Comtech Telecommunications Corp. Receives $27.5 Million Blue Force Tracking Contract Ceiling Increase and Provides BFT Contract Update
February 25, 2010 at 1:10 PM EST
MELVILLE, N.Y., Feb 25, 2010 (GlobeNewswire via COMTEX News Network) -- Comtech Telecommunications Corp. (Nasdaq:CMTL) announced today that its Maryland-based subsidiary, Comtech Mobile Datacom Corporation, received a $27.5 million ceiling increase to its Blue Force Tracking ("BFT-1") program contract with the U.S. Army. The total contract ceiling for its current BFT contract is now $243.5 million and expires December 2011.
Since our BFT contract was previously near its ceiling limit, the ceiling increase enables Comtech to continue to provide uninterrupted satellite airtime capacity as well as communications equipment and network management services, and related support for FBCB2-BFT, a battle command real-time situational awareness command and control system.
Fred Kornberg, President and Chief Executive Officer of Comtech Telecommunications Corp., said, "We are extremely pleased to receive this BFT contract ceiling increase and we are encouraged that there will be future contract ceiling increases under our existing BFT contract to continue to provide a full spectrum of equipment and satellite airtime and services required to meet the BFT program's needs. We believe this action demonstrates the critical role that our BFT technology plays within the Department of Defense's logistics and war fighter communities."
Mr. Kornberg added, "We continue to respond to the U.S. Army's competitive BFT-2 proposal process and believe that our BFT-2 solution provides the U.S. Army a unique ability to seamlessly transition from our current BFT-1 solution to our BFT-2 solution by offering a staged upgrade cycle that eliminates the risk of network disruption while minimizing the costs of operating two different networks during a challenging budget environment."
Comtech's BFT-2 solution has been tested and is ready for field deployment and specifically addresses the U.S. Army warfighters' challenging mobile environment. Comtech's BFT-2 solution integrates leading edge antenna, signal processing and waveform technologies while at the same time providing full backward compatibility with the more than 100,000 first generation Comtech-designed BFT-1 satellite transceivers previously deployed.
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, mobile data communications and RF microwave amplifiers. 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.