NEIK-NORTHSTAR ELECTRONICS SUBSIDIARY RECEIVES ADDITIONAL $9.1 M
TO ITS P3 MASTER PURCHASE ORDER WITH LOCKHEED MARTIN
Vancouver, BC, September 2, 2010 – Northstar Electronics, Inc. (OTCBB: NEIK) today announced that its wholly owned subsidiary, Northstar Network Ltd. (NNL), has received a revised Master Purchase Order from Lockheed Martin to increase the value of NNL’s contract by US $9.1 million, to a total of US $16.4 million. This new work is to be completed within two years.
“This significant production increase, the largest order that Northstar has received to date, further defines and strengthens the position of Northstar as a serious contender in aerospace manufacturing,” said Terry McLeod, Northstar’s Vice-President, Development & Operations.
Under the Lockheed Martin P-3 Mid-Life Upgrade (MLU) Program, NNL manufactures finished components and assemblies for new production service life extension kits for the P-3 Orion wing upgrade. The MLU adds more than 15,000 flying hours to each aircraft, representing 15 to 20 additional years of service for this critical maritime patrol and reconnaissance resource.
Northstar is responsible for supplying approximately 400 parts and assemblies per aircraft, or about one-fifth of the total parts required under the wing upgrade program. These parts and assemblies primarily include machined parts and formed sheet metal assemblies of various levels of complexity in aluminium and alloy steel, and range from simple structural members to flight critical components.
“Northstar has worked rigorously to maintain productivity and quality since this project began in 2007 and the awarding of this contract clearly demonstrates Lockheed Martin’s commitment to us,” said Mr. McLeod. “We appreciate their support and look forward to continued growth with their aeronautics projects.”
Dr. Wilson Russell, Northstar’s CEO, added, “This increase in our involvement in Lockheed Martin’s P-3 MLU Program is an important step in Northstar’s ongoing transformation into a much larger, world-class company. With many additional business opportunities available to us, and several significant contract awards pending, we expect shortly to further diversify our customer base and accelerate our expansion.”