Communications & Power Industries Awarded $19.7 Million to Support Phalanx Close-In Weapon System
PALO ALTO, Calif., Sept 09, 2009 /PRNewswire-FirstCall via COMTEX News Network/ -- Two divisions of Communications & Power Industries, Inc. (CPI) have been awarded sole-source, multi-year contracts by Raytheon Company (NYSE: RTN) to support the U.S. Navy's Phalanx Close-In Weapon System (CIWS). The total cumulative value of the contracts is up to $19.7 million. CPI, a subsidiary of CPI International, Inc. (Nasdaq: CPII), is a leading provider of microwave, radio frequency, power and control solutions for critical defense, communications, medical, scientific and other applications.
CPI's Microwave Power Products Division has received a five-year, sole source, indefinite-delivery/indefinite-quantity contract valued at up to $19 million to repair klystrons in support of the Phalanx CIWS. Work on this contract will be completed in Palo Alto, Calif. CPI and its predecessor company have provided more than 4,500 klystrons for the Phalanx CIWS program since the program began in 1973.
CPI's Beverly Microwave Division has received a $0.7 million sole source, firm fixed-price contract to provide receiver protectors for the Phalanx CIWS. Work on this contract will take place in Beverly, Mass., and shipments are expected to be completed in fiscal 2010. The Beverly Microwave Division has previously provided more than 3,000 receiver protectors since the mid-1990s to support the Phalanx CIWS.
In May, Raytheon was awarded approximately $260 million from the U.S. Navy to overhaul and upgrade 57 Phalanx CIWS and to provide ancillary equipment, spares and technical support. Phalanx is a rapid-fire, computer-controlled, radar-guided gun system that automatically acquires, tracks and destroys enemy threats that have penetrated all other ship defense systems. It is intended to provide short-range defense against enemy aircraft and anti-ship missiles. More than 890 systems have been built and deployed in the navies of 25 countries.
About CPI International, Inc.
CPI International, Inc., headquartered in Palo Alto, California, is the parent company of Communications & Power Industries, Inc., a leading provider of microwave, radio frequency, power and control solutions for critical defense, communications, medical, scientific and other applications. Communications & Power Industries, Inc. develops, manufactures and distributes products used to generate, amplify, transmit and receive high-power/high-frequency microwave and radio frequency signals and/or provide power and control for various applications. End-use applications of these systems include the transmission of radar signals for navigation and location; transmission of deception signals for electronic countermeasures; transmission and amplification of voice, data and video signals for broadcasting, Internet and other types of commercial and military communications; providing power and control for medical diagnostic imaging; and generating microwave energy for radiation therapy in the treatment of cancer and for various industrial and scientific applications.
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SOURCE CPI International, Inc.
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