AeroMechanical Services Ltd. Announces Manufacturing and Military Partnership with Sierra Nevada Corporation
CALGARY & RENO, Nev.--(BUSINESS WIRE)--AeroMechanical Services Ltd. (“AMA”) today announced that it has reached an agreement with Sierra Nevada Corporation (“SNC”) of Reno, Nevada (www.sncorp.com) under which SNC will manufacture AMA’s afirs™ products under license and also market afirs™ UpTime™ technology and products to the global military market. Under the terms of the agreement, SNC will: (i) pay AMA a license fee and a royalty on all future sales of afirsTM to the military segment as consideration for the manufacturing license and military marketing rights; (ii) SNC will be contributing funds, personnel and expertise to the design of AMA's future afirs™ airborne technologies; and (iii) share other revenue opportunities with AMA resulting from SNC’s sales of afirsTM UpTime products and services to military organizations. The up front license payments from SNC will allow AMA to meet its short term working capital requirements, while royalties on future sales to SNC's military customers will augment AMA’s recurring revenues from our commercial customers
AMA will continue to lead sales and service activities in all civil aviation markets, while military sales outside the United States will be evaluated on a case-by-case basis with the appropriate company taking the lead based upon the opportunity.
Richard Hayden, President of AMA, stated, “We are delighted to partner with Sierra Nevada Corporation to take our business to a new level, and especially expand opportunities with airframe manufacturers, major fleet operators, and the global military community. Sierra Nevada is an innovation leader in the field of airborne electronics, flight controls, and satellite communications. SNC is a proven performer for the US and global military community and brings an extensive customer network, technology capability and experience base to the relationship. This relationship complements our other strategic relationships to create a highly capable and responsive global capability”.
Greg Cox, Corporate Vice President, stated, “SNC is pleased to be able to partner with AMS to augment its development, manufacturing, and marketing capabilities. We believe that the afirsTM UpTime system can bring high value to our military customers in terms of operational control, readiness improvement, maintenance planning, and Operational & Support (O&S) cost savings. We anticipate that the recently introduced fuel savings capabilities of AMS’ products should be of great interest to military organizations facing unprecedented demands and cost pressures.”
About AeroMechanical Services Ltd.
AeroMechanical Services Ltd. provides proprietary technological solutions and services designed to reduce costs and improve efficiencies in the airline industry. The company has successfully commercialized three products and associated services currently marketed to airlines, manufacturers and maintenance organizations around the world. Its premier technology, afirs™ UpTime™, allows airlines to monitor and manage aircraft operations anywhere, anytime, in real-time. Its fuel management products and services are assisting aircraft operators in reducing fuel costs and greenhouse gas emissions.
About Sierra Nevada Corporation
Sierra Nevada Corporation (SNC) is known for its rapid, innovative, and agile technology solutions in electronics, aerospace, avionics, space, propulsion, micro-satellite, aircraft and communications systems for both the private and public sectors. Founded in 1963, SNC’s seven unique business areas employ more than 1600 people in 31 different locations in 20 states – all of whom are dedicated to providing leading-edge solutions to SNC’s dynamic customer base.
Over its 46 year history, SNC has remained focused on providing its customers the very best in diversified technologies to meet their needs and has a strong and proven track record of success. SNC has grown into one of the Top Woman-Owned Federal Contractors in the United States while maintaining its reputation for innovation and agility. The company continues to focus its growth on the commercial sector through internal advancements and outside acquisitions, including the emerging markets of telemedicine, nanotechnology, energy and net-centric operations. For more information on SNC visit www.sncorp.com
afirs, UpTime, FLYHT, FIRST, and aeroQ are Trade Marks of AeroMechanical Services Ltd.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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