TAT Technologies Announces That it was Selected by Embraer S.A. to Provide Heat Exchangers With a Total Value of up to $8.75M for the E-Jets E2 Program

TAT Technologies Ltd. (NASDAQ: TATT), today announced that it has been awarded, for the fifth time during the past 5 years, a contract by Embraer, one of the world’s largest manufacturers of commercial aircraft, to be responsible for the design, manufacture, integration, testing, supply, and product support for the Fuel Submerged Heat Exchanger to be incorporated into the new E-Jets E2 family of commercial aircraft (E175-E2, E190-E2, E195-E2) being developed by the company. In 2013 TAT was awarded the Fuel Submerged Heat Exchanger and in 2012 precoolers for the KC390 Transport Aircraft. TAT also supplies Embraer with heat exchangers for the Legacy 450, Legacy 500 and Phenom 300 business jets.

TAT estimates the revenues from this new contract at approximately $8.75 million over a ten year period with revenues commencing some time in 2015. In addition, TAT estimates that the product could, in the future, generate significant additional aftermarket and support revenues. TAT will incur certain developmental expenses within its ongoing operation over the next two years in connection with the development of the product.

TAT’s President and CEO, Mr. Itsik Maaravi, remarked that “this additional contract further strengthens our relationship with Embraer, which we are very proud of. It constitutes an important step in our strategy of solidifying TAT Technologies’ position as a world leading designer and manufacturer of Heat Management solutions and products.”