Two-year extension of existing 331-200/250 contract and new multi-year award for the 331-500, deepening TAT’s relationship with one of the world’s largest cargo carriers
TAT Technologies Ltd. (NASDAQ: TATT, TASE: TAT Tech), a leading supplier of products and services for the commercial and military aviation industries and the ground defense industries, today announced that it has signed a contract with a leading global cargo carrier, to provide MRO services for two Auxiliary Power Unit (APU) platforms. The combined estimated value of the agreement is approximately $36 million.
The first component of the agreement is a two-year extension of TAT’s existing contract to provide MRO services for the GTCP331-200/250 APU, which is estimated at a value of approximately $22 million. The second component is a new contract for MRO services for the GTCP331-500 APU, spanning an initial four-year term with an option to extend for an additional two years, which is estimated at a value of approximately $14 million.
Igal Zamir, CEO of TAT, commented, “This comprehensive agreement represents a significant milestone for our APU business, reflecting our leadership position in this market. Securing both an extension of our long-standing 331-200/250 relationship and a new multi-year award on the 331-500 platform demonstrates the breadth of our APU MRO capabilities and the trust our customers place in TAT’s technical expertise and service quality. We continue to leverage our strategic capabilities to expand our addressable market and deepen partnerships with leading global operators. We look forward to continuing to support the customers’ fleet operations across both platforms.”