EDGEWOOD, N.Y., May 21, 2009 (GLOBE NEWSWIRE) -- CPI Aerostructures, Inc. ("CPI Aero(r)") (NYSE Amex:CVU) today announced that the Boeing Integrated Defense Systems unit of The Boeing Company ("Boeing") has expanded the scope of work that CPI Aero will perform under its previously announced long-term requirements contract to support Boeing's A-10 Wing Replacement Program. In June 2007, Boeing received a $2 billion contract to produce up to 242 enhanced wings for the United States Air Force's A-10 "Thunderbolt" attack jet. The initial contract to CPI Aero, announced in July 2008, was for the production of leading edges, wingtips, trailing edges, main landing gear pods and various other structures. As per the modified contract, CPI Aero will now also be installing a fueling/de-fueling subsystem into the main landing gear pod assembly. The initial order under this contract modification is valued at $178,000 and the total modification is valued at approximately $960,000 for 242 wings. The revised contract has increased in value to approximately $71 million, of which CPI Aero has received $13.4 million of orders to date.
Edward J. Fred, CPI Aero's CEO and President, stated, "We are proud that our performance on this program has earned Boeing's confidence to expand CPI Aero's work scope under this contract. We believe that as we continue to demonstrate our assembly capabilities to the Boeing A-10 Wing Replacement Team, we will be considered for additional opportunities for systems integration on this platform."
CPI Aero is engaged in the contract production of structural aircraft parts for leading prime defense contractors, 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 UH-60 BLACK HAWK helicopter, the S-92(r) helicopter, the MH-60S mine countermeasure helicopter, the Gulfstream G650, C-5A Galaxy cargo jet, the T-38 Talon jet trainer, the A-10 Thunderbolt attack jet, and the E-3 Sentry AWACS jet. CPI Aero is included in the Russell Microcap(r) Index.
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-K for the year ended December 31, 2008, and Form 10-Q for the quarter ended March 31, 2009.
CPI Aero(r) is a registered trademark of CPI Aerostructures, Inc.