Orbit International Receives Follow-on Contract from NAVICP for Color Plasma Entry Panels
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Potential for Retrofit Program Could Exceed $20 Million HAUPPAUGE, N.Y.--(Business Wire)-- Orbit International Corp. (NASDAQ:ORBT), a defense electronics manufacturer, systems integrator and software solution provider today announced that its Electronics Group had received a follow-on contract in excess of $300,000 from the U.S. Naval Inventory Control Point (NAVICP), Mechanicsburg, PA. for the manufacture of its Color Plasma Entry Panels (Color PEP). The Color PEPs were designed to replace older Orbit Plasma Entry Panels currently supporting UYQ-21 Naval console requirements. Deliveries under this contract are expected to commence in the second quarter 2009 and be completed by the third quarter 2009. The contract from NAVICP represents the second award for the Color PEP that was specifically designed as a low cost, enhanced capability end-of-life replacement for the legacy Plasma Entry Panels originally designed by Orbit. The new Color PEPs, once installed, significantly upgrades the functionality and capabilities of all UYQ-21 consoles for U.S. and foreign fleet service. These Color PEPs will continue to support a replacement program funded for the purpose of removing hardware that is too costly to repair or refurbish, and provide state-of-the-art hardware with enhanced capabilities as form fit replacements for the UYQ-21 consoles on board most U.S. Naval surface ships. Dennis Sunshine, Orbit`s President and Chief Executive Officer, commented, "Our older Plasma Entry Panels, initially designed, and installed since 1982, continue to support computer display systems for UYQ-21 Naval Surface shipboard fleet requirements as well as land based test facilities. Over the years, we have shipped in excess of 3,500 Plasma Entry Panels to a number of prime defense electronic contractors, including, Hughes Aircraft Company, Raytheon Company, DRS, Lockheed Martin, and directly to Naval Procurement Offices supporting UYQ-21 console testing facilities. These units have had a successful history of providing each console operator with critical real time data for the Command Information and Control Room, as well as the Fire Control areas, for all U.S. Naval Cruisers, Destroyers, and Fleet Carriers utilizing the UYQ-21 console systems." Sunshine added, "Management believes that the UYQ-21 system still plays a critical role on a significant number of Naval platforms displaying command and control situations, operating in real time, utilizing computer generated radar and sonar graphics, while providing a host of solutions for each console operator. Once a solution for any combat situation is displayed, the UYQ-21 system is locked into multiple mission solutions, and activates designated fire control responses without further operator assistance." Sunshine concluded, "Since all of the UYQ-21 consoles currently on board each ship will remain operational, the replacement initiative of providing more technology for less dollars is clearly aligned with the policies announced by the current administration. Since the Color PEP replacement of the critical, yet aging existing Plasma Entry Panels is now available at a low cost, enhanced solution, our Company has the potential to replace these older units for the navies of the U.S., Spain, and Japan. The CG-47 Ticonderoga class AEGIS cruisers, DDG-51 Arleigh Burke class AEGIS destroyers, and the FFG-7 Oliver Hazard Perry class frigates are just some of the U.S. surface vessels equipped with the UYQ-21 system. Based upon the number of older units that have been embedded and operational for up to 27 years, we view this Color PEP replacement program as a major business opportunity with the potential to generate $20 million of future revenue." 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, and Quakertown, Pennsylvania; and designs and manufactures combat systems and gun weapons systems, provides system integration and integrated logistics support and documentation control at its facilities in Louisville, Kentucky. 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. Certain matters discussed in this news release and oral statements made from time to time by representatives of the Company including, but not limited to, statements regarding any acquisition proposal and/or the potential sale of the Company and whether such proposal or a strategic alternative thereto may be considered or consummated; statements regarding our expectations of Orbit`s operating plans, deliveries under contracts and strategies generally; statements regarding our expectations of the performance of our business; expectations regarding costs and revenues, future operating results, additional orders, future business opportunities and continued growth, may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the Federal securities laws. Although Orbit believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. Forward-looking information is subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected. Many of these factors are beyond Orbit International's ability to control or predict. Important factors that may cause actual results to differ materially and that could impact Orbit International and the statements contained in this news release can be found in Orbit's filings with the Securities and Exchange Commission including quarterly reports on Form 10-Q, current reports on Form 8-K, annual reports on Form 10-K and its other periodic reports and its registration statement on Form S-3 containing a final prospectus dated January 11, 2006. For forward-looking statements in this news release, Orbit claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Orbit assumes no obligation to update or supplement any forward-looking statements whether as a result of new information, future events or otherwise. Orbit International Corp. Mitchell Binder, 631-435-8300 Executive Vice President www.orbitintl.com or Investor Relations Counsel The Equity Group Inc. Linda Latman, 212-836-9609 Lena Cati 212-836-9611 www.theequitygroup.com Copyright Business Wire 2009
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