CPI Aerostructures, Inc. Announces Settlement with SEC

Core Viewpoint - CPI Aerostructures, Inc. has reached a settlement with the SEC regarding the restatement of financial statements for fiscal periods from January 1, 2018, to December 31, 2022 [1] Group 1: Settlement Details - The company has agreed to a cease-and-desist order without admitting or denying the findings related to specific sections of the Securities Exchange Act of 1934 [7] - As part of the settlement, the SEC considered the remedial actions taken by the company, including the remediation of all identified material weaknesses and the revision of its Sarbanes-Oxley compliance program [8] Group 2: Compliance and Remediation - The company has committed to fully remediating its material weakness in internal control over financial reporting (ICFR) and to have effective ICFR and disclosure controls and procedures (DCP) by December 31, 2024 [2] - The company will publicly disclose its compliance status in its 2024 Annual report on Form 10-K, and failure to comply may result in a civil monetary penalty of $400,000 due to the SEC by June 30, 2025 [2] Group 3: Company Commitment - The CEO of CPI Aero expressed satisfaction with the settlement, highlighting the company's cooperation with the SEC and the effectiveness of the corrective measures implemented [3] - The company has made significant progress in improving its policies, procedures, and internal controls over financial reporting [3]