Elbit Systems Awarded Israel Ministry of Defense Contract to Supply and Maintain Radio Systems in an Amount of Approximately $ 100 Million

23 March 2017

Elbit  Systems  Ltd. ("Elbit  Systems") announced  today  that  it  was  awarded an  approximately  $100  million contract  by  the Israeli  Ministry  of  Defense(“IMOD”) for  the  supply  of advancedradio systems. According   to   the   contract, Elbit   Systems   will   manufacture   and   provide hundreds  of  radio  systems  over  the  course  of  five  years. In addition, Elbit  Systems  isexpected to  receive  additional  order  to provide repair  and maintenance  services  for  15 years. Elbit  Systems will  expand  its  manufacturing  and  maintenance  site  in  Arad to include  100  employees,  making  it a center of  excellence for manufacturing  and maintenance of advanced radio systems for theIsrael Defense Forces(IDF).

Under the contract,Elbit Systems will provide the IDF with hand held, vehicle mounted and  airborne third  generationSoftware  Defined  Radios (SDRs), enabling  advanced network  services  at a  high security level. The maintenance activity willbe  performedunder an  outsourcing model,as  part  of  the  Israeli  Defense  Ministry’s strategyto establisha  full array  ofradio  systems  at highoperational  availabilitywhile  significantly reducing maintenanceexpenses.  

Bezhalel  (Butzi)  Machlis, President  and  CEO  of  Elbit  Systems,  noted: “We  are  very proud of this award,reinforcing our strategic partnership with thecity of Arad on the one hand and with the IDF on the other. Employing 100  workers in Arad is in line with ElbitSystems’strategy to enhance our presencein Israel’s peripheral areas. We have many years  of  experience  in managingoutsourcing  projects  in  Israel  and  abroad,  in  radiocommunications  as  well  as  other military  fields,and  I am  confident  this  experience  will enable us to  provide the IMODwith a top quality highly operational solution for  a  cost effective price.”