Comtech Receives Million-dollar Contract for Over-the-horizon Microwave Telecom System.

Business & High Tech Editors

MELVILLE, N.Y.--(BUSINESS WIRE)--Aug. 28, 2001

Comtech Telecommunications Corp. (Nasdaq: CMTL)

- Repeat Order From Unit of Global Conglomerate

- For Offshore Oil Platforms in Southeast Asia

Comtech Telecommunications Corp. (Nasdaq: CMTL) announced today that it has received a contract valued at more than $1 million to provide a digital over-the-horizon microwave communication system for a Southeast Asian oil company that is a subsidiary of a multi-billion-dollar global conglomerate.

Under the contract, which was awarded to Comtech's Florida-based Comtech Systems Inc. subsidiary, the company will design and deliver a system to be installed on two offshore oil pumping and collection stations. The system will be used to carry both voice and data traffic of up to eight megabits.

Fred Kornberg, chairman and chief executive officer of Comtech Telecommunications, said the company was selected to receive this contract because it has recently designed and installed two similar systems for the same customer and is established as a leading supplier of digital over the horizon microwave equipment.

"When amortized over the life of the system, over-the-horizon microwave communications systems operating at the same data rates are very competitive with satellite systems because they bounce signals off a layer of the earth's troposphere and do not carry the additional leased cost of a satellite transponder, "Mr. Kornberg said. "This often makes them ideal for communications over unfriendly terrain or to offshore oil platforms. Comtech is becoming known around the world as a provider of field-proven systems that give customers exactly what they need and do so cost-effectively."

Richard Burt, president of Comtech Systems, said the power control system being provided under the contract will reduce the possibility of frequency interference and also provide automatic control of the transmitted power from the high-powered amplifiers. Comtech's patented 8Mbs adaptive S-575 Digital Modem will be used in conjunction with the company's radio equipment, power control monitoring equipment, and antenna systems.

"Telecommunications is vital to both the operational needs and the safety of offshore oil platforms, and therefore it's gratifying to receive repeat business from leading companies in the oil industry," Mr. Burt said.

Comtech Systems Inc., (www.comtechsystems.com) an Orlando, Florida based company, specializes in system design, integration, supply and commissioning of turnkey communication systems including satellite, over-the-horizon microwave troposcatter and line of site microwave systems.

Comtech Telecommunications Corp.(www.comtechtel.com) is an innovative player in the domestic and global high-technology markets. Through its operating units, Comtech pursues opportunities in three interrelated market segments: telecommunications transmission, RF microwave amplifiers, and mobile data communications services. In each of these segments, growth is driven by increasing demand for telecommunications infrastructure and network and messaging services. The company's specialties include the design and manufacture of advanced products and networks used for transmission of voice, data and video using satellite, over-the-horizon microwave, terrestrial line of sight and other wireless communications systems. More than 275 distinct Comtech products are in service in more than 100 countries.

Certain information contained herein contains forward-looking statements, including but not limited to, information relating to the future performance and financial condition of the Company, the plans and objectives of the Company's management and the Company's assumptions regarding such performance and plans that are forward-looking in nature and involve certain significant risks and uncertainties. Actual results could differ materially from such forward-looking information. Included among the factors which might cause such results to differ are: among others, the Company's mobile data communications business being in a developmental stage; our inability to keep pace with rapid technological changes; the highly competitive nature of our markets; our dependence on international sales; and other risk factors detailed in the company's Form 10-K and other cautionary statements contained in the Company's Securities and Exchange Commission filings.