TSX–V Trading Symbol “AMA”
A Tier 2 Industrial Issuer
CALGARY, June 11 /CNW/ – AeroMechanical Services Ltd. (“AMA”) is pleased to announce we have received a deposit from the African operator announced in
the May 12, 2008 press release in titled “AeroMechanical Services Ltd.
Announces Contract with African Scheduled Service and Charter Airline.”
AMA has received a deposit in the amount of $626,500 USD for all nineteen
aircraft under contract. The terms of the contract are as follows: the
contract is for a 5–year term whereby AMA will provide AMA’s patented
afirs(TM) UpTime(TM) solution on nineteen aircraft (with the possibility to
increase it as the size of the carrier’s fleet of aircraft increases).
Initially, it is intended that installation on two aircraft would begin on or
about June 2008, the installation on the second two aircraft would begin on or
about July 2008 and the installation on five additional aircraft would begin
on or about August 2008 and the remaining will be scheduled for after
September 2008.
If AMA is able to install on the nineteen aircraft and provide service
for the full term of the agreement, the gross revenues to AMA under this
agreement would be approximately $2,874,200.
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.
About AeroMechanical Services Ltd.
AeroMechanical Services Ltd. provides proprietary technological solutions
and services designed to reduce costs and improve efficiencies in the airline
industry. The company has successfully commercialized three products and
associated services currently marketed to airlines, manufacturers and
maintenance organizations around the world. Its premier technology, afirs(TM)
UpTime(TM), allows airlines to monitor and manage aircraft operations anywhere, anytime, in real–time.
afirs, UpTime, FLYHT and aeroQ are Trade Marks of AeroMechanical Services
Ltd.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this press release.
%SEDAR: 00016486E
For further information: on AMA contact: Tom French, CFO, AeroMechanical
Services Ltd, (403) 291–7427, tfrench@amscanada.com, www.amscanada.com; Bob
Beaty, The Howard Group Inc., Toll Free: 1–888–221–0915,
Info@howardgroupinc.com, www.howardgroupinc.com
