PARK ELECTROCHEMICAL CORP. ANNOUNCES MAJOR EXPANSION OF ITS AEROSPACE MANUFACTURING, DEVELOPMENT AND DESIGN FACILITIES IN NEWTON, KANSAS
Melville, New York, Monday, December 17, 2018…..Park Electrochemical Corp. (NYSE-PKE) announced the major expansion of its aerospace manufacturing, development and design operations located at the Newton City-County Airport in Newton, Kansas. This expansion will include the construction of a redundant manufacturing facility located adjacent to Park’s existing Newton, Kansas facilities. This redundant facility, which is being constructed in part to support a major aerospace customer, will include approximately 90,000 square feet of manufacturing and office space, and will essentially double the size of Park’s existing Newton, Kansas facilities. The total cost of the expansion is expected to be approximately $19 million, and the expansion is expected to be completed in the first half of the 2020 calendar year. The expansion includes new mixing and delivery systems, new hot-melt film and tape manufacturing lines, space to accommodate an additional hot-melt tape line or solution treating line, space to accommodate a confidential joint development project with a major aerospace customer, additional slitting capability, significant additional freezer and storage space, an expanded production lab, a new R&D lab and additional office space.
Brian Shore, Park’s Chairman and CEO, said, “Park was a newcomer to Newton, Kansas when we built our original facility there about ten years ago, but the people of Newton have gone out of their way to make us feel welcome and at home in their special Newton, Kansas community. So, expanding Park’s aerospace operations at the beautiful Newton, Kansas Airport was the easy and obvious choice for us. Thank you to the City of Newton and its people for your graciousness and hospitality.”
Park Electrochemical Corp. is an Aerospace Company which develops and manufactures solution and hot-melt advanced composite materials used to produce composite structures for the global aerospace markets. Park’s advanced composite materials include film adhesives (undergoing qualification) and lightning strike materials. Park offers an array of composite materials specifically designed for hand lay-up or automated fiber placement (AFP) manufacturing applications. Park’s advanced composite materials are used to produce primary and secondary structures for jet engines, large and regional transport aircraft, military aircraft, Unmanned Aerial Vehicles (UAVs commonly referred to as “drones”), business jets, general aviation aircraft and rotary wing aircraft. Park also offers specialty ablative materials for rocket motors and nozzles and specially designed materials for radome applications. As a complement to Park’s advanced composite materials offering, Park designs and fabricates composite parts, structures and assemblies and low volume tooling for the aerospace industry. Target markets for Park’s composite parts and structures (which include Park’s patented composite Sigma Strut and Alpha Strut product lines) are, among others, prototype and development aircraft, special mission aircraft, spares for legacy military and civilian aircraft and exotic spacecraft. Park’s objective is to do what others are either unwilling or unable to do. When nobody else wants to do it because it is too difficult, too small or too annoying, sign us up.
Certain portions of this news release include forward-looking statements that predict or indicate future events and trends and that do not report historical matters. Forward-looking statements in this news release include, but are not limited to, Park’s expectations regarding developments and business strategies and growth opportunities; as well as the objectives of management following the closing of the sale of Park’s Electronics Business. Forward-looking statements are qualified by important risks and uncertainties, many of which are beyond Park’s control, and assumptions that could cause actual results to differ materially from those forecasted or indicated by such forward-looking statements and include, but are not limited to: potential disruption of management’s attention to Park’s Business due to transition services required after the sale; general conditions in the aerospace industry; legislative, regulatory and economic developments; Park’s competitive position; the effect of the completion of the sale on the ability of the Company to maintain relationships with third parties, including its employees, customers and suppliers; and the various factors set forth under the caption “Factors That May Affect Future Results” in Item 1 and in Item 1A “Risk Factors” of Park’s Annual Report on Form 10-K for the fiscal year ended February 25, 2018 and in subsequent reports of Park filed with or furnished to the Securities and Exchange Commission. Except as may be required by any applicable laws, Park assumes no obligation to update such forward-looking statements, which are made as of the date hereof or the earlier date specified herein, whether as a result of new information, future developments or otherwise.