KDNG - Kading Companies, S.A.
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COMPANY NEWS AND PRESS RELEASE:

KDNG Acquires a 12% Equity Interest in United Aerospace, Inc. That has the NASA Developed Coupler Technology with a Market Estimated in Excess of $1 Billion Dollars

New York, New York, May 9, 2006 (BUSINESS WIRE) -- Kading Companies, S.A. (Pink Sheets: KDNG) (www.kadingco.com) owns approximately 12% equity interest in the Kading family privately held United Aerospace, Inc. ("UAI") and KadingCo anticipates acquiring a greater interest in UAI over the next several months.

Kevin Kading, sole officer and director of both KDNG & UAI, stated, "The QCB coupler is another example of a better device with the potential to penetrate multi-billion dollar global markets with a myriad of possible commercial applications at competitive pricing."

UAI intends to manufacture and incorporate this design into existing products as well as new products. The simplicity of the design enables UAI to develop a business based upon this quick-connect joint.

UAI was incorporated on October 22, 2004 with the specific objective of obtaining a developed technology through the National Aeronautics & Space Administration's ("NASA") technology transfer program. UAI finalized a licensing agreement with NASA on February 10th, 2006.

The technology, developed by NASA and obtained by UAI, referred to as the QCB, employs a unique spring-loaded mechanism that automatically secures a ball hitch upon insertion into a coupler, as in the use of trailer hitches. This eliminates the need for the locking lever found in most conventional ball joints. Connections made using the QCB quick-connect joint are easier, safer, and more reliable than those made using conventional ball joints.

Focusing, as its entry point into the market, UAI has targeted the standard and gooseneck trailer hitch and coupler market in the United States. UAI intends to manufacture and market the QCB at or near compatible prices of the standard and gooseneck coupler design, thus gaining entry into the multi-billion dollar a year global market with a better, easier, and potentially cost competitive product. UAI anticipates breaking into numerous of other markets ranging from light watercraft docking couplers to railcar couplers.

The trailer hitch market in the USA is estimated to be approximately $1 billion/year. Kading believes that the overall market in the USA for the different technological applications for our technology could be several billion dollars a year. UAI expects to have manufacturing arrangements completed before the third quarter of 2006 and to initiate production and sales before the end of 2006. Kading stated, "Our goal of $1.5 million in revenue by selling 100,000 couplers to major trailer manufacturers during 2007 and rapidly expanding our market penetration from that point of entry is very obtainable." Based on the UAI financial projections, for only the trailer hitch coupler market, Kading expects that UAI could be generating close to $20 million in revenues within the next few years.

Kading believes that KDNG's ownership in UAI should approach 50% within 24 months.

This technology has the potential to be utilized in an array of products and applications, such as:
- Trailer hitches (fifth wheel and standard)
- Robotics
- Power trains
- Agricultural implementation
- Fluid transfer systems
- Aqua & Aerospace docking

Benefits:
- Easy locking ; with one easy step, the quick-connect joint is fully secure. No more hassles with locking levers and safety fasteners.
- Safe locking ; eliminating the locking lever reduces the safety risk caused by human error and safety fastener malfunctions.
- Easy release ; the joint can be released by pressing a lever or button, even while under load.
- Full range of motion ; the joint allows three degrees of freedom (i.e., allows tip, tilt, and rotation).

The Technology

The QCB was developed by NASA to facilitate the connection of equipment in space. Researchers were unable to find a commercially available joint that would provide automatic locking while also allowing motion with three degrees of freedom. The quick connect joint was developed in response to this need.

About KDNG

UAI marks the third technology development company created under Kading Companies, S.A. over the past eight years. In February 1998 Kevin Kading initiated discussions to acquire a safety syringe technology, now Syringex Medical, Inc. www.syringex.com and in 2003 he initiated the creation of Advanced Reconnaissance Corp. which designs hyperspectral and multispectral systems for reconnaissance and surveillance primarily for military application. www.advrecon.com.

KadingCo focuses on finding technologies that have the potential to break into multi-billion dollar global markets, with devices that that are potentially more conducive for the end user and are potentially cost competitive against existing products. Working with NASA's technology transfer program has significantly expedited the process of finding; designing and patenting products and devices. This should allow entry into potential markets much faster than the previous projects, with less investment. KadingCo believes that the QCB will be the first of many such devices it will acquire under NASA's technology transfer program.

For additional information visit: www.kadingco.com.

Statements contained in this press release that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the current views of management with respect to future events and are subject to certain risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, or described pursuant to similar expressions.

SOURCE: Kading Companies, S.A. (KDNG)
CONTACT: Kevin Kading, 212-918-4535. kkading@kadingco.com