CVD Equipment Corp (CVV)

[clearsudden]

CVD Equipment (CVV) Announces Receipt of $30M Fiber Coating Systems Order

June 22, 2016 4:19 PM
CVD Equipment Corporation (Nasdaq: CVV) announced that it has received an order for approximately $30 million from a major aviation component supplier to build fiber coating systems for their new high volume facility. An initial CVD system was previously delivered to this customer in late 2015 and has since undergone testing and successful production at the customer’s facility. Additionally, CVD has multiple smaller production quantity systems currently operating at their existing facility with additional systems about to come online.

“Being selected to provide fiber coating equipment for this customer’s new high volume facility is a testament to our differentiated technology, and confirms CVD’s leading position as a key supplier of next generation technology for the aerospace industry,” said Leonard A. Rosenbaum, President and Chief Executive Officer.

“Coated fibers have a number of advantages for aerospace engine components including increased engine efficiency, the ability to withstand higher temperatures, lighter weight and reduced operational costs. We are very encouraged by our continuing relationship with this customer to provide equipment to produce their next generation products and we believe the awarding of this contract indicates an increasing level of activity as they ramp their new high volume facility to full capacity over the next few years.

“In addition to securing this order, we have focused our attention on other customers and applications in medical, aerospace and electronics which we expect will help drive our future growth. We also anticipate further expansion into equipment and services for corrosion, oxidation and wear resistant coatings for applications using chemical vapor deposition, chemical vapor infiltration and spray coatings.”