Message #3 From:
TheMachine Date: June 23, 2009 09:47:52 PM
AAII Stock News : Alabama Aircraft Industries, Inc. Reports First Quarter 2009 Financial Results
Alabama Aircraft Industries, Inc. (Pink Sheets: AAII), a leading
provider of aircraft maintenance and modification services to military
customers, today announced the operating results of its first quarter
ended March 31, 2009. Net income for the first quarter of 2009 was $0.6
million ($0.15 per share) compared to net income for the first quarter
of 2008 of $0.8 million ($0.20 per share). Revenue from continuing
operations for the first quarter of 2009 was $15.7 million versus
revenue of $19.6 million in the first quarter of 2008, a decrease of
19.9%. Income from continuing operations for the first quarter of 2009
was $0.8 million compared to income from continuing operations of $1.3
million for the first quarter of 2008.
Ronald Aramini, Alabama Aircraft’s President and Chief Executive
Officer, stated, “We are pleased to report net income for the first
quarter of 2009. Revenue decreased in the first quarter of 2009 versus
the first quarter of 2008 due to the low volume of aircraft inductions
during the second quarter of 2008. Since the second quarter of 2008,
inductions of KC-135 aircraft have been consistent and inductions of P-3
and C-130 aircraft have increased strengthening the Company’s backlog.
We delivered one P-3 aircraft in April ahead of schedule and we expect
the induction of additional P-3 aircraft in the second and third
quarters of 2009. The Company has been awarded new U.S. Government
contracts in 2009 and expects further contract awards later during the
year. The additional volume of aircraft and our focus on improved
execution of our contracts enabled us to produce positive EBITDA in the
first quarter of 2009.”
Mr. Aramini further stated, “As previously reported we are extremely
pleased with the jury’s verdict in our case against General Electric
Capital Aviation Services (“GECAS”) which awarded AAII compensatory
damages and punitive damages: in an aggregate amount of approximately
$8.5 million before interest. As a result of the jury verdict, we
reversed an allowance for doubtful accounts of $1.4 million in the first
quarter of 2009. There have been no recent developments in the KC-135
re-competition. We continue to believe that the appeal of the Court of
Federal Claims (the “Court”) ruling by the U.S. Air Force and Boeing
will be resolved in late 2009 or early 2010. We firmly believe the
Court’s ruling was correct and that the ruling will not be overturned.”
