Corac Group secures Defence contracts

14 January 2014

CORAC GROUP PLC

Corac Group secures Defence contracts worth over £3m

Corac Group plc is pleased to announce that its subsidiary Atmosphere Control International (ACI) has made a very positive start to the year, already securing three significant orders.

ACI has received contracts for atmosphere management systems to be used by two South East Asian navies. One contract is for the supply of the first CO2 removal unit for a new customer programme and the second is for an additional CO2 scrubber unit for an existing customer.

These are in addition to an order from BAeSystems for a further boat set in the Astute programme.

All of these systems will be delivered during 2014 with a total value in excess of £3m.

Corac Group Chief Executive Phil Cartmell commented:

"This is an encouraging start to 2014 for ACI and rewards the hard work put in last year to support existing programmes at home and abroad and to grow the business with new export customers.

"These orders equate to more than 30% of ACI's pro forma full year historic revenues and represent more than 20% of the combined Group historic order book, and thus provide a very good platform for further growth this year."

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NOTES TO EDITORS

Corac is a group of innovative UK based engineering companies, active in energy and environmental technologies. Group companies produce valuable solutions in compression systems, atmosphere management and heat exchangers for government, energy and industrial users. It has traded shares on the London Alternative Investment Market (AIM) since July 2001.