CPI Aerostructures, Inc. (“CPI Aero®”) (NYSE MKT:CVU) announced today that it has signed a long-term supply agreement with Sikorsky, a Lockheed Martin company (NYSE:LMT), to manufacture fuel panel assemblies for the UH-60M Black Hawk helicopter. This long-term agreement is valued at up to approximately $21 million for a period of five years, beginning in 2018 and ending in 2022 per Sikorsky and the U.S. Army’s recent signing of the Multi-Year IX contract.
CPI Aero has been producing fuel panel assemblies for the UH-60M since 2010. Since that time, CPI Aero has delivered more than 900 units to support the aircraft’s production line. Under the terms of the new agreement, CPI Aero will perform all manufacturing tasks for these assemblies, including purchasing and managing the supply chain for all detail parts and system components such as fuel valves, flexible hosing and tubing.
Douglas J. McCrosson, president and chief executive officer of CPI Aero, commented, “The fuel panel assembly is a key product within our aerosystems segment and is an excellent example of our capabilities outside of our traditional aerostructures market. The Black Hawk helicopter has been one of the most important aircraft systems to CPI Aero for the past 10 years, and it is gratifying that it will continue to be so for at least the next five years.”
The Black Hawk helicopter has become the leader in multi-mission-type aircraft. Among the mission configurations it serves are troop transport, medical evacuation, electronic warfare, attack, assault support and special operations.
Source: CPI Aerostructures, Inc.
Date: Jul 19, 2017