BAY SHORE, NY – July 28, 2008 -- Air Industries Group, Inc. (OTCBB: AIRI), a leading independent integrated manufacturer of precision components and provider of supply chain services for the aerospace and defense industry, is providing an update on its business prospects and growth initiatives.  The following statements are attributable to Peter Rettaliata, who has served as Chief Executive Officer of the Company (and its predecessor) for the past 13 years following a 22-year career at Grumman Corporation (now Northrop Grumman (NYSE: NOC)):

“This is an exciting time for aircraft manufacturers, particularly those such as Air Industries Group which has a concentration of its business in military helicopter and other aircraft programs.  As we conduct our channel checks following the completion of the biennial Farnborough International Airshow in Hampshire, England, we are more confident than ever that our Company is well positioned to capitalize on long term opportunities spanning the next 3 to 5 years.  Since commencing our strategic consolidation program in 2005, our intent was to focus on areas within an aerospace market that was buoyed by the emergence of an industry super-cycle which remains very much intact today, despite recent setbacks experienced domestically in the commercial airline sector. 

“Supporting our outlook is a firm backlog that continues to reach record proportions.  This growth is led by contracts from Sikorsky Aircraft Corporation for its important BLACK HAWK helicopter program.  In addition to our work with Sikorsky, we have made great strides in producing a pipeline of international and domestic business on both military and commercial programs through internally generated growth initiatives. We have been investing in future development programs, such as our inclusion on the Airbus A380 program for which we are building landing gear subassemblies that will be shipped in the near future.  Another example of our expansion efforts involves our Welding Metallurgy subsidiary, which was the Company’s third acquisition.  Welding Metallurgy recently submitted a bid relating to engineering and manufacturing of thrust reversers for the Pratt & Whitney 800 program, a potentially long term and very meaningful contract.  If we win this award, Air Industries Machining Corp., would participate as a substantial subcontractor to Welding Metallurgy for machined parts.

“On the consolidation front, we continue our negotiations to finalize the debt and equity financing necessary to complete the acquisition of Blair Industries, Inc., Blair Accumulators, Inc., and H.S.M. Machine Works, Inc. of New York, and H.S.M. Machine Works, Inc. of North Carolina (collectively, “Blair-HSM”).  In addition, we have been working cooperatively with Blair-HSM on a number of potentially large and long term aircraft assembly projects.  The synergies between Air Industries Machining Corp. and Blair-HSM are multifold; the combination makes us more competitive which enables us to seek a broader range of business moving forward and promises substantial cost savings for the combined entity.”

“Finally, Air Industries Group has embarked on a concerted cost reduction campaign directed at our general and administrative expenses. These efforts are intended to enhance our financial performance, and we will begin to feel their impact in the third quarter.  Our cost reduction initiative will be fully implemented in the fourth quarter.  We continue to diligently work at positioning the Company for long term prosperity and we believe that we are making real progress.  We are aligned with some of the industry’s most important long term aircraft programs and largest prime contractors.  This is the truest test of our worth and we are confident that our success will reward shareholders -- including the management and board of directors of the Company that on a combined basis owns approximately 18% of the outstanding shares -- if the capital markets are ultimately efficient.”

ABOUT AIR INDUSTRIES GROUP, INC.

Air Industries Group, Inc. (OTCBB: AIRI) is an integrated manufacturer of precision components and provider of supply chain services for the aerospace and defense industry.  The Company has over 35 years of experience in the industry and has developed leading positions in several important markets that have significant barriers to entry.  With embedded relationships with many leading aerospace and defense prime contractors, the Company designs and manufactures structural parts and assemblies that focus on flight safety, including landing gear, arresting gear, engine mounts and flight controls.  Air Industries Group also provides sheet metal fabrication, tube bending, and welding services, as well as distributing specialty metals that are a critical component in the aerospace supply chain.  Information on the Company and its products may be found online at http://www.airindustriesgroup.com/.

Certain matters discussed in this correspondence are 'forward-looking statements' intended to qualify for the safe harbors from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company's statements regarding trends in the marketplace, firm backlog, projected backlog, potential future results and acquisitions, and the availability of funding to complete acquisitions, are examples of such forward-looking statements. The forward-looking statements include risks and uncertainties, including, but not limited to, the timing of projects due to the variability in size, scope and duration of projects, estimates, projections and forecasts made by management with respect to the Company's critical accounting policies, firm backlog, projected backlog, regulatory delays, government funding and budgets, matters pertaining to potential and pending acquisitions subject to and after closings, and other factors, including results of financial audits and general economic conditions, not within the Company’s control. Certain of the Company’s forward looking statements, with the projected backlog in particular, are formulated based on management’s extensive industry experience and understanding and assessment of industry trends, customer requirements, and related government spending.  Projected backlog may be subject to variability and may increase or decrease at any time based on a variety of factors, including but not limited to modifications of previously released orders, acceleration of orders under general purchase agreements, etc.  The factors discussed herein and expressed from time to time in the Company's filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this correspondence and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

Contact:

Jordan M. Darrow
Darrow Associates, Inc
631-367-1866
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