In the quarter, the Company announced the signing of a Memorandum of Understanding (MOU) for a new Chinese joint venture with Wiscom Systems, Ltd of Nanjing, China. The proposed joint venture will focus on leveraging AETI's utility-scale solar inverter and wind converter technologies to create power conversion products specifically for the Chinese renewable energy market. Based in Nanjing, the joint venture will manufacture, market and sell the products to Chinese utilities expanding their renewable generating capacity.
- During the quarter ended September 30, 2010, the Company recorded equity income from joint venture investments of $0.5 million. The Company anticipates an increase in Chinese drilling projects which is expected to improve equity income in the remaining part of 2010.
- The Company's Brazilian joint venture, AETI Alliance Group Brazil (AAG), exhibited at the Rio Oil & Gas Show in September a drilling rig Variable Frequency Drive manufactured at our AAG manufacturing plant in Macae, Brazil. AAG also has booked orders with customers including Noble, Etesco, Dolphing, and Pride.
- The Company's cash position as of September 30, 2010 was $1.5 million and long-term debt position of $3.3 million as of September 30, 2010, which is essentially unchanged from the prior quarter.
Detailed information on the financial results for the quarter and nine months ended September 30, 2010 is included in the Company's Quarterly Report on Form 10-Q which will be filed with the Securities and Exchange Commission on or before November 15, 2010.
AETI will conduct a conference call at 3:00pm CST on November 11, 2010, to discuss the results with analysts, investors and other interested parties. Individuals wishing to participate in the conference call should dial 1-888-732-6202, confirmation code 217150, in the United States or 1-719-457-1017, confirmation code 217150, from outside the United States.American Electric Technologies, Inc. (Nasdaq:AETI) is the premium supplier of custom-designed power delivery solutions to the traditional and renewable energy industries. AETI offers M&I Electric ™ power distribution and control products, electrical services, and E&I Construction services, as well as American Access Technologies zone enclosures, and Omega Metals custom fabrication services. South Coast Electric Systems L.L.C., a subsidiary, services Gulf Coast marine and vessel customers. AETI is headquartered in Houston and has global sales, support and manufacturing operations in Beaumont, Texas, Keystone Heights, Fla. and Bay St. Louis, Miss. In addition, AETI has minority interests in three joint ventures, which have facilities located in Xian, China, Singapore and Jakarta, Indonesia and Macae, Brazil. AETI's SEC filings, news and product/service information are available at www.aeti.com. Forward Looking Statements