1479 North Clinton Avenue
Bay Shore, NY 11706
Darrow Associates, Inc.
Jordan M. Darrow
Sector: Industrial Goods
Industry: Aerospace/Defense Products & Services
Air Industries Group, Incorporated, through its subsidiaries, engages in manufacturing aircraft structural parts and assemblies for defense contractors in the aerospace industry in the United States. It produces individual products that are assembled into electromechanical devices, mixer assemblies, and rotor-hub components for Blackhawk helicopters; rocket launching systems for the F-22 Raptor Advanced Stealth Fighter; arresting gear for the E2C Hawkeye and U.S. Navy Fighters; vibration absorbing assemblies for various Sikorsky helicopters; landing gear components for the F-35 Joint Strike Fighter; and various subassembly packages. The company also supplies flight safety components for Sikorsky helicopters. In addition, it distributes strategic metals, primarily aluminum, stainless steels of various grades, titanium, and other exotic end user specified metals to aircraft manufacturers, subcontractors, original equipment manufacturers, and various government agencies in the United States and internationally. The company was founded in 1969. It was formerly known as Gales Industries Incorporated and changed its name to Air Industries Group, Incorporated in June 2007. The company is headquartered in Bay Shore, New York.
Mr. Peter D. Rettaliata, 57
Chief Exec. Officer, Pres, Director, Member of Management Committee and Member of Exec. Committee
Photo: Peter Rettaliata, President of Air Industries Machining Corporation of Bay Shores, N.Y. Peter Rettaliata, president of Air Industries Machining Corporation of Bay Shores, N.Y., is the associate member representative to the AIA Board of Governors and Executive Committee for 2006. He is also a member of the Supplier Management Council Executive Committee.
Unnecessary Export Controls Hurt Aerospace Suppliers
By Peter Rettaliata
The aerospace and defense industry is an all-too-rare bright spot in today’s economy, adding jobs and increasing revenue where other sectors see losses. But there are artificial barriers holding back international trade, a major booster to this important economic engine.
The federal government has a regime of export control regulations aimed at ensuring that advanced weapons technology does not fall into the wrong international hands.
But this laudable concept has gone awry, holding up sales of innocuous items like valves, hydraulic tubes, electric motors, and even things like steering wheels and dome lights. Ultimately, it is companies like Air Industries Machining Corp. that pay the price with lost business opportunities, unrealized revenue, and hampered growth.
U.S. companies have long had business relationships with America’s closest friends and allies around the world. These links are good economically — the aerospace industry had a foreign trade surplus of $37 billion in 2005 — and strategically because we almost always go to war alongside our international allies.
The government regulates these transactions with the U.S. Munitions List, which identifies weapons systems that should not go to unfriendly governments.
To sell list items to allies, a company must receive a license from the State Department. The list has strayed from its original purpose, and today companies find themselves having to obtain licenses for commercial products readily available internationally.
For example, my company makes components used on military aircraft that are on the munitions list. But the same or similar parts are used in commercial aircraft and are not considered classified or sensitive on their own, and they are widely available from other sources all over the world.
The result is that foreign governments end up buying items from other suppliers in foreign countries, robbing U.S. companies of business.
Time is the root of the problem. Most invitations to bid for contracts that involve foreign sales demand a response in either 30 or 60 days and, in most cases, small companies can’t get an export license in that time frame.
So Air Industries and other small aerospace companies cannot even consider bidding for some potentially lucrative contracts because of export control red tape. In addition, if a company somehow gets the contract, it would have to secure another license to actually export the finished product.
Aerospace and defense is an industry that is extremely global — many suppliers sell to U.S.-based Boeing and Europe-based Airbus. The current export control regime hampers the ability of many smaller American companies to benefit from this global market.
The ultimate solution is that Congress must require that the State Department revamp and modernize the export control system to eliminate red tape for American companies.
But we can make some progress even before we see that type of a legislative act. There is a window of opportunity during the remainder of the current administration to make the system more efficient by working directly with the State and Commerce departments through industry groups like AIA.
A thorough review will reveal many items that don’t belong on the list at all. Export control system reform must also include a requirement that the munitions list undergo regular review and updating to make sure it doesn’t capture items that are commercial in nature and widely available. If we can make this a reality, the aerospace and defense industry will continue to thrive and be that beacon our economy needs.
Mr. Louis A. Giusto, 65
Vice Chairman, Chief Financial Officer, Principal Accounting Officer and Treasurer
Mr. Dario A. Peragallo, 43
Exec. VP of Manufacturing & Engineering, Corp. Sec.
Mr. Gary Settoducato
Pres of Welding Metallurgy - Sub
Mr. George Kfoury
Jordan M. Darrow
273 Walt Whitman Road, Suite 280
Melville NY 11746
1479 Clinton Avenue
Kristie Marie Ciaccio
Air Industries Machining Corporation
Sigma Metals, Inc.
Welding Metallurgy, Inc.
Profit Margin (ttm): -1.42%
Operating Margin (ttm): 1.20%
Return on Assets (ttm): 0.78%
Return on Equity (ttm): -4.32%
Revenue (ttm): 38.37M
Net Income Avl to Common (ttm): -752.23K
Diluted EPS (ttm): -0.012
Total Cash (mrq): 1.10M
Total Debt (mrq): 21.69M
Book Value Per Share (mrq): 0.258
Operating Cash Flow (ttm): -6.82M
Levered Free Cash Flow (ttm): -12.06M
Shares Outstanding: 69.12M
BROWN JAMES A 937,225
BUONANNO DAVID 56,443
Borrowing & selling shares for cash
Qtr ending 30 SEP 2007
Qtr ending 30 JUN 2007
Sold $7.3M in stock
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Air Industries Reschedules Conference Call to Discuss Fourth Quarter and Full Year 2007 Financial Results on April 16, 2008
Tuesday April 15, 7:37 am ET
BAY SHORE, N.Y.--(BUSINESS WIRE)--Air Industries Group, Inc. (OTCBB: AIRI - News) will conduct a conference call on Wednesday, April 16, 2008, at 9:00 a.m. Eastern Time to review the Company’s financial results for the fourth quarter and full year ended December 31, 2007. A press release detailing the Company’s results for the fourth quarter and full year will be issued earlier in the day on April 16. The Company’s annual report on Form 10-K with the U.S. Securities and Exchange Commission was filed on April 14, 2008.
Participating in the conference call will be Peter Rettaliata, President and Chief Executive Officer, and Louis Giusto, Vice Chairman and Chief Financial Officer. To access the conference call, please dial (866) 202-3109 (domestic) or (617) 213-8844 (international), and enter the passcode “61926467” when prompted. Please access the call approximately 10 minutes prior to the start time.
For those unable to listen to the live broadcast, a replay will be available by dialing (888) 286-8010 (domestic) or (617) 801-6888 (international), with playback access code “74957061”, starting approximately two hours after the conclusion of the call.
ABOUT AIR INDUSTRIES GROUP, INC.
Air Industries Group, Inc. (OTCBB: AIRI - News) is an integrated manufacturer of precision components and provider of supply chain services for the aerospace and defense industry. The Company has over 35 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, as well as distributing specialty metals that are a critical component in the aerospace supply chain. Information on the Company and its products may be found online at www.airindustriesgroup.com.
Certain matters discussed in this press release are 'forward-looking statements' intended to qualify for the safe harbors from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company's statements regarding trends in the marketplace, firm backlog, projected backlog, potential future results and acquisitions, are examples of such forward-looking statements. The forward-looking statements include risks and uncertainties, including, but not limited to, the timing of projects due to the variability in size, scope and duration of projects, estimates, projections and forecasts made by management with respect to the Company's critical accounting policies, firm backlog, projected backlog, regulatory delays, government funding and budgets, matters pertaining to potential and pending acquisitions subject to and after closings, and other factors, including results of financial audits and general economic conditions, not within the Company’s control. Certain of the Company’s forward looking statements, with the projected backlog in particular, are formulated based on management’s extensive industry experience and understanding and assessment of industry trends, customer requirements, and related government spending. Projected backlog may be subject to variability and may increase or decrease at any time based on a variety of factors, including but not limited to modifications of previously released orders, acceleration of orders under general purchase agreements, etc. 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.
Darrow Associates, Inc.
Jordan M. Darrow, 631-367-1866
Source: Air Industries Group, Inc.
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2007 Annual Report
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King Capital Investment Group