AEROV, FIRST AVIATION SERVICES' E-COMMERCE SUBSIDIARY,
ANNOUNCES ALLIANCES WITH ARINC AND FEDEX
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WESTPORT, CONNECTICUT, June 22, 2000 -- First Aviation Services (NASDAQ: FAVS)
announced the signing of a memorandum of understanding to form a strategic
alliance between AeroV and ARINC, one of the world's largest suppliers of
aerospace communications and information processing systems.
ARINC, a global aerospace communications provider, intends to acquire a 25%
equity interest in AeroV. AeroV's online marketplace will now connect directly
to ARINC's global electronic data interchange network. This network serves the
procurement requirements of several hundred airlines and aerospace companies,
providing immediate access to the network that supports over 700 aviation
industry companies, trading partners, service providers and government agencies
worldwide.
AeroV also announced today it will enhance its initial launch capabilities by
collaborating with FedEx Express, the world's largest express transportation
service. AeroV will integrate FedEx Express' transportation services into its
online marketplace to allow streamlined online ordering to be seamlessly
combined with fast, dependable, fully traceable package delivery.
"Together, AeroV, ARINC and FedEx Express offers a powerful solution for
aerospace companies of all sizes to do business together via the Internet and
existing EDI networks," said Cline York, AeroV's chief operating officer.
Mr. York added, "AeroV is an integrated trading exchange that provides a
neutral, independent marketplace for buying, selling and trading aircraft parts,
supplies and services over the Internet. AeroV is able to serve the needs of the
world's leading airlines with their highly sophisticated computer systems as
well as operators equipped with nothing more than a computer, standard Web
browser and an Internet connection. AeroV's unique system is the industry's
complete, cross-platform, supply-chain service that immediately allows aerospace
companies to do business faster, smarter and more efficiently using the Web."
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ARINC alliance
AeroV's alliance with ARINC, which is based in Annapolis, Md., tightly couples
the SPEC 2000 aerospace EDI network with AeroV's robust e-commerce capabilities.
SPEC 2000 is the aerospace industry's established standard for exchanging
documents and messages electronically.
"We thoroughly examined every conceivable aerospace e-commerce service available
in the marketplace today," said John Belcher, ARINC's president and chief
operating officer. "What we found in AeroV clearly was the best solution to help
aerospace companies face today's challenges head-on. The beauty of the AeroV
model is the fact that, while it's cutting edge, it does not disrupt or intrude
upon the way a company does business today. It's a sensible approach to business
evolution in the digital economy."
"AeroV and its strategic alliances help companies step into e-procurement in a
rational, practical and incremental way," said Michael Culver, Chief Executive
Officer of First Aviation. "By seamlessly merging SPEC 2000 EDI, which is
already deeply integrated with the airlines' internal systems, with AeroV's
state-of-the-art Internet marketplace, airlines can immediately automate their
existing procurement processes across various supplier platforms, achieve the
benefits of an open-market environment while reducing processing costs. AeroV
unites various technologies - enterprise resource planning system, EDI and the
Internet - within its global, mission critical, neutral marketplace to deliver
value through new business models."
Purchasing agents and supply-chain professionals representing everyone from
major global airlines, manufacturers and the military to single location
fixed-base operators can search for an aircraft part, place an order, purchase
the part and track delivery all in real time. The closed-loop system, which
easily integrates with existing electronic data interchange and inventory
management tools, makes the product visible at every step in the transaction
process. In addition, the AeroV system allows users to easily switch from being
buyers to being sellers of aerospace parts and services.
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FedEx relationship
As an international shipping leader, FedEx Express is an excellent global
transportation provider for AeroV. By integrating AeroV's supply-chain system
with the FedEx rating, routing, shipping and tracking capabilities, the two
companies will provide a streamlined process of ordering and delivering parts
and supplies to online customers.
"Accurate, real-time information is critical to successful trading exchanges,"
said David Roussain, vice president of electronic commerce for FedEx. "By
integrating with FedEx, AeroV can leverage our real-time tracking, visibility
and time-definite delivery to operate a more responsive supply chain.
Furthermore, AeroV will be able to provide an enhanced level of customer service
to merchants and customers participating in the exchange."
About AeroV
AeroV is a mission-critical procurement platform developed exclusively for the
aerospace industry that delivers value to every user, providing a practical tool
for capturing the benefits of e-commerce without disrupting current business
practices and processes.
Aerospace companies may choose to interact with the entire AeroV System, or
limit participation to transactions with only established trading partners. The
AeroV System integrates with legacy systems, giving every company the ability to
communicate using full SPEC 2000 and ANSI X.12 messaging without costly set-up
fees or downtime. AeroV is a subsidiary of Westport, Conn.-based First Aviation
Services.
About First Aviation
First Aviation, located in Westport, CT is a worldwide leader in providing
services to aircraft operators of some of the most widely used military,
commercial and general aviation aircraft. Its operations include Aerospace
Products International, a leader in the supply of aerospace products and
services worldwide. In addition to the product lines it distributes, API offers
overhaul and repair services for brakes and starter/generators and provides
custom-built hose assemblies. With locations in the U.S., Canada and Asia
Pacific, plus global partners throughout the world, API continues to be the
fastest growing supplier of aviation products and inventory management solutions
in the industry.
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For more information visit the company's Web site at www.AeroV.com and visit
www.firstaviation.com.
Forward-Looking Statements
Information included in this release may contain forward-looking statements
within the meaning of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements are not statements of historical facts, but rather
reflect the Company's current expectations concerning future events and results.
Such forward-looking statements, including those concerning the Company's
expectations, involve known and unknown risks, uncertainties and other factors,
some of which are beyond the Company's control, that may cause the Company's
actual results, performance or achievements, or industry results, to be
materially different from any future results, performance or achievements
expressed or implied by such forward-looking statements. In evaluating such
statements as well as the future prospects of the Company, specific
consideration should be given to various factors, including the ability of the
Company to attract additional strategic partners to AeroV, the ability to
attract customers and users of the online marketplace system, and the need and
availability of additional financing, and other items that are beyond the
Company's control and may cause actual results to differ from management's
expectations.
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Contacts
Cline York
AeroV
Chief Operating Officer
(512) 917-3461
[email protected]
www.AeroV.com
John A. Marsalisi
Vice President & Chief Financial Officer
First Aviation Services Inc.
(203) 291-3303
[email protected]
