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.”