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AS&E to Develop Next Generation Containerized Cargo Inspection System for Nuclear Threats

AS&E Receives ID/IQ Contract for CAARS Program Development Phase Valued at $28.8 Million; Total Contract Potential up to $450 Million

(BILLERICA, Mass., Sept. 13, 2006) -- American Science and Engineering, Inc. (NASDAQ: ASEI) (AS&E(R)), a leader in X-ray detection technology, announced today that it has been selected by U.S. Department of Homeland Security's Domestic Nuclear Detection Office (DNDO) to develop and deliver a next-generation cargo inspection system designed to meet the requirements of the CAARS Program (Cargo Advanced Automated Radiography System) to automatically detect shielded nuclear threats at the nation's points of entry. The total two-year development phase is valued at $28.8 million with a guaranteed minimum dollar value of $4.3 million. A substantial procurement could follow successful performance of the development phase, potentially increasing the total contract value up to $450 million. This opportunity represents one-third of the $1.35 billion estimated by the DNDO to be spent on the CAARS Program.

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After a highly competitive procurement process, DNDO selected AS&E, who with its partner, Passport Systems, Inc., adopted an advanced system concept that combines high energy X-ray radiography with a unique 3-D X-ray interrogation technique. The EZ Radiograph system will combine 9 MeV transmission imaging radiography with automatic identification of high atomic number materials such as tungsten, lead, uranium, or plutonium. The system will be dual-use, in that it will meet both the needs of DNDO in detecting nuclear materials, as well as the traditional needs of U.S. Customs and Border Protection in detecting contraband such as illegal drugs.

"This award by the U.S. Department of Homeland Security is a testament to AS&E's commitment to innovating the most advanced inspection solutions for our nation's security needs, today and in the future," said Anthony R. Fabiano, President and CEO of AS&E. "With AS&E's combined experience and expertise in X-ray technology, and our solid track record of delivering innovative technologies to market, we are well positioned to support the Government's global nuclear detection architecture. We are honored to work with our partners in the DNDO to help ensure the success of this most important program." Robert J. Ledoux, President and CEO of Passport Systems, stated that "We are pleased to be partnering with AS&E to address this important security problem and to achieve the objectives of the CAARS Program."

Source : American Science and Engineering, Inc.

Published on ASDNews: Sep 14, 2006

 

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