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News Release
Triumph Group Reports Third Quarter Fiscal 2006 Results

WAYNE, Pa.--(BUSINESS WIRE)--Jan. 27, 2006--Triumph Group, Inc. (NYSE:TGI):

  • Net sales for third quarter fiscal 2006 increased 9% to $187.2 million

  • Operating income in the third quarter fiscal 2006 increased 50% to $13.2 million

  • Income from continuing operations for the third quarter fiscal 2006 increased 137% to $9.3 million

  • Backlog increased 48% over prior year to $838.8 million

Triumph Group, Inc. (NYSE:TGI) today reported that net sales from continuing operations for the third quarter of the fiscal year ending March 31, 2006 totaled $187.2 million, a nine percent increase from last year's third quarter net sales from continuing operations of $171.3 million. Income from continuing operations for the third quarter of fiscal 2006 increased 137 percent to $9.3 million, or $0.58 per diluted common share, versus $3.9 million, or $0.25 per diluted common share for the third quarter of the prior year. During the quarter, the company generated $19.2 million of cash flow from operations. Also, during the quarter, the company adjusted its effective income tax rate at which reversals of temporary differences will be taxed. The adjustment resulted in a reduction of income tax expense in the quarter of $2.0 million.

Net sales from continuing operations for the first nine months of fiscal 2006 were $548.6 million, an eight percent increase over net sales of $506.6 million last year. Income from continuing operations for the first nine months of fiscal 2006 increased 115 percent to $23.6 million, or $1.47 per diluted common share, compared to income from continuing operations of $10.9 million, or $0.69 per diluted common share in the prior year period. During the nine months ended December 31, 2005, the company generated $26.3 million of cash flow from operations.

The Aerospace Systems segment reported net sales for the quarter of $141.6 million, compared to $121.2 million in the prior year period, an increase of seventeen percent. Operating income for the third quarter of fiscal 2006 was $17.5 million, compared to $13.5 million for the prior year period, a twenty-nine percent increase. The Aerospace Systems segment increased sales and operating income despite the delay in full production at Boeing Commercial Aircraft division until December.

The Aftermarket Services segment reported net sales for the quarter of $46.1 million, compared to $44.9 million in the prior year period, a three percent increase. Operating income for the third quarter of fiscal 2006 was a loss of $0.1 million, compared to earnings of $2.6 million for the prior year period. Solid performance by the core maintenance, repair and overhaul operations was offset by costs associated with new aerospace programs in the castings and manufacturing operations of the Aftermarket Services segment.

Richard C. Ill, Triumph's President and Chief Executive Officer, said, "We are pleased to report higher sales and net earnings for the third quarter and the first nine months of fiscal 2006. During the quarter, we delivered organic sales growth, increased backlog, and continued strength in cash flow performance. That said, results in our Aftermarket Services segment continue to be negatively impacted as we focus on strategically altering the product mix of the castings and manufacturing operations in this segment. However, we remain confident with the performance of our businesses and satisfied that the actions taken will improve profitability and position us for continued future growth."

Commenting on the outlook for the year, Mr. Ill stated, "Based upon the strength of our operations and current market conditions, we continue to expect that fiscal 2006 earnings per share will be in the range of $1.75 to $2.00."

As previously announced, Triumph will hold a conference call today at 8:30 a.m. (EST) to discuss the fiscal 2006 third quarter results. The conference call will be available live and archived on the company's website at http://www.triumphgroup.com An audio replay will be available from January 27th until February 3rd by calling (888) 266-2081 (Domestic) or (703) 925-2533 (International), passcode #839492.

Triumph Group, Inc., headquartered in Wayne, Pennsylvania, designs, engineers, manufactures, repairs and overhauls aircraft components and accessories. The company serves a broad, worldwide spectrum of the aviation industry, including commercial and regional airlines, air cargo carriers, as well as original equipment manufacturers of commercial, regional, business and military aircraft and aircraft components.

More information about Triumph can be found on the Internet at http://www.triumphgroup.com.

Statements in this release which are not historical facts are forward-looking statements under the provisions of the Private Securities Litigation Reform Act of 1995, including expectations of future performance, profitability, growth and earnings. All forward-looking statements involve risks and uncertainties which 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 Annual Report on Form 10-K for the year ended March 31, 2005.


                     FINANCIAL DATA  (UNAUDITED)

                 TRIUMPH GROUP, INC. AND SUBSIDIARIES
                (in thousands, except per share data)


                               Three Months Ended   Nine Months Ended
                                  December 31,        December 31,
                               ------------------- -------------------

CONDENSED STATEMENTS OF INCOME   2005      2004      2005      2004
                               --------- --------- --------- ---------


Net Sales                      $187,221  $171,278  $548,551  $506,611

Operating Income                 13,203     8,814    40,150    25,141

Interest Expense and Other        3,086     3,189     9,445     9,656
Income Tax Expense                  770     1,686     7,145     4,546
                               --------- --------- --------- ---------

Income from Continuing
 Operations                       9,347     3,939    23,560    10,939
Income (Loss) from
 Discontinued Operations              0    (6,080)        0    (4,549)
                               --------- --------- --------- ---------

Net Income (Loss)                $9,347   ($2,141)  $23,560    $6,390
                               ========= ========= ========= =========

Earnings Per Share - Basic:

Income from Continuing
 Operations                       $0.59     $0.25     $1.48     $0.69
Income (Loss) from
 Discontinued Operations          $0.00    ($0.38)    $0.00    ($0.29)
                               --------- --------- --------- ---------
Net Income (Loss)                 $0.59    ($0.13)    $1.48     $0.40
                               ========= ========= ========= =========

Weighted average common shares
 outstanding - Basic             15,912    15,881    15,909    15,870
                               ========= ========= ========= =========

Earnings Per Share - Diluted:

Income from Continuing
 Operations                       $0.58     $0.25     $1.47     $0.69
Income (Loss) from
 Discontinued Operations          $0.00    ($0.38)    $0.00    ($0.29)
                               --------- --------- --------- ---------
Net Income (Loss)                 $0.58    ($0.13)    $1.47     $0.40
                               ========= ========= ========= =========

Weighted average common shares
 outstanding - Diluted           16,052    15,994    16,038    15,957
                               ========= ========= ========= =========




                      FINANCIAL DATA (UNAUDITED)

                 TRIUMPH GROUP, INC. AND SUBSIDIARIES
            (dollars in thousands, except per share data)

BALANCE SHEET
                                             December 31,  March 31,
                                                2005         2005
                                             ------------ ------------
                                Assets
   Cash                                           $4,578       $4,844
   Accounts Receivable, net                      121,205      127,942
   Inventory                                     234,924      217,234
   Deferred Income Taxes                           5,422        5,422
   Prepaid Expenses and Other                      4,521        3,887
                                             ------------ ------------
       Current Assets                            370,650      359,329

   Property and Equipment, net                   232,328      234,123
   Goodwill                                      273,155      273,476
   Intangible Assets, net                         50,827       56,227
   Other                                          15,244       14,560
                                             ------------ ------------

   Total Assets                                 $942,204     $937,715
                                             ============ ============

                  Liabilities & Stockholders' Equity

   Accounts Payable                              $59,214      $65,211
   Accrued Expenses                               63,872       75,598
   Income Taxes Payable                            2,763        2,922
   Current Portion of Long-Term Debt               8,081        1,740
                                             ------------ ------------
       Current Liabilities                       133,930      145,471

   Long-Term Debt, less current portion          154,320      156,042
   Deferred Income Taxes and Other               104,109      109,539

   Stockholders' Equity:
       Common Stock, $.001 par value,
       50,000,000 shares authorized,
       16,027,324 shares issued                       16           16
   Capital in excess of par value                259,805      259,448
   Treasury Stock, at cost, 114,177 and
    123,160 shares                                (2,834)      (3,057)
   Accumulated other comprehensive (loss)
    income                                          (652)         306
   Retained earnings                             293,510      269,950
                                             ------------ ------------
       Total Stockholders' Equity                549,845      526,663
                                             ------------ ------------

   Total Liabilities and Stockholders'
    Equity                                      $942,204     $937,715
                                             ============ ============




                      FINANCIAL DATA (UNAUDITED)

                 TRIUMPH GROUP, INC. AND SUBSIDIARIES
                        (dollars in thousands)



SEGMENT DATA               Three Months Ended      Nine Months Ended
                              December 31,           December 31,
                          ---------------------  ---------------------

                             2005       2004        2005       2004
                          ---------- ----------  ---------- ----------

Net Sales:
     Aerospace Systems     $141,606   $121,185    $416,130   $362,691
     Aftermarket Services    46,136     44,892     134,335    127,054
     Other                        0      6,394           0     21,591
     Elimination of
      inter-segment sales      (521)    (1,193)     (1,914)    (4,725)
                          ---------- ----------  ---------- ----------
                           $187,221   $171,278    $548,551   $506,611
                          ========== ==========  ========== ==========

Operating Income (Loss):
     Aerospace Systems      $17,505    $13,533     $50,947    $39,442
     Aftermarket Services      (127)     2,572           0      6,133
     Other                        0     (3,856)          0    (10,789)
     Corporate               (4,175)    (3,435)    (10,797)    (9,645)
                          ---------- ----------  ---------- ----------
                            $13,203     $8,814     $40,150    $25,141
                          ========== ==========  ========== ==========
Depreciation and
 Amortization:
     Aerospace Systems       $5,607     $4,892     $16,621    $14,229
     Aftermarket Services     2,482      2,131       7,317      6,294
     Other                        0        474           0      1,979
     Corporate                   41         33         105        108
                          ---------- ----------  ---------- ----------
                             $8,130     $7,530     $24,043    $22,610
                          ========== ==========  ========== ==========

Capital Expenditures:
     Aerospace Systems       $3,337     $2,083      $8,491     $9,957
     Aftermarket Services     3,210      1,654       8,496      3,550
     Other                        0        112           0        136
     Corporate                  268         22         301         56
                          ---------- ----------  ---------- ----------
                             $6,815     $3,871     $17,288    $13,699
                          ========== ==========  ========== ==========




                     FINANCIAL DATA  (UNAUDITED)

                 TRIUMPH GROUP, INC. AND SUBSIDIARIES
                        (dollars in thousands)

Non-GAAP Financial Measure Disclosures


Earnings before Interest, Taxes, Depreciation and Amortization
 ("EBITDA") for the three months ended December 31, 2005 was $21.3
 million with a margin of 11.4%.  EBITDA for the three months ended
 December 31, 2004 was $16.3 million with a margin of 9.5%.  EBITDA
 for the nine months ended December 31, 2005 was $64.2 million with a
 margin of 11.7%. EBITDA for the nine months ended December 31, 2004
 was $47.8 million with a margin of 9.4%.

Management believes that EBITDA provides the reader a good measure of
 cash generated from the operations of the business before any
 investment in working capital or fixed assets.

The following definition is provided for the non-GAAP financial
 measure identified above, together with a reconciliation of such non-
 GAAP financial measure to the most directly comparable financial
 measure calculated and presented in accordance with GAAP.

                             Three Months Ended    Nine Months Ended
                                December 31,          December 31,
                             -------------------  --------------------
                               2005      2004       2005       2004
                             --------- ---------  --------- ----------
Earnings before Interest,
 Taxes, Depreciation and
 Amortization (EBITDA):

     Income from Continuing
      Operations               $9,347    $3,939    $23,560    $10,939

     Add-back:
          Income Tax Expense      770     1,686      7,145      4,546
          Interest Expense
           and Other            3,086     3,189      9,445      9,656
          Depreciation and
           Amortization         8,130     7,530     24,043     22,610
                             --------- ---------  --------- ----------

     Earnings before
      Interest, Taxes,
      Depreciation and
      Amortization
      ("EBITDA")              $21,333   $16,344    $64,193    $47,751
                             --------- ---------  --------- ----------

     Net Sales               $187,221  $171,278   $548,551   $506,611
                             --------- ---------  --------- ----------

     EBITDA Margin               11.4%      9.5%      11.7%       9.4%
                             ========= =========  ========= ==========




                     FINANCIAL DATA  (UNAUDITED)

                 TRIUMPH GROUP, INC. AND SUBSIDIARIES
                        (dollars in thousands)

Non-GAAP Financial Measure Disclosures (continued)

                             Three Months Ended December 31, 2005
                         ---------------------------------------------
    Earnings before
    Interest, Taxes,
    Depreciation and
 Amortization (EBITDA):
                           Total              Segment Data
                         --------- -----------------------------------
     Income from
      Continuing
      Operations           $9,347

     Add-back:
        Income Tax
         Expense              770
        Interest Expense           Aerospace Aftermarket Corporate /
         and Other          3,086   Systems    Services   Eliminations
                         --------- --------- ----------- -------------

     Operating Income
      (Expense)           $13,203   $17,505       ($127)      ($4,175)

        Depreciation and
         Amortization       8,130     5,607       2,482            41
                         --------- --------- ----------- -------------

     Earnings (Losses)
      before Interest,
      Taxes,
      Depreciation and
      Amortization
      ("EBITDA")          $21,333   $23,112      $2,355       ($4,134)
                         ========= ========= =========== =============

     Net Sales           $187,221  $141,606     $46,136         ($521)
                         ========= ========= =========== =============

     EBITDA Margin           11.4%     16.3%        5.1%          n/a
                         ========= ========= =========== =============


                              Nine Months Ended December 31, 2005
                         ---------------------------------------------
    Earnings before
    Interest, Taxes,
    Depreciation and
 Amortization (EBITDA):
                           Total              Segment Data
                         --------- -----------------------------------

     Income from
      Continuing
      Operations          $23,560

     Add-back:
        Income Tax
         Expense            7,145
        Interest Expense           Aerospace Aftermarket Corporate /
         and Other          9,445   Systems    Services   Eliminations
                         --------- --------- ----------- -------------

     Operating Income
      (Expense)           $40,150   $50,947          $0      ($10,797)

        Depreciation and
         Amortization      24,043    16,621       7,317           105
                         --------- --------- ----------- -------------

     Earnings (Losses)
      before Interest,
      Taxes,
      Depreciation and
      Amortization
      ("EBITDA")          $64,193   $67,568      $7,317      ($10,692)
                         ========= ========= =========== =============

     Net Sales           $548,551  $416,130    $134,335       ($1,914)
                         ========= ========= =========== =============

     EBITDA Margin           11.7%     16.2%        5.4%          n/a
                         ========= ========= =========== =============




                     FINANCIAL DATA  (UNAUDITED)

                TRIUMPH GROUP, INC. AND SUBSIDIARIES
                       (dollars in thousands)

Non-GAAP Financial Measure Disclosures (continued)


Net Debt to Capital:                              Dec-05     Mar-05
                                                ---------- ----------

        Calculation of Net Debt
        ---------------------------------------
        Current Portion                            $8,081     $1,740
        Long term debt                            154,320    156,042
                                                ---------- ----------
        Total Debt                                162,401    157,782
        Less: Cash and cash equivalents             4,578      4,844
                                                ---------- ----------
        Net Debt                                  157,823    152,938

        Calculation of Capital
        ---------------------------------------
        Net Debt                                  157,823    152,938
        Stockholders' equity                      549,845    526,663
                                                ---------- ----------
        Total Capital                            $707,668   $679,601
                                                ========== ==========

        Percent of net debt to capital               22.3%      22.5%

CONTACT: Triumph Group, Inc., Wayne
John Bartholdson, 610-251-1000
jbartholdson@triumphgroup.com

SOURCE: Triumph Group, Inc.