VERO BEACH, Fla., December 23, 2008 — Piper Aircraft executives, officials from Indian River County (IRC) and Enterprise Florida met Wednesday (December 17, 2008) to discuss the status of Project Osprey. Piper notified those officials that because of the weakening global economy, the Company will not seek the next payment ($10.667 million -- $4 million from IRC and $6.667 million from the State of Florida) due under the terms of the agreement until business conditions warrant an acceptable time to recommence payments.
Piper also announced that the County and State have conducted internal audits and documented that Piper has met or exceeded all necessary contractual requirements for the first payment. However, in light of the continued worldwide economic decline, Piper, like many other companies, has taken the difficult but necessary steps to remain viable and adjust its business to the reality of a global recession. Piper employs approximately 1,000 employees and currently has an annual payroll of $50 million. Piper feels that its actions will allow it to emerge as a stronger more vibrant Company once the economy revives.
The Company also reaffirmed its commitment to stay in Indian River County and continue to strengthen its ties and contributions to the community. Piper will review the details of Project Osprey activities with the Indian River County Board of Commissioners after the first of the year and greatly appreciates the support of the community and State of Florida.
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Contact: Mark S. Miller
Chief Corporate Spokesperson
(772) 299-2900
Fax: (772) 978-6597
mail to: mark.miller@piper.com
www. piper.com