Yesterday, I skimmed through the business plan but, today,

Quote:

TPAC owns a proprietary technology which is not subject to export restrictions established by the U.S. Department of Commerce or Commerce Control List.

TPAC must create unique business to business collaborations with foreign businesses -- mainly China bearing businesses.

Trans Pacific Aeronautical Administrative Reconstruction Authority (ARA) uses the above model to incorporate enhanced business features that expand TPAC’s service capability and drive revenue projects for a solid 36 month interval.

Special Note: Reconstruction shifts the burden of cost of manufacturing through Service Level Agreements. Partnering with multiple facilities, utilization of manpower and resources allows Trans-Pacific Aerospace to demonstrate its capability to be a prime player in the aeronautical market. By engaging companies to manufacture for TPAC as opposed to TPAC setting up a quality system infrastructure, TPAC saves $750,000 annually and capital outlays of $1,000,000.

Once solely a development stage company, TPAC now has established itself as a licensee and service level agreement provider and exporter.

An EXIM working capital loan guarantee can provide exporters with the liquidity they need. A loan guaranteed by EXIM can boost an exporter’s liquidity in two ways:

1. The ability to include export-related assets into the borrowing base: Banks are often unwilling to lend against export-related assets. They might be uncomfortable with foreign market risk, and if a deal goes sour, it’s harder for them to collect. An EXIM working capital loan guarantee allows U.S. businesses to borrow against assets lenders would otherwise be unwilling to include as collateral, including foreign accounts receivable, export-related, and work-in-progress inventory.

2. Higher advance rates than conventional financing: If a business wants to borrow against accounts receivable valued at $100,000, and the advance rate offered is 75%, the business can borrow ($100,000 x 75%) $75,000. Higher advance rates available through an EXIM working capital loan guarantee mean the same set of collateral generates more cash flow today. With an EXIM guarantee, U.S. businesses can borrow up to 90% of their export accounts receivable. (www.exim.gov)

TPAC has made application for an $85M loan in the China Loan Guarantee Program.

As a China Importer, TPAC takes advantage of the second largest economy industry needs by expanding export capabilities to include top industry commodities: Gold, Crude Oil, Ores and Organic Food. TPAC's Export Division establishes additional revenue streams exporting to China. The export opportunities for TPAC are truly phenomenal. China’s import customs are difficult to maneuver for many importers. TPACs extensive knowledge of the environment and people make for a great candidate to support import projects to China.

Import-export businesses, also known as international trading, are one of the hottest commercial trends of this decade. American companies trade in over $2.5T a year in merchandise, of which small businesses control over 95 percent.

Importing is not just for those lone footloose adventurer types who survive by their wits and the skin of their teeth.

It's big business these days--to the tune of an annual $1.2T in goods, according to the U.S. Department of Commerce. Exporting is just as big. In one year alone, American companies exported$772B in merchandise to more than 150 foreign countries. Everything from beverages to commodes--and a staggering list of other products you might never imagine as global merchandise—are fair game for the savvy trader. And these products are bought, sold, represented and distributed somewhere in the world on a daily basis.

TPACs products and services can now be seen daily on 6 of the world’s 7 continents. TPAC has presently received 50 product requests valued at over $10B.

This is just another version of what Boeing was looking for in an Asian prime service provider for their bearing supply needs. The difference here is that TPACs Export Import Assurance (EIA) services can easily be sourced from an array of customers and can be more profitable; TPAC does not have to procure the actual product as it would in the BTL SLA contract.

It is important to note that TPAC does not broker deals in the way of mandates/brokers of today. It is providing assurances that there will be support at the port of destination. The buyer/seller does not have to travel or pay high fees just to ensure the product is properly and timely removed from the shipping vessel into the appropriate hands.

A Master Regenerative Virtual Brokerage or Bank as some refer to them is a brokerage account configured for Day Trading status.

Knowing how to fund and maintain this type of account will provide TPAC income generation independent of day to day bearing sales. This can place/support a stable financial floor even during slowdowns in the market. Many small companies such as TPAC do not know these platforms exist or how to use them to create great hedging constructs.

Master -- because there is normally more than one. This will be TPACs first.

Regenerative -- because it actually allows the operator to draw from the generated revenue while maintaining cash-on-hand and then repeats the process.

Virtual -- because it is not a real bank however has the properties of a bank. A loan can be taken out from the system based on the credit power of the securities stored within.

MRVB’s are external to the OTC Pink stock offering and is designed for Daily Day Trading volumes/dollars. When a MRVB is properly capitalized with $25K and fully configured as a 4x leverage machine, it can create base revenues up to $1M annually or as most point out for every $100K one million dollars of generation (conservative estimate).

TPAC RECONSTRUCTIONS EFFORTS AND EFFECTS

 BTL -- a long time part manufacturer of TPAC signs an agreement to manufacture TPAC Spherical Bearings under a Licensing and Service Level Agreement for ten years at an annual contract value of $13.5M/year

This contract commences in the first quarter of 2017. TPAC will start moving NAVAIR certified facility to the BTL facility in the month of September.

Timeline scheduled move to complete EOY 2016.

Effects: Signed contract provide base income for $13.5M/year; Reduces TPAC debt losses and secures forward momentum. USA FR will apply proper percentage to MRVB creating adequate cash- on-hand to strengthen the TPAC OTC stock offering. Estimated percentage per year -- up to 20% of net profits.

The contract also provides a clear way to demonstrate TPAC as a U.S.A business exporter to China creating an easier process to take advantage of the $85M LOI when applicable, if and when the absence of a needed EXIM nomination is absolved.

 TPAC Australia -- signs Licensing agreement and is presently working on a government scenario to build a new TPAC manufacturing facility to handle the AU defense and commercial aeronautical markets. Once the complete details have been devised, there will be a second Service Level Agreement.

Timeline for SLA execution marks milestone for close of 2ndQ 2017.

Effects: Increased revenue; Global exposure; increased market share; higher volume of material cost means lower price per quantity (TPAC material costs lowers and profits points rise); additional stability to cash-on-hand/retained earnings. TPACs estimated price per share rise up to $0.05

 Multinational Status -- Forming and incorporating TPAC AU; completed the milestone. TPAC will soon raise its presence through new Licensing and Service Level Agreements in the Middle East Regions.

Timeline for Middle East Regions insertion for close of 3rdQ 2017.

Effects: Virtual acquirements bring higher visibility to Boeing and other majors in the aeronautical industry; provides appearance of a one-stop-shop.

 Export Import Assurance Division -- Created July 2016 as a separate entity; private concern presently with on-line regional coverage; Asia focus in China; Expansion efforts to Africa Timeline for expansion to Africa -- EOY 2016.

Effects: Provides TPAC EIA involvement in Global opportunities up to $100B/year;

Supporting sectors of energy, precious metals, agriculture and base metals by offering EIA into China as the second largest economy; This type of business supports the EXIM $85M SGLP process. Estimated retained earnings of 2.7 percent as a minimum, 22 percent as a maximum (Keep in mind when reading the estimated figures this is high volume business. Every business opportunity starts with a billion dollar price tag.)

Per the USA FR, collection of the manufacturing Licensing Fees will commence EOY 2016.

Over the next 36 months tpac looks for a steady growth pattern of 27 percent year over year, while expanding it operations and afliations in more then a half dozen countries around the globe

Currently, TPAC is listed on the OTC Pink exchange. It is the next level goal of TPAC to restore its presence on the OTCQB to the 2014 price of $0.05. TPAC strongly identifies with the mission of the OTCQB.

Timeline estimates TPAC to meet minimum requirement of $0.01 by EOY 2016.

TPAC will implement a Share Reduction program in 2017.

Timeline estimates as early as 2ndQ (April 2017). Type of program: TBD.

Service Level Agreements support the prime directive to acquire more manufacturing capacity to manage the efforts to produce higher volumes and provide a prime domain for majors like Boeing to have one stop shopping. First quarter 2017, TPAC will implement a new campaign targeting China bearings manufacturers. This campaign utilizes EXIMs support programs and China business initiatives to form a secure financial environment from which TPAC will work directly with the China government to source the top five manufacturers and create a USA/China conglomerate to compete for global market share. TPAC holds a $135M contract with Billion Technology Limited.

TPACs EIA service is seeing great potential due China’s growth. Other parts of Asia are also on the rise. India, having an economic boom across many sectors, is an easy target for EIA. TPAC is also aware of many new middle classes on the rise in Africa, Ghana & Kenya are importing spices like sugar while exporting soybeans and avocados. Great products for China imports. TPAC will use the remainder of 2016 to ensure proper infrastructure is in place to take advantage of the billion dollar opportunity available providing EIA services.

TPAC is currently negotiating an EIA service contract for oil: $44.58/barrel with 10 percent discount x 6M barrels = $2.67M/month x 12months

China’s main imports are mechanical and electrical products (34 percent of total imports) and high tech goods

(23 percent). The country is also one of the biggest consumers of commodities in the world. Among commodities the biggest demand is for crude oil (6 percent of total imports), iron ore (2 percent), copper and aluminum. Agricultural products account for 5 percent.

The hiring of IR to manage information has been very successful for the company. Not only have they kept the shareholder base informed, but they have freed up time for TPAC management to focus on business. Additionally, through affiliated groups, IR has provided TPAC with the ability to leverage our strong China presence and understanding of international trade and explore export-import opportunities which we anticipate will lead to significant revenue.