Heico Corp. (HEI) Acquires Accurate Metal Machining

HEICO Corporation (NYSE: HEI.A and HEI) today announced its Flight Support Group has acquired 96% of Accurate Metal Machining, Inc. ("Accurate") for cash at closing, plus potential additional cash consideration to be paid if certain post-closing earnings levels are attained. Additional financial details were not disclosed.

HEICO stated that it expects the acquisition to be accretive to its earnings within the year following closing.

Cleveland-based Accurate Metal Machining is a leading manufacturer of high-reliability components and assemblies. Accurate's customers include large aerospace, defense, and semiconductor equipment subsystem suppliers. These customers operate in markets in which the cost of failure is very high, and as such, purchased components must be made to extremely high reliability and quality standards. Accurate is differentiated in this market by delivering high quality parts, on-time, and at a competitive cost, and has many multi-decade customer relationships that attest to their capabilities. Accurate employs approximately 250 people at its Cleveland production facility.

Accurate was founded in 1976 by Louis Loiczly. Louis's four children, Eva, Gabriel, Martha, and Thomas, all work at Accurate and will continue to do so post-close. Accurate's President, John Racic, will continue in his current role with the company. HEICO stated that it does not expect any staff turnover to result from the acquisition.

Accurate adds new products and capabilities to HEICO's rapidly-growing and highly-successful Specialty Products Group operations which are dedicated to manufacturing high-reliability, mission-critical components for primarily aerospace and defense customers.

Laurans A. Mendelson, HEICO's Chairman and Chief Executive Officer, along with Eric A. Mendelson, HEICO's Co-President and CEO of its Flight Support Group commented, "By treating each customer relationship as a long-term priority, Accurate has established itself as the manufacturer of choice for semiconductor capital equipment and aerospace manufacturers. In an industry where delivering high quality parts at reasonable prices on-time is hard to find, we were impressed with Accurate's history of fulfilling its promises to customers. We look forward to adding Accurate's unique capabilities and welcoming its exceptional Team Members into the HEICO Family."

John Racic and The Loiczly Family jointly commented, "We are very excited to be partnering with HEICO. HEICO's business philosophy, culture and impeccable reputation directly aligns with Accurate's values. When we began considering a transaction, our prerequisites were that any transaction would only affect our customers positively, would have no negative effects to our associates and management team, and would not disrupt our business strategies and continued investment in technology. All of these conditions were 100% satisfied. We could not have written a better script for this new chapter for Accurate. Accurate will be even stronger going forward and we look forward to a long-lasting, successful future as part of the HEICO family."

HEICO Corporation is engaged primarily in the design, production, servicing and distribution of products and services to certain niche segments of the aviation, defense, space, medical, telecommunications and electronics industries through its Hollywood, Florida-based Flight Support Group and its Miami, Florida-based Electronic Technologies Group. HEICO's customers include a majority of the world's airlines and overhaul shops, as well as numerous defense and space contractors and military agencies worldwide, in addition to medical, telecommunications and electronics equipment manufacturers. For more information about HEICO, please visit our website at www.heico.com.

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