Increased Threat Perception Drives the European Civil Security Air Surveillance Market, Says Frost & Sullivan

LONDON, July 27, 2010 - Steady demand from government civilian agencies is pushing the air
surveillance market in Europe, especially for unmanned aerial vehicles
(UAVs), civil helicopters, multi mission aircraft and airborne radars.

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New analysis from Frost & Sullivan (www.aerospace.frost.com),
Civil Security Air Surveillance Programmes, finds that the civil helicopters
market earned revenues of US$2.8 billion in 2009 and estimates this to reach
US$3.8 billion in 2016.

"The civil security air surveillance market in Europe will benefit from
growing co-operation between EU member states and the industry," says Frost &
Sullivan Program Manager Balaji Srimoolanathan. "Large-scale events like the
2012 Summer Olympics in London will be a testing ground for civil UAVs."

Civil security air surveillance is used in urban networks for law
enforcement, maritime surveillance, emergency medical services, earth
observation, and in the energy sector. There is significant potential in
these sectors for air surveillance and greater cooperation among industry
participants is making the market business critical.

However, reluctance to spend, questionable airworthiness and the
increasing cost and sophistication of UAV's are major market restraints.
Consolidation is expected in the UAV segment post air space integration since
there are more than 100 market participants.

"The low level of airworthiness of civil surveillance aircraft makes
public acceptance a challenge," explains Srimoolanathan. "Civil aviation
agencies and major manufacturers are addressing design and safety concerns in
the aircraft by investing in research programmes to boost public confidence."

Market participants should focus on high-potential markets such as
Western Europe and the Nordic region. Companies should also adapt to emerging
business models like 'pay as you fly'.

"The United Kingdom, France, Germany, Greece, Spain and Italy are
considered high-potential markets for the growth of civil security air
surveillance," concludes Srimoolanathan. "Setting-up base in these countries
will give companies a first-mover advantage."

If you are interested in more information on this study, please e-mail
Monika Kwiecinska, Corporate Communications, at monika.kwiecinska@frost.com,
with your full name, company name, title, telephone number, company e-mail
address, company website, city, state and country.

Civil Security Air Surveillance Programmes is part of the Defence Growth
Partnership Services programme, which also includes research in the following
markets: Critical Infrastructure Security EU-Accession States Market
Assessment 2008-2017, Unmanned Ground Vehicles Market Assessment - Europe,
European Land ISR Radar Market Assessment and Asia Pacific Airport Security
Market. All research services included in subscriptions provide detailed
market opportunities and industry trends that have been evaluated following
extensive interviews with market participants.

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                    Civil Security Air Surveillance Programmes
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    Contact:
    Monika Kwiecinska
    Corporate Communications - Europe
    P: +48-22-390-4127
    F: +48-22-390-4160
    E: monika.kwiecinska@frost.com

www.frost.com

Monika Kwiecinska, Frost & Sullivan, Corporate Communications - Europe, +48-22-390-4127, fax, +48-22-390-4160, monika.kwiecinska at frost.com