<< Back

TeleCommunication Systems Receives $223 Million Delivery Order from U.S. Army to Supply Satellite Communication Equipment and Support

TeleCommunication Systems Receives $223 Million Delivery Order from U.S. Army to Supply Satellite Communication Equipment and Support

Note: Comtech Acquired TCS on 2/23/2016

ANNAPOLIS, Md., Oct. 14, 2015 /PRNewswire/ -- TeleCommunication Systems, Inc. (TCS) (NASDAQ: TSYS), a world leader in secure and highly reliable wireless communications, today announced that it has received a delivery order from the U.S. Army to provide Micro Satellite (Microsat) Very Small Aperture Terminals (VSATs), baseband networking equipment  and associated engineering services. The order has a total value of $223.4 million, if all options are exercised through September 2020. The initial funding on this order is $9.9 million for the base 12-month period starting September 2015.

News Facts:

  • TCS is partnering with subcontractor Tampa Microwave LLC, a subsidiary of Thales Defense and Security, to provide MicroVSAT .65M and .95M terminals and 1.3M Flyaway VSAT terminals. The terminals are Wideband Global SATCOM certified and designed to stringent MIL-STD-810G tactical requirements. These terminals recently received System Type designations of AN/TSC-223(V)1, AN/TSC-223(V)2 and AN/TSC-223(V)3.
  • TCS is partnering with subcontractor Klas Telecom to provide baseband networking equipment as part of the overall MicroVSAT solution. Klas Telecom's modular and scalable baseband solution is designed and independently lab tested to comply with MIL-STD-810G, MIL-STD-461F and FCC 15B. Voyager's core routing, switching and virtual machine components are listed on the DISA Approved Products List and purchasable DoD-wide.
  • Part of the TCS TotalCom® portfolio, the MicroVSAT family delivers the highest performance available in the market today, achieving data rates up to 10 MBS to provide a terrestrial large pipe in geographically-challenged areas. The ultra-lean form factor enables non-attributable transport and operation and is ideally suited for elite military teams, tier-1 responders, command-and-control and data exfiltration calls.

Klas Telecom Services President and CEO David Huisenga said:  "Klas Telecom is privileged to team with TCS, a company that has proven its dedication to the U.S. Army through longstanding support through the SNAP, Tactical Transportable TROPO and Wireless Point-to-Point Link systems. We believe our innovative, market-leading Voyager baseband solution and Tampa Microwave's modular, VSAT terminals, enhanced by TCS' intrinsic organizational knowledge and global network of engineering services, equal the best possible solution available to the customer."

Tampa Microwave LLC Vice President of Business Development Obie Johnsonsaid:  "Working with TCS, we have provided hundreds of MicroVSAT systems to our nation's military and government agencies worldwide.  Our family of terminals enables warfighters with the unprecedented flexibility and capability to efficiently customize their communication packages, and to rapidly deploy and sustain their missions. We are proud to again team with TCS in support of the program."

TCS Government Solutions Group President Michael Bristol said:  "TCS, Klas Telecom and Tampa Microwave have collaborated on MicroVSAT satellite system opportunities for more than five years. As a prime contractor, TCS has supplied these terminals to the DoD via the WWSS contract vehicle and now the GTACS contract vehicle. With the continuing strong demand for MicroVSAT equipment, we are honored to again serve as a trusted vendor in equipping our nation's warfighter with this advanced communications capability."

TCS' Government Solutions Group has a 28-year track record as a proven, trusted provider of communication technology solutions to the government's technical challenges, under conditions that demand the highest level of reliability, availability and security. TCS satellite communications experience includes standards-compliant design as well as technically advanced production, deployment, installation, operation, service and maintenance. TCS' dedicated Operations and Maintenance division currently supports thousands of systems around the globe, ensuring that products and turnkey solutions are supported and available in their intended environments. Learn more at TCS Professional Services.

About TeleCommunication Systems, Inc.

TeleCommunication Systems, Inc. (TCS), headquartered in Annapolis, Maryland, is a world leader in secure and highly reliable wireless communications. Our patented solutions, global presence, operational support and engineering talent enable 9-1-1, commercial location-based services and deployable wireless infrastructure; cybersecurity; defense and aerospace components; and applications for mobile location-based services and messaging. Our principal customers are wireless network operators, defense and public safety government agencies, and Fortune 150 enterprises requiring high reliability and security. Learn more at www.telecomsys.com.

Except for the historical information contained herein, this news release contains forward-looking statements as defined within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended. These statements are subject to risks and uncertainties and are based upon TCS' current expectations and assumptions that if incorrect would cause actual results to differ materially from those anticipated. Risks include without limitation the possibility that the contract options will not be exercised, that the contract will not be fully funded and those detailed from time to time in the Company's SEC reports, including the report on Form 10-K for the year ended December 31, 2014 and on Form 10-Q for the quarter ended June 30, 2015.

Existing and prospective investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to update or revise the information in this press release, whether as a result of new information, future events or circumstances, or otherwise.

Media Contact for Comtech Telecommunications Corp.:
Michael D. Porcelain, Senior Vice President and Chief Financial Officer
(631) 962-7103