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Globecomm Announces Exercise of $4.3 Million Contract Option

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Globecomm Systems Inc. (NASDAQ: GCOM) today announced that the U.S. Army has exercised a $4.3 million contract option for the continued production of the Joint IP Modem.

On November, 12, 2007, the Company announced that it had been awarded a contract from the U.S. Army's Communications—Electronic Life Cycle Management Command under the Program Executive Office Enterprise Information Systems Project Manager Defense Communications and Army Transmission Systems' World Wide Satellite Systems program to provide the JIPM.

The contract was initially valued at $9.9 million and included multiple options that if fully exercised over the next 16 months would value the contract at $87 million. The exercise of this option now brings the base contract to $22.8 million, with $64.2 million of options remaining over the next 5 months.

Posted-In: News Contracts

 

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