Avcorp receives notice of complaint from Cessna Aircraft Company

VANCOUVER, Dec. 7, 2012 /CNW/ - Avcorp Industries Inc. (the "Company" or 
"Avcorp") reports that it has received notice of a complaint filed by the 
Cessna Aircraft Company ("Cessna") in the United States District Court 
(Kansas) pursuant to which Cessna seeks to vacate the November 16, 2012 
arbitration award in favour of the Company. The arbitration panel awarded 
Avcorp $27.4 million, which, under the terms of the arbitration agreement 
between Cessna and Avcorp, is a final and binding award. It is the Company's 
belief and position that the complaint made by Cessna does not satisfy the 
narrow legal grounds on which the arbitration award could be vacated. The 
complaint was filed by Cessna on November 26, 2012 and the Company is required 
to respond within 90 days. The Company intends to vigorously pursue the 
confirmation of the arbitration award and the dismissal of Cessna's motion to 
vacate with the U.S. District Court. 
About Avcorp 
Avcorp designs and builds major airframe structures for some of the world's 
leading aircraft companies, including BAE Systems, Boeing, and Bombardier. 
With more than 50 years of experience, over 400 skilled employees and 354,000 
square feet of facilities in Delta BC and Burlington ON, Avcorp offers 
integrated composite and metallic aircraft structures to aircraft 
manufacturers, a distinct advantage in the pursuit of contracts for new 
aircraft designs, which require lower‐cost, light weight, strong, reliable 
structures. Our Burlington location also offers composite repairs for 
commercial aircraft. Avcorp is a Canadian public company traded on the Toronto 
Stock Exchange (TSX: AVP). 
Forward-Looking Statements 
This management discussion and analysis should be read in conjunction with the 
Company's audited financial statements. Certain statements in this report 
and other oral and written statements made by the Company from time to time 
are forward-looking statements, including those that discuss strategies, 
goals, outlook or other non-historical matters; or projected revenues, income, 
returns or other financial measures. These forward-looking statements are 
subject to risks and uncertainties that may cause actual results to differ 
materially from those contained in the statements, including the following: 
(a) the ability of the Company to renegotiate its debt agreements under which 
it is in default; (b) the extent to which the Company is able to achieve 
savings from its restructuring plans; (c) uncertainty in estimating the amount 
and timing of restructuring charges and related costs; (d) changes in 
worldwide economic and political conditions that impact interest and foreign 
exchange rates; (e)the occurrence of work stoppages and strikes at key 
facilities of the Company or the Company's customers or suppliers; (f) 
government funding and program approvals affecting products being developed or 
sold under government programs; (g) cost and delivery performance under 
various program and development contracts; (h)the adequacy of cost estimates 
for various customer care programs including servicing warranties; (i) the 
ability to control costs and successful implementation of various cost 
reduction programs; (j) the timing of certifications of new aircraft products; 
(k) the occurrence of further downturns in customer markets to which the 
Company products are sold or supplied or where the Company offers financing; 
(l) changes in aircraft delivery schedules or cancellation of orders; (m) the 
Company's ability to offset, through cost reductions, raw material price 
increases and pricing pressure brought by original equipment manufacturer 
customers; (n) the availability and cost of insurance; (o) the Company's 
ability to maintain portfolio credit quality; (p) the Company's access to debt 
financing at competitive rates; and (q) uncertainty in estimating contingent 
liabilities and establishing reserves tailored to address such contingencies. 
Contact:Sandi DiPrimo, Investor Relations Contact 604-587-4938 
SOURCE: Avcorp Industries Inc. 
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CO: Avcorp Industries Inc.
ST: British Columbia
-0- Dec/07/2012 23:24 GMT
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