Comtech Telecommunications Corp. Receives 50-Day MTS Contract Extension with a $45 Million Ceiling Increase. Comtech Expects to Negotiate a New, 3-Year IDIQ Contract.
July 5, 2007 at 12:00 AM EDT
MELVILLE, N.Y., Jul 05, 2007 (BUSINESS WIRE) -- Comtech Telecommunications Corp. (NASDAQ:CMTL) announced today that its subsidiary, Comtech Mobile Datacom Corporation, received a contract modification to its Movement Tracking System, or MTS contract, with the U.S. Army, extending the period of performance through August 31, 2007 and increasing the contract ceiling from $418.2 million to $463.2 million, a $45 million increase. Total orders received to date against the MTS contract are $398.7 million.
Fred Kornberg, President and Chief Executive Officer of Comtech Telecommunications Corp., said, "We are very pleased to continue our support of this program and of the U.S. Army's logistics community. Additionally, we expect our team to work closely with the MTS program office and its acquisition specialists during this extension period to negotiate and finalize a new 3-year indefinite delivery/indefinite quantity (IDIQ) contract as announced by the U.S. Army's Contracting Office in its Presolicitation Notice in May 2007."
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 or ineffective. 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.
SOURCE: Comtech Telecommunications Corp.
Robert G. Rouse, 631-962-7000
Executive Vice President and Chief Operating Officer