Frequency Electronics has been awarded contracts aggregating $1.5 million for a Department of Defense secure communications satellite system. These initial contracts for the next phase of this important military satellite program call for the Company to procure long-lead materials and to develop time and frequency generation payload assemblies.
In the previous phases of this program, the Company supplied only the master timing systems. The Company's potential revenues from the next phases of this satellite program can reach or exceed $10 million over the next several years.
Commenting on this award, Martin Bloch, President and CEO, said: "This is a very significant award for us because for the first time we will be building a much larger portion of the payload than we have provided for military satellites in the past.
Frequency will build both the master timing systems and the microwave frequency sources. Adding the frequency sources increases our potential revenue for military satellites five-fold. Providing a larger portion of the military satellite payload parallels our recent experience in commercial satellites where we are now supplying the master timing systems and RF microwave sources within the range of one to 42 gigaherz."
