HEICO Corporation Acquires Niche Aircraft Component Repair Company
Miami, FL and BROKEN ARROW, Okla., Aug. 2, 2012 (GLOBE NEWSWIRE) -- HEICO Corporation (HEI) (NYSE:HEI) today announced that its Flight Support Group has acquired 84% of the assets and certain liabilities of CSI Aerospace, Inc. Financial terms were not disclosed, but HEICO stated that it expects the acquisition to be accretive to its earnings within the first year after the closing.
CSI, which is located in Broken Arrow, OK (near Tulsa), is a leading repair and overhaul provider of specialized components for airlines, military and other aerospace related organizations. Among CSI's niche, proprietary repair and overhaul processes are those related to Pitot, Total Air Temperature and Engine Inlet Temperature Sensors. CSI will augment the already extensive offering of HEICO's aircraft Component Repair Group.
Members of CSI's founding Feeley family will continue to own 16% of CSI and continue to lead the operations. HEICO also stated that it does not expect any employee turnover to result from the acquisition.
Laurans A. Mendelson, HEICO's Chairman and Chief Executive Officer and Eric A. Mendelson, HEICO's Co-President and CEO of HEICO's Flight Support Group, commented, "CSI's proprietary repair processes offer aircraft operators niche repairs which provide a unique value. This is consistent with HEICO's strategy of offering our customers advanced and cost-saving aircraft maintenance alternatives. We are also very pleased to have the very experienced CSI team join the HEICO team."
Ron Feeley stated, "We believe HEICO is an ideal home for CSI and its employees and we feel that HEICO's commitment to growth, quality and creativity are a perfect fit with our company. We are excited to join the HEICO family and look forward to a long partnership together."
HEICO Corporation is engaged primarily in certain niche segments of the aviation, defense, space, medical, telecommunications and electronics industries through its Hollywood, Florida-based Flight Support Group and its Miami, Florida-based Electronic Technologies Group. HEICO's customers include a majority of the world's airlines and overhaul shops as well as numerous defense and space contractors and military agencies worldwide in addition to medical, telecommunications and electronics equipment manufacturers. For more information about HEICO, please visit our web site at http://www.heico.com .
Certain statements in this press release constitute forward-looking statements, which are subject to risks, uncertainties and contingencies. HEICO's actual results may differ materially from those expressed in or implied by those forward-looking statements as a result of factors including, but not limited to: lower demand for commercial air travel or airline fleet changes, which could cause lower demand for our goods and services; product specification costs and requirements, which could cause an increase to our costs to complete contracts; governmental and regulatory demands, export policies and restrictions, reductions in defense, space or homeland security spending by U.S. and/or foreign customers or competition from existing and new competitors, which could reduce our sales; HEICO's ability to introduce new products and product pricing levels, which could reduce our sales or sales growth; and HEICO's ability to make acquisitions and achieve operating synergies from acquired businesses, customer credit risk, interest and income tax rates and economic conditions within and outside of the aviation, defense, space, medical, telecommunications and electronics industries, which could negatively impact our costs and revenues. Parties receiving this material are encouraged to review all of HEICO's filings with the Securities and Exchange Commission, including, but not limited to filings on Form 10-K, Form 10-Q and Form 8-K. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except to the extent required by applicable law.
CONTACT: Thomas S. Irwin (954) 987-4000 ext. 7560 Victor H. Mendelson (305) 374-1745 ext. 7590Source: HEICO Corporation 2012 GlobeNewswire, Inc.