TIMCO Aviation Services, Inc. Reports Completion of Rights Offering and Reverse Split
November 22 2005 - 4:00PM
PR Newswire (US)
GREENSBORO, N.C., Nov. 22 /PRNewswire-FirstCall/ -- TIMCO Aviation
Services, Inc. (OTC:TMAS) (BULLETIN BOARD: TMAS) today reported
that it has closed its previously announced rights offering. In the
rights offering, the Company sold 9,451,027 shares of its
post-reverse split common stock, consisting of: (i) cash
subscriptions to purchase 5,491,190 shares of the Company's post-
reverse split common stock for an aggregate cash purchase price of
$26,357,712, and (ii) 3,959,837 shares of the Company's common
stock issuable to LJH Ltd. (an entity controlled by the Company's
principal stockholder) for an aggregate purchase price of
$19,007,218 using the proceeds of a loan due from the Company to
LJH. The Company also reported that its previously announced
one-new-share-for-40-old-shares reverse split of its outstanding
common stock has now become effective. In that regard, the
Company's common stock will begin trading on a post-reverse split
basis at the opening of tomorrow's market under the symbol "TMAV".
Roy T. Rimmer, Jr., the Company's Chairman and Chief Executive
Officer, stated: "We are very excited about the completion of our
rights offering, which culminates our efforts to reduce our debt
and provide the working capital necessary to allow us to continue
the growth of our business in line with our strategic goals and
objectives." TIMCO Aviation Services, Inc. is among the world's
largest providers of aviation maintenance, repair and overhaul
(MRO) services for major commercial airlines, regional air
carriers, aircraft leasing companies, government and military units
and air cargo carriers. The Company currently operates four MRO
businesses: Triad International Maintenance Corporation (known as
TIMCO), which, with its four active locations (Greensboro, NC;
Macon, GA; Lake City, FL and Goodyear, AZ), is one of the largest
independent providers of heavy aircraft maintenance services in the
world and also provides aircraft storage and line maintenance
services; Brice Manufacturing, which specializes in the manufacture
and sale of new aircraft seats and aftermarket parts and in the
refurbishment of aircraft interior components; TIMCO Engineered
Systems, which provides engineering services both to our MRO
operations and our customers; and TIMCO Engine Center, which
refurbishes JT8D engines and performs on-wing repairs for both JT8D
and CFM-56 series engines. Visit TIMCO online at
http://www.timco.aero/. This press release contains forward-looking
statements. Forward-looking statements involve known and unknown
risks and uncertainties, which may cause the Company's actual
results in future periods to differ materially from forecasted
results. A number of factors, including those identified in the
Company's Annual Report on Form 10-K for the year ended December
31, 2004 and its Quarterly Report on Form 10-Q for the quarter
ended September 30, 2005, could adversely affect the Company's
ability to obtain these results. Copies of the Company's filings
with the U.S. Securities and Exchange Commission are available from
the SEC or may be obtained upon request from the Company. The
Company does not undertake any obligation to update the information
contained herein, which speaks only as of this date. DATASOURCE:
TIMCO Aviation Services, Inc. CONTACT: Roy T. Rimmer, Jr., Chairman
& CEO, or James H. Tate, Executive Vice President, CAO and CFO,
of TIMCO Aviation Services, Inc., +1-336-668-4410 Web site:
http://www.timco.aero/
Copyright