Israel Aerospace Industries Ltd. (IAI) (TASE: ARSP.B1) today reported a $200 million deal, in which Elta Systems, its subsidiary, will supply intelligence systems to an important customer in Asia. IAI declined to name the country that signed the deal, saying that it was at the request of the customer, which has extensive business ties with both IAI and other Israeli defense companies.
Under the deal, Elta will supply the country's air force with advanced location and observation pods. The systems, which are installed on warplanes, provide them with unique capabilities according to operational needs. The deal was signed yesterday, after a long negotiating period.
IAI said that this deal was a follow-on order from pods previously ordered by the same customer, which are still in use. The system that Elta will supply to the Asian country in this deal is regarded as more advanced. IAI asserts that the location and observation system is believed to be the most advanced in the world. El-Op, a subsidiary of IAI competitor Elbit Systems Ltd. (Nasdaq: ESLT; TASE: ESLT), helped develop the system, and is a subcontractor in the current deal.
IAI president and CEO Joseph Weiss said, "We have many years of experience in designing and manufacturing airborne warfare systems constituting a key element in the operational deployments by a number of air forces around the world. Our ability to supply airborne intelligence in real time enables IAI's customers to cope with operational challenges in the best way. This an important deal, of which we are proud."
Published by Globes [online], Israel Business News - www.globes-online.com - on March 28, 2017
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