New orders increase funded value of Citation X+ wing spar
assemblies to $9.3 million
EDGEWOOD, N.Y.--(BUSINESS WIRE)--
CPI Aerostructures, Inc. (CPI Aero®) (NYSE MKT:CVU) today
announced that it received a purchase order from Cessna Aircraft
Company, part of the Textron Aviation segment of Textron Inc.
(NYSE:TXT), to supply wing spar assemblies on their flagship aircraft,
the Citation X+. This order is for approximately $4 million and is a
follow-on to the long-term agreement (LTA) announced in October 2012.
CPI Aero estimates the total value of this LTA to be approximately $41
million through 2019. The total value of firm orders under this LTA is
now approximately $9.3 million. CPI Aero commenced deliveries to Cessna
in 2013.
CPI Aero currently manufactures eleven different structural assemblies,
including nine spar assemblies for the Citation X+ aircraft. A wing spar
is the primary structural component of a wing and runs from the fuselage
to the wingtip. The longest spar assembly for the Citation X+ aircraft
is more than 29 feet long.
Originally introduced into service in 1996 as the Citation X, the newly
developed Citation X+ was first announced at the National Business
Aviation Association (NBAA) convention in 2010. The Citation X+ is
expected to be certified in early 2014, with deliveries starting shortly
after. The Citation X+ features the same supercritical wing as the
Citation X and is powered by the new AE3007C2 high by-pass ratio Rolls
Royce engines that qualify the Citation X+ as the fastest operational
civilian jet in the world.
About CPI Aero
CPI Aero is a U.S. manufacturer of structural assemblies for fixed wing
aircraft, helicopters and airborne Intelligence Surveillance and
Reconnaissance (ISR) pod systems in both the commercial aerospace and
national security markets. Within the global aerostructure supply chain,
CPI Aero is either a Tier 1 supplier to aircraft OEMs or a Tier 2
subcontractor to major Tier 1 manufacturers. CPI also is a prime
contractor to the U.S. Department of Defense, primarily the Air Force.
In conjunction with its assembly operations, CPI Aero provides
engineering, program management, supply chain management, and MRO
services. Among the key national security programs that CPI Aero
supplies are the E-2D Advanced Hawkeye surveillance aircraft, the A-10
Thunderbolt attack jet, the UH-60 BLACK HAWK® helicopter, the
MH-53/CH-53 variant helicopters, the MH-60S mine countermeasure
helicopter, the AH-1Z ZULU attack helicopter, the DB-110 reconnaissance
pod and the ALMDS mine detecting pod. In the commercial aviation market
CPI Aero manufactures products for the Gulfstream G650 ultra-large cabin
business jet, the HondaJet advanced light Jet, the Embraer Phenom 300
business jet, the new Cessna Citation X+, and the S-92® helicopter. CPI
Aero is included in the Russell MicroCap Index.
The above statements include forward looking statements that involve
risks and uncertainties, which are described from time to time in CPI
Aero’s SEC reports, including CPI Aero’s Form 10-K for the year ended
December 31, 2013 and Form 10-Q for the quarter ended March 31, 2014.
CPI Aero® is a registered trademark of CPI Aerostructures, Inc.
CPI Aero
Vincent Palazzolo, 631-586-5200
Chief Financial
Officer
www.cpiaero.com
or
Investor
Relations Counsel
The Equity Group Inc.
Lena Cati, 212-836-9611
www.theequitygroup.com
Source: CPI Aerostructures, Inc.