WAYNE, Pa.--(BUSINESS WIRE)--Nov. 25, 2002--Triumph Group, Inc.
(NYSE:TGI) announced today the signing of an agreement to purchase the
assets of The Boeing Company's Spokane Fabrication Operation, located
in Spokane, Washington.
The agreement is subject to the successful negotiation and
ratification of new collective bargaining agreements. The acquired
business is projected to add approximately $60 million of revenue for
fiscal 2003 and be accretive to earnings.
About 400 employees currently work at the Spokane plant. Built in
1990, the Spokane facility is dedicated to the production of aircraft
parts made of composite and thermoplastic materials. Primary products
include floor panels, air control system ducts and non-structural
composite flight deck components.
As part of the transaction, Triumph and Boeing will enter into an
eight-year single source supply agreement for the products currently
produced by the Spokane facility.
Richard C. Ill, President and Chief Executive Officer of Triumph
Group, Inc. said, "We are pleased to have been selected to acquire
Boeing's Spokane Fabrication Operation. The Spokane operation meshes
extremely well with our strategy to increase the value added products
and services provided to our customers. Spokane's experience in
providing fully kitted assemblies directly to the factory floor at
Boeing will be expanded to other products produced by Triumph and
delivered to Boeing. Given the high quality of Spokane's products, we
intend to expand sales beyond Boeing to other aircraft manufacturers
and to pursue the aftermarket sale of floor panels to operators of
Boeing aircraft worldwide. Spokane is a world class manufacturing
operation with a culture that embraces lean systems. We plan to
establish Spokane as Triumph's lean systems learning center, which
should benefit all Triumph operations."
While part of Boeing, the Spokane facility reported to Mary
Armstrong, Vice President & General Manager of Boeing Commercial
Airplanes Aircraft Systems & Interiors. With respect to the
transaction, Ms. Armstrong stated, "We are pleased to announce a
solution that enables the Spokane facility to continue to operate in
Eastern Washington. Triumph is a valued supplier with a long, positive
history with Boeing so we are confident that Triumph will be a good
employer and a strong leader in the Spokane community."
Triumph Group, Inc. headquartered in Wayne, Pennsylvania, designs,
engineers, manufactures, repairs and overhauls aircraft components and
industrial gas turbine components and accessories.
The Company serves a broad, worldwide spectrum of the aviation
industry, including commercial airlines and air cargo carriers, as
well as original equipment manufacturers of aircraft and aircraft
components and power generation equipment. The Company also
distributes, processes and fabricates metal products.
More information about Triumph can be found on the World Wide Web
Site at http://www.triumphgroup.com.
Statements which are not historical facts, including statements
regarding the effect of this acquisition on the Company's sales growth
in the aircraft manufacturing industry and aftermarket and its ability
to successfully take advantage of new manufacturing systems, contained
in this release are forward-looking statements under the provision of
the Private Securities Litigation Reform Act of 1995.
All forward-looking statements involve risks and uncertainties
including statements regarding the outlook for continued opportunities
for future growth. The company wishes to caution readers that several
important factors could affect the company's actual results and could
cause its actual results to differ materially from those expressed in
any forward looking statements made by, or on behalf of, the company.
Further information regarding the important factors that could
cause actual results to differ from projected results can be found in
Triumph's reports filed with the SEC, including our Form 10-K for the
year ended March 31, 2002.
||Triumph Group, Inc.
||John Bartholdson, 610/251-1000