SOURCE: Air Industries Group
BAYSHORE, NY--(Marketwire - Jun 22, 2012) - Air Industries Group (PINKSHEETS: AIRI) today announced the closing of its previously announced acquisition of the assets and business of Nassau Tool Works of West Babylon, New York for cash of approximately $11.6 million before purchase price adjustments. The Company funded the purchase with proceeds from a private placement of common shares and with borrowings under its revolving and term loan credit facilities.
Nassau Tool Works (NTW) is a long established and well respected Long Island based manufacturer of aerospace components whose customers include major aircraft manufacturers and the United States Government. Nassau Tool's primary business is the fabrication of parts, sub-assemblies and complete landing gear systems for military fighter aircraft, principally the F-16 and F-18 fighter aircraft for the US Air Force and Navy. Nassau Tool Works was solidly profitable for the year ended December 31, 2011, with pre-tax earnings in excess of $4.0 million on revenues of approximately $16 million. For the trailing twelve months ended May 31, 2012, NTW had revenues of more than $14 million.
Mr. Peter Rettaliata, Chief Executive Officer of Air Industries Group, commented: "Nassau Tool Works is both highly complementary to our product line and customer base and highly accretive to our earnings. With Nassau Tool Works our Company has a far deeper penetration in the landing gear business, selling both directly to the US Navy & Air Force and through Prime Contractors.
"The acquisition of Nassau Tool significantly increases our revenue. For the trailing twelve months ended May 31, 2012, on a pro-forma basis, revenue would have been nearly $71 million and an increase of more than 25% due to the addition of Nassau Tool Works."
Mr. Rettaliata concluded: "In closing I would like to thank all who worked on completing the transaction and welcome the principals and all employees of Nassau Tool Works to Air Industries Group."
ABOUT AIR INDUSTRIES GROUP, INC.
Air Industries Group, Inc. (PINKSHEETS: AIRI) is an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors. Air Industries designs and manufactures flight critical products including flight safety parts, landing gear and components, arresting gear, flight controls, sheet metal fabrications and ground support equipment.
Certain matters discussed in this press release are 'forward-looking statements' intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company's statements regarding trends in the marketplace, the ability to realize firm backlog and projected backlog, potential future results and acquisitions, are examples of such forward-looking statements. The forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, the timing of projects due to variability in size, scope and duration, the inherent discrepancy in actual results from estimates, projections and forecasts made by management regulatory delays, changes in government funding and budgets, and other factors, including general economic conditions, not within the Company's control The factors discussed herein and expressed from time to time in the Company's filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.