Category: Software/Services

Environmental Tectonics Corporation Announces Receipt of Contract From United States Navy Valued at $19 Million

Environmental Tectonics Corporation (Amex: ETC) ("ETC" or the "Company") announced today that it has been awarded a contract by the United States Navy for a Disorientation Research Device. The contract, valued at over $19 million, was awarded to ETC following a competitive bid process. The device, ETC's GYROLAB GL-6000, will be manufactured at ETC's main manufacturing plant in Southampton, PA.

The contract calls for delivery by July 2011. It will be installed at the 711th Human Performance Wing at Wright Patterson AFB, OH. The GL-6000 will support research activities conducted by the Naval Aerospace Medical Research Laboratory (NAMRL).

ETC's GYROLAB GL-6000 will provide the most advanced technology for research by featuring sustained-G capability and six distinct degrees of freedom (motions). The GL-6000 is capable of generating sustained G forces of up to 3Gs as well as motion in pitch, roll, yaw, heave, sway (side to side) and surge (fore - aft). The GL-6000 supports clinical research into high performance aircraft human factors issues. Additionally, the GL-6000 can support operational research including Head Up Displays, flight control ergonomics and instrument displays.

William F. Mitchell, President and Chairman of ETC, stated, "ETC is proud to be awarded the U.S. Navy contract for the NAMRL Disorientation Research Device. We look forward to providing this advanced technology device to support research activities to solve the human factors issues encountered by aircrew flying today's and tomorrow's high performance aircraft. The U.S. Navy is a long time and valued customer of ETC."

An event attended by the news media, numerous ETC suppliers and subcontractors, and several dignitaries was held at ETC's main manufacturing facility to announce the award of the contract that will generate jobs for the community and improve the health and safety of thousands using the GL-6000, next generation in motion-based technology. Congressman Patrick Murphy, a strong supporter of ETC participated and addressed the positive economic impact this contract will have for the state of Pennsylvania.

H.F. (Gerry) Lenfest, a member of ETC's Board of Directors and a significant shareholder, stated, "I am very pleased that the Navy chose ETC to provide this device. ETC is a small business that has leading technology and a strong manufacturing base. This award is good for Pennsylvania and for the U.S.A.". ETC has been developing high performance aeromedical training and research devices for 40 years. The GL-6000 is designed to be a highly capable and flexible device that can support current and future research needs.

ETC designs, develops, installs and maintains aircrew training systems (aeromedical, tactical combat and general), disaster management training systems and services, entertainment products, sterilizers (steam and gas), environmental testing products, hyperbaric chambers and related products for domestic and international customers.

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are based on ETC's current expectations and projections about future events. These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions about ETC's and its subsidiaries that may cause actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements.

These forward-looking statements include statements with respect to the Company's vision, mission, strategies, goals, beliefs, plans, objectives, expectations, anticipations, estimates, intentions, financial condition, results of operations, future performance and business of the company, including but not limited to, (i) potential additional funding by Lenfest, (ii) the potential delisting of the Company's common stock from the American Stock Exchange as a result of the Company's failure to comply with the AMEX listing standards, (iii) projections of revenues, costs of materials, income or loss, earnings or loss per share, capital expenditures, growth prospects, dividends, capital structure, other financial items and the effects of currency fluctuations, (iv) statements of our plans and objectives of the Company or its management or Board of Directors, including the introduction of new products, or estimates or predictions of actions of customers, suppliers, competitors or regulatory authorities, (v) statements of future economic performance, (vi) statements of assumptions and other statements about the Company or its business, (vii) statements made about the possible outcomes of litigation involving the Company; (viii) statements regarding the Company's ability to obtain financing to support its operations and other expenses, and (ix) statements preceded by, followed by or that include the words, "may," "could," "should," "looking forward," "would," "believe," "expect," "anticipate," "estimate," "intend," "plan," or the negative of such terms or similar expressions. These forward-looking statements involve risks and uncertainties which are subject to change based on various important factors. Some of these risks and uncertainties, in whole or in part, are beyond the Company's control. Factors that might cause or contribute to such a material difference include, but are not limited to, those discussed in the Company's Annual Report on Form 10K for the fiscal year ended February 29, 2008, in the section entitled "Risks Particular to Our Business." Shareholders are urged to review these risks carefully prior to making an investment in the Company's common stock.

The Company cautions that the foregoing list of important factors is not exclusive. Except as required by federal securities law, the Company does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company.

 

    Contact:
    Duane D. Deaner, CFO
    Tel: 215-355-9100 (ext. 1203)
    Fax: 215-357-4000