Michael Kelly, chairman of Kelly Space & Technology Inc. Board of Directors, formally announced Monday the selection of Robert M. Davis Jr. as the company's new president and chief executive officer.

Davis has more than 27 years experience in domestic and

international Aerospace and Defense management and operations. He

recently concluded a 20-year career at Sacramento, Calif.-based

GenCorp Aerojet, where he last served as vice president of Strategic

Business Development and Chief Technology Officer.

According to Davis, "I believe in Mike Kelly's vision for

reusable space transportation and its inherent ability to provide

routine and inexpensive access to near earth orbit. The company's Tow

Launch Technology, which was invented by Mike, is an intelligently

elegant solution to employing the benefits of the environments of near

earth orbits."

Kelly also announced today the appointment of Marc. T.

Constantine as president and chief executive officer of Kelly

Aerospace, a newly formed, wholly owned subsidiary of Kelly Space &

Technology.

Constantine will be responsible for the design, development and

production of the Astroliner reusable aerospace plane. As Kelly

Space's flagship, the Astroliner will provide a cargo delivery

service, ranging from deploying satellites and delivering

intercontinental packages, to ultimately enabling the general public

to travel in space.

Kelly Aerospace will have headquarters at Kelly Space's corporate

offices at the San Bernardino International Airport, formerly Norton

Air Force Base, in San Bernardino.

Kelly, who co-founded Kelly Space in 1993, brought Davis in to

fulfill the president/CEO function while he assumes the full-time

position of Chief Technical Officer. Kelly will continue to oversee

the corporation as its board chairman.

According to Kelly, "Kelly Space & Technology has reached a stage

where specialization is required to maintain progress. The daily

operation of Kelly Space & Technology requires a respected strong

leader with great managerial skill. Bob Davis brings these qualities

to the job, and it is with great pride that I welcome him on board as

president and CEO.

"As a bonus, Bob and Marc pioneered U.S. relationships with

Russian and other global aerospace suppliers whose products and

services are important to Kelly Space's business plan," said Kelly.

"Their experience in this field will greatly facilitate the further

development of our relations with these suppliers, and keep us on a

fast track to success."

Davis is the former chair of both the Space Transportation

Technical Committee for the American Institute of Aeronautics and

Astronautics, and the Reusable Launch Vehicle (RLV) Sub-Committee

for the Commercial Space Transportation Advisory Committee (COMSTAC).

Kelly recently succeeded Davis to chair the new COMSTAC RLV Working

Group, an official entity whose operation is subject to federal law.

Under Kelly's leadership, the sub-committee's status was elevated

to a Working Group because Kelly is a full member of the COMSTAC.

Davis is a graduate of the Harvard University Graduate School

of Business Administration Executive Advanced Management Program

and the University of California at Davis Executive Management

Program. He has a Bachelor of Science degree in aeronautical

engineering from California State Polytechnic College in San Luis

Obispo, Calif.

Davis retired two years ago as a captain in the U.S. Navy

Reserves, where he served for 29 years as a naval officer and aviator.

Davis was commissioned in 1970 and earned his Aviator Wings in 1971.

He served active duty for five years in several squadrons in the U.S.

and Western Pacific.

Constantine most recently was vice president of Business

Development for the Minneapolis-based Alliant Techsystems,

where he was responsible for the development and implementation of the

market strategies to advanced Alliant's position in strategic and

space launch systems, conventional munitions and defense systems.

Previously, he was the director of Strategic and Space Propulsion

Programs for GenCorp Aerojet in Sacramento, Calif. During his 13-year

career at Aerojet, he held a number of executive management positions

in the company's space and strategic launch propulsion businesses,

including general manager and vice president of Advanced Systems.

As the Aerojet senior executive responsible for capturing market

share in the launch system propulsion business, Constantine was

instrumental in securing the company's position as the propulsion

supplier for several emerging RLV concepts.

From 1990 to 1993, he served as vice president of Aerojet's

National Launch System Program, and was responsible for the

formation of a consortium/joint venture between Aerojet, Pratt &

Whitney and Rocketdyne to develop the Advanced Launch System Space

Transportation Engine. He also served as director of the Space

Transportation Propulsion Team, the general partnership between the

three companies.

An earlier position Constantine held at Aerojet was vice

president of Advanced Development. In this capacity, he was

responsible for business growth in advanced launch systems, new

aeropropulsion, satellite propulsion, and Strategic Defense Initiative

programs.

Prior to joining Aerojet, Constantine worked for the Rocketdyne

Division of Rockwell International Corp. (i.e. Boeing) in a variety

of technical, engineering and management positions.

Constantine holds a Bachelor of Science degree in chemical

engineering from West Virginia University in Morgantown, West Va., and

is president of the WVU Academy of Chemical Engineering.

He is a member and former director of both the American

Astronautics Society and the California Engineering Foundation, and a

past member of both the Space Sciences Technical Advisory Committee to

NASA/OAST and the COMSTAC to the Secretary, U.S. Department of

Transportation.

According to Constantine, "The Astroliner has the most realistic

near-term opportunity of becoming the commercial carrier to space

and breaking the transportation cost, reliability and schedule

barriers to a commercial space business. I am fortunate to have been

selected to be the leader of a team that will accomplish this

objective."

Noted Kelly, "I am pleased to have Marc Constantine on board as

president and CEO of Kelly Aerospace, the manufacturing entity for

Astroliner launch vehicles. Marc brings to this position a wealth of

almost 40 years of technical and management experience in the

aerospace business. He is a recognized leader in this business, and

he will provide the leadership of a company and team dedicated to

making space a highly profitable, commercial business venue."

About Kelly Space & Technology Inc.

Kelly Space & Technology is in business to provide affordable and

routine commercial access to space via the company's patented,

commercially-funded, reusable Tow Launch Technology and reusable

aerospace planes.

The Kelly Space family of transport vehicles will operate like

airplanes, taking off from and landing at a conventional runway.

During takeoff and initial flight, the piloted transport vehicle will

be an unpowered glider, and will be towed to launch altitude behind

a transport aircraft.

Last December through February, Kelly Space successfully

demonstrated its Tow Launch Technology during all six flight

demonstrations conducted with NASA Dryden Flight Research Center and

the Air Force Flight Test Center under a Small Business Innovation

Research contract awarded by the Air Force Research Laboratory.

Kelly Space has a $89 million contract with Motorola Inc. to

launch 20 communications satellites into orbit for Iridium

satellite-based global personal communications system, which Motorola

is developing. Kelly Space's flights will be launched on an as-needed

basis to replenish the Iridium constellation, with the earliest Kelly

Space launch on the Astroliner aerospace plane set for early 2002.

Kelly Space and Technology Inc.