Trans-Pacific Aerospace Company Inc (OTCMKTS:TPAC) obtained revenue from Woodward Global, Ltd., under the Consulting deal executed between them and Woodward, in September. Revenue received is in advance of the outstanding date stated in the deal. Woodward has deals in above $20 million, for which the company is offering logistics services. In addition, Woodward has LOI for crude oil and gold over $1billion, for which the company would get 22% of the profits.
The expert view
Bill McKay, the CEO of Trans-Pacific Aerospace, reported that they are delighted to get an early payment for the deal. This shows their measures in helping Woodward in its revenue recognition and operations. They expect continued early payments for the reported $2 million base deal, for services provided. Once in China, they can expedite numerous multi-million dollar deals, including contracts for crude oil, food products, machine tools and gold, thus considerably enhancing revenue stream.
They are witnessing a steady increase in potential deals coming out of China. In addition, with the new U.S. Administration, they project progress in Defense spending, which will direct to improved demands for bearings. Bearings are not dependent on “Buy American” provisions, so the company project competing in this industry.
McKay further added that Trans-Pacific Aerospace has offered Woodward with help with strategy and negotiations, they project that company’s continuing measures will lead to increased revenue and productivity. The company’s understanding of and presence in China considerably helps them in negotiations. They are thrilled by this early payment and consider it as an indication of long-term success.
Aerospace firms and lobbying groups welcomed Donald Trump’s presidential win, setting aside concerns that his policies would adversely impact sales, roll back trade deals and shatter global alliances. Defense contractors mainly stand to gain from a Trump presidency, provided his promises to beef up the U.S. military.
In the last trading session, the stock price of Trans-Pacific Aerospace gained over 2% to close the day at $0.00060.