WOOD DALE, Ill., June 23, 2016 (GLOBE NEWSWIRE) -- Power Solutions International, Inc. (PSI) (NASDAQ:PSIX), a leader in the design, engineer and manufacture of emissions-certified alternative-fuel and conventional power systems, today announced that its wholly owned subsidiary Professional Power Products, Inc. (3Pi) has signed a supply agreement valued at just over $20 million. 3Pi designs, manufactures, and sells custom-engineered, integrated electrical generation systems for the demand response, microgrid, combined heat and power (CHP) and standby/prime power markets.
Under the agreement’s terms, 3Pi will supply highly customized power generation systems to a major integrated energy solution provider, with shipments beginning in the third quarter of 2016 and concluding in the first quarter of 2017. The agreement represents 3Pi’s first large distributed generation order and illustrates 3Pi's custom design capabilities.
“This is a significant win for 3Pi that demonstrates the value of the unique synergies between 3Pi and PSI. It also marks another positive step in our turnaround efforts for 3Pi’s business and positions 3Pi to contribute approximately 10 to 15 percent of our consolidated revenue in 2016,” said Gary Winemaster, PSI’s Chairman and Chief Executive Officer. “The growth opportunities that we see within demand response, microgrid and CHP are significant and validate 3Pi's focus in the distributed energy market.”
PSI/3Pi design teams custom engineered the power systems, which utilize a special version of PSI’s robust, low-emission, heavy-duty engine. The teams worked closely with the client to optimize efficiency, reduce noise, minimize space and lower overall operating costs. PSI's proprietary engine technology enabled the new packages to achieve performance requirements while also meeting the client’s stringent durability needs.
For more information on PSI, visit http://www.psiengines.com. For more information on 3Pi, visit http://www.professionalpowerproducts.com.
About Power Solutions International, Inc.
Power Solutions International, Inc. (PSI) is a leader in the design, engineering and manufacture of emissions-certified, alternative-fuel power systems. PSI provides integrated turnkey solutions to leading global original equipment manufacturers in the industrial and on-road markets. The Company's unique in-house design, prototyping, engineering and testing capacities allow PSI to customize clean, high-performance engines that run on a wide variety of fuels, including natural gas, propane, biogas, diesel and gasoline.
PSI develops and delivers complete .97 to 22-liter power systems, including the 8.8-liter engine designed for industrial markets and on-road applications such as medium duty fleets, delivery trucks, school buses, RVs and commercial chassis. PSI power systems are currently used worldwide in power generators, forklifts, aerial lifts, and industrial sweepers, as well as in oil and gas, aircraft ground support, arbor, agricultural and construction equipment.
About 3Pi
Based in Darien, Wisconsin, 3Pi designs, manufactures, and sells large, custom-engineered, integrated electrical power generation systems serving the global diesel and natural gas power generation market. 3PI specializes in systems for both standby and prime power applications. In 2014, Power Solutions International (PSI) acquired 3Pi.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements, regarding the current expectations of the Company about its prospects and opportunities. These forward-looking statements are covered by the "Safe Harbor for Forward-Looking Statements" provided by the Private Securities Litigation Reform Act of 1995. The Company has tried to identify these forward looking statements by using words such as "expect," "contemplate," "anticipate," "estimate," "plan," "will," "would," "should," "forecast," "believe," "outlook," "guidance," "projection," "target" or similar expressions, but these words are not the exclusive means for identifying such statements. The Company cautions that a number of risks, uncertainties and other factors could cause the Company's actual results to differ materially from those expressed in, or implied by, the forward-looking statements, including, without limitation, the continued development and expansion of the market for alternative-fuel power systems; technological and other risks relating to the Company's development of its 8.8 and 4.3 liter engines, introduction of other new products and entry into on-road markets (including the risk that these initiatives may not be successful); the timing of new products; the Company's ability to integrate recent acquisitions into the business of the Company successfully and the amount of time and expense spent and incurred in connection with the integration; the risk that the economic benefits, cost savings and other synergies that the Company originally anticipated as a result of recent acquisitions are not fully realized or take longer to realize than expected; the significant strain on the Company's senior management team, support teams, manufacturing lines, information technology platforms and other resources resulting from rapid expansion of the Company's operations (including as a result of recent acquisitions); volatility in oil and gas prices; changes in environmental and regulatory policies; significant competition; global economic conditions (including their impact on demand growth); and the Company's dependence on key suppliers. For a detailed discussion of factors that could affect the Company's future operating results, please see the Company's filings with the Securities and Exchange Commission, including the disclosures under "Risk Factors" and "Cautionary Note Regarding Forward-Looking Statements" in those filings. Except as expressly required by the federal securities laws, the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, changed circumstances or future events or for any other reason.