(EDGEWOOD, N.Y., Nov 15, 2005) -- CPI Aerostructures, Inc. ("CPI Aero") (AMEX:CVU) today announced it was selected by Lockheed Martin Aircraft and Logistics Centers ("Lockheed") to supply longerons for the U. S. Navy's P-3 "Orion" aircraft. Longerons are load-bearing, fore to aft structural portions of the engine nacelle.
In June 2005, Lockheed was selected by the U. S. Navy Air Systems Command to provide a variety of aircraft maintenance and modification services for the P-3 aircraft under the Sustainment Modification Installation Program. The P-3 is a land-based, long range, anti-submarine patrol aircraft. CPI Aero was selected as a subcontractor under this program to supply longerons. The five-year indefinite delivery, indefinite quantity subcontract is for up to 63 ship sets of longerons at a price not to exceed $13.3 million.
Edward J. Fred, CPI Aero's President & CEO stated, "As we have reported for several quarters, we believe that subcontract work for the major aerospace prime contractors is a great growth opportunity for us. This award further confirms that belief. We are pleased with this award for many reasons. It aligns us with a solid Lockheed team. Additionally, since we have not done P-3 work before, this gives us the opportunity to gain experience on a new platform. This award also places us on another U.S. Navy program, which not only enhances our current business, but improves our prospects for future business. Finally, the revenue potential of this program is significant."
About Lockheed Martin Corporation
Lockheed Martin Corporation (www.lockheedmartin.com), headquartered in Bethesda, Maryland, employs about 130,000 people worldwide and is principally engaged in the research, design, development, manufacture and integration of advanced technology systems, products and services. The corporation reported 2004 sales of $35.5 billion.
About CPI Aero
CPI Aero 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 Aero provides engineering, technical and program management services. Among the key programs that CPI Aero supplies are the C-5A Galaxy cargo jet, the T-38 Talon jet trainer, the A-10 Thunderbolt attack jet, the E-3 Sentry AWACS jet and the MH-60S mine countermeasure helicopter.
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-KSB for the year ended December 31, 2004 and Form 10-Q for the quarters ended March 31, 2005, June 30, 2005 and September 30, 2005.
Vincent Palazzolo, 631-586-5200
Investor Relations Counsel
The Equity Group Inc.
Linda Latman, 212-836-9609
Andreas Marathovouniotis, 212-836-9611