MDA awarded $706 million contract to build three radar satellites
RICHMOND, BC, Jan. 9, 2013 /CNW/ - MacDonald, Dettwiler and Associates Ltd.
(TSX: MDA), a provider of essential information solutions, today announced the
signing of a $706 million contract with the Canadian Space Agency to build,
launch and provide initial operations for the RADARSAT Constellation Mission
(RCM). The contract is expected to extend over a period of seven years and
brings MDA's current backlog to approximately $2.9 billion.
"This is exciting news," said Daniel Friedmann, MDA's president and CEO. "RCM
builds on the world-leading geospatial and radar surveillance capabilities
that MDA has developed through the RADARSAT-1 and RADARSAT-2 missions. We are
now greatly expanding these capabilities with benefits for Canada and for MDA."
RCM is a constellation of three satellites providing around-the-clock
coverage. Information obtained from RCM can include repeat imaging of the same
area at different times of day, dramatically improving the frequency of
monitoring coastal zones, northern territories, Arctic waterways and other
areas of strategic and defence interest. RCM will also incorporate automated
identification system technology, which when combined with the powerful radar
images, supports the immediate detection and identification of ships worldwide.
Already a leading supplier of radar-based surveillance and security, MDA's
service offering is expected to expand as it leverages RCM's repeat imaging
capabilities. The information provided by the RCM satellites will enable MDA
to meet a larger range of recurring monitoring needs in growing market
segments such as oil and gas, mining, defence and security, well into the next
decade. "Demands in these operational segments are driven by the ability to
provide frequent, reliable information. RCM's all-weather, day-and-night
satellites will help us meet this demand," said Friedmann.
"This is a major step forward for MDA as a leader in the growing global
surveillance and intelligence market" said Friedmann. "With this contract, MDA
has a strong foundation for continued development of its space missions,
satellite ground systems, radar payload and geospatial services businesses."
MDA is a unique global communications and information company providing
operational solutions to commercial and government organizations worldwide.
MDA's business is focused on markets and customers with strong repeat business
potential. In addition, the Company conducts a significant amount of advanced
MDA's well-established global customer base is served by more than 5,000
employees operating from 18 offices located in the United States, Canada, and
The Company's common shares trade under the symbol TSX:MDA.
Related Websites: www.mdacorporation.com
This news release contains forward-looking statements and information, which
reflect the current view of MacDonald, Dettwiler and Associates Ltd. ("MDA" or
the "Company") with respect to future events and financial performance. The
forward-looking statements in this regard include statements related to the
government contract for the RADARSAT Constellation Mission (RCM) and its
impact on the Company's operations. Any such forward-looking statements are
based on MDA's current expectations, estimates, projections and assumptions in
light of its experience and its perception of historical trends. The factors
and assumptions underlying the forward-looking statements in this news release
include contracts with any government agency not being terminated or not
receiving adequate funding. Any such forward-looking statements are subject to
a number of risks and uncertainties that could cause actual results to differ
materially from current expectations. The risks that could cause actual
results to differ from current expectations include, but are not necessarily
limited to: changes in government priorities, funding levels, contracts and
regulations; failure of third parties and subcontractors; risks associated
with the design and operation of satellites and provision of satellite
services, including satellite construction or launch delays, launch failures,
in-orbit failures or impaired satellite performance; failure to anticipate
changes in technology, technical standards and product offerings or comply
with the requisite standards and failure of systems to meet performance
requirements; and other risks, including litigation. The foregoing list of
important factors is not exhaustive. MDA cautions readers that should certain
risks or uncertainties materialize, or should underlying assumptions prove
incorrect, actual results may vary significantly from those expected.
For additional information with respect to certain of these risks or factors,
plus additional risks or factors, reference should be made to the Company's
continuous disclosure materials filed from time to time with Canadian
securities regulatory authorities, which are available online under the
Company's profile at www.sedar.com or on the Company's website at
The Toronto Stock Exchange has neither approved nor disapproved the form or
content of this release.
Wendy Keyzer MDA External Relations (604) 231-2743 firstname.lastname@example.org
SOURCE: MacDonald, Dettwiler and Associates Ltd.
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CO: MacDonald, Dettwiler and Associates Ltd.
ST: British Columbia
NI: ARO SOF ORDER
-0- Jan/09/2013 16:53 GMT
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