CPI Aero Awarded Multi-Year Contract by Lockheed Martin for
F-35 Lock Assemblies
July 1, 2015
Edgewood, NY – CPI Aerostructures, Inc. (“CPI Aero®”) (NYSE American: CVU) today announced that it has been awarded a multi-year contract by Lockheed Martin Company (NYSE: LMT) to manufacture lock assemblies for the F-35A Conventional Takeoff and Landing (‘CTOL’) variant aircraft.
Under this new contract with Lockheed Martin’s Aeronautics division based in Fort Worth, TX, CPI Aero will provide four lock assemblies for the arresting gear door on 289 F-35A CTOL aircraft, with deliveries beginning in 2017. The term of the contract is for a period of three years, with a single option for an additional three-year period, at which time CPI Aero would manufacture lock assemblies for an additional 459 F-35A CTOL aircraft. The Company estimates the total value of the contract, including the option, to be approximately $10.6 million.
The F-35 Lightning II is a family of single-seat, single-engine, all-weather stealth multirole fighters designed to perform ground attack, aerial reconnaissance, and air defense missions. The F-35 Lightning II aircraft has three main models; the F-35B Short Takeoff/Vertical Landing Variant, the F-35C Carrier Variant, and the F-35A CTOL variant, designed to operate from conventional runways. The F-35A CTOL will be the most prevalent variant of the aircraft. The US Department of Defense plans to acquire more than 1,700 F-35A’s by 2034 and ten other countries also have plans to acquire the F-35A.
Douglas McCrosson, President and CEO of CPI Aero, stated, “This is an important win for CPI as it adds a new aircraft platform, a new customer, and bolsters our reputation as a leading supplier of military aircraft structure. The F-35A aircraft will be a vital system for global security for decades to come and we are proud to have earned the opportunity to support this program. We are also excited to add Lockheed Martin’s Aeronautics division as a new customer for CPI Aero and we look forward to growing this relationship in the future.”
About CPI Aero
CPI Aero is a U.S. manufacturer of structural assemblies for fixed wing aircraft, helicopters and airborne Intelligence Surveillance and Reconnaissance 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 UH-60 BLACK HAWK® helicopter, the MH-53/CH-53 variant helicopters, the F-16 fighter aircraft, 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, 2014 and Form 10-Q for the quarter ended March 31, 2015.
CPI Aero® is a registered trademark of CPI Aerostructures, Inc.
Chief Financial Officer
Investor Relations Counsel:
Jody Burfening/Sanjay M. Hurry