AeroMechanical Services Ltd.
TSX-V Trading Symbol "AMA"
A Tier 2 Industrial Issuer
CALGARY
,
April 6
/CNW/ - AeroMechanical Services Ltd. ("AMA") is pleased to announce that we have received a contract from a
Middle East
airline for afirs(TM) UpTime(TM), as well as our new fuel management products and services, Fuel Initiative Reporting System Tracker ("FIRST") and Fuel Management Information ("Fuel MI").
The terms of the contract are as follows: the contract is for an initial 5-year term whereby AMA will provide AMA's patented afirs(TM) UpTime(TM) and FIRST solution on a fleet of 9 Boeing 767, 737, and Airbus A320 aircraft (with the possibility to increase the order as the size of the carrier's fleet of aircraft increases). AMA will also provide its web based fuel management tools, FIRST and Fuel MI. If AMA is able to install on the all contracted aircraft and provide recurring service for the full term of the agreement, the gross revenues to AMA under this agreement would be approximately USD$2,620,000.
Richard Hayden
, President of AMA, stated, "We are pleased to extend our presence in this important region and we are especially pleased that this valued customer has chosen to utilize our new fuel management tools to reduce fuel consumption and emissions."
This disclosure as it relates to this agreement is subject to the following disclaimer:
When a contract is initially signed, the intended number of aircraft, pricing and potential installation schedules is agreed to by the parties. The actual installation schedules as well as the number and types of aircraft are often revised throughout the term of the agreement as the airline realigns its fleet of aircraft with its business requirements. Delays in installations can and do occur which can affect the total value of the contracts such that the revenues noted above may not be fully achieved. Fulfillment of the contract terms may also be affected if there are any changes to government statutes, regulations or rules of the applicable governing bodies. The contract terms and values disclosed herein are based on the original information available to AMA upon execution of the contract and are subject to change. For the actual revenue earned, please see AMA's financial statements including its revenue recognition policy disclosed within the notes to the Audited Annual Financial Statements.
