RICHMOND, BC, April 1, 2014 /CNW/ - MacDonald, Dettwiler and Associates
Ltd. ("MDA" or the "Company") (TSX:MDA), a global communications and information company, reported today that
the Company has declared force majeure with respect to the Ground
Segment of its communication satellite program in the Ukraine, and this
position has been accepted by the customer.
MDA and its Ukrainian customer are evaluating several go-forward
scenarios with the goal to minimize the impact. The results of this
evaluation will show the impact on the cost and the schedule of the
program. However, according to the preliminary estimate, the project is
expected to be delayed approximately four to six months, resulting in a
shift in revenue and contribution out of this fiscal year to the next
The Company's communications satellite payload program in Russia is well
advanced. One satellite has been launched and the payload for the
second satellite is in final integration. There has been no impact to
MDA is a global communications and information company providing
operational solutions to commercial and government organizations
MDA's business is focused on markets and customers with strong repeat
business potential. In addition, the Company conducts a significant
amount of advanced technology development.
MDA's well-established global customer base is served by more than 4,800
employees operating from 11 offices located in the United States,
Canada, and internationally.
The Company's common shares trade under the symbol TSX:MDA.
This release contains forward-looking statements and information, which
reflect the current view of MacDonald, Dettwiler and Associates Ltd.
("MDA" or the "Company") with respect to future events and financial
performance. The forward-looking statements in this regard include
statements regarding the impact of a force majeure event on MDA's
existing projects and future financial performance. Any such
forward-looking statements are based on MDA's current expectations,
estimates, projections and assumptions in light of its experience and
its perception of historical trends. Any such forward-looking
statements are subject to a number of risks and uncertainties that
could cause actual results to differ materially from current
expectations. MDA cautions readers that should certain risks or
uncertainties materialize, or should underlying assumptions prove
incorrect, actual results may vary significantly from those expected.
The risks that could cause actual results to differ from current
expectations include, but are not limited to: changes in economic and
political conditions in various countries and regions in which MDA does
business; political risks, including the risks of expropriation,
renegotiation of the terms of contracts with governmental entities,
termination of contracts, delays or advancements in the approval of
projects and delays in the reimbursement for shared costs, non-payment
of contractual amounts; changes in regulations, telecommunication
standards and laws due to political and economic instability in the
countries in which MDA conducts business; risks associated with doing
business in developing countries and countries subject to or which may
become subject to international sanctions; and changes in government or
government priorities, mandates, policies, funding levels, contracts
and regulations. MDA does not undertake any obligation to update
publicly, or revise, forward-looking statements, whether as a result of
new information, future events or otherwise, except to the extent
For additional information with respect to certain of these risks or
factors, plus additional risks or factors, reference should be made to
the Company's continuous disclosure materials filed from time to time
with Canadian securities regulatory authorities, which are available
online under the Company's profile at www.sedar.com or on the Company's website at www.mdacorporation.com.
The Toronto Stock Exchange has neither approved nor disapproved the form
or content of this release.
SOURCE: MacDonald, Dettwiler and Associates Ltd.
For further information:
MDA External Relations