Last checked at 5 May 2011 07:00
Press Release | 05 May 2011 |
Hardide plc
("Hardide" or "the Group")
Hardide plc announces seven year $3.65 million exclusivity deal
Hardide plc (AIM: HDD), the provider of unique surface engineering technology, is pleased to announce a seven year exclusivity agreement with a leading multibillion dollar blue chip US-based manufacturer of high pressure fluid handling equipment.
The agreement is based on minimum revenues of US$3.65 million over the period and is effective from 25th April 2011. Should revenues drop below an agreed annual minimum, the customer will pay a percentage of the shortfall to retain exclusivity or Hardide will have the option to limit or negate the exclusivity. Hardide will discount any sales generated over the agreed yearly minimum.
The agreement covers Hardide coatings for defined applications of high pressure fluid handling equipment. It will not impact on any other existing sales or customers.
Commenting on the agreement, Dr Graham Hine, Chief Executive Officer of Hardide plc said: "We are extremely pleased with the agreement as it provides for guaranteed income that will facilitate our cash flow and forecasting. It is a major endorsement of the Hardide coating technology to be so firmly embedded with such a leading blue chip customer. It is our strategic aim to develop long term relationships with key customers and this is a well-crafted deal that will provide considerable benefits to both parties."
www.hardide.com
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For further information:
Hardide plc | |
Graham Hine, Chief Executive | Tel: +44 (0) 1869 353 830 |
Jackie Robinson, Corporate Communications | www.hardide.com |
Seymour Pierce Limited | |
Guy Peters | Tel: +44 (0) 20 7107 8000 |
www.seymourpierce.com |
Notes to editors:
Hardide manufactures and applies tungsten carbide-based coatings to a wide range of engineering components. The Group's patented technology provides a unique combination of ultra-hardness, toughness, low friction and chemical resistance in one coating. When applied to components, the technology is proven to offer dramatic cost savings through reduced downtime and extended part life. Customers include leading companies operating in oil and gas exploration and production, valve and pumps manufacturing, general engineering and aerospace.