Astronics Corporation (Nasdaq: ATRO), a leading provider of advanced technologies for global aerospace, defense and other mission critical industries, announced today that its wholly owned subsidiary Astronics Test Systems (ATS) has been awarded an approximately $30 million contract to develop and supply consolidated test systems to railway rolling stock manufacturer Stadler US Inc. Stadler US is a wholly owned subsidiary of Stadler Rail AG (SWX: SRAIL), an international designer and manufacturer of a comprehensive range of trains. Astronics will work collaboratively with Stadler and its major systems suppliers to design and deploy automatic testers and diagnostics that ensure passenger safety by verifying that critical railcar systems remain in a state of good repair.
ATS will supply post-delivery maintenance support equipment for new generation metro cars delivered by Stadler to the Metro Atlanta Rapid Transit Authority (MARTA). The cars are scheduled to be delivered to MARTA revenue service starting in 2024. This program is expected to generate revenue to Astronics for four years beginning in the last quarter of 2020.
"We are proud to partner with Stadler and MARTA to provide consolidated test solutions to another top municipality. This is an important win for the ATS transit team which continues to advance test system modernization and enhance safety by introducing the benefits of standard consolidated support solutions," commented Peter J. Gundermann, Chairman, President and CEO. In addition to Atlanta, ATS had previously announced its test solutions were selected for the New York City subway system upgrade program.
He added, "The Atlanta program is a logical application of our skills and capabilities, leveraging our consolidated test experience for the benefit of rail car OEMs and transit authorities. We look forward to making the program successful for Stadler and MARTA."
About Astronics Corporation
Astronics Corporation (Nasdaq: ATRO) serves the world’s aerospace, defense and other mission critical industries with proven, innovative technology solutions. Astronics works side-by-side with customers, integrating its array of power, connectivity, lighting, structures, interiors and test technologies to solve complex challenges. For over 50 years, Astronics has delivered creative, customer-focused solutions with exceptional responsiveness. Today, global airframe manufacturers, airlines, militaries, completion centers and Fortune 500 companies rely on the collaborative spirit and innovation of Astronics.
For more information on Astronics and its solutions, visit Astronics.com.
SAFE HARBOR STATEMENT
This news release contains forward-looking statements as defined by the Securities Exchange Act of 1934. One can identify these forward-looking statements by the use of the words "expect," "anticipate," "plan," "may," "will," "estimate" or other similar expressions. Because such statements apply to future events, they are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated by the statements. Important factors that could cause actual results to differ materially from what may be stated here include the timing and total value of the sale of the transportation test solutions, the impact of the COVID-19 pandemic on the business, the state of the aerospace, defense, and other critical industries, the market acceptance of newly developed products, internal production capabilities, the timing of orders received, the status of customer certification processes and delivery schedules, the demand for and market acceptance of new or existing aircraft which contain the Company’s products, the need for new and advanced test and simulation equipment, customer preferences and other factors which are described in filings by Astronics with the Securities and Exchange Commission. The Company assumes no obligation to update forward-looking information in this news release whether to reflect changed assumptions, the occurrence of unanticipated events or changes in future operating results, financial conditions or prospects, or otherwise.
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David C. Burney, Chief Financial Officer
Phone: (716) 805-1599, ext. 159
Deborah K. Pawlowski, Kei Advisors LLC
Phone: (716) 843-3908