Northstar Aerospace, Inc. to Evaluate Strategic Alternatives

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CHICAGO, Nov. 15 /CNW/ - Northstar Aerospace, Inc. ("Northstar") announced today that a Special Committee has been appointed by its Board of Directors to explore and evaluate strategic alternatives for the Company.  The Special Committee intends to undertake a thorough exploration of the full range of alternatives to enhance shareholder value and has retained Harris Williams & Co. to serve as its financial advisor. 

Mr. Gordon Flatt, Chairman of the Special Committee to Northstar's Board of Directors, said, "We believe that this is an opportune time for Northstar to explore alternatives for enhancing shareholder value.  However, as we participate in this process, we will continue to focus on the long-term initiatives and operating strategies previously identified to ensure continued growth opportunities for the Company."

There is no defined timeline for the strategic review and there can be no assurance that the review of strategic alternatives by the Special Committee will result in any specific transaction.  The Company does not intend to comment further regarding the evaluation of strategic alternatives, unless a specific transaction or process is concluded, or it otherwise deems further disclosure is appropriate or required. 

Northstar Aerospace, Inc. (www.nsaero.com) is North America's leading independent manufacturer of flight critical gears and transmissions.  Northstar is a public company (TSX:NAS) with operating subsidiaries in the United States and Canada.  Its principal products include helicopter gears and transmissions, accessory gearbox assemblies, rotorcraft drive systems and other machined and fabricated parts.  It also provides maintenance, repair and overhaul of transmissions and drive systems.  The Company's executive offices are located in Chicago, Illinois.  Its plants are located in Chicago, Illinois; Phoenix, Arizona; Anderson, Indiana; and Milton and Windsor, Ontario.

Forward Looking Statements

This press release contains forward-looking statements that are subject to risks and uncertainty. All statements, other than statements of historical facts included in this press release, including, without limitation, those regarding the Company's financial position, business strategy, objectives of management for future operations, and certain other items may be or include forward-looking statements. Forward-looking information contained herein is based upon a number of assumptions regarding the Canadian, U.S. and global economic environment, and local and foreign government policies and actions. Actual future results of the Company may differ materially depending on a variety of factors, including production rates, timing of product deliveries, Canadian, U.S. and foreign government activities, volatility of the market for the Company's products and services, worldwide political stability, factors that result in significant and prolonged disruption to commercial air travel worldwide, U.S. military activity, domestic and international economic conditions, and other political and economic risks, including currency risks, and uncertainties. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to have been correct. Important factors that could cause actual results to differ materially from the Company's expectations ("Cautionary Statements"), are included in the Company's Consolidated Financial Statements for the Years Ended December 31, 2009 and 2008 - Management's Discussion and Analysis - Risks and Uncertainties, and in the Company's Annual Information Form filed on March 31, 2010, under the heading of Risks and Uncertainties. All information contained in this press release and subsequent written and oral forward-looking statements attributable to the Company or persons acting on behalf of the Company are expressly qualified in their entirety by the Cautionary Statements. The Company disclaims any intentions or obligation to update or revise any forward looking statements or comments as a result of any new information, future event or otherwise, unless such disclosure is required by law.

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For further information:

Craig Yuen, Chief Strategy Officer,
Vice President Strategic Planning and Implementation
[phone] or [email protected]