11th May 2009 07:00
Embargoed until 0700 11 May 2009
Ultra Electronics Holdings plc
("Ultra" or "the Group")
Ultra awarded $15m contract for battlespace IT system for Bahrain
Ultra announces that its Advanced Tactical Systems business based in Austin, Texas, has been awarded an initial contract worth about $15m to deliver an upgraded Command and Control ('C2') system for the Bahrain Defence Force ('BDF'). This contract has been awarded by the Foreign Military Sales (FMS) office of the US Marine Corps as part of a larger FMS package of work for Bahrain.
The contract is for Ultra to design, develop, build, deliver and support an upgraded C2 and microwave system for the BDF. The systems and equipment will be installed at five locations across the country and are expected to be completed in April 2010. Ultra will also provide in-country training and on-site field service support after system installation. There are two one-year options in the award which, if exercised, would bring the total contract value to $20.6m.
Ultra supplies real time C2 systems to the US and other armed forces around the world, with more than 1,000 systems in service. The Group has key expertise in systems engineering, hardware and software as systems solutions for real-time C2 applications. Ultra is recognised as delivering industry-leading real-time C2 systems that seamlessly fuse tactical data link, radar and electronic intelligence data to give a combined battlespace picture. Systems supplied by Ultra are battle-proven in many theatres of operation.
Douglas Caster, Chief Executive of Ultra, commented:
"This contract demonstrates the confidence of the Bahrain Defence Force and the US Marine Corps in Ultra's proven capability to provide and support robust command and control systems that provide real-time tactical information in battle situations. These systems must work reliably under the most demanding circumstances in critical operational environments and this contract underpins Ultra's position as a strategic supplier of world-leading battlespace IT systems."
- Ends -
Enquiries:
Ultra Electronics Holdings plc 020 8813 4321
Douglas Caster, Chief Executive www.ultra-electronics.com
Paul Dean, Group Finance Director [email protected]
Weber Shandwick Financial 020 7067 0700
Susan Ellis / James White
Further information about Ultra:
Ultra Electronics is an internationally successful defence and aerospace company with a long, consistent track record of development and growth. Ultra businesses constantly innovate to create solutions to customer requirements that are different from and better than those of the Group's competitors. The Group has over one hundred distinct market or technology niches within more than twenty businesses. The diversity of niches enables Ultra to contribute to a large number of defence, aerospace and civil platforms and programmes and provides resilience to the Group's financial performance.
Ultra has world-leading positions in many of its niches and, as an independent, non-threatening partner, is able to support all of the main prime contractors with specialist capabilities and solutions. As a result of such positioning, Ultra's systems, equipment or services are often mission-critical to the successful operation of the platform to which they contribute. In turn, this mission-criticality secures Ultra's positions for the long term which underpin the superior financial performance of the Group.
Ultra offers support to its customers through the design, delivery and support phases of a programme. Ultra businesses have a high degree of operational autonomy where the local management teams are empowered to devise and implement competitive strategies that reflect their expertise in their specific niches. The Group has a small head office and executive team that provide to the individual businesses the same agile, responsive support that they provide to customers as well as formulating Ultra's overarching, corporate strategy.
Across the Group's three divisions, the major market sectors in which Ultra operates are:
• battlespace IT, summarised as being the systems and equipment that allows coalition commanders to have an integrated, real-time picture of the disposition of friendly and enemy forces that is better than the one available to the enemy. This information superiority underpins rapid decision making which, together with effective command, control and communications, translates into military superiority. The use of battlespace IT is fundamental to the implementation of the military doctrines of 'network-centric warfare' or 'network-enabled capability' that are seen as transformational in the capability to win future battles. Expenditure on battlespace IT equipment therefore continues to represent an increasing share of the total defence budget in the main markets in which Ultra operates.
• sonar systems, expanding Ultra's traditional world-leading airborne anti-submarine warfare capability into broader activities in the underwater battlespace. These include integrated ship and submarine sonar systems, persistent seabed-deployed sensor arrays, torpedo defence and sea mine disposal systems. The fact that over forty countries have, between them, more than four hundred highly capable, stealthy submarines is continuing to focus expenditure in this sector.
• civil and military aircraft equipment, Ultra provides specialist sub-systems and equipment for military and civil aircraft. The main military aircraft programmes on which Ultra equipment is fitted continue to have political support, underpinned by consistent financial commitment. For civil aircraft, record order intake performance by all major aircraft manufacturers underpins increasing build rates for the medium term.
• specialist defence equipment, including power conversion and signature systems for naval ships and submarines. Ultra's specialist capability in high integrity controls for submarine nuclear reactors is included in this sector, for which there is continuing commitment to new platforms and the upgrade of existing boats. Ultra also supplies advanced sub-systems for modern armoured vehicles including those for electrical power management, indirect vision and weapon control. The need for increased mobility and force protection is driving a number of large military vehicle procurements in Ultra's main markets.
• specialist civil systems and equipment, including Ultra's advanced airport IT solutions. Airline passenger growth around the world is driving continuing expansion and upgrade of airport infrastructure. Ultra supplies trackside power equipment for rail transit systems, for which demand continues driven by the need to expand and upgrade rail networks. The UK market for nuclear power generation is expanding and Ultra's offering derived from its equivalent military capability is well positioned to benefit.
Related Shares:
ULE.L