CLIFTON, NJ--(Marketwired - Jul 30, 2013) - Electronic Control Security, Inc. (
Arthur Barchenko, President & CEO, stated that "we are confident in the government sector over the next five years based on the contracts that have been awarded and now appear to be finally moving forward."
On July 10, 2013, ECSI received notice that its prime contractor, ITSI Gilbane Company, on an Access Control Point (ACP) Design-Build bid was awarded a prime contract by the U.S. Army Corps of Engineers valued up to $230 million. The prime contract includes a 24 month base period of performance and three 12-month options. ECSI is awaiting subsequent task orders. As a small business, ECSI will have the opportunity to bid on a small business percentage goal of 51.43% of planned subcontracting dollars that the prime contractor has allocated under this contract. During the base period, $7,200,000 is planned to be subcontracted to ECSI and the other small business on the team. For Option Year 1, 2 and 3 respectively, $3,600,000 is planned to be subcontracted to ECSI and the other small business on the team. ECSI's performance scope, dependent on task orders, will include site surveys, design and engineering, procurement and fabrication, integration, factory acceptance testing, installation supervision, commissioning, training, and depot level support.
Mr. Barchenko further stated, "On July 19, 2012, VT Milcom was awarded a prime contract under the SPAWAR National Capital Region (NCR) Security Engineering Support contract. ECSI is a subcontractor to VT Milcom on this contract. On July 16, 2013, ECSI participated in a site survey as part of a task order bid under this contract. If the task order is awarded to VT Milcom, ECSI will be responsible for site surveys, recommendation reports and installation design packages."
Prior to the NCR award, ECSI was awarded a SeaPort-e prime contract for a wide range of engineering, technical and programmatic services and solutions. Functional areas may include: Engineering, System Engineering and Process Engineering Support; Prototyping, Pre-Production, Model-Making, and Fabrication Support; System Design Documentation and Technical Data Support; Configuration Management (CM) Support; Quality Assurance (QA) Support.
As previously announced on October 24, 2012, ECSI received a contract worth up to $7.8 million to supply security systems and support services for the U.S. Navy. The contract includes a 5-year period of performance. Anticipated task orders include requirements for electronic security systems (access control systems, intrusion detection systems, surveillance systems, command and control equipment) and support services (design and engineering, fabrication and assembly, systems integration, testing and training, logistics and maintenance support).
As previously announced on February 22, 2013, ECSI was awarded a U.S. Navy prime contract with a contract ceiling of $249,590,000 over a five year period of performance. There are 13 awardees under the contract. While no assurance can be provided, ECSI anticipates capturing at least 10% of the task orders to be issued under this contract. The scope of this contract covers the entire spectrum of non-inherently governmental services and solutions (equipment and services) associated with the full system lifecycle support including research, development, test, evaluation, production and fielding of sustainable, secure, survivable, and interoperable Command, Control, Communications, Computers, Combat Systems, Intelligence, Surveillance, Reconnaissance (C5ISR), information operations, Enterprise Information Services (EIS) and space capabilities.
Mr. Barchenko added that, "ECSI's expected share of these task orders under these ID/IQ contracts is valued at $26.3 million and is expected to flow during Fiscal 2014 through at least 2017."
About ECSI
ECSI is a global leader in entry control and perimeter security and a quality provider to the Department of Defense, Department of Energy, nuclear power stations, and other large commercial-industrial complexes. The Company designs, manufactures and markets physical electronic security systems for high-profile, high-threat environments utilizing risk assessment and analysis to determine and address the security needs of its customers. Teaming agreements with major system integrators enable ECSI to support the installation and aftermarket of its products in the U.S. and overseas. ECSI is located at 790 Bloomfield Avenue, Bldg. C-1, Clifton, NJ 07012. Tel: 973-574-8555; Fax: 973-574-8562. For more information on ECSI and its customers, please visit http://www.ecsiinternational.com .
ECSI INTERNATIONAL, INC. SAFE HARBOR STATEMENT: This press release contains forward-looking statements that involve substantial uncertainties and risks. These forward-looking statements are based upon our current expectations, estimates and projections about our business and our industry and reflect our beliefs and assumptions based upon information available to us at the date of this release. We caution readers that forward-looking statements are predictions based on our current expectations about future events. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict. Our actual results, performance or achievements could differ materially from those expressed or implied by the forward-looking statements as a result of a number of factors, including but not limited to the risk that the Company will not be awarded any work under task orders on these Indefinite Delivery Indefinite Quantity contracts and hence will not realize any revenues or that the task orders awarded will be less than expected or anticipated, changes in economic conditions generally and in our industry specifically, actual purchase orders being received under the contract, timely delivery by us of the purchase orders which may be received and timely receipt by us of payment in respect of such orders, acceptance of our proposals, changes in security technology, receipt and timing of collections from purchase orders, legislative or regulatory changes that affect us, the availability of working capital, changes in costs and the availability of goods and services, the introduction of competing products, changes in our operating strategy or development plans, sufficiency of cash reserves and the risks and uncertainties discussed under the heading "RISK FACTORS" in Item 1A of our Annual Report on Form 10-K for the fiscal year ended June 30, 2012 and in our other filings with the Securities and Exchange Commission. We undertake no obligation to revise or update any forward-looking statement for any reason.
FOR CONTACT: Daryl Holcomb (973) 574-8555
