SDG&E Had Purchased The Helicopter In 2009

Erickson Air-Crane said Friday it plans to buy back Sun Bird Aircraft ("Sun Bird") and associated spare parts inventory and accessories from San Diego Gas & Electric Company (SDG&E).

The Sun Bird is an Erickson model S-64F Aircrane that was originally purchased by SDG&E from Erickson Air-Crane in 2009. It will be added to Erickson's existing fleet of aircraft and will allow the Company to meet the growing demand for heavy-lift aerial services in the oil-and-gas and powerline construction sectors.

"We are very pleased to have concluded this important transaction with one of our most valued customers, and we are eager to add this Aircrane to our fleet. The timing of our purchase will allow us to take advantage of market opportunities in 2013 and beyond in the oil-and-gas and powerline construction sectors of our business in South America and elsewhere," said Udo Rieder, President and CEO of Erickson Air-Crane.

In conjunction with the purchase of the aircraft, Erickson Air-Crane entered into an agreement with SDG&E to provide an Aircrane for fire suppression support in San Diego County this Fall. SDG&E has leased the aircraft for a 3-month period from September through November 2012, with an option to renew the lease for the same period each year through 2016. Additionally, as a result of the purchase, the Company is relieved of all obligations from the original purchase of the Aircrane by SDG&E, including the put option under the purchase agreement and the remaining obligations under the Cost Per Hour contract.

(Image from file)

FMI: www.ericksonaircrane.com