Business
TAT Technologies announces the signing of a new contract with a large global airline
The contract will include providing Auxiliary Power Units (APU) Repair, Maintenance and Overhaul (MRO) services in the airline's aircraft NETANYA, Israel,
About this update from Tat Technologies Ltd.
[{"type":"text","content":"The contract will include providing Auxiliary Power Units (APU) Repair, Maintenance and Overhaul (MRO) services in the airline's aircraft\nNETANYA, Israel, June 9, 2022 /PRNewswire/ -- TAT Technologies Ltd. (TASE: TATT), (NASDAQ: TATT), a leading supplier of products and services for the commercial and military aviation industries and the ground defense industries, reports a significant new contract with a large global airline.\nAs part of this contract TAT will provide MRO services to the airline's APU's\nThe contract is exclusive for 5 years, during which Piedmont, TAT's North Carolina subsidiary, will maintain all of the airline's APUs of a certain model;Revenues are estimated at a total of $50 million ($10 million per year).In 2020 and 2021, TAT signed a number of strategic contracts with the aviation giant Honeywell. Under these contracts, TAT was awarded a 10-year license for repair and overhaul of APUs for Boeing and Airbus's key platforms, including B737, A320, B777 and B767/757 aircrafts. The Company is also engaged in the APUs leases to airlines, mainly for B777 aircraft, under an exclusive 10-year contract with Honeywell. \nIgal Zamir, CEO of TAT: \"We are pleased to have won this contract. The contract is a significant milestone in realizing the strategic value of the contracts signed with Honeywell over the past 18 months and a testimony to TAT's ability to serve large fleets. This contract is another proof of the trust key players in the industry has in TAT's abilities. This additional business will improve the profitability and operating efficiency of our subsidiary Piedmont and will contribute to improving TAT 's group consolidated results for the years to come\".\nAbout TAT Technologies LTD\nTAT Technologies Ltd. is a leading provider of services and products to the commercial and military aerospace and ground defense industries. TAT operates under four segments: (i) Original equipment manufacturing (\"OEM\") of heat transfer solutions and aviation accessories through its Gedera facility; (ii) MRO services for heat transfer components and OEM of heat transfer solutions through its Limco subsidiary; (iii) MRO services for aviation components through its Piedmont subsidiary; and (iv) Overhaul and coating of jet engine components through its Turbochrome subsidiary. TAT controlling shareholders is the FIMI Private E...