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Mon, Jun 24, 2013

Erickson Air-Crane Announces Contract Extension With Fluor

Afghanistan Award, Valued At $100 Million, Significantly Improves FY13 Revenue Visibility

Erickson Air-Crane Incorporated announced Thursday that it has received an annual option year subcontract extension for its work with Fluor Corporation, a large engineering, procurement, construction, maintenance, and project management services contractor.

The award was made to Evergreen Helicopters (“EHI”), a recently acquired and now wholly owned subsidiary of Erickson, which will continue to provide multiple rotary wing aircraft for both cargo and transport mission requirements in support of deployed forces in Afghanistan, as well as for reconstruction activity. The total value of the contract renewal is in excess of $100 million; the Company noted the prime contract which this award supports derives its funding from portions of the Defense budget not subject to sequestration.

“We are proud to continue our partnership with Fluor Corporation and to serve what we view as a significant, urgent and ongoing need for a variety of aviation services work in Afghanistan," said Udo Rieder, Chief Executive Officer of Erickson. "Specific visibility into this demand throughout 2013 is significantly improved, and we are now intently focused on utilizing our diverse fleet of fixed and rotary wing aircraft to provide solid execution on these critical missions.

“This contract extension for our work with Fluor also follows our recently announced contract extension with USTRANSCOM. Taken together, the combined revenue potential available under these contracts is in excess of $125 million, constituting a significant percentage of the annualized revenue contribution that we have planned for Afghanistan, and is consistent with our own expectations.”

FMI: www.ericksonaircrane.com

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