Air Industries group announces extension and extension of its credit facility


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BAY SHORE, NY – (BUSINESS WIRE) –
Air Industries Group (NYSE AMEX: AIRI):

Air Industries Group (“Air Industries” or the “Company”), an integrated manufacturer of precision assemblies and components for leading aerospace and defense contractors, today announced that Sterling National Bank (“Sterling National”) has agreed to increase the size of and extend the term of its revolving credit facility and term loan.

The revolving credit facility has increased 25%, or $ 4 million, from its current limit of $ 16 million to $ 20 million. The revolving credit facility’s inventory sub-limit also increased by $ 3 million to $ 14 million.

The maturity dates of the revolving credit facility and the term loan have been extended by three years from December 31, 2022 to December 31, 2025.

Sterling National also agreed, under certain conditions, to authorize Air Industries to begin amortizing a portion of its subordinated debt. Reducing the Company’s subordinated debt will reduce interest expense and increase net income.

Mr. Lou Melluzzo, CEO of Air Industries, said: “The shares of Sterling National Bank are a strong vote of confidence in our company and its future prospects. Sterling National became our bank on January 1, 2020 and has supported Air Industries throughout all the challenges of the pandemic. At the end of last year, Sterling National increased our term loan, which allowed us to complete our significant investment in new equipment and machinery.

“We are very pleased with the expansion of our credit facility and are confident that it will provide sufficient liquidity for our expected continued growth in revenues and earnings. The extension of maturity at the end of 2025 – to more than four years – is very reassuring.

ABOUT THE AIR INDUSTRIES GROUP

Air Industries Group (AIRI) is an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense contractors. Additional information about the Company can be found in its filings with the SEC.

Forward-looking statements

Certain matters discussed in this press release are “forward-looking statements” intended to benefit from the safe harbor of responsibility established by the Private Securities Litigation Reform Act of 1995. In particular, the company’s statements regarding market trends, future revenues, earnings and Adjusted EBITDA, the ability to achieve a firm and projected backlog, cost reduction measures, potential future results and acquisitions, are examples of such forward-looking statements. Forward-looking statements are subject to many risks and uncertainties including, but not limited to, the timing of projects due to variability in size, scope and duration, inherent variance in results actual estimates, projections and forecasts made by management, regulatory delays, changes in government funding and budgets and other factors, including general economic conditions, beyond the control of the Company. Factors discussed here and expressed from time to time in documents filed by the Company with the Securities and Exchange Commission could cause actual results and developments to differ materially from those expressed or implied by such statements. Forward-looking statements are made only as of the date of this press release, and the Company does not undertake to publicly update these forward-looking statements to reflect subsequent events or circumstances.

Airline Industries Group

Investor Relations

Michael Recca – Chief Financial Officer

631.328.7079

[email protected]

Source: Air Industries Group


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