soon

November 2016

TSX.V: FLY

OTCQX: FLYLF

• Ten years focused on small airlines in remote locations

• OEM position is creating opportunities worldwide

• Pursuing additional OEM opportunities

• Factory fit option on DHC-8 is imminent

• Direct sale opportunities also include:

• Non-ACARS

• Regional A/C

• Need additional IT capabilities

• China Satcom Mandate

• Move from opportunistic Tier 1 bid approach to Tier 1 strategy

Enhanced Sales Focus

November 2016

TSX.V: FLY

OTCQX: FLYLF

Record Quarterly Revenues

Successive growth in quarterly revenues

November 2016

TSX.V: FLY

OTCQX: FLYLF

Financial Highlights

November 2016

TSX.V: FLY

OTCQX: FLYLF

Continued Growth of Recurring Revenue

November 2016

TSX.V: FLY

OTCQX: FLYLF

Revenues Based on Location

• Over 1200 shipped and/or installed units

• 1.5 million flights and 2.3 million hours of in-service use

November 2016

TSX.V: FLY

OTCQX: FLYLF

•Mat Plamondon, VP Operations & Customer Fulfillment

•Derek Graham, Chief Technical Officer

• Thomas R. Schmutz, CEO

•Nola Heale, CFO

•David Perez, VP Sales & Marketing

Leadership

November 2016

TSX.V: FLY

OTCQX: FLYLF

• Barry Eccleston, President of Airbus Americas, Inc.

• John Belcher, former Chairman and CEO of ARINC

• Mark Rosenker, former Chairman of the National Transportation Safety Board

• Jack Olcott, former President of the National Business Aviation Association

Industry-Connected Board Members

November 2016

TSX.V: FLY

OTCQX: FLYLF

Capital Market Profile

At September 30, 2016

Share Price $0.21

Market Capitalization $43.6 million

52 week low $0.15 - high $0.23

Shares 207,393,766

Share Structure **Management, Directors and Officers

Diluted (assuming all instruments

converted/exercised)

238,192,074

Diluted (assuming only instruments of value

converted/exercised)

214,668,733

Institutional Ownership % Approx. 40.0%

Insider Holdings** 5.1%

2 2011 2012 2013 2014 2015 2016 YTD

Sept 30

Revenue $5.5 $6.5 $8.0 $6.9 $10.5 $10.2

R&D Expenditures $3.3 $2.4 $2.1 $0.8 $2.8 $1.9

Net Loss $6.5 $4.9 $4.1 $4.3 $3.9 $1.6

Financial Results Snapshot – ($millions)

November 2016

TSX.V: FLY

OTCQX: FLYLF

Thank youwww.flyht.com

[email protected]