Orbit International's Electronics Group receives new order valued at approximately $1.2 million
Orbit International Corp. (NASDAQ:ORBT) today announced that its Orbit Instrument Division, which is part of its Electronics Group, received an order for Remote Control Units (RCU) valued at approximately $1,158,000. Deliveries are expected to commence in the third quarter and be completed before 2013 year-end.
This RCU order, which is part of a Memorandum of Agreement (MoA) signed in August 2011, brings total orders received under this MoA to over $2 million. As per the terms of this MoA, the Company should receive additional follow-on orders throughout 2013 to fulfill requirements for the U.S. Navy and U.S. Army.
Orbit is the key U.S. producer of the RCU, a sophisticated controller used by the pilot or other on-board personnel to control the IFF (Identity Friend or Foe) transponder. The RCU allows the user to select numerous modes of operation and then determine if the aircraft in question is a friendly aircraft or not. Because of the importance placed by the users on the on-board IFF System, the controller must be very accurate and highly reliable.
Orbit has been participating in the RCU program since 2000. During this time, the Company has generated significant ongoing revenues via the receipt of multiple follow-on orders for various configurations and the delivery of more than 4,000 units to its customer. Orbit’s prominence in this marketplace is due to the high performance rating and reliability of its product.
Separately, the Company reported that its Tulip Development Laboratory (TDL) subsidiary completed negotiations on the recently announced Letter Subcontract to manufacture displays for a major helicopter program. The Letter Subcontract had a not-to-exceed value of $1,180,000; the negotiated purchase order for this program was finalized at $1,143,000.
Mitchell Binder, President and CEO of Orbit International, added, “We are pleased that following two months of bookings in November and December totaling in excess of $3 million, our Electronics Group has started 2013 on a very strong note with this RCU order for our Orbit Instrument Division. Furthermore, our Electronics Group is expecting additional follow-on orders on certain other legacy programs during the current quarter.”
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 COTS power solutions.
Certain matters discussed in this news release and oral statements made from time to time by representatives of the Company including, 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. 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.
CONTACT Mitchell Binder, President & Chief Executive Officer, 631-435-8300
or Investor Relations Counsel, Devin Sullivan, 212-836-9608, Lena Cati, 212-836-9611, The Equity Group Inc.
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