New Century will supply the machining equipment to manufacture large components of the General Electric and Rolls Royce engines slated for use on the new Boeing 787 Airbus A380 and A350 aircrafts. W K Machine will act as the operator of the JV. They have over 30 years of experience in manufacturing jet engine components. W K Machine is well positioned to handle the potential order backlog created by the approximately 1,100 planes which have been ordered by the major airlines.
New Century has developed specialized large vertical turning lathes (VTLs) to handle the components which can measure 12 feet in diameter and are produced to have zero tolerance for error to within 1/10,000th of an inch. The process to manufacture one specific part for the jet engines can take over 85 hours of machine time to produce.
David Duquette, President and CEO of New Century, commented, "We are excited by the opportunity to work with W K on this project. We recognized the potential opportunity in the market to produce the large components being developed for use by the aircraft engine manufactures. The industry currently has a lack of qualified domestic suppliers equipped to handle the specialized work which has provided an entry for our new JV. The timing of the creation of our JV is ideal to capture early market share as deliveries for the new Dreamliner aircraft are scheduled for early 2008. Our new joint venture will create an additional revenue stream for New Century beginning in the late third quarter of 2007. We are excited to be further diversifying our product mix while positioning the Company for future growth."
About New Century Co.
New Century Companies, Inc. is one of the leading U.S.-based makers of machine tools, primarily vertical boring mills and large lathes such as vertical turning centers (VTCs). It specializes in re-manufacturing, starting with existing major castings and fitting them with state-of-the-art, computer-controlled equipment. These products generally cost 40% to 60% less to make than new ones. New Century passes these savings on to its customers, which include such leading manufacturers as General Electric Co., General Dynamics Corp., Siemens AG and Gardner Denver. New Century machines are used to manufacture jet engine components, airplane landing gear parts, power generation equipment, oil and gas production components and construction materials, to name just a few applications. New Century's production facility is in Santa Fe Springs, CA.
Visit New Century's Web site at www.newcenturyinc.com.
This release contains forward-looking statements which involve known and unknown risks, delays, uncertainties and other factors not under the Company's control, which may cause actual results, performance or achievements of the Company to be materially different from the results, performance or other expectations implied by these forward-looking statements. These factors include results of current or pending research and development activities, actions by the FDA and other regulatory authorities, and those factors detailed in the Company's filings with the Securities and Exchange Commission such as 10K, 10Q and 8K reports.
Contact: Alliance Advisors, LLC Mark McPartland (910) 221-1827 Email Contact