TEXT-Magal gets cancellation from Latin American client

(The following was issued by Israel's Magal Security Systems Ltd (MAGS.O) (MAGS.TA)):

Feb 17 - Magal Security Systems Ltd (NASDAQ GMS: MAGS, TASE: MAGS) announced today that although it had a signed an agreement with a large Latin American municipality with respect to the installation of a municipal security command and control system, the project was cancelled.

The cancellation was due to repetitive delays in the transfer of governmental funds.

Mr. Izhar Dekel, CEO of Magal said: "We were disappointed to learn of this cancellation. The cancellation, which was out of our control, resulted from internal bureaucratic procedures that have impacted this project. Nonetheless, we believe that our leading municipal security solution provides an integrated safety and security system that is well suited for the challenging demands of municipalities around the world. Despite the setbackin this particular project, we are currently involved in the execution of many other municipal safety and security management projects both in Israel and elsewhere, and we are in the midst of a campaign to win similar assignments for additional cities, as we grow our repertoire of positive references."