LE BOURGET, France, June 21, 2011 /CNW Telbec/ - Héroux-Devtek Inc. (TSX: HRX), a leading Canadian manufacturer of aerospace and industrial products, today announced that it has been awarded a seven-year contract by Lockheed Martin Aeronautics Company to manufacture the landing gear for the C-130J Super Hercules aircraft.
Under the terms of the agreement, Héroux-Devtek will manufacture and assemble the landing gear for Lockheed Martin's global production of C-130J aircraft and provide spare parts over a seven-year period beginning in January 2012. Based on current program expectations, the contract has a potential total value of approximately $70 million.
Following procurement of 17 aircraft by the Government of Canada, known as CC-130J for the Canadian Forces, as well as by other nations around the world, production of the C-130J aircraft is expected to rapidly ramp-up over the short-to-mid-term. This contract is also part of Canada's Industrial and Regional Benefits ("IRB") Policy.
"Héroux-Devtek has been actively involved for over 25 years on this highly successful program. Moreover, we have developed a proven expertise over the last 15 years as a reliable manufacturer of new C-130J landing gear, recognized for our solid performance, high quality and on-time deliveries. This strategic long-term contract further demonstrates our leadership in the military landing gear market. Héroux-Devtek is proud to support Lockheed Martin by further contributing to the longest continuous military production program in history," said Gilles Labbé, President and Chief Executive Officer of Héroux-Devtek.
"The Government of Canada congratulates Héroux-Devtek on its latest contract with Lockheed Martin," said the Honourable Christian Paradis, Minister of Industry. "We are pleased that this investment, through the IRB Policy, is helping to grow the economy and create quality employment for the highly skilled Canadians in the aerospace sector. Today's announcement is another example of the successful integration of Canadian firms into global value chains, which is continuing to strengthen our economy."
"It is world-class suppliers such as Héroux-Devtek that make the C-130J Super Hercules the success that it is" said Lorraine Martin, Lockheed Martin's Vice President for C-130 Programs. "The C-130J operates in some of the harshest environments in the world and the ability to operate from rough, austere runways requires efficient, reliable landing gear. We are proud of our relationship with Héroux-Devtek and look forward to many more years of successful take offs and landings."
About Héroux-Devtek Inc.
Héroux-Devtek Inc. (TSX: HRX), a Canadian company, serves two main market segments: Aerospace and Industrial Products, specializing in the design, development, manufacture and repair and overhaul of related systems and components. Héroux-Devtek Inc. supplies both the commercial and military sectors of the Aerospace segment with landing gear systems (including spare parts, repair and overhaul services) and airframe structural components. The Company also supplies the industrial segment with large components for power generation equipment and precision components for other industrial applications. Approximately 70% of the Company's sales are outside Canada, mainly in the United States. The Company's head office is located in Longueuil, Québec with facilities in the Greater Montreal area (Longueuil, Dorval, Laval and St-Hubert); Kitchener and Toronto, Ontario; Arlington, Texas; as well as Springfield, Cleveland and Cincinnati, Ohio.
About Lockheed Martin Corporation
Headquartered in Bethesda, Md., Lockheed Martin is a global security company that employs about 126,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The Corporation's 2010 sales from continuing operations were $45.8 billion.
