As 2022 draws to a close, I wanted to take a few moments to reflect on a year of significant achievements and engineering progress in the development of our Vertical Takeoff & Landing (VTOL) aircraft, the XTI TriFan 600.

2022 has been a year of “transition” (pun intended!) for XTI Aircraft. When I assumed the role of CEO in June, we took a renewed look at our position in the market, what was important to our customers, and focused our design on meeting those objectives. We are not a short-range air taxi. Although we can do that mission, we are a 6-person regional aircraft that takes off and lands vertically and can travel 750 miles at 345 mph in pressurized comfort. We have a roadmap to sustainability and will employ a phased approach in a disciplined manner as green technology and infrastructure mature.

With its elegant design and unique versatility, the TriFan 600 continues to lead in the evolving long-range regional Advanced Air Mobility (AAM) space. Our team completed Preliminary Design Review (PDR) of the aircraft earlier this year, made several improvements and performance enhancements to the aircraft through the year (see Engineering Update) and we are on track for completing Detailed Design Review (DDR) and applying for our Type Certification with the FAA in 2023. Further milestones on our journey include Critical Design Review (CDR) planned for late 2024, first flight of our full-scale test airplane in late 2025, and entry into service in 2027.

2023 promises to be an exciting year for XTI and we look forward to sharing further details with you as they emerge. With 690 orders, options, and reservations for the TriFan 600, the market has endorsed our product and recognizes its ability to transform regional aviation. We are confident that our future is very bright!

Thank you for being part of our journey and we wish you and yours a very happy holiday season and a prosperous new year.

Happy Holidays!

Mike Hinderberger

CEO

XTI Aircraft