Lockheed Martin Canada Inc., a wholly owned subsidiary of Lockheed Martin Corporation (NYSE: LMT), announced that it has entered into an agreement to purchase certain assets of the engine maintenance, repair and overhaul (MRO) business of Aveos Fleet Performance, Inc., located in Montreal, Canada.

Terms of the agreement were not disclosed and are not material to Lockheed Martin. The closing of the transaction is subject to customary conditions.

"This acquisition is consistent with our strategy of acquiring capabilities that enhance our ability to expand into attractive adjacent market opportunities," said Lockheed Martin CEO and President Marillyn Hewson. "We look forward to expanding our corporation's presence in Canada, and plan to begin engine MRO operations for commercial and military customers later this year."

The engine MRO assets provide capabilities to perform a complete range of services on the CF34 and CFM56 engine families, which include engines that power the regional Embraer and Canadian RJ jets and the Airbus 320 family, respectively. The facility will be named Kelly Aviation Center Montreal, a Lockheed Martin Canada company, and become part of Lockheed Martin Aeronautics' engine MRO line of business, which includes Kelly Aviation Center, a Lockheed Martin affiliate based in San Antonio, Texas.

"This expansion into the commercial engine maintenance, repair and overhaul industry is a natural progression of our strategy to grow our business," added Lockheed Martin Aeronautics Executive Vice President Larry Lawson. "By leveraging the commercial strengths of our existing Aeronautics team at Kelly Aviation Center in San Antonio, we can build on natural synergies that exist to provide innovative MRO offerings that will benefit our customers."

"We will immediately realize the benefit of this acquisition because we plan to hire a number of the highly skilled former Aveos employees to support our MRO operations in Montreal," continued Lawson.

Lockheed Martin Canada has more than 700 employees at facilities in Ottawa, Montreal, Dartmouth andCalgary, as well as Department of National Defence sites across the country, and is a leader in the delivery and integration of naval combat systems, radar platforms, avionics, electronic warfare, data fusion and performance-based logistics.
Headquartered in Bethesda, Md., Lockheed Martin is a global security and aerospace company that employs about 120,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The corporation's net sales for 2011 were $46.5 billion.