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                                                      EXHIBIT 99.1


             CAUTIONARY STATEMENT FOR PURPOSES OF THE "SAFE HARBOR"
             PROVISIONS OF THE PRIVATE SECURITIES REFORM ACT OF 1995


           Gulfstream Aerospace Corporation (the "Company" or "Gulfstream") 
cautions readers that the important factors set forth below, as well as 
factors discussed in other documents filed by the Company with the Securities 
and Exchange Commission (the "SEC"), among others, could cause the Company's 
actual results to differ materially from statements contained in this report, 
future filings by the Company with the SEC, the Company's press releases and 
oral statements made by or on behalf of the Company.

           The words "estimate", "project", "anticipate", "expect", "intend", 
"believe", "target" and similar expressions are intended to identify forward 
looking statements. In addition, these factors relate specifically to the 
Company's statements regarding earnings per share for 1998 and subsequent 
years and the assumptions underlying those statements, including assumptions 
regarding green aircraft deliveries, completions, margin improvements, new 
aircraft sales and backlog stability.

Aircraft Production and Completion

           The Company records revenue from the sale of a new "green" 
aircraft (i.e., before exterior painting and installation of customer 
selected interiors and optional avionics) when the green aircraft is 
delivered to the customer. The Company records revenues from completion 
services when the outfitted aircraft is delivered to the customer. The 
Company is currently targeting 58 green aircraft deliveries in 1998 and in 
excess of 60 green aircraft deliveries in 1999. Completions are projected to 
double in 1998. Risks associated with green deliveries and completions 
include the following:

           Purchased Materials and Equipment. Approximately 70% of the 
      production costs of both the Gulfstream IV-SP and the Gulfstream V 
      consist of materials and equipment purchased from other manufacturers. 
      While the Company's production activities have never been materially 
      affected by its inability to obtain components, and while the Company 
      maintains business interruption insurance in the event that a 
      disruption should occur, the failure of the Company's suppliers to meet 
      the Company's performance specifications, quality standards or delivery 
      schedules could have a material adverse impact on the Company's 
      delivery schedule.

           Workforce. The Company's ability to meet its production and 
      completion schedules depends on the Company meeting its needs for 
      skilled labor. Although the Company's ability to hire required skilled 
      labor has not to date adversely affected its ability to meet its 
      production and completion schedules, there can be no assurance that 
      this favorable condition will continue. In 1996, the Company entered 
      into a 5-year contract with a union representing certain of its 
      employees at its Oklahoma Facility. Although employee relations are 
      generally good, a work stoppage or other labor action could materially 
      and adversely affect the Company's production schedule.

           Facilities. Green aircraft are assembled at one facility. Detailed
      parts and subassemblies are manufactured at two additional facilities.
      Completions are performed at three facilities. Although the Company
      maintains property and business interruption insurance, any severe
      property damage or other casualty loss at one of these facilities could
      materially and adversely affect the Company's delivery schedule.

           Gulfstream V Efficiency. The Company expects to become more efficient
      at producing and completing Gulfstream V aircraft as it gains more
      experience in this aircraft program. If the Company is unable to achieve
      anticipated efficiencies, its delivery schedule could be adversely
      impacted.

           Period-to-Period Fluctuations. Since the Company relies on the sales
      of a relatively small number of high unit selling price new aircraft to
      provide the substantial portion of its revenues, even a small decrease in
      the 

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      number of deliveries in any period could have a material adverse effect on
      the results of operation for that period. As a result, a delay or an
      acceleration in the delivery of new aircraft may affect the Company's
      revenues for a particular quarter or year and may make quarter-to-quarter
      or year-to-year comparisons difficult.

Margin Improvements

           The Company expects gross margins (excluding pre-owned aircraft,
which are typically sold at break-even levels) to improve from 20% in 1997 to
the mid-20s by the end of 1998. Risks associated with projected margin
improvement include the following:

           Gulfstream V Learning Curve. The Company expects production and
      completion costs to fall as the Company gains more experience in producing
      and completing Gulfstream V aircraft. Delays in anticipated cost
      reductions would adversely affect projected margin improvements.
      Additional costs associated with the learning curve on Gulfstream V
      completions are expected to delay margin improvements somewhat in the
      first half of 1998. If subsequent improvement is not achieved as quickly
      or to the extent anticipated, the Company may be unable to achieve its
      margin targets.

           Cost of Materials. Approximately 70% of the production costs of both
      the Gulfstream IV-SP and the Gulfstream V consist of materials and
      equipment purchased from other manufacturers. Although the Company has in
      place revenue share and long-term supply arrangements that help protect it
      against materials price increases, if the Company experiences price
      pressure on materials, margins could be adversely affected.

Stability of Backlog

           At December 31, 1997, the Company had a backlog of $2.8 billion. The
Company is currently selling outfitted Gulfstream IV-SPs for delivery in the
fourth quarter of 1999 and outfitted Gulfstream Vs for delivery in the first
half of 2000. Although the Company's revenues are, therefore, essentially under
contract for the foreseeable future, the following factors could adversely
affect the stability of the backlog:

           New Orders. The Company's principal business is the design,
      development, manufacture and marketing of large and ultra-long range
      business jet aircraft. Because of the high unit selling price of its
      aircraft products and the availability of commercial airlines and charters
      as alternative means of business travel, a downturn in general economic
      conditions could result in a reduction in the orders received by the
      Company for its new and pre-owned aircraft. The Company would not be able
      to rely on sales of other products to offset a reduction in sales of its
      aircraft. If a potential purchaser is experiencing a business downturn or
      is otherwise seeking to limit its capital expenditures, the high unit
      selling price of a new Gulfstream aircraft could result in the potential
      purchaser deferring its purchase or changing its operating requirements
      and electing to purchase a competitor's lower priced aircraft. In
      addition, if a significant number of customers resell their purchase
      contracts, the Company's new order intake could be adversely affected. If
      the Company's new order intake rate varies, the Company could be required
      to adjust its production rate.

           Production Delays. While the Company generally receives
      non-refundable deposits in connection with each order, an order may be
      canceled (and the deposit returned) under certain conditions if the
      delivery of a Gulfstream V aircraft is delayed more than six months after
      a customer's scheduled delivery date. An extended delay in the production
      or completion process could cause an increase in the number of
      cancellations of orders, which could have an adverse effect on the
      Company's results of operations.

           Business and Economic Conditions. Although 80% of the Company's
      backlog consists of North American customers and 65% of North American
      customers are Fortune 500 companies, adverse business and economic
      conditions could cause customers to be unable or unwilling to consummate
      the purchase of an aircraft and could, therefore, increase the number of
      cancellations experienced by the Company.

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Year 2000 Compliance

           As part of the Company's initiatives, begun in 1996, to increase
production rates and co-produce the Gulfstream IV and Gulfstream V, the Company
has, and continues to, upgrade and replace business systems and facility
infrastructure. These initiatives help to reduce the potential impact of the
Year 2000 date issue on the Company's operations. In addition, the Company has
implemented a Year 2000 Compliance Plan designed to ensure that all other
hardware, software, systems, and products with microprocessors relevant to the
Company's business are not adversely affected by the Year 2000 date issue. The
Company is also reviewing compliance by suppliers and vendors and the impact of
the Year 2000 issue on in-service customer aircraft. The Company does not
believe that the implementation of this Year 2000 Compliance Plan will have a
material effect on the Company's business operations, financial condition,
liquidity or capital resources. However, there can be no assurance, with regard
to compliance by customers and suppliers, that all aspects of their Year 2000
compliance plans will be successfully completed in a timely manner.

Safety Record

           The Company believes that its reputation and the exemplary safety
record of its aircraft are important selling points for new and pre-owned
Gulfstream aircraft. However, if one or a number of catastrophic events were to
occur with the Gulfstream fleet, Gulfstream's reputation and sales of Gulfstream
aircraft could be adversely affected.

Pre-Owned Aircraft Market

           In many cases, the Company has agreed to accept, at the customer's
option, the customer's pre-owned aircraft as a trade-in in connection with the
purchase of a Gulfstream IV-SP or Gulfstream V. Based on the current market for
pre-owned aircraft, the Company expects to continue to be able to resell
pre-owned aircraft taken in trade, and does not expect to suffer a loss with
respect to these trade-ins and resales. However, an increased level of pre-owned
aircraft or changes in the market for pre-owned aircraft may increase the
Company's inventory costs and may result in the Company receiving lower prices
for its pre-owned aircraft.

Competition

           The market for large cabin business jet aircraft is highly
competitive. The Gulfstream IV-SP competes in the large cabin business jet
aircraft market segment, principally with Dassault Aviation S.A. and Bombardier
Inc. ("Bombardier"). The Gulfstream V competes in the ultra-long range business
jet aircraft market segment, primarily with the Global Express, which is being
marketed by Canadair, a subsidiary of Bombardier, and which, according to
published reports, is scheduled for certification in May 1998, 18 months after
the initial delivery of the Gulfstream V. The Boeing Company, in partnership
with General Electric Co., is marketing a version of the Boeing 737 into the
ultra-long range business jet aircraft market segment. Boeing has indicated that
it expects this aircraft to be available for delivery in the fourth quarter of
1998. In June 1997, Airbus Industrie announced it would market a version of the
Airbus A319 into this market segment as well. Airbus has indicated that it
expects the aircraft to be available in early 1999. The Company's competitors
may have access to greater resources (including, in certain cases, governmental
subsidies) than are available to the Company.

           The Company's ability to compete successfully in the large business
jet and ultra-long range business jet aircraft markets over the long term
requires continued technological and performance enhancements to Gulfstream
aircraft. No assurance can be given that the Company's competitors will not be
able to produce aircraft capable of performance comparable or superior to
Gulfstream aircraft in the future.

           Increased price-based competition by the Company's competitors could
pressure the Company to also reduce its prices. Price reductions could have a
significant impact on the Company's margins. In addition, if a significant
number of customers were to cancel orders for the Company's aircraft in order to
purchase a competitive product, there could be a material adverse effect on the
Company's backlog.

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Pending Tax Audit

           The Company is involved in tax audits by the Internal Revenue Service
covering the years 1990 through 1994. The revenue agent's reports include
several proposed adjustments involving the deductibility of certain compensation
expense, items relating to the initial capitalization of the Company, the
allocation of the original purchase price for the acquisition by the Company of
the Gulfstream business, including the treatment of advance payments with
respect to and the cost of aircraft that were in backlog at the time of the
acquisition, and the amortization of amounts allocated to intangible assets. The
Company believes that the ultimate resolution of these issues will not have a
material adverse effect on its financial statements because the financial
statements already reflect what the Company currently believes is the expected
loss of benefit arising from the resolution of these issues. However, because
the revenue agent's reports are proposing adjustments in amounts materially in
excess of what the Company has reflected in its financial statements and because
it may take several years to resolve the disputed matters, the ultimate extent
of the Company's expected loss of benefit and liability with respect to these
matters cannot be predicted with certainty and no assurance can be given that
the Company's financial position or results of operations will not be adversely
affected.

Leverage and Debt Service

           The degree to which the Company is leveraged at a particular time
could have important consequences to the Company, including the following: (i)
the Company's ability to obtain additional financing in the future for working
capital, capital expenditures, product development, acquisitions, general
corporate purposes or other purposes may be impaired; (ii) a portion of the
Company's and its subsidiaries' cash flow from operations must be dedicated to
the payment of the principal of and interest on its indebtedness; (iii) the
Company's credit agreement contains certain restrictive financial and operating
covenants, including, among others, requirements that the Company satisfy
certain financial ratios; (iv) a significant portion of Gulfstream's borrowings
will be at floating rates of interest, causing Gulfstream to be vulnerable to
increases in interest rates; (v) the Company's degree of leverage may make it
more vulnerable in a downturn in general economic conditions; and (vi) the
Company's financial position may limit its flexibility in responding to changing
business and economic conditions.

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