Mattituck Services to Purchase Southern Avionics and Communications

Mobile, AL, United States, June 24, 2014 – Continental Motors Group Ltd. announced today that its MRO subsidiary, Mattituck Services, Inc. (MSI) will add avionics and aircraft interior maintenance, repair and overhaul capabilities through an agreement to purchase Southern Avionics and Communications Incorporated, which is located in Mobile, Alabama.

Southern Avionics has been a regional leader in avionics sales, installation and service since 1981 and employs 14 full time people at the Brookley Aeroplex located at the Mobile Downtown Airport (KBFM). Through the years, Southern Avionics has serviced aircraft ranging from very
small personal aircraft up to large corporate jets. Its team has experience in maintaining, repairing and upgrading all major avionics products, both analog and digital. The company represents most major avionics manufacturers worldwide through distribution or representative agreements.

MSI, located in Fairhope, AL has been a primary source for general aviation service since 1996 and employs 20 full time people. Mattituck offers a variety of aviation services including overhaul/repair for Continental and Lycoming engines, cylinder overhaul, fuel sales, parts sales, and major aircraft repairs.

“We are delighted at the opportunity to work with the Southern Avionics team. By combining the skills of both Mattituck and Southern Avionics, we will better serve the needs of the general aviation community,’ said Rhett Ross, Director, Continental Motors Group and Vice President, AVIC International.

Tom Greer, the President of Southern Avionics and Communications added. “This is a great opportunity for Southern Avionics customers to get one-stop shopping for all their aircraft needs. And for our employees, this represents a great growth opportunity with one of the most exciting
OEMs in the industry today.”

The acquisition represents a strategic opportunity for the Continental Motors Group to expand its MRO offerings through the complimentary combination of the existing MSI and Southern Avionics businesses and to explore opportunities to expand its service presence at the rapidly growing Mobile Downtown Airport located at the Brookley Aeroplex. Southern Avionics’ current facility is strategically located adjacent to the Airbus Final Assembly Line and offers CMG opportunities to extend its business in pilot training, fuel services, avionics services, wiring harnesses, and specialty aviation manufacturing. As Airbus’ final assembly line comes alive, it is expected that extensive growth in local business and flight operations will occur.

The transaction is expected to close in the third quarter of 2014. The acquisition of Southern Avionics and Communications Inc. is subject to customary closing conditions including clearance under the Hart- Scott-Rodino Antitrust Improvements Act and by the United States
Government’s Committee on Foreign Investment in the United States (CFIUS).