Air Industries Group (the "Company" or "Air Industries") Announces:
March 23 2018 - 9:30AM
Air Industries Group (NYSE MKT:AIRI): Air Industries Group
(“Air Industries” or the “Company”), an integrated manufacturer of
precision equipment assemblies and components for leading aerospace
and defense prime contractors, announced today that it has
entered into a definitive agreement to sell its Welding Metallurgy,
Inc. (“WMI”) subsidiary for $9.0 million in cash to CPI
Aerostructures Inc. (NYSE American:CVU), subject to a customary
adjustment based on the net working capital of WMI at the closing
of the acquisition. The agreement also calls for up to an aggregate
of $1.0 million in cash to be paid to Air Industries if WMI enters
into certain long-term supply agreements during 2018.
Separately, Air Industries will be hosting a
conference call on its financial results and the details will be
announced next week.
Mr. Lou Melluzzo, Chief Executive Officer of Air
Industries commented: “Since becoming CEO of the Company in October
of 2017, I have been reviewing the strategic direction of Air
Industries. In consultation with the Board, we concluded that it
would be best to focus the management and the resources of Air
Industries on our complex machined products for aircraft landing
gear and jet turbine applications. Based upon this conclusion, we
determined that the divestiture of WMI, which we see as accretive,
is in the best interest of shareholders.
We anticipate that our focus on our core
accretive businesses is in the best interest of the shareholders
and in line with our stated strategy to streamline the business
with a focus on profitability.”
ABOUT AIR INDUSTRIES GROUP
Air Industries Group (AIRI) is an integrated
manufacturer of precision equipment assemblies and components for
leading aerospace and defense prime contractors.
Certain matters discussed in this press release
are 'forward-looking statements' intended to qualify for the safe
harbor from liability established by the Private Securities
Litigation Reform Act of 1995. In particular, the Company's
statements regarding trends in the marketplace, the ability to
realize firm backlog and projected backlog, cost cutting measures,
potential future results and acquisitions, are examples of such
forward-looking statements. The forward-looking statements are
subject to numerous risks and uncertainties, including, but not
limited to, the timing of projects due to variability in size,
scope and duration, the inherent discrepancy in actual results from
estimates, projections and forecasts made by management, regulatory
delays, changes in government funding and budgets, and other
factors, including general economic conditions, not within the
Company's control. The factors discussed herein and expressed from
time to time in the Company's filings with the Securities and
Exchange Commission could cause actual results and developments to
be materially different from those expressed in or implied by such
statements. The forward-looking statements are made only as of the
date of this press release and the Company undertakes no obligation
to publicly update such forward-looking statements to reflect
subsequent events or circumstances.
Contact Information
Air Industries
Group631.881.4913ir@airindustriesgroup.com
CPI Aerostructures (AMEX:CVU)
Historical Stock Chart
From Aug 2024 to Sep 2024
CPI Aerostructures (AMEX:CVU)
Historical Stock Chart
From Sep 2023 to Sep 2024