Orbit International Receives Additional Release against IDIQ Multi-Year Contract from U.S. Army Communications Electronics Command; Follow-on Order of $620,000; Total Contract Could Exceed $5 Million.HAUPPAUGE, N.Y. -- Orbit International Corp. (Nasdaq:ORBT), a military defense electronics supplier, today announced that it had received additional orders in excess of $620,000 released against an existing firm fixed price indefinite delivery/indefinite quantity (IDIQ IDIQ Indefinite Delivery, Indefinite Quantity (contracting/procurement) ) multi-year contract from the U.S. Army Communications Electronics Command (CECOM CECOM Communications Electronics Command (US Army) CECOM National Center for Communications of the Civil Protection Agency ), Fort Monmouth Fort Monmouth is a United States Army installation in Eatontown, Tinton Falls and Oceanport, New Jersey, and about one mile from the Atlantic Ocean. The base covers nearly 1,126 acres of land, from the Shrewsbury River west to Route 35, called Main Post. , NJ. The follow-on order, for the manufacture and delivery of Radar Display Modern radar systems typically use some sort of raster scan display to produce a map-like image. In the past, notably during the early days of radar development, such displays were difficult to produce for a number of reasons. Units (RDUs), supports ongoing U.S. Army and Marine Corps Firefinder Program requirements. Deliveries under this latest release are expected to commence in the third quarter of 2006 and continue through the fourth quarter of 2006. This current IDIQ contract provides Radar Display Units pricing to meet anticipated U.S. Army TPQ TPQ Threshold Planning Quantity TPQ Tridimensional Personality Questionnaire TPQ Terminus Post Quem (archaeology) TPQ Tepic, Nayarit, Mexico (Airport Code) TPQ Total Product Quality 36/37 and Marine Corps TPS-59 system requirements To be used efficiently, all computer software needs certain hardware components or other software resources to be present on a computer system. These pre-requisites are known as (computer) system requirements and are often used as a guideline as opposed to an absolute rule. of up to 100 units annually for a period of five years. The Company has previously delivered approximately 270 RDUs valued at approximately $2,850,000 to U.S. Government procurement Government procurement, also called public tendering, is the procurement of goods and services on behalf of a public authority, such as a government agency. With 10 to 15% of GDP in developed countries, and up to 20% in developing countries, government procurement accounts agencies. If the current IDIQ contract is fully exercised, the award would exceed $5,000,000 for the period ending August, 2008. The contract includes an option provision to extend the RDU RDU Remote Display Unit RDU Rassemblement pour la Démocratie et l'Unité (French: Rally for Democracy and Unity, Mauritania) RDU Reasonable Drivers Unanimous RDU Remote Diagnostic Unit (Bendix ABS) requirement, subject to revised/updated firm fixed prices for additional Radar Control Radar control is a method of providing air traffic control services with the use of radar. The provision of air traffic control services without the use of radar is called procedural control. Firefinder Display requirements. The RDU provides artillery battalions with small, lightweight, highly mobile radar sets capable of detecting weapon projectiles launched at any angle over 360 degrees of coverage. Upon projectile projectile something thrown forward. projectile syringe see blow dart. projectile vomiting forceful vomiting, usually without preceding retching, in which the vomitus is thrown well forward. detection, the weapon location is computed and is used to direct counter fire with precise accuracy. Dennis Sunshine, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Orbit, commented, "Since the contract for these RDU units included an expedited delivery schedule, it appears that the TPQ 36/37 and TPS-59 systems have been extremely successful by providing our troops in current battlefield conflicts with accurate positioning information that locates and eliminates hostile mortars within any short-to-medium range enemy positions." Mr. Sunshine added, "This multi-year agreement provides both branches of the military with firm fixed prices for critical RDU requirements for a period of five years. Although this latest award is part of an Indefinite Delivery/Indefinite Quantity contract, we expect that our customer will exercise the total quantities under the current contract and then have additional requirements beyond 2008. If this IDIQ contract is fully exercised, it would contribute in excess of approximately $2,000,000 in additional revenue through August 2008." Orbit International Corp. is involved in the manufacture of customized electronic components and subsystems for military and nonmilitary government applications through its production facilities in Hauppauge, New York Hauppauge (pronounced /hɔpɔg/) is a hamlet in the Town of Islip and the Town of Smithtown in Suffolk County, New York, United States. and Quakertown, Pennsylvania. Its Behlman Electronics, Inc. subsidiary manufactures and sells high quality commercial power units, AC power sources, frequency converters, uninterruptible power supplies and associated analytical equipment. The Behlman military division designs, manufactures and sells power units and electronic products for measurement and display. For a more detailed discussion of the risks inherent in the Company's business, the reader is referred to the Company's Annual Report on Form 10-KSB for the fiscal year ended December 31, 2004. This press release contains forward-looking statements, within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including the expected delivery dates of new contracts, the potential of the Company's customer procuring any or all remaining units under the IDIQ contract, the potential of the award exceeding $5,000,000 over the five year period for the Company if the IDIQ contract is fully exercised and the customer having additional contract requirements beyond 2008. These forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause the actual future results of the Company to be materially different from such forward looking statements. Factors that might result in such differences include, without limitation, the current economic climate and military conflicts, variable market conditions and changing needs of the defense sector and the Company's customers. The forward-looking statements contained in this press release speak only as of the date hereof. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company's reports and registration statements filed with the Securities and Exchange Commission. |
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