This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
$1 buys you full access to ALL of TheStreet's Subscription Services! Learn More

CPI Aero Awarded Seven Year Contract By Cessna For The New Citation X Wing Spar Assemblies

Stocks in this article: CVU

CPI Aerostructures, Inc. (CPI Aero ®) (NYSE MKT: CVU) announced today that it has been awarded a contract by Cessna Aircraft Company (“Cessna”), a subsidiary of Textron Inc. (NYSE: TXT), to supply structural assemblies, predominately wing spars, for Cessna’s flagship aircraft, the newly-relaunched Cessna Citation X. CPI Aero estimates the value of the contract, over a seven year period, to be approximately $41 million. The intial delivery order is for approximately $5 million.

CPI Aero will be manufacturing eleven different structural assemblies, including nine spar assemblies. A wing spar is the primary structural component running the length of the wing. The longest spar assembly for the new Citation X is more than 29 feet long. CPI Aero will begin work immediately and will commence deliveries in the first half of 2013.

Originally introduced into service in 1996 as the Citation X, the new Citation X was first announced at the National Business Aviation Association convention in 2010. The X prototype made its first flight in January of this year. Federal Aviation Administration type certification is anticipated in mid-2013 with first aircraft deliveries to customers planned for the second half of 2013. The new Citation X features the same supercritical wing as the Citation X, which together with its high bypass ratio Rolls Royce engines establishes the new Citation X as the fastest operational civilian jet in the world.

Edward J. Fred, CPI Aero’s CEO & President stated “We are very proud that Cessna, the world’s leading manufacturer of General Aviation aircraft, has selected CPI Aero to provide critical assemblies for its new Citation X program. We have been a supplier to Textron Inc. through its Bell Helicopter subsidiary; however, this is our first contract from Cessna and we are excited to build upon our successes at Bell. Cessna becomes the third new commercial aerospace customer announced in the past eighteen months and justifies our strategy to target opportunities on long-lived civilian aircraft programs.”

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,830.36 +20.30 0.11%
S&P 500 2,066.96 +3.46 0.17%
NASDAQ 4,735.04 +22.07 0.47%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs