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Air Industries Group Announces Financial Operating Results for 2016, Revenue for the First Quarter of 2017 and Full Year 2017 Revenue Guidance

April 18, 2017 – 4:30pm EST

Hauppauge, NY — (Globe Newswire) – April 18, 2017 – Air Industries Group (NYSE MKT: AIRI)

Air Industries Group (“Air Industries” or the “Company”), an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors, announced Financial Operating Results for the year ended December 31, 2016. Air Industries will file its Form 10-K for the year ended December 31, 2016, tomorrow, April 19, 2017.

While the Company experienced a dramatic increase in orders during 2016, revenue declined due to production inefficiencies. These production difficulties resulted in delays in introducing new products at some business units. At one of the Company’s business units, a delay in the delivery of one single order accounted for more than $3 million in missed revenues. The decline was also caused by liquidity constraints resulting in delays in receiving product from a small number of vendors. Air Industries backlog of past-due parts, product that is late in delivery to customers, significantly increased during 2016.

To address these issues the Company has changed senior executive management of the Company and operating management at all of our subsidiaries.

Air Industries’ funded 18-month backlog (Air Industries only includes firm orders in calculating backlog) increased significantly by $18 million to a total of $90 million at December 31, 2016.  The Company’s funded 18-month backlog of new orders increased further by $8 million to a total of approximately $98 million in the first quarter of 2017. The Company is particularly pleased to have been awarded a new five (5) year contract with Sikorsky Aircraft, one of its largest and oldest customers. The Company is also encouraged by the fact that its Sterling Engineering subsidiary which struggled during 2016, has received several million dollars of orders for new products, and has recently received orders for several legacy products that were missing in 2016. The Company also anticipates the return of a significant contract from Raytheon which is ordered in alternate years.

Revenue for the year was $66.9 million, a decline of approximately ($13.5) million or (17%) from approximately $80.4 million in the prior year. Net loss before tax was ($13.5) million, an increase of approximately ($12.4) million from a loss of approximately ($1.1) million in the prior year.

Approximately $10.6 million of the increase in the loss resulted from a decline in gross profit. The decline in gross margin results from the under-absorption of factory overhead cost which is a direct result of the decline in revenue. The balance of the increase in the loss reflects the write-down of inventory for price decreases, slow-moving items and other adjustments.

For the first quarter of 2017, excluding our AMK subsidiary which was sold in January 2017, revenue from continuing operations was $16.4 million, an increase of $2.2 million or more than 17% over the prior year. Based upon orders in house and current production schedules, we anticipate revenues of $18, $19 and $20 million for the second, third and fourth quarters of 2017 respectively; with total annual revenue of approximately $73.5 million.

Mr. Peter Rettaliata, Chief Executive Officer of Air Industries commented: “Since returning as CEO in March, I have been working closely with Michael Brand who is serving as Acting Chief Operating Officer. We both have been intensely focused on increasing the velocity of production at all of our business units. Our goal is returning the Company to profitability. We are doing this by accelerating production, reducing our past-due backlog and decreasing our inventories. These efforts are just beginning to show some results. One example, at our Eur-Pac subsidiary – a large $3 million dollar project, delayed for nearly six-months – began to ship in late March. We are looking forward to additional successes and improvements across the Company in the coming months and throughout 2017.

We have also begun a cost-reduction program, where our initial focus is on reducing labor costs. This program began in March, and is showing excellent initial results. Since March 1st, our average payroll cost has decreased by approximately $150,000 per month.  We will be vigilant in continuing to control and reduce costs.”

Mr. Michael Taglich, Chairman of the Board of Air Industries commented: “We believe that our 2016 results were the nadir and reflect the cumulative effect of the sequestration cuts imposed on the military budget. It is our belief that the readiness crisis in the US Military with many combat aircraft grounded for lack of maintenance and replacement parts will inevitably lead to increases in government procurement. We expect that this will result in increased orders.

It is hard to overstate the effect of sequestration in recent years. It is important to remember that as recently as 2012 the combined revenue of the companies that now comprise Air Industries was in excess of $95 million.

We are encouraged by the year-over-year increase in revenue during the first quarter, and expect this trend to continue and hopefully accelerate during the coming quarters. It is our plan and our goal to have sequential quarter over quarter increases in revenue.

Air Industries has the full support of its Board of Directors. I would like to thank Pete Rettaliata and Mike Brand for their efforts on behalf of the Company. Air Industries also enjoys the support of Taglich Brothers and myself. I have invested several million dollars personally in Air Industries in recent months. ”

 

ABOUT AIR INDUSTRIES GROUP

Air Industries Group (AIRI) is an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors. Air Industries operates in three segments: Complex Machining of aircraft landing gear and flight controls, Aerostructures & Electronics, and Turbine & Engine products.

Certain matters discussed in this press release are ‘forward-looking statements’ intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company’s statements regarding trends in the marketplace, the ability to realize firm backlog and projected backlog, cost cutting measures, potential future results and acquisitions, are examples of such forward-looking statements. The forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, the timing of projects due to variability in size, scope and duration, the inherent discrepancy in actual results from estimates, projections and forecasts made by management, regulatory delays, changes in government funding and budgets, and other factors, including general economic conditions, not within the Company’s control. The factors discussed herein and expressed from time to time in the Company’s filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

Contact Information

Air Industries Group
631.881.4913
ir@airindustriesgroup.com

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Air Industries Group Announces Receipt of a Listing Deficiency Letter from NYSE MKT and Filing of Annual Report on Form 10-K

April 19, 2017 – 4:30pm EST

Hauppauge, NY — (Globe Newswire – April 19, 2017)

Air Industries Group (NYSE MKT: AIRI) – Air Industries Group (“Air Industries” or the “Company”), an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors, announced today that, on April 18, 2017, the Company received notice from the staff of NYSE MKT LLC (the “NYSE” or the “Exchange”) that it was not in compliance with Sections 134 and 1101 of the NYSE Company Guide, as a result of the Company’s inability to timely file its Annual Report on Form 10-K for the fiscal year ended December 31, 2016.  The letter also states that the Company’s failure to timely file such Annual Report on Form 10-K is a material violation of its listing agreement with the Exchange and, therefore, pursuant to Section 1003(d) of the Company Guide, the Exchange is authorized to suspend and, unless prompt corrective action is taken, remove the Company’s securities from the Exchange.

The Company filed the delinquent Annual Report on Form 10-K today

The Exchange has informed the Company that, in order to maintain its listing on the Exchange following the failure to timely file the Annual Report on Form 10-K, the Company must, by May 18, 2017, submit a plan of compliance (the “Plan”) addressing how it intends to regain compliance with Sections 134 and 1101 of the Company Guide by October 18, 2017 (the “Plan Period”).

If the Plan is accepted, the Company will be able to continue its listing during the Plan Period, during which time the Company will be subject to periodic review to determine whether it is making progress consistent with the Plan. The letter from the Exchange advised that if the Company is not in compliance with the continued listing standards of the Company Guide by October 18, 2017 with respect to the delayed Annual Report on Form 10-K, or if the Company does not make progress consistent with the Plan during the Plan Period, then the Exchange staff will initiate delisting proceedings as appropriate.

The Company believes that with the filing of the delinquent Annual Report on Form 10K it is in full compliance with the NYSE Company Guide.

 

ABOUT AIR INDUSTRIES GROUP

Air Industries Group (AIRI) is an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors. Air Industries operates in three segments: Complex Machining of aircraft landing gear and flight controls, Aerostructures & Electronics, and Turbine & Engine products.

Certain matters discussed in this press release are ‘forward-looking statements’ intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company’s statements regarding trends in the marketplace, the ability to realize firm backlog and projected backlog, cost cutting measures, potential future results and acquisitions, are examples of such forward-looking statements. The forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, the timing of projects due to variability in size, scope and duration, the inherent discrepancy in actual results from estimates, projections and forecasts made by management, regulatory delays, changes in government funding and budgets, and other factors, including general economic conditions, not within the Company’s control. The factors discussed herein and expressed from time to time in the Company’s filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

Contact Information

Air Industries Group
631.881.4913
ir@airindustriesgroup.com

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Air Industries Group sells AMK Technical Services subsidiary to Meyer Tool Inc. of Cincinnati Ohio, and announces sales results for 2016.

4:30 pm ET January 30, 2017 (Globe Newswire)

HAUPPAUGE, N.Y., Jan. 30, 2017 (GLOBE NEWSWIRE) — Air Industries Group (NYSE MKT:AIRI) (“Air Industries” or the “Company”), announces on January 27, 2017 that we sold our subsidiary AMK Technical Services to Meyer Tool of Cincinnati Ohio for a purchase price of $ 4,500,000, subject to a customary working capital adjustment, plus additional quarterly payments, not to exceed $ 1,500,000, equal to five percent (5%) of Net Revenues of AMK commencing April 1, 2017.  The purchase price is approximately equal to the purchase price of AMK when acquired in October 2014.

Proceeds of the sale will be used to reduce debt and enhance liquidity.

Separately Air Industries announced that revenue for the year ended December 31, 2016 will be approximately $ 66.8 million dollars, a decline of about $ 14 million dollars from the prior year.

Air Industries Group’s President and CEO, Dan Godin commented, “Earlier this year we announced that we were collaborating with Meyer Tool, co-locating AMK at their site in Poland and eventually in Greenville, South Carolina. As that collaboration developed Meyer Tool expressed an interest in acquiring AMK. While the operations and capabilities of AMK are complementary they are not identical to our core business of producing complex machined aerospace hardware. The divestment of AMK allows Air Industries to focus management and other resources on its core business. Meyer Tool will remain a customer of Air Industries and we hope and expect that our relationship with them will continue to grow in the future.

As we have previously announced, sales results for 2016 were disappointing and a significant decline from the prior year. This decline resulted largely from delays in developing new programs and products, plus a few operational execution issues in our largest sector. During the last half of 2016 we have made significant changes in management at several of our subsidiaries to address this and strengthen our New Product Introduction (NPI) process and Operational Excellence.

Against this disappointment I am pleased to announce that our new business development activities for 2016 were very encouraging with bookings of new business increasing by $ 9 million or 13% to approximately $ 80 million dollars. Our firm 18-month backlog also increased by more than $ 12 million or 16% and is now more than $ 90 million.”

ABOUT AIR INDUSTRIES GROUP

Air Industries Group (NYSE MKT:AIRI) is an integrated manufacturer of precision components and provider of supply chain services for the aerospace and defense industry. The Company has over 50 years of experience in the industry and has developed leading positions in several important markets that have significant barriers to entry. With embedded relationships with many leading aerospace and defense prime contractors, the Company designs and manufactures structural parts and assemblies that focus on flight safety, including landing gear, arresting gear, engine mounts and flight controls. Air Industries Group also provides sheet metal fabrication, tube bending, and welding services.

Certain matters discussed in this press release are ‘forward-looking statements’ intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company’s statements regarding trends in the marketplace, the ability to realize projected EBITDA, firm backlog and projected backlog, potential future results and acquisitions, are examples of such forward-looking statements. The forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, the ability to consummate contemplated acquisitions, the timing of projects due to variability in size, scope and duration, the inherent discrepancy in actual results from estimates, projections and forecasts made by management regulatory delays, changes in government funding and budgets, and other factors, including general economic conditions, not within the Company’s control. The factors discussed herein and expressed from time to time in the Company’s filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

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Air Industries Group (the “Company” or “Air Industries”) Announces Filing of Form 10-Q for the period ended September 30, 2016 and Conference Call:

Hauppauge, NY — (Marketwired – November 15, 2016 – Air Industries Group (NYSE MKT: AIRI))

Air Industries Group (NYSE MKT: AIRI), an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors, announced today that it has timely filed its Form 10-Q with the Securities and Exchange Commission.

The financial results of the third quarter are disappointing. Revenue for the quarter was approximately $ 15.7 million, approximately $ 5.4 million less than the third quarter of 2015. Revenues for July and August were very poor, but began to improve in September, and this improvement continued in October.

The decline in revenue results from production difficulties and not from any erosion in current orders or backlog. In part the Company’s production difficulties result directly from some dramatic increase in orders at some business units. At others it results from delays in introducing new products.

Mr. Daniel Godin, Chief Executive Officer of Air Industries Group commented: “We have responded to our difficulties in several ways. We have reorganized our management structure changing top leadership at several of our operating companies and bringing on new, seasoned executives. We have also reorganized our operations geographically, placing two senior managers, one on Long Island and the second in Connecticut to more closely oversee and improve operations.  The management changes have not increased costs as they have been offset by personnel reductions. Additional changes are planned for the fourth quarter and beyond. We are also strengthening our New Product Introduction procedures and processes to streamline and accelerate our ability to convert our backlog into profitable sales.

We have also begun an overall cost reduction program. This effort will be firm wide, both at our corporate headquarters and throughout the Company.  We expect that these cost reductions will yield savings of significantly more than $ 1 million per year.”

Mr. Michael Taglich, Chairman of the Board of Air Industries commented: “I share Mr. Godin’s disappointment with the results of the third quarter. The management reorganization plan has been developed by management in close consultation with me and with several of our Directors. I have full confidence in the plan and in Mr. Godin’s leadership in implementing it. To support the Company’s efforts I have personally invested more than $ 3 million in Air Industries this year. I expect that these efforts will result in increased revenue and improved financial performance in the near future.”

Air Industries Management will be conducting a conference call on Wednesday, November 16, 2016 at 1:00pm EST in the afternoon:

Phone numbers:  800-723-6604 or 785-830-7977

Conference Code 780 2377

ABOUT AIR INDUSTRIES GROUP

Air Industries Group (AIRI) is an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors. Air Industries operates in three segments: Complex Machining of aircraft landing gear and flight controls, Aerostructures & Electronics, and Turbine & Engine products.

Certain matters discussed in this press release are ‘forward-looking statements’ intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company’s statements regarding trends in the marketplace, the ability to realize firm backlog and projected backlog, cost cutting measures, potential future results and acquisitions, are examples of such forward-looking statements. The forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, the timing of projects due to variability in size, scope and duration, the inherent discrepancy in actual results from estimates, projections and forecasts made by management, regulatory delays, changes in government funding and budgets, and other factors, including general economic conditions, not within the Company’s control. The factors discussed herein and expressed from time to time in the Company’s filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

Contact Information

Air Industries Group

631.881.4913

ir@airindustriesgroup.com

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Air Industries Group (the “Company” or “Air Industries”) Announces $3.1 Million award for the US Army M1A1 Abrams Main Battle Tank

September 7, 2016 – 4:00PM EST

 

Hauppauge, NY — (Marketwired – September 7, 2016 – Air Industries Group (NYSE MKT: AIRI)

 

Air Industries Group (NYSE MKT: AIRI), an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors, announced today that it will begin first deliveries of component kits under a contract totaling a $3.1 million awarded by the US Government, Defense Logistics Agency.

Eur-Pac, a wholly owned subsidiary of Air Industries Group and unit of its Aerostructures and Electronics segment, will supply 35 complete kits each containing 220 parts for the US Army.  The first deliveries will commence in late September with the balance completed in the fourth quarter of 2016. This single contract represents more than 50% of the annual revenue of Eur-Pac.

This is the first time we are supplying a kit of this magnitude and complexity. It is part of our growth strategy to expand our role in this segment of Government contracting. Many of the individual parts of this project are manufactured by other units of Air Industries, validating our strategy of leveraging our group of operating companies.” said Dan Godin, President and CEO of Air Industries Group. “The award is also consistent with our diversification strategy supporting a ground-based military system, rather than our traditional aerospace or ground power platforms.”

ABOUT AIR INDUSTRIES GROUP

Air Industries Group (AIRI) is an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors. Air Industries operates in three segments: Complex Machining of aircraft landing gear and flight controls, Aerostructures & Electronics, and Turbine & Engine products. The Company has over 75 years of experience in the industry and has developed leading positions in several important markets. With embedded relationships with many leading aerospace and defense prime contractors, the Company designs and manufactures structural parts and assemblies that focus on flight safety, including landing gear, arresting gear, engine mounts and flight controls. Air Industries Group also provides sheet metal fabrication, tube bending, and welding services.

Certain matters discussed in this press release are ‘forward-looking statements’ intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company’s statements regarding its belief that the slowdown caused by the Sequester is continuing, the ability to realize firm backlog and projected backlog, potential future results and acquisitions, are examples of such forward-looking statements. The forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, the timing of projects due to variability in size, scope and duration, the inherent discrepancy in actual results from estimates, projections and forecasts made by management, regulatory delays, changes in government funding and budgets, and other factors, including general economic conditions, not within the Company’s control. The factors discussed herein and expressed from time to time in the Company’s filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

Contact Information

Air Industries Group

Phone 631.881.4913 Email at ir@airindustriesgroup.com

 

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Air Industries Group (the “Company” or “Air Industries”) Announces: Financial Results for the Second Quarter of 2016 and Conference Call

August 18 , 2016 – 8:00am

 

Air Industries Group (the “Company” or “Air Industries”) Announces:

Financial Results for the Second Quarter of 2016 and Conference Call

 

Hauppauge, NY — (Marketwired – August 18 , 2016 – Air Industries Group (NYSE MKT: AIRI))

Air Industries Group (NYSE MKT: AIRI), an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors, reports financial results for the three and six months ended June 30, 2016.  Air Industries operates in three segments: Complex Machining of aircraft landing gear and flight controls, Aerostructures & Electronics, and Turbine & Engine Components.

Mr. Daniel Godin, Chief Executive Officer of Air Industries Group commented: “We are in the process of aggressively growing Air Industries and we are making substantial progress. We have greatly increased the back-log of the entire Company; each segment has increased its backlog significantly during the first half of 2016 compared to the first half of 2015, particularly at our Complex Machining segment, which has increased its firm backlog by more than $ 4 million. We have made substantial progress in our Turbine & Engine segment securing new business with existing customers as well as on new programs & platforms and with new customers. Due to our successful repositioning efforts, we expect to achieve profitable operations in our Turbine & Engine sector in the third and fourth quarters of this year. Our efforts with our Aerostructures & Electronics division are also making excellent progress, with the team focused on operational excellence.

 Our existing customers are very excited about the progress of Air Industries and have been very complimentary and are now presenting us new opportunities.“

Mr. Michael Taglich, Chairman of the Board of Air Industries commented: “We expect that the current quarter will, from an EBITDA standpoint, be about the same as the second quarter. Shareholders should understand that activity will be anything but flat: Work in Progress is expected to expand materially in the third quarter, as we are working feverishly throughout the quarter on products which we expect to ship in the fourth quarter. Fourth quarter revenue and EBITDA should set company records. It is my hope and expectation that, from there, we will not look back.”

 

Financial Results for the Three Months Ended June 30, 2016:

For the three months ended June 30, 2016:

Consolidated net sales were $19,363, 000, an increase of $306,000 or 1.6% compared to consolidated net sales of $19,057,000 for the comparable period last year.

  • Consolidated gross profit was $4,115,000, or approximately 21.5 % of sales for the three months ended June 30, 2016 compared to $3,897,000 or approximately 20.4% of sales for the comparable period last year.
  • Consolidated operating expenses were $4,182,000 for the three months ended June 30, 2016, an increase of $357,000 or 9.3 % compared to $3,825,000 for the comparable period last year.

 

For three months ended June 30, 2016 consolidated operating loss was $(27,000), a decrease of $(99,000) from consolidated operating income of $72,000 for the comparable period last year. Consolidated net loss was $(252,000) an improvement of $349,000 or 58.1% compared with $(601,000) for the comparable period last year.

Loss per common share was $(0.04) for the three months ended June 30, 2016 an improvement of $ .04 or 50%% from $(0.08) for the comparable period last year.

 

Financial Results for the Six Months Ended June 30, 2016:

For the six months ended June 30, 2016:

  • Consolidated net sales were $34,587, 000, a decrease of $(1,321,000) or (3.7%) compared to consolidated net sales of $35,868,000 for the comparable period last year.
  • Consolidated gross profit was $6,976,000 or approximately 20.2% of sales for the six months ended June 30, 2016 compared to $8,266,000 or approximately 23.0% of sales for the comparable period last year.
  • Consolidated operating expenses were $8,594,000 for the six months ended June 30, 2016, an increase of $866,000 or 11.2% compared to $7,728,000 for the comparable period last year.

 

For six months ended June 30, 2016 consolidated operating loss was $(1,618,000), a decrease of $(2,156,000) from consolidated operating income of $ 538,000 for the comparable period last year. Consolidated net loss was $(1,682,000) a decrease of $(1,185,000) or (238.4%) compared with a consolidated net loss of $(497,000) for the comparable period last year.

Loss per common share was $(0.23) for the six months ended June 30, 2016 a decrease of $(0.17) or approximately (242.9%) from a loss of $(0.07) for the comparable period last year.

 

Management Discussion:     

Sales results for the first half of 2016 are essentially consistent with 2015 with consolidated revenue for the six months ended June 30th declining by (3.7%). More encouraging, for the three months ended June 30, 2106 consolidated revenue increased slightly.

Complex Machining Segment:     Revenue at our Complex Machining segment has improved for the second quarter but remains below our expectations. For the three months ended June 30, 2016 Complex Machining increased revenue by 8.1% versus the prior year. For the six months ended June 30, 2016 revenue was (4.5%) below 2015 reflecting the meager results of the first quarter.

As will be discussed in more detail below, during the six months ended June 30 bookings of new business for this segment have increased by $3.7 million or 19% over the same period last year.

Aerostructures & Electronics Segment:    Revenue at our Aerostructures & Electronics segment declined for the three and six months ended June 30. For the six months ended June 30, 2016 revenue was (7.1%) below 2015. This decline is entirely due to this being an “off-year” for a major biennial contract which contributed over $ 2 million revenue during the first half of 2015. We expect that this contract will be awarded to us again in 2017.

During the six months ended June 30, 2016 bookings of new business for this segment have increased by nearly $ 3 million or 29% over the same period last year.

Turbine & Engine Segment:     We continue to see consistent progress in revenue at our Turbine & Engine segment as we reposition this business.  While revenue declined marginally in the second quarter, revenue has increased for the six months versus the prior year.

During the six months ended June 30, 2016 bookings of new business for this segment have significantly increased by over $ 3 million or 90% over the same period last year. It is more encouraging that lead times for bookings in this segment are generally shorter and are converted to sales more quickly than in our Complex Machining segment.

We previously announced that we are in the process of opening two new locations for the Turbine Engine Component segment following our customers to their new locations. We have begun to hire employees at our new Kalisz, Poland location and we anticipate revenue generating operations within weeks. Our plans for opening a second remote location in South Carolina are on track to be completed by the end of the year.

Business Development Activities:      We continue to be very pleased with the results of our Business Development efforts. Bookings of new business continue to outpace the prior year, with an accelerating rate of increase. Through June 30, 2016, cumulative new business bookings were $ 43.2 million an increase of $ 9.7 million or 29% compared to the prior year. Bookings at the end of the first quarter of 2016 were 19% greater than in 2015.

Our Monthly and Year-to-Date bookings for 2015 and 2016 are shown graphically below:

Bookings YTD 2015/2016

Our new business efforts have been enhanced by our presence at the Farnborough Air Show in July. Air Industries had a significant and professional presence that was well received by customers. Several of new contacts made at the show have already resulted in requests for quotation of new business

Management and the Board of Air Industries are convinced that the Company is well positioned for the future.  Our bookings and backlog are at record highs, our status and rating with our customers is extremely positive and we are expanding into new businesses.

Based on the results of the first half of 2016 we now expect that full year revenues will be in slightly in excess of $ 80 million with EBITDA approximately equal to 2015.

 

ABOUT AIR INDUSTRIES GROUP

Air Industries Group (AIRI) is an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors. Air Industries operates in three segments: Complex Machining of aircraft landing gear and flight controls, Aerostructures & Electronics, and Turbine Engine Components.

Certain matters discussed in this press release are ‘forward-looking statements’ intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company’s statements regarding trends in the marketplace, future revenues, earnings and EBITDA, the ability to realize firm backlog and projected backlog, potential future results and acquisitions, are examples of such forward-looking statements. The forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, the timing of projects due to variability in size, scope and duration, the inherent discrepancy in actual results from estimates, projections and forecasts made by management, the need for working capital to realize upon orders on a timely basis, regulatory delays, changes in government funding and budgets, and other factors, including general economic conditions, not within the Company’s control. The factors discussed herein and expressed from time to time in the Company’s filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

EBITDA

The Company uses EBITDA as a supplemental liquidity measure because management finds it useful to understand and evaluate results, excluding the impact of non-cash depreciation and amortization charges, stock based compensation expenses, and nonrecurring expenses and outlays, prior to consideration of the impact of other potential sources and uses of cash, such as working capital items. This calculation may differ in method of calculation from similarly titled measures used by other companies.

Contact Information

Air Industries Group

631.881.4913

ir@airindustriesgroup.com

 

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Air Industries Group receives $2.3M in contracts to produce landing gear components for KC-135

HAUPPAUGE, NY — (Marketwired – June 27, 2016) – Air Industries Group (NYSE MKT: AIRI)

Air Industries Group has been awarded two contracts totaling $2.3M by Helicopter Tech Inc. of King of Prussia, Pennsylvania, to produce a major landing gear component for the KC-135 aircraft.

Under the contracts, Nassau Tool Works, a wholly owned subsidiary of Air Industries Group, will produce parts over a period of 24 months. The first production deliveries will commence early 2018. The part, made from forged aluminum, is a critical component of the aircraft landing gear system.

“This is the first time we are producing a landing gear part for the KC-135 and it is consistent with our strategy to expand our footprint into larger aircraft platforms, including commercial aircraft,” said Dan Godin, President and CEO of Air Industries Group.  “We have two major sites with over 136,000 square feet of manufacturing space capable of machining these complex landing gear and flight safety critical parts.”

Helicopter Tech, Inc. is a women-owned small business that is one of four companies contracted under the U.S. Air Force Landing Gear Prime Vendor (LGPVC) Contract. The contract is a $1.5 Billion dollar, 10-year contract to supply landing gear components and assemblies for 34 different platforms.  “Air Industries Group has been a critical partner for Helicopter Tech,” said Rachel Carson, CEO of Helicopter Tech, Inc.  “This contract is a welcome development in what has become a long and successful relationship between the two companies. The level of service, and the quality of the product, are best in class. We look forward to similar collaborations in the future.”

Air Industries Group supplies complete landing gear and/or landing gear parts for numerous platforms, including the F-35 Joint Strike Fighter, US Navy F-18 and E-2 Hawkeye series; US Air Force F-16, F-15, A-10, and B-1B, the Black Hawk Helicopter, the Airbus A-350 and the Airbus A-380.

For additional information, please call 631.881.4913 or by email to: ir@airindustriesgroup.com

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Air Industries Group Announces Attendance to Farnborough Air Show

 

Hauppauge, NY — (Marketwired – June 17, 2016 – Air Industries Group (NYSE MKT: AIRI)

 

Air Industries Group (NYSE MKT: AIRI), an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors.

Air Industries Group has announced its participation in the Farnborough International Airshow, from July 11, 2016 to July 15, 2016. Held at Farnborough Airport in Hampshire, England, the show is one of the major trade exhibitions for the aerospace and defense industries, typically attracting over 100,000 aerospace industry professionals. Air Industries will be exhibiting leading product lines, and conducting meetings with key customers, suppliers, and prospects. Air Industries Group President and CEO Dan Godin commented, “After a very successful showing at the Paris Air Show last year, we feel that it is important for us to continue forging new partnerships, and reinforcing our corporate vision with existing clients. We have a well-conceived strategic plan for growth, based on leveraging the diverse capabilities of our sites to provide turnkey solutions to our customers. Farnborough offers the perfect forum for us to share our message while establishing personal relationships with key decision-makers in the industry.” Air Industries Group will be exhibiting in Hall 4, Booth C18.

 

ABOUT AIR INDUSTRIES GROUP

Air Industries Group (AIRI) is an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors. Air Industries operates in three segments: Complex Machining of aircraft landing gear and flight controls, Aerostructures & Electronics, and Turbine & Engine products.

Certain matters discussed in this press release are ‘forward-looking statements’ intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company’s statements regarding results for the first quarter of 2016, trends in the marketplace, its belief that the slowdown caused by the Sequester is continuing, the ability to realize firm backlog and projected backlog, potential future results and acquisitions, are examples of such forward-looking statements. The forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, the timing of projects due to variability in size, scope and duration, the inherent discrepancy in actual results from estimates, projections and forecasts made by management, regulatory delays, changes in government funding and budgets, and other factors, including general economic conditions, not within the Company’s control and ,in particular, with respect to its results for the 1st quarter of 2016, the completion of its auditor’s review. The factors discussed herein and expressed from time to time in the Company’s filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

Contact Information

Air Industries Group

631.881.4913

ir@airindustriesgroup.com

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Air Industries Group and Meyer Tool Co. to Co-Locate in Poland

HAUPPAUGE, NY — (June 13, 2016) – Air Industries Group (NYSE MKT: AIRI)

Air Industries Group (NYSE MKT: AIRI) (“Air Industries” or the “Company”), announced today that Air Industries and Meyer Tool have signed a strategic agreement to co-locate  Air Industries welding capabilities into Meyer’s Kalisz, Poland facility.

Air Industries will establish new TIG welding and EB welding cells at the site, allowing the Meyer/Air team to provide turnkey products to major turbine engine customers in the European market. By combining Meyer’s EDM, water-jet and grinding capabilities with AMK’s welding expertise, the facility will be a “one-stop shop” that is in close proximity to our major customers. Performing all of the critical operations under one roof will reduce both cost and lead time to our customers.

Air Industries Group’s President and CEO, Dan Godin commented “I am excited by the opportunity to collaborate with Meyer Tool, who is recognized as a world-class manufacturing company, and a trusted partner. By combining our skills and resources in a state-of-the-art facility, we dramatically increase the value added services that we can provide, which obviously helps both Air and Meyer. We see this as the first step in what we expect to be a long and successful collaboration with Meyer Tool.”

Construction of the facility has begun, and product manufacturing is slated to commence in July 2016.

For additional information, please call 631.881.4913 or by email to: ir@airindustriesgroup.com

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Air Industries Group Engages Westworld Consulting in European Market

Air Industries Group (NYSE MKT: AIRI) is pleased to announce that we have signed a contract with Westworld Consulting to develop new sales and expand our customer base across Europe.

Westworld is a UK company, with over (30) years of experience in the defense and space markets. With a comprehensive network of industry contacts and established relationships, Westworld’s role will be to support selected subsidiaries within Air Industries’ portfolio in order to develop their footprint within the European market.

Air Industries President and CEO, Daniel Godin, commented on the agreement:
“Air Industries Group’s success and growth strategy has historically been US-centric. As we continue to increase our presence in the global marketplace, we are excited to have engaged the professional marketing team at Westworld to expand our reach in the European community.”

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