Contract Win

Embargoed until 0700 4 July 2013

Ultra Electronics Holdings plc

("Ultra" or "the Group")

Ultra awarded a £32m contract for the mid-life modernisation of Indonesian Navy warship

Ultra Electronics announces that its Command & Control Systems business, based in High Wycombe, has been awarded a contract worth £32m by the Republic of Indonesia's Ministry of Defence for the mid-life modernisation of the first of the Fatahillah Class corvettes.

The contract includes the development, installation and integration of a new combat management system. The marine engineering aspects of the work package will be undertaken by Ultra's partner, Nobiskrug with its local subcontractor in Indonesia.

The programme start remains subject to funding provision and the contract will then be delivered over a 28 month period. Discussions regarding the mid-life modernisation of the second ship in the class are expected to start later in the year.

Ultra's integrated approach to naval C2 and combat management systems offers numerous benefits to maritime forces world-wide in terms of operational capability, flexibility and through-life costs. Using common modules, Ultra can scale customer specific system solutions for a wide range of applications: from a simple situational awareness and self-defence system for a coastal patrol craft, to a fully integrated solution for a major surface combatant.

Rakesh Sharma, Chief Executive of Ultra, commented:

"Following five years positioning of Ultra's offering to the Middle and Far Eastern markets, I am delighted that Ultra's specialist naval capabilities have been recognised with the award of this prestigious contract by the Republic of Indonesia. Ultra has again demonstrated its ability to partner with other world class businesses to offer differentiated solutions to its customers. I look forward to the further development of Ultra's relationship with this new customer and we will continue to position our businesses for further successes in the future."

- Ends -

Enquiries:

Rakesh Sharma, Chief Executive 020 8813 4307

Mary Waldner, Group Finance Director

Susan Ellis, Corporate Affairs Adviser 07836 522 722

James White, MHP Communications 020 3128 8756

www.ultra-electronics.com 

Further information about Ultra:

Ultra Electronics is an internationally successful defence, security, transport and energy 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 about one hundred and eighty distinct market or technology niches within its twenty eight businesses. The diversity of niches enables Ultra to contribute to a large number of 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:

Defence: Ultra supplies advanced electronic and electrical systems and equipment to coalition defence forces around the world. The Group innovates to provide specialist capabilities that are superior to those available to the enemy. By focusing on delivering comparative military advantage, Ultra can gain market share and exploit the headroom for growth that is available in defence budgets worldwide.

Security and cyber: Ultra provides highly differentiated systems and capabilities to the broad security, intelligence and cyber market. Driven by the actions of rogue states, terrorist groups and organised crime, governments worldwide are focusing expenditure preferentially on addressing these threats. Ultra has highly specialised capabilities in secure communications, networks and high grade cryptographic equipment, key management systems and surveillance and intelligence gathering systems.

Transport: Ultra provides specialist software, systems and equipment for use in mass passenger transport systems. This includes high integrity real-time controls for civil aircraft, advanced IT solutions for modern airports and trackside power equipment for transit rail systems. Demand in all areas is driven by rising populations in affluent and developing regions of the world.

Energy: Countries around the world are addressing the strategic need to have secure access to increasing amounts of low carbon energy. Ultra has a range of safety critical sensors and controls used in existing and new build nuclear reactors. The Group has innovative portable energy sources powered by readily available propane gas. Ultra also has specialist sensors, derived from defence applications, which are highly effective in the underwater environment at hydrocarbon mapping.