Ceradyne, Inc. (NASDAQ: CRDN) has received the first of possibly two low rate initial production Enhanced Combat Helmet (ECH) orders. The initial release has a value of approximately $3 million. The full multi-year production order is expected by the end of the second quarter of calendar year 2012. The total for the initial orders plus full production is expected to exceed $170 million.
Ceradyne's practice is to only book orders with firm release dates and will only include the above orders as they are received with the only current increase in backlog being the initial low rate order.
The awarded initial order will be shipped to both the U.S. Marine Corps and the U.S. Army starting in the second quarter of calendar year 2012.
David Reed, Ceradyne Vice President and President of North American Operations, commented: "We are extremely pleased to have been awarded this ECH order. The ECH is a significant technology leap forward for our Marines and Soldiers in providing increased head protection on the battlefield. We anticipate meeting the government's performance, quality and delivery requirements with this order and look forward to meeting all of the requirements of full rate production in the near future."
Source: Ceradyne, Inc. (NASDAQ:CRDN)
Date: Mar 19, 2012