Wednesday, 30 January 2008

AeroMechanical Appears on BNN with Skyservice Airlines


The president of Canada's third-largest airline told BNN Television viewers he did a lot of research before settling on the technology AeroMechanical Services offers to track, monitor and communicate with each aircraft.
"It's a fantastic upgrade for us," said Rob Giguere, President and COO of Skyservice Airlines on the 'Small Cap" segment of the daily business television show.
Mr. Giguere and AeroMechanical CEO Bill Tempany appeared January 30th at 11:30 a.m.
To view the full interview, please click here.
While operational cost savings through the use of AeroMechanical's technology called afirs were a key factor, Mr. Giguere said increased safety through the technology's ability to broadcast any anomaly in thousands of on-board aircraft functions was the prime motivator in choosing to sign on.
Skyservice is a privately-owned charter airline that has 20 aircraft flying all over the world.
Since land-based radar systems don't cover huge parts of the world, it left Skyservice in the dark as to precisely where each of their aircraft was at any given moment.
With the afirs units on board 13 of the planes now, Mr. Giguere said it was like a night-and-day difference being able to now know precisely where each of those 13 airplanes was, how each is operating and having the ability to talk to each pilot.
And while other competitors claim to make similar products, Mr. Giguere said his due diligence showed that AeroMechanical stood heads above the pack.
Mr. Tempany was asked about Star Navigation's legal and regulatory challenges to AeroMechancial's patents but he dismissed those saying he was confident his company would prevail at the end of the day.
Meanwhile, Brent Todd, an influential Vancouver-based Canaccord broker wrote in a recent newsletter that the market has already priced in to AeroMechanical's stock, the promise of a major deal with a large airline, an aircraft manufacture or the long-awaited enactment of contracts with Chinese airlines.
But none of those major announcements have occurred yet.
AeroMechanical's shares closed at $0.92 after Mr. Tempany's and Mr. Giguere's appearance on BNN.
Mr. Todd wrote that he was telling his clients who could tolerate high risk to buy AeroMechanical shares at prices "below $0.80/share."
"Any one of these (major) announcements would have a very positive impact on (AeroMechanical's) share price," Mr. Todd wrote.
"Without one of these developments, the stock would have a tough time hanging onto its current valuations," he concluded.