Investors remain a tough sell for Erickson, but the aviation services firm has managed to find a couple new customers.
The now Portland-based company, whose roots and employee base remain in the Rogue Valley, announced a new contract today following a renewals with the U.S. Forest Service and a Canadian firm earlier this week.
Philipines road and bridge builder Cavite Ideal International Construction and Development Corp., and Asia Aircraft Overseas Philippines have hired Erickson to provide heavy-lift aviation services in support of the Angat Dam project in the Norzagaray municipality in Bulacan Province, on Central Luzon Island, Philippines. Erickson said it will perform the jobs between April and June.
On Tuesday, Erickson said it renewed contracts with the Forest Service and Canadian aerial heavy lift company Helifor, a subsidiary of Columbia Helicopters.
CEO Jeff Roberts, who took leadership of Erickson when Udo Rieder stepped down last month, said the project is good fit for the company and will allow it expand its Pacific Rim presence.
“We are known for our unique capabilities and experience with precision external load operations, including the transportation and placement of unwieldy materials across difficult terrain in hard to reach locations,” Roberts said in a statement. “Asia is a burgeoning global market, and we’re glad to bring the skills and experience of our pilots and crews to this important infrastructure project.”
This agreement guarantees the use of an S-64E Aircrane in support of a crucial water diversion project, which will ensure water is accessible to hydro-electric facilities supporting Manila and the surrounding rural area. The aircraft will be deployed to move equipment and materials required for the construction of a tunnel to divert 5 million gallons of water daily from the Sumag River to the Angat Dam, augmenting the area’s water supply.
The Forest Service renewal keeps multiple S-64 Aircranes available throughout the 2015 North American fire season, which is anticipated to be expansive due to drought conditions. Erickson said the deal provides predictable income and consistent cash flow.
The timber harvest work with Helifor Canada continues a 25-year relationship for year-round activity in British Columbia. Erickson keeps an S64-E, its pilots, crews, field maintenance support parts, and components inventory on hand.
“These agreements help provide stability to our recurring base of business and reflect our successful previous performance,” Roberts said.
In February, Erickson shed 150 jobs mostly at two Rogue Valley locations where the company’s manufacturing and maintenance work is centered. The firm presently has about 850 employees globally.
Erickson shares have traded as high as $19.25 in the past year, but have plunged below $4 of late. As of 9:45 a.m. shares were trading at $3.72, down 10 cents.