LONGUEUIL, QC, April 28 /CNW Telbec/ - Héroux-Devtek Inc. (TSX:HRX), a
leading Canadian manufacturer of aerospace and industrial products, today
announced that Lockheed Martin Aeronautics Company has awarded the
aerostructure division of Héroux-Devtek (Progressive Inc.), another multi-year
contract to manufacture complex structural machined parts and assemblies for
the F-35 Lightning II aircraft (Joint Strike Fighter).
Under the terms of the agreement, Progressive, located in Arlington,
Texas, will fabricate, assemble and deliver complex structural components and
assemblies for the outer wing, inner wing, and forward fuselage for all three
F-35 variants in support of Low Rate Initial Production (LRIP) lots 3 through
7 over the next five years. The F-35 aircraft quantity will ramp up throughout
this period, with production rates currently planned to exceed 100 aircraft
per year near the end of this contract.
This contract begins in the second half of 2009 and continues through the
first half of 2014, at which time the F-35 program enters its first multi-year
procurement phase. Based on best estimated quantity production rates, the
value of the contract is estimated to be in excess of Cdn$50 million. This
latest mandate is in addition to a Cdn$135 million, multi-year contract
awarded in 2007 for forged aluminum bulkheads and other complex components.
Progressive opened a new 72,000 square feet facility in 2007 and
subsequently invested in additional state of the art, high speed equipment to
support this program and other military involvements. Since 2007,
Héroux-Devtek has invested more than Cdn$28 million at Progressive and now has
over 220,000 square feet of manufacturing space in Texas.
"Héroux-Devtek is proud to be increasingly involved in the F-35 program,
which is considered to be the largest ongoing military program over the next
20 years," said Gilles Labbé, President and Chief Executive Officer of
Héroux-Devtek. "This agreement confirms our status as the largest F-35
aerostructure supplier for Lockheed Martin and further highlights our solid
business relationships and proven reputation for superior quality and customer
"The selection of Héroux-Devtek for these critical F-35 components shows
the confidence of Lockheed Martin in our technology and our people," said Rick
Rosenjack, Vice President and General Manager of the Aerostructure Division.
"Our investment in manufacturing development and new technology for complex,
monolithic components continues to receive interest from a number of OEMs.
This particular contract was competed worldwide and we are very pleased that
the Lockheed Martin team chose Héroux-Devtek's Aerostructure Division."
"Lockheed Martin is pleased to team up with Héroux-Devtek Inc., a key
partner in the fabrication, assembly and delivery of complex structural
components for all three F-35 variants," mentioned Tom Burbage, Executive Vice
President and general manager of F-35 Program Integration. "Héroux-Devtek's
participation in the program has been exemplary. We look forward to this next
phase of production as we bring this only 5th generation multirole fighter to
our nine partner nations."
Héroux-Devtek (TSX: HRX), a Canadian company, serves two main market
segments: Aerospace and Industrial Products, specializing in the design,
development, manufacture and repair of related systems and components.
Héroux-Devtek 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 65% 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
Rivière-des-Prairies); Kitchener and Toronto, Ontario; Arlington, Texas and
About Lockheed Martin
Headquartered in Bethesda, Md., Lockheed Martin is a global security
company that employs about 146,000 people worldwide and is principally engaged
in the research, design, development, manufacture, integration and sustainment
of advanced technology systems, products and services. The corporation
reported 2008 sales of US$42.7 billion.
Except for historical information provided herein, this press release may
contain information and statements of a forward-looking nature concerning the
future performance of the Company. These statements are based on suppositions
and uncertainties as well as on management's best possible evaluation of
future events. Such factors may include, without excluding other
considerations, fluctuations in quarterly results, evolution in customer
demand for the Company's products and services, the impact of price pressures
exerted by competitors, and general market trends or economic changes. As a
result, readers are advised that actual results may differ from expected
For further information:
For further information: MaisonBrison, Martin Goulet, CFA, (514)
731-0000; Source: Héroux-Devtek Inc., Gilles Labbé, President and Chief
Executive Officer, (450) 679-3330