MELBOURNE, Florida and
HOUSTON, April 5, 2011 /PRNewswire/ -- Highlights:
-- Harris CapRock Communications is leading provider of fully managed,
end-to-end communication services for mission-critical operations
-- Combined business has more than 1,400 employees and presence in 23
countries
-- Robust self-owned and operated infrastructure includes teleports on
six continents, six 24/7 Network Operation Centers and an extensive
terrestrial communications network
Harris Corporation (NYSE: HRS), an international communications
and information technology company, has completed its previously
announced acquisition of the Global Connectivity Services (GCS)
business from an operating unit of Schlumberger.
Harris combined the former
Schlumberger GCS business with its existing Maritime Communications
Services business and the recently acquired CapRock Communications,
and infrastructure assets from Core180's government business to
form Harris CapRock Communications - the leading provider of
managed communications services for remote and harsh environments
including those in the energy, government and maritime
industries.
"Integrating these businesses into a single enterprise creates
an organization with unsurpassed satellite and terrestrial networks
capabilities, end-to-end service offerings, and an experienced
service team that will provide customers with unsurpassed
in-the-field support on a global scale," said Howard L. Lance, chairman, president and chief
executive officer of Harris.
"Harris CapRock Communications will use its capabilities and
expertise to offer customers the most secure, reliable and
efficient communications solutions in the industry."
Harris CapRock Communications has more than three decades of
experience serving customers in more than 100 countries. The
business has more than 1,400 employees, a local presence in 23
countries and a robust self-owned and operated infrastructure that
includes teleports on six continents, six 24/7 Network Operation
Centers and an extensive terrestrial network. Harris CapRock
Communications delivers trusted and reliable comprehensive
communications and IT solutions that make it possible for clients
to stay focused on their missions.
Solutions from the newly combined business include
mission-critical communications, converged voice, video and data,
highly reliable and secure connectivity, and rapid and mobile
deployments. Energy customers include national oil companies, major
oil companies, independent oil companies, oil field service
companies, seismic companies, oil and gas marine companies, rig
owners and management companies. Maritime industry customers
include international shipping and service companies. Government
customers include defense, homeland security, and other federal
civilian agencies.
Harris CapRock Communications also will leverage Harris' strong and expanding technology and
service capabilities - along with its growing global presence - to
provide integrated solutions to meet individual customer and market
needs. Harris is unique in its
ability to integrate advanced technology and services to capture,
aggregate, distribute, and analyze any type of communications or
information - including voice, video, data, and imaging.
Harris has built some of the
world's most trusted networks for customers in established markets
including defense, intelligence, air traffic control, public
safety, and broadcast. Harris is
extending this reach into new markets, including healthcare,
energy, cloud computing and others.
Harris purchased the
Schlumberger GCS business for $397.5
million in cash, subject to post-closing adjustments. The
purchase price was paid from cash on hand. The goodwill arising
from the acquisition will be an allowable tax expense with an
estimated net present value of $50
million, resulting in an effective purchase price of
$347.5 million.
About Harris Corporation
Harris is an international
communications and information technology company serving
government and commercial markets in more than 150 countries.
Headquartered in Melbourne,
Florida, the company has approximately $6 billion of annual revenue and more than 16,000
employees - including nearly 7,000 engineers and scientists.
Harris is dedicated to developing
best-in-class assured communications(R) products, systems, and
services. Additional information about Harris Corporation is
available at www.harris.com.
Forward-Looking Statements
Statements in this press release that are not historical facts
are forward-looking statements that reflect management's current
expectations, assumptions, and estimates of future performance and
economic conditions. Such statements are made in reliance upon the
safe harbor provisions of Section 27A of the Securities Act of 1933
and Section 21E of the Securities Exchange Act of 1934.
Forward-looking statements in this release include but are not
limited to: impact of the acquisition of Schlumberger GCS on
Harris earnings, and statements
regarding outlook, including growth opportunities. The company
cautions investors that any forward-looking statements are subject
to risks and uncertainties that may cause actual results and future
trends to differ materially from those matters expressed in or
implied by such forward-looking statements. The company's
consolidated results and the forward-looking statements could be
affected by many factors, including but not limited to: the loss of
our relationship with the U.S. government or a shift in U.S.
government funding; potential changes in U.S. government or
customer priorities; risks inherent with large long-term
fixed-price contracts, particularly the ability to contain cost
overruns; financial and government and regulatory risks relating to
international sales and operations; our ability to continue to
develop new products that achieve market acceptance; the
consequences of future geo-political events; strategic acquisitions
and the risks and uncertainties related thereto, including our
ability to manage and integrate acquired businesses; performance of
our subcontractors and suppliers; potential claims that we are
infringing the intellectual property rights of third parties; the
successful resolution of patent infringement claims and the
ultimate outcome of other contingencies, litigation and legal
matters; risks inherent in developing new technologies; changes in
our effective tax rate; the potential impact of natural disasters
or other disruptions on our operations; the potential impact of a
security breach, through cyber attack or otherwise, or other
significant disruptions of our IT networks and systems or those we
operate for customers; the potential impact of satellite bandwidth
constraints on our managed satellite communications services;
changes in future business conditions that could cause business
investments and/or recorded goodwill to become impaired; and the
general downturn in the global economy. Further information
relating to factors that may impact the company's results and
forward-looking statements are disclosed in the company's filings
with the SEC. The forward-looking statements contained in this
release are made as of the date of this release, and the company
disclaims any intention or obligation, other than imposed by law,
to update or revise any forward-looking statements, whether as a
result of new information, future events, or otherwise.