SALEM, N.H.--(BUSINESS WIRE)--Standex International Corporation (NYSE:SXI) today announced that Spincraft, the Company’s engineered products metal fabrication business unit, has received a life of program award from Senior Aerospace (SSP) to produce exhaust plug and nozzle components for the nacelle on the Airbus A320 NEO, one of the largest-selling commercial aircrafts in the world. The life of program award is based on active production of both the A320 NEO aircraft and nacelle. Based on current orders and projections for the Aircraft and Nacelle annual sales will be an estimated value of $1.6 million to $3 million per year in 2016 and 2017, increasing to a run rate of more than $7 million annually at full production.1
Under the terms of the agreement, Spincraft will produce exhaust plug and nozzle sets, consisting of five individual components, for all the A320 NEO assembly’s produced by SSP. SSP production is anticipated to represent up to 100% of the volume requirements on the UTAS Nacelle for the Pratt & Whitney engine version of the aircraft.1 Spincraft was selected for its compelling value proposition for cost and engineered solutions around its core competencies.
“We are excited to announce this new contract with Senior Aerospace for the Airbus A320 NEO, which marks our second major contract win on large-body, single-aisle commercial aircraft,” said Len Paolillo, President of Standex’s Engineering Technologies Group. “The contract is also significant as Spincraft continues to provide and expand our involvement in this growing market with engineered solutions, and we look forward to working closely with SSP to help develop solutions to their challenges and supporting the business long term.1”
Standex International Corporation is a multi-industry manufacturer in five broad business segments: Food Service Equipment Group, Engineering Technologies Group, Engraving Group, Electronics Products Group, and Hydraulics Products Group with operations in the United States, Europe, Canada, Australia, Singapore, Mexico, Brazil, Argentina, Turkey, South Africa, India and China. For additional information, visit the Company's website at www.standex.com.
1Safe Harbor Language
Statements in this news release include, or may be based upon, management's current expectations, estimates and/or projections about Standex's markets and industries. These statements are forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Actual results may materially differ from those indicated by such forward-looking statements as a result of certain risks, uncertainties and assumptions that are difficult to predict. Among the factors that could cause actual results to differ are the impact of implementation of government regulations and programs affecting our businesses, general domestic and international economy including more specifically increases in raw material costs, the ability to continue to successfully implement productivity improvements, increase market share, introduce new products, enhance our presence in strategic channels and the other factors discussed in the Annual Report of Standex on Form 10-K for the fiscal year ending June 30, 2013, which is on file with the Securities and Exchange Commission, and any subsequent periodic reports filed by the Company with the Securities and Exchange Commission. In addition, any forward-looking statements represent management's estimates only as of the day made and should not be relied upon as representing management's estimates as of any subsequent date. While the Company may elect to update forward-looking statements at some point in the future, the Company and management specifically disclaim any obligation to do so, even if management's estimates change.