Triumph Group, Inc. (NYSE: TGI) today announced it has reached a definitive agreement to sell its G650 program scope of work including supply chain management, engineering services, and related tooling, inventory, facilities, personnel, and warranty obligations to Gulfstream Aerospace. This agreement follows the Company's transfer of the G650 wing assembly line in Tulsa, Oklahoma to Gulfstream's Savannah, Georgia facility in 2019.
The G650 wing program was transferred from Spirit Aerosystems to Triumph Group in 2015. Following Triumph's strategic decision to exit non-core structures manufacturing, the G650 wing production lines in Nashville, Tennessee and Tulsa, Oklahoma were transferred to Gulfstream in sequence without interruption to Gulfstream's internal G650 production line. This agreement also provides price adjustments for critical G600 composite parts retained by Triumph Aerospace Structures Red Oak Texas plant.
"Triumph continues to optimize its program and operating company portfolio in partnership with our OEM customers and strategic partners to reach our future state focused on defense programs, critical systems components and aftermarket services," said Daniel Crowley, Triumph Group President and Chief Executive Officer. "We are proud to have supported Gulfstream on the G650 since 2015 and look forward to supplying critical composite parts more suited to our long-term strategy."
The transaction is subject to customary closing conditions and should be complete in the next few weeks. Financial terms were not disclosed.
Lazard is acting as an exclusive financial advisor to Triumph on the transaction.
About Triumph
Triumph Group, Inc., headquartered in Berwyn, Pennsylvania, designs, engineers, manufactures, repairs and overhauls a broad portfolio of aerospace and defense systems, components and structures. The company serves the global aviation industry, including original equipment manufacturers and the full spectrum of military and commercial aircraft operators. More information about Triumph can be found on the Company's website at www.triumphgroup.com.
