ASR - avionic services, bombed out shareprice but fundamentally good business with a massive rise in contracts just won, not yet showing in price. The times also says 5 million contracts to be won in new year.
Avionic Services plc, the air traffic control systems innovator, announced in
September some #2.5 million in new contracts, over twice the turnover of the
whole of the previous financial year.
A Letter of Intent has been received recently by the Company for a contract at
Galway Airport worth some #500,000. The contract is for the supply,
installation, commissioning and flight checking of Airfield Lighting and
Navigational Equipment for Galway. The work is expected to be completed in the
current financial year. Additional contracts worth #160,000 have been won which
will also fall into the current year and include an Airfield Ground Lighting
(AGL) upgrade at Bristol Airport, the refurbishment of an Instrument Landing
System (ILS) at Coventry and the upgrading of approach lighting at Norwich
Airport.
The Company is also close to agreeing terms on three other larger contracts,
each valued in excess of #1m, and should conclude negotiations within the next
eight weeks. The first project involves control tower systems integration and
the installation of navaids and airfield ground lighting in the Gulf.
A second Middle-Eastern based project involves specialist consultancy for a
major airspace planning development and its subsequent means of control. The
third of these contracts is based in UK and will require the installation of
control tower systems integration and navaids.
Bill Price, Chairman and Chief Executive, stated: "Although some of these new
contracts have not yet been signed, their significance for Avionics,
particularly after the difficulties of the last eighteen months, should not be
underestimated. Together with the contracts already announced and the fund
raising currently underway, the new contracts ensure the continued growth of the
Company."
