CPI Aerostructures, Inc. ("CPI Aero®") (NYSE MKT: CVU) today reported it has been selected by Embraer S.A. of Brazil (NYSE: ERJ) to supply various structural components used in the manufacture of engine pylon fairings for the Embraer E175-E2 aircraft, one of the members of the second generation of its E-Jets family of commercial aircraft, the E-Jets E2. CPI Aero has received a binding Go Ahead Notice for the first shipset to be delivered to Embraer during the first quarter of 2017.
Douglas J. McCrosson, president and CEO of CPI Aero commented, "This contract award for the new E175-E2 builds on our existing, strong relationship with Embraer and is a testament to our performance in delivering engine inlets for its Phenom 300 executive jet since 2012. To date, we have delivered inlets for more than 300 Phenom 300 executive jets and we look forward to an equally successful relationship on the E175-E2."
"This new award is our first in more than two decades for product on a commercial jet and is in keeping with our strategy to leverage our core technical competencies for military aircraft and apply them to business and commercial jet opportunities," continued Mr. McCrosson, "These technical competencies place us in an excellent position to successfully bid on contracts for other commercial aircraft, including additional work on Embraer's E-Jets."
In 2013, Embraer launched the E-Jet E2, comprised of three new airplanes -- E175-E2, E190-E2, and E195-E2 -- seating from 70 to 130+ passengers. Since the E-Jets E2s were launched, the program has logged 670 commitments from airlines and leasing companies, consisting of 272 firm orders and 398 options and purchase rights. The E-Jets family of aircraft is the leader in the up-to-130-seat aircraft category with more than 50% worldwide market share. The E175-E2 is scheduled for entry into service in 2020.
Source: CPI Aerostructures, Inc.
Date: Aug 4, 2016