FLYHT Announces Settlement of Legal Action and Renewing of Commercial Relationship
Calgary, Alberta – June 18, 2014 FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (“FLYHT”) is pleased to announce that FLYHT and Sierra Nevada Corporation (“SNC") have signed a settlement agreement to renew sales activities and fully settle all outstanding claims between the two parties under the following material terms:
- The parties signed a license and manufacturing agreement, a value-added reseller agreement and other related ancillary agreements, which are for a period of five (5) years with renewal provisions and which govern the parties activities in military and civilian markets (collectively, the “Agreements”), including but not limited to:
o FLYHT granted exclusive and non-exclusive licenses to SNC for the manufacture of certain AFIRS units, and for the sale of the AFIRS units and related products into specified military and civilian markets;
o FLYHT will cooperate with SNC to provide UpTime Services to certain commercial end users, as agreed on a case-by-case basis; and
o Upon SNC realizing revenue in the amount of $2,500,000 (USD) from the sale of certain AFIRS units, FLYHT will receive license fees from SNC for any subsequent sales of AFIRS 228B units by SNC ($5,000 per unit) to any end user and for the use of UpTime services by military end users.
- All FLYHT’s indebtedness to SNC (being approximately $1,986,746 Canadian Dollars) is terminated and released subject to the terms of the Agreements; and
- All legal action between FLYHT and SNC is discontinued.
FLYHT will continue to lead sales and service activities in all civil aviation markets, and SNC will lead sales in the United States and NATO military and government manned and unmanned aircraft markets.
About FLYHT Aerospace Solutions Ltd.
FLYHT provides proprietary technological products and services designed to reduce costs and improve efficiencies in the airline industry. The Company has patented and commercialized three products and associated services currently marketed to airlines, manufacturers and maintenance organizations around the world. Its premier technology, AFIRS™ UpTime™, allows airlines to monitor and manage aircraft operations anywhere, anytime, in real time. If an aircraft encounters an emergency, FLYHT’s triggered data streaming mode, FLYHTStream™, automatically streams vital data, normally secured in the black box, to designated sites on the ground in real-time. The Dragon is FLYHT’s latest product, a revolutionary light weight portable satellite communications device that blends existing FLYHT technology with that of the iPad.
AFIRS, UpTime, the Dragon, FLYHTStream and AeroQ are trademarks of FLYHT Aerospace Solutions Ltd.
FLYHT Aerospace Solutions Ltd.
Thomas R. French, CGA
Chief Financial Officer
The Howard Group Inc.
(888) or (403)-221-0915
Bristol Institutional Relations
Kin Communications Inc.
(866) or (604) 684-6730
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