Sypris Wins Electronic Warfare Program
February 01 2022 - 8:30AM
Business Wire
Multi-year Follow-on Contract; Significant
Increase in Volume
System to Add Electronic Attack Capability
to Defend Navy Ships
Sypris Electronics, LLC, a subsidiary of Sypris Solutions, Inc.
(Nasdaq/GM: SYPR), announced today that it has recently entered
into a multi-year follow-on contract with a U.S. DOD prime
contractor to produce and test electronic power supply modules for
a large, mission-critical U.S. Navy program. The contract calls for
a significant increase in production volume from existing levels
beginning in 2022. Terms of the contract were not disclosed.
The program is an electronic warfare improvement program for the
U.S. Navy. The upgrade will provide the capability to actively jam
incoming missiles that threaten a warship, cue decoys and adapt
quickly to evolving threats. The improvements to the electronic
attack portion will provide integrated countermeasures against
radio frequency-guided threats and extended frequency range
coverage according to the U.S. Navy.
The system is software-defined. Unlike analog radars of the
past, the transmitters and receivers can easily adjust to send and
receive different waveforms, allowing the system to be more easily
adaptable.
The adaptability for active electronic attack comes as foreign
aggressors are simultaneously developing several new classes of
missiles at a significant rate. Systems like this program and new
directed energy weapons are part of the U.S. Navy’s efforts to
enhance the useful life of deployed missile systems.
The system’s game-changing capability for non-kinetic electronic
attack options can be further deployed in additional critical
areas. From advanced communications to multi-role waveforms, the
multi-function applications of the system will provide enhanced
mission capabilities to the U.S. Navy Fleet while presenting
opportunities for future reductions in cost, size, weight, and
power according to the U.S. Naval Institute.
“We are pleased to have solidified our long-term partnership on
this important program,” said Mark R. Kane, Vice President &
General Manager of Sypris Electronics. “The opportunity to expand
our role as a critical solution provider for our customer and the
U.S. Navy is certainly a privilege for Sypris. We look forward to
delivering this important technology for years to come.”
Sypris Electronics is a trusted provider of engineering and
manufacturing services for complex, mission-critical electronic
solutions for customers in the Defense, Space, Deep Sea
Communications, and Industrial markets. Backed by over 50 years of
experience, the Company specializes in producing electronics for
high-cost-of-failure applications. For more information, please
visit www.sypriselectronics.com.
Forward-Looking Statements
This press release contains “forward-looking” statements
within the meaning of the federal securities laws.
Forward-looking statements include our plans and expectations of
future financial and operational performance. Such statements
may relate to projections of the company’s revenue, earnings, and
other financial and operational measures, our liquidity, our
ability to mitigate or manage disruptions posed by COVID-19, and
the impact of COVID-19 and economic conditions on our future
operations, among other matters.
Each forward-looking statement herein is subject to risks and
uncertainties, as detailed in our most recent Form 10-K and Form
10-Q and other SEC filings.
Briefly, we currently believe that such risks also include the
following: the impact of COVID-19 and economic conditions on our
future operations; possible public policy response to the pandemic,
including legislation or restrictions that may impact our
operations or supply chain; the impact of potential U.S. Government
COVID-19 vaccine mandates on our ability to attract and retain
employees and on our business and results of operations; our
failure to successfully complete final contract negotiations with
regard to our announced contract “orders”, “wins” or “awards”; our
failure to successfully win new business; the termination or
non-renewal of existing contracts by customers; our failure to
achieve and maintain profitability on a timely basis by steadily
increasing our revenues from profitable contracts with a
diversified group of customers, which would cause us to continue to
use existing cash resources; cost, quality and availability or lead
times of raw materials such as electronic components; the cost,
quality, timeliness, efficiency and yield of our operations and
capital investments, including the impact of tariffs, employee
training, working capital, production schedules, cycle times, scrap
rates, wages, overtime costs, freight or expediting costs;
dependence on, retention or recruitment of key employees and
distribution of our human capital; disputes or litigation involving
governmental, supplier, customer, employee, warranty claims; our
inability to develop new or improved products or new markets for
our products; our reliance on a few key customers, third party
vendors and sub-suppliers; inventory valuation risks including
excessive or obsolescent valuations or price erosions of raw
materials or component parts on hand or other potential
impairments, non-recoverability or write-offs of assets or deferred
costs; failure to adequately insure or to identify product
liability, environmental or other insurable risks; unanticipated or
uninsured disasters, public health crises, losses or business
risks; volatility of our customers’ forecasts, scheduling demands
and production levels which negatively impact our operational
capacity and our effectiveness to integrate new customers or
suppliers, the costs of compliance with our auditing, regulatory or
contractual obligations; labor relations; strikes; pension
valuation, health care or other benefit costs; our inability to
patent or otherwise protect our inventions or other intellectual
property from potential competitors; adverse impacts of new
technologies or other competitive pressures which increase our
costs or erode our margins; U.S. government spending on products
and services that Sypris Electronics provides, including the timing
of budgetary decisions; changes in licenses, security clearances,
or other legal rights to operate, manage our work force or import
and export as needed; cyber security threats and disruptions; or
unknown risks and uncertainties. We undertake no obligation to
update our forward-looking statements, except as may be required by
law.
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version on businesswire.com: https://www.businesswire.com/news/home/20220131005933/en/
Lawrence J. Bernicky Vice President of Finance
(813) 972-6040
Sypris Solutions (NASDAQ:SYPR)
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