TAT Technologies Announcing the Entry Into a New Manufacturing and Repair License Agreement With a Principle Supplier

The signed license agreement is for the manufacturing of Emergency Power Systems for the F-16 aircraft and is for 3 year period


GEDERA, Israel, October 19 /PRNewswire-FirstCall/ -- TAT Technologies Ltd. (Nasdaq: TATTF) today announced that it had signed with one of its principle suppliers, a leading manufacturer of aviation products and systems, an extension of their manufacturing and repair license agreement. The signed license agreement is for the manufacturing of Emergency Power Systems for the F-16 aircraft and is for three-year period.

TAT's President and CEO, Dr. Shmuel Fledel, remarked that "the Emergency Power Systems manufactured under the license agreement will be provided to one of TAT's principle customers with anticipated revenues of approximately $6M' over the three-year period. Additional activities currently performed may increase total revenues up to approximately $10M' for that period. The signing of this long term license agreement, demonstrates again, the reliability and trust between TAT and its customers, as well as further firming TAT's market position."

About the Company

TAT Technologies Ltd. provides a variety of services and products to the military and commercial aerospace and ground defense industries through its Gedera facility in Israel, as well as through its subsidiaries, Bental Industries Ltd., in Israel and Limco - Piedmont, Inc., in the U.S.

TAT operates under four operational segments: (i) OEM of Heat Transfer products (ii) OEM of Electric Motion Systems (iii) MRO services; and (iv) parts services, each with the following characteristics.

TAT's activities in the area of OEM of Heat Transfer products primarily relate to the (i) design, development, manufacture and sale of a broad range of heat transfer components (such as heat exchangers, pre-coolers and oil/fuel hydraulic coolers) used in mechanical and electronic systems on-board commercial, military and business aircraft; and (ii) manufacture and sale of environmental control and cooling systems and (iii) a variety of other electronic and mechanical aircraft accessories and systems such as pumps, valves, power systems and turbines.

TAT's activities in the area of OEM of Electric Motion Systems primarily relate to the design, development, manufacture and sale of a broad range of electrical motor applications for airborne and ground systems. TAT activities in this segment commenced with the acquisition of Bental in August 2008 and accordingly, the results in this segment for fiscal year 2008 are not compared with the previous years.

TAT's MRO services include the remanufacture, overhaul and repair of heat transfer equipment and other aircraft components, APUs, propellers and landing gear. TAT's Limco subsidiary operates FAA certified repair stations, which provide aircraft component MRO services for airlines, air cargo carriers, maintenance service centers and the military.

TAT's parts segment focuses on inventory management and sale of APU parts, propellers and landing gear. TAT offers parts services for commercial, regional and charter airlines and business aircraft owners.

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