California’s Alternative Energy And Advanced Transportation Financing Authority Grants Archer Industry Leading Award For Ramp Of Its Electric Powertrain Facility

• On Tuesday, July 16, 2024, the California Alternative Energy and Advanced Transportation Financing Authority (CAEATFA) approved an award involving sales and use tax exclusion incentives related to Archer’s planned advanced manufacturing project in the State of California
• This award, which is believed to be CAEATFA’s largest to date in the advanced air mobility industry, will support Archer’s planned expansion of its state-of-the-art electric powertrain and aircraft production facilities intended to support its commercialization
• Archer was selected after a highly competitive application process that looked closely at the project’s impact on the environment, its ability to create jobs and stimulate economic activity, and its categorization as a strategic emerging industry

Archer Aviation Inc., a leader in the development of electric vertical takeoff and landing (eVTOL) aircraft, announced today that on Tuesday, July 16, 2024 it received approval from CAEATFA for its ~$117M project covering the planned expansion of its advanced manufacturing facilities in the State of California, including the ramp of its advanced electric powertrain facility as it readies for commercialization. The CAEATFA sales and use tax exclusion is expected to result in ~$10M in benefit to Archer over the next few years.

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Photo: Archer’s high-volume battery pack manufacturing line in San Jose, CA (Photo: Business Wire)

In May of this year, Archer announced the completion of installation of its high-volume battery pack manufacturing line at its facility in San Jose, California. Archer’s facility is designed for high-volume production from day one with the capability of producing up to 15,000 of Archer’s proprietary battery packs per year at full capacity. This facility will produce the battery packs needed to support the ramp up of Archer’s electric aircraft production planned for 2025 and beyond.

“We are proud to receive this award from CAEATFA and represent the cutting-edge of transportation innovation that the State of California is backing,” said Archer founder and CEO, Adam Goldstein. “As a leader in the electrification of aviation, we are working hard to help California meet its most ambitious climate goals.”

“America's global competitiveness is strongest when we embrace innovation into our daily lives,” said Congressman Eric Swalwell. “I applaud Archer’s leadership to draw more cutting-edge businesses to California while creating more jobs for American workers. Archer's advanced electric powertrain solutions will help power the future of sustainable aviation. I look forward to seeing the next groundbreaking discoveries from them here in our State.”

Archer’s goal is to transform urban travel, replacing 60–90-minute commutes by car with estimated 10–20-minute electric air taxi flights that are safe, sustainable, low noise, and cost-competitive with ground transportation. Archer’s Midnight is a piloted, four-passenger aircraft designed to perform rapid back-to-back flights with minimal charging time between flights.

About Archer

Archer is a leader in the electrification of aviation. We are designing and developing the key enabling technologies and aircraft that are necessary to power the next great transportation revolution. Our goal is for our proprietary technology to deliver unprecedented connectivity to the people and places across the most congested cities in the world. To learn more, visit www.archer.com.

Forward-Looking Statements

This press release contains forward looking statements regarding Archer’s future business plans, including statements regarding its aircraft performance, production volume and expansion of its manufacturing facilities, and the timing of Archer’s development, commercialization, and certification of its eVTOL aircraft. These forward-looking statements are only predictions and may differ materially from actual results due to a variety of factors. The risks and uncertainties that could cause actual results to differ from the results predicted are more fully detailed in Archer’s filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q, available at www.sec.gov. In addition, please note that any forward-looking statements contained herein are based on assumptions that Archer believes to be reasonable as of the date of this press release. Archer undertakes no obligation to update these statements as a result of new information or future events.

Source: Archer

Text: ArcherIR

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