EDGEWOOD, N.Y.--Oct. 25, 2004
CPI Aerostructures, Inc. (AMEX: CVU) today reported that the U.S. Air Force has released, on an accelerated basis, its 2005 order to CPI under the T-38 Talon trainer aircraft program. The new order, valued at approximately $7.1 million, is for 70 ship-sets of structural inlets as part of the Propulsion Modernization Program on this aircraft, which is the largest release under the 10-year program CPI has received to date. This order exceeds the combined 2004 orders under this program by $1.4 million. The Air Force has indicated that CPI should anticipate this accelerated release schedule in the future, so that the next anticipated order under this program should be in the fall of 2005.
"Since 2001, when we were selected for the 10-year $61 million contract for the T-38 modernization program, CPI has demonstrated its flexibility and capacity to adapt to the changing demands of the Air Force on short notice, and is able to satisfy expanded orders seamlessly. Orders under this program have totaled $27.3 million thus far; which means that over the next five years, we would expect an additional $33.7 million in additional orders," stated CPI's President & CEO, Edward J. Fred.
Founded in 1980, CPI Aerostructures is engaged in the contract production of structural aircraft parts principally for the U.S. Air Force and other branches of the armed forces. In conjunction with its assembly operations, CPI provides engineering, technical and program management services. Among the key programs that CPI supplies are the C-5A Galaxy cargo jet, the T-38 Talon jet trainer, the A-10 Thunderbolt attack jet and the E-3 Sentry AWACS jet.
The above statements include forward looking statements that involve risks and uncertainties, which are described from time to time in CPI's SEC reports, including CPI's Form 10-KSB for the year ended December 31, 2003 and Forms 10-QSB for the quarters ended March 31, 2004 and June 30, 2004.