Comtech Telecommunications Corp. Receives $16.6 Million of Orders to Support the U.S. Army's Movement Tracking System and Blue-Force Tracking-1 Programs
MELVILLE, N.Y., Jan. 3, 2012 (GLOBE NEWSWIRE) -- Comtech Telecommunications Corp. (Nasdaq:CMTL) announced today that its Maryland-based subsidiary, Comtech Mobile Datacom Corporation, received multiple orders totaling $16.6 million to support the U.S. Army's Movement Tracking System ("MTS") and Blue-Force Tracking-1 ("BFT-1") programs. These orders were placed under the auspices of the BFT program office and brought the total orders received to-date under Comtech's $384.0 million BFT-1 contract to $378.2 million.
The first order for $12.0 million included the supply of MT-2012 mobile satellite transceivers to support the MTS program and MT-2011 mobile satellite transceivers to support the BFT-1 program. The second order was for the continued supply of satellite bandwidth, satellite network operations, engineering services and program management to support the MTS program for the period January 1, 2012 through March 31, 2012. Pricing for the second order has not yet been finalized with the U.S. Army and related funding cannot exceed $4.0 million. Additional orders aggregating approximately $0.6 million primarily related to engineering services to develop an operational interface between the MTS network and a standard FBCB2 protocol currently being used by the BFT-1 system.
None of the above orders included a separate fee for the use of Comtech's intellectual property. Comtech continues to have ongoing discussions with the U.S. Army related to a potential multi-year sustainment contract including the licensing of its intellectual property to support the BFT-1 and MTS programs.
Fred Kornberg, President and Chief Executive Officer of Comtech Telecommunications Corp., said, "We are pleased to receive these orders which provide for the uninterrupted delivery of MTS services to the U.S. Army and which continues our long standing support of the MTS and BFT-1 programs. We also believe the receipt of additional hardware orders demonstrates the ongoing importance of the U.S. Army's BFT-1 and MTS satellite tracking communication systems which currently support deployed U.S. forces worldwide."
Comtech Mobile Datacom Corporation, a Germantown, Maryland-based company, is engaged in the provision of satellite-based packet data communication systems and location and messaging services through the use of advanced communication and network technology. To learn more about Comtech Mobile Datacom, please visit the company's website at www.comtechmobile.com.
Comtech Telecommunications Corp. designs, develops, produces and markets innovative products, systems and services for advanced communications solutions. The Company believes many of its solutions play a vital role in providing or enhancing communication capabilities when terrestrial communications infrastructure is unavailable, inefficient or too expensive. The Company conducts business through three complementary segments: telecommunications transmission, RF microwave amplifiers and mobile data communications. The Company sells products to a diverse customer base in the global commercial and government communications markets. The Company believes it is a market leader in the market segments that it serves.
Certain information in this press release contains statements that are forward-looking in nature and involve certain significant risks and uncertainties. Actual results could differ materially from such forward-looking information. The Company's Securities and Exchange Commission filings identify many such risks and uncertainties. Any forward-looking information in this press release is qualified in its entirety by the risks and uncertainties described in such Securities and Exchange Commission filings.
CONTACT: Media Contact:
Michael D. Porcelain, Senior Vice President
and Chief Financial Officer
Source: Comtech Telecommunications Corp.
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