Edgewood, N.Y. – July 10, 2008 - CPI Aerostructures, Inc. (“CPI Aero®”) (AMEX: CVU) today announced that Spirit AeroSystems (“Spirit”) and CPI Aero have mutually agreed that the finalized MOU related to CPI Aero’s work on the Gulfstream G650 will only include the fixed leading edge assemblies, and not the trailing edges or flaps as previously reported. As the companies collaborate to meet customer requirements, both companies agree that it is in the best interest of the program for Spirit to build the first several sets of assemblies for those items mentioned, with CPI Aero building the same number of leading edge assemblies. Build responsibility for the trailing edge and flap assemblies beyond these initial shipsets will be determined at a later date.
It is important to note that there is no impact on CPI Aero’s projected revenue for 2008, as tooling costs and production requirements will generate the projected revenue for this year. Because there has been a change in scope, the overall pricing for the production of the fixed leading edge has yet to be finalized, and therefore cannot be disclosed at this time. Once the pricing is determined, the Company will revise the overall potential magnitude of the award and report on it accordingly.
About Spirit AeroSystems
Spirit AeroSystems (NYSE: SPR) is the largest independent non-OEM designer and manufacturer of commercial aerostructures in the world. Based in Wichita, Kan., it began operations in June 2005. In addition to its Kansas facility, Spirit has facilities in Oklahoma and the U.K.
About CPI Aero
CPI Aero is engaged in the contract production of structural aircraft parts for the U.S. Air Force, other branches of the armed forces and leading prime defense contractors. 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 C-5A Galaxy cargo jet, the T-38 Talon jet trainer, the A-10 Thunderbolt attack jet, the E-3 Sentry AWACS jet, UH-60 Black Hawk helicopter, the Sikorsky S-92 helicopter, the MH-60S mine countermeasure helicopter, and the G650.
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, 2007, and Form 10-Q for the quarter ended March 31, 2008.
CPI Aero® is a registered trademark of CPI Aerostructures, Inc.