Symbol: NAS Common Shares
CHICAGO, IL, Oct. 31 /CNW/ - (All amounts within this news release are
stated in U.S. dollars) Northstar Aerospace Inc. (the "Company") received new
orders and contracts with potential revenue of more than $50 million during
the third quarter 2007.
The Company was awarded $27.8 million in orders to provide components for
new build transmissions and spare parts used on the CH-47 Chinook transport
helicopter. In total, Northstar has received more than $155 million in new
CH-47 orders during the first nine months of this year. The Company received
$73 million of CH-47 orders during 2006.
Northstar's D-Velco Manufacturing of Arizona Inc. business unit signed a
long-term agreement with The Boeing Company, Mesa, Arizona. The agreement
includes 16 parts, primarily related to the Longbow radar de-rotation unit for
the AH-64 Apache attack helicopter. The agreement extends to December 31, 2010
and has a not-to-exceed potential value of nearly $17 million. This agreement
also includes two, one-year options that could extend it to a maximum
potential value of nearly $27 million through the end of 2012.
The United Kingdom division of AgustaWestland awarded Northstar a
contract for landing gear assemblies for the Future Lynx helicopter program.
The initial order is for 70 units with an option for an additional 10 units.
The initial multi-million Canadian dollar contract will see deliveries take
place over the next 10 years. The Future Lynx will feature a new airframe,
advanced avionics, new engines and will enter operational service from 2013.
The Future Lynx was selected by the UK Ministry of Defense in June 2006 to
fulfill the future land and sea helicopter requirements of the British Armed
"The new business activity in the quarter consists of a good mix of
orders on the CH-47 Chinook and new contracts with other important original
equipment manufacturers. The new agreement with Boeing Mesa is an example of
Northstar's expanding relationship with The Boeing Company. The new contract
with AgustaWestland is an exciting opportunity to reinvigorate a customer
relationship that has been an important driver of growth in the past," said
Mark Emery, President and Chief Executive Officer, Northstar Aerospace Inc.
The new orders boost Northstar's backlog to $380 million at September 30,
2007 compared to $222 million at the end of 2006.
Northstar Aerospace Inc. (www.nsaero.com) is North America's leading
independent manufacturer of flight critical gears and transmissions. Northstar
Aerospace is a public company (TSX:NAS) with operating subsidiaries in the
United States and Canada. Its principal products include helicopter gears and
transmissions, accessory gearbox assemblies, rotorcraft drive systems and
other machined and fabricated parts. It also provides maintenance, repair and
overhaul of helicopter engines and transmissions. The Company's executive
offices are located in Chicago, Illinois. Its plants are located in Chicago,
Illinois; Phoenix, Arizona; Stroud, Oklahoma; Anderson, Indiana; and Milton
and Windsor, Ontario.
For further information:
For further information: Craig Yuen, Chief Financial Officer, (708)