CPI Aerostructures, Inc. (NYSE MKT: CVU) has entered into a long term, strategic supply agreement with Pittsburgh-based PPG (NYSE: PPG) to supply consumable products in a vendor managed inventory (VMI) operating model, the company said.
Under the agreement, PPG will be responsible for all purchasing, inventory management and logistics for consumable materials, such as paints, sealants, adhesives and lubricants in accordance with CPI Aero´s planned consumption rates through December 31, 2019. PPG also will employ a full-time worker at CPI Aero´s facility, who will be responsible for inventory management.
PPG develops and delivers paints, coatings and materials in more than 70 countries and reported net sales of USD14.8 billion in 2015.
CPI Aero is a US manufacturer of structural assemblies for fixed wing aircraft, helicopters and airborne intelligence surveillance and reconnaissance pod systems in both the commercial aerospace and national security markets.