TPAC:News ,, Trans-Pacific Aerospace Company, Inc. Receives Tax Exempt Status from China
Trans-Pac Aerospace (OTCBB:TPAC) Intraday Stock Chart Today : Tuesday 18 January 2011 Trans-Pacific Aerospace Company, Inc. (OTCBB: TPAC) announced today that its China enterprise has received a special five-year corporate tax exemption from Guangdong Province.
"Most foreign companies are required to do business in China for at least 10 years and pass a laundry list of parameters before they can even ask for concession like this," said Bill McKay, Trans-Pacific Aerospace CEO. "Even then, the tax burden that is typically granted is for only two years. What makes us different is that we make something that no other manufacturer in China can make."
Trans-Pacific Aerospace Company's self-lubricating spherical bearings can be used in both new commercial aircraft and spares for the existing commercial fleet.
In a recent interview with Xinhua, Boeing-China President David Wang said with over 6,000 Boeing airplanes "flying with major components made in China," China now accounts for an "essential part" of Boeing's capability to manufacture first-class aircraft. "Airplanes cannot fly with one part missing. We have many sole source suppliers in China that are an integral part of our manufacturing system," said Wang, who also serves as vice president of international relations of The Boeing Company, the world's largest aerospace manufacturer. Trans-Pacific Aerospace is currently in the process of qualifying its Guangzhou China manufacturing facility and is producing test parts which will be subsequently submitted to the U.S. Navy for certification.
About Trans-Pacific Aerospace (TPAC)
Trans-Pacific Aerospace designs, engineers and manufactures self-lubricating spherical bearings for commercial aircraft, with planned product extensions using similar proprietary technology into maritime, power plant and space applications. Through its ownership in Godfrey (China), Ltd., it has a special operating license granted by China's Ministry of Science and Technology. Godfrey has completed prototype manufacturing and testing in China and the United States and is pursuing SAE parts qualification of its facility in Guangzhou, China.
Information About Forward-Looking Statements
This press release contains or incorporates by reference “forward-looking statements” including certain information with respect to plans and strategies of Trans-Pacific Aerospace Company, Inc. For this purpose, any statements contained herein or incorporated herein by references that are not statements of historical fact may be deemed forward looking statements. Without limiting the foregoing, the words “believes,” “suggests,” “anticipates,” “plans,” “expects,” and similar expressions are intended to identify forward-looking statements. There are a number of events or actual results of Trans-Pacific Aerospace Company, Inc. operations that could differ materially from those indicated by such forward-looking statements.
Trans-Pacific Aerospace Company, Inc. (OTCBB:TPAC) TPAC progressive growth activities which could substantially increase earnings and near-term prospects in both China and the U.S. could cause the stock to "outperform...and enjoya monopolistic hold in a growth industry."
And further tests show that its proprietary commercial aircraft parts surpassed minimum qualification requirements imposed under the qualification specification SAE-AS81820.... "The bearings were subjected to 10,000 lb. loads for 25,000 cycles at both ambient and high temperature ranges," said Bill McKay, Trans-Pacific Aerospace CEO. "The test program is identical to Navy qualification tests, and since we will be producing test parts in China using the same components and tooling, we are highly confident we will get similar results for our products made in China."
Later, TPAC announced that " The company expects qualification approval from the Navy on or about May 1, 2011."
Top 4 Recent Developments for TPAC
#1. TPAC was Given a BULLISH Rating by Zack’s Equity Research
“We [Zacks] feel the stock will outperform as TPAC hits its testing and performance goals and enjoys a monopolistic hold in a growth industry,” said Zacks.
According to the report, growth in China is two-fold: First, the number of planes in China is expected to jump from 1,256 today to 4,330 over the next 20 years. With 3,000 spherical bearings on each plane the market is substantial. Second, the offsets or obligations that original equipment manufacturers (OEMs) such as Boeing and Airbus owe China are approximately $16 billion. There are currently no manufacturers of spherical bearings in China.
#2. TPAC was Awarded Access China’s Growing Aviation Market.
With the recent news of China's desire to reshape the global aviation industry by manufacturing its own large commercial aircraft and build 70 airports by 2020, the opportunity for Trans-Pacific Aerospace is MASSIVE.
#3. TPAC Appoints Alex Kam, Ray Kwong and Peter Liu to Board of Directors According to management, "together with Greg Archer and Kevin Gould, the board is now fully comprised of aerospace and China business veterans, whose guidance, we believe, is sure to enhance company performance."
#4. TPAC Completes Successful Bearing Wear Tests Last month, TPAC announced that its self-lubricating liner system and bearings have successfully completed wear testing at Independent Testing Laboratories in Costa Mesa, California, surpassing minimum qualification requirements imposed under the qualification specification, SAE-AS81820. Engineering and quality control staff will depart for China shortly, with production beginning on January 1, 2011. Qualification test parts will be submitted to Independent Testing Laboratories for first-pass testing in February, and to the Navy in mid-March.
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