COM DEV International Ltd. has been awarded a US $3.5 million (approximately CDN $4.7 million) authority to proceed (ATP) against an anticipated military satellite contract that is expected to be formalized in the next few months.
The total value of the contract, for which final terms are still being negotiated and which is subject to final program funding decisions, could be
worth up to US $26 million (approximately CDN $35 million).
ATPs are frequently used in the satellite industry to permit subcontractors to commence work ahead of the contract signing, when the contract details are complex but the program is subject to a tight schedule.
Products to be delivered comprise mostly standard COM DEV products built to
operate at military frequencies. The contract work will be carried out at COM DEV¿s facilities in Cambridge, Ontario and Aylesbury in the UK and will be delivered over 36 months.
Details will be provided following the contract signing and customer approval of the announcement expected sometime in the next three months.
Commenting on this award, COM DEV¿s CEO, John Keating said, "This Authority to Proceed represents important progress in our strategy of the past three years to diversify beyond our traditional success in commercial satellite markets."
