Engineered unit enters new market with $20 mln deal

/Home/Lyophilization Articles & Reports

Engineered unit enters new market with $20 mln deal
St. Louis Business Journal
July 15, 2005
Engineered Support Systems' Inc.'s Radian Inc. has been reinforcing U.S. Army trucks against roadside bombs, and now it's expanding that work to the private sector. The company expects to close on a $20 million deal with a private contractor to reinforce commercial tractor trailers used to ship goods around Iraq.

The deal, expected to close this month, would mark Radian's first sale of kits designed for non-military vehicles.
The Alexandria, Va.-based company in August will complete a contract worth more than $50 million to provide the Army with 1,049 up-armor kits. Radian says private contractors also need to protect their vehicles against explosive devices.
"Those contractors that are operating commercial trucks are also asking for armored kits and that's where the work is leading us," said Rich Sackett, Radian's business development director.
The company said it plans to sell to other government contractors and to vehicle manufacturers who want to strengthen the commercial vehicles they sell for use in dangerous areas.
Radian has been developing and testing armor kits designed for several types of commercial trucks since May.
St. Louis-based Engineered Support Systems (NASDAQ: EASI - News) bought Radian for $41.7 million in 2002. Radian's revenues more than tripled from $53 million in 2002 to $175 million in 2004.