CAMBRIDGE, ON, Nov. 16, 2015 /CNW/ - COM DEV International Ltd. (TSX:CDV), a leading manufacturer of space hardware subsystems, today announced that it has signed a long-term agreement (LTA) to supply satellite switch products to a major prime contractor. The contract assures COM DEV of $8.5 million of switch orders over the two-year duration of the agreement.
Under the LTA, COM DEV and its customer have agreed in advance on pricing, general requirements, and other general terms for switch orders anticipated over the contract period. For the customer, this arrangement secures an important aspect of its supply chain, offers favourable pricing and turnaround times, and enables efficiencies through the use of standardized components.
For COM DEV, the LTA facilitates production planning, improves the efficiency of the sales process, and assures the Company of a specified sales volume of switches, including its latest generation switch product.
"Today's announcement is a recognition both of our leadership position in switches and the trust we have earned with this customer," said Mike Williams, president of COM DEV's products division. "We have been working to standardize key aspects of our product line wherever possible so that our customers can place orders like they are selecting from a catalogue. This approach benefits both parties in the areas of design, procurement, production and overall costs."
About COM DEV
COM DEV International Ltd. (www.comdev.ca) is a leading global provider of space hardware and services. The Company has a staff of more than 1,250, annual revenues of over $200 million, and facilities in Canada, the United Kingdom, the United States, India and China. COM DEV designs, manufactures and integrates advanced products, subsystems and microsatellites that are sold to major satellite prime contractors, government agencies and satellite operators, for use in communications, space science, remote sensing and defence applications. The Company has won contracts to supply its equipment on over 950 spacecraft. COM DEV's majority-owned subsidiary, exactEarth Ltd., provides satellite data services for global maritime surveillance.
This news release may contain certain forward-looking statements that involve risks and uncertainties. Actual results may differ materially from results indicated in any forward-looking statements. The Company cautions that, among other things, in view of the rapid changes in communications markets and technologies, and other risks including the cost and market acceptance of the Company's new products, the level of individual customer procurements and competitive product offerings and pricing, and general economic circumstances, the Company's business prospects may be materially different from forward-looking statements made by the Company.
The triangular logo and the word COM DEV are each registered trademarks and the property of COM DEV Ltd. All rights reserved.
SOURCE Com Dev International Ltd.
For further information: Contact information: Gary Calhoun, Chief Financial Officer, Tel: (519) 622-2300 ext. 2826, [email protected]; Jeff Codispodi, Director, Investor Relations & Communications, Tel: (519) 622-2300 ext. 2844, [email protected]