IAI Board Approves Consolidation of three Business Groups into a Single Aviation Group

December 28 2017- Israel Aerospace Industries (IAI), board of directors chaired by Harel Locker, approved IAI's CEO& President, Joseph Weiss proposal to implement a structural transformation. The main initiative implemented under the transformation is the establishment of a single aviation group for all of IAI's aviation businesses. Currently, IAI is structured in six independent groups, each with turnover of several $ hundreds of millions. The new group will focus on four business lines: aircraft development and manufacturing; development and production of aviation assemblies; aircraft conversion and enhancement; and aircraft maintenance. Yossi Melamed, Executive Vice President & General Manager of Bedek Aviation Group was named General Manager of the new group.

IAI exports most of its produce, which is estimated at approx. $4 billion a year. The new structure will be organized according to business lines, as customary in similar leading corporations. Under the new structure, IAI will be better positioned to reinforce existing synergies between its various operations and will lead to significant operational streamlining, including coming out of existing unprofitable lines of business.