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Comtech Telecommunications Corp. Receives a $77 Million Contract for Digital Communications Equipment; Contract Represents Largest Individual Award in the Company's History

MELVILLE, N.Y., Sep 20, 2004 (BUSINESS WIRE) -- Comtech Telecommunications Corp. (Nasdaq: CMTL) announced today that it has received a $77 million contract from a major U.S. prime contractor. The end customer is a foreign government. The contract was awarded to Comtech's Orlando, Florida - based subsidiary, Comtech Systems, Inc.

Comtech Systems will design, manufacture and install a wide range of telecommunications equipment for the end user's communications system. The system will include Comtech System's digital troposcatter over-the-horizon microwave terminals, line-of-sight microwave radio terminals and Comtech EF Data's satellite earth station equipment with Comtech Vipersat time division multiple access software. In addition, Comtech Systems will design and integrate a backup communications system using UHF/VHF and HF radios. Performance on this contract will occur over a three-year period.

Provided in the over-the-horizon microwave terminals will be Comtech Systems' proprietary 5 Ghz fully synthesized, quadruple space and frequency diversity, digital troposcatter radio, with its 8 Mbs digital adaptive modem. Additionally, the terminals will be equipped with Comtech Systems' proprietary transmit power control equipment, which automatically controls transmitted power to prevent the interception of a transmitted signal by hostile listeners and eliminates interference with other communication systems, and a fiber optic interconnect system. Included in the line-of-sight terminals will be Comtech Systems' frequency tunable, low density 34 Mbs microwave radios which can be automatically field configured in hot standby, space or frequency diversity configurations.

Commenting on this award, Fred Kornberg, President and Chief Executive Officer of Comtech Telecommunications Corp., said, "This contract award, which represents the largest individual award in Comtech's history, is a significant validation of our dominant presence in the over-the-horizon microwave market. Although this contract includes various communication technologies, our leadership position in the over-the-horizon microwave area was the key to this win. The award will significantly increase our backlog and provide a strong revenue base for this product line during the next few years."

Comtech Systems, Inc. (www.comtechsystems.com) specializes in system design, integration, supply and commissioning of turnkey communication systems including over-the-horizon microwave, line-of-sight microwave and satellite.

Comtech Telecommunications Corp. designs, develops, produces and markets innovative products, systems and services for advanced communications solutions. The Company conducts its business through three complementary segments: telecommunications transmission, mobile data communications, and RF microwave amplifiers. The Company offers niche products, systems and services where it believes it has technological, engineering, systems design or other expertise that differentiate its product offerings.

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.

Comtech Telecommunications Corp.
Fred Kornberg, President and Chief Executive Officer
Robert G. Rouse, Chief Financial Officer
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