Magal Security Systems to Restore Electronic Perimeter System along the Gaza Border, Second Contract from the Israeli Ministry of Defense Year-to-Date YAHUD, Israel--(BUSINESS WIRE)--Sept. 24, 2001--Magal Security Systems, Ltd. (NASDAQ NM: MAGS; TASE: MAGS), today announced it has signed a contract with the Israeli Ministry of Defense (MOD) for restoration work on the electronic perimeter system along the Gaza Strip Border.
Revenues for the project, to be completed before year-end 2001, total US$1.4 million and will be reflected in fourth quarter results.
The new contract is the second received this year from the Israel Ministry of Defense and calls for restoration of the existing system, the DTR-2000 Taut Wire Perimeter Intrusion Detection System. The first project, signed in March, was completed in the third quarter of 2001 and amounted to approximately US$2 million.
Jacob Even-Ezra, Chairman of Magal, said that the electronic perimeter intrusion detection system to be installed, was developed by Magal's R&D division, and meets all the stringent standards required by the Israel MOD. This system has the highest Probability of Detection (PoD), of any known security systems, and a very low False and Nuisance Alarm Rate (FAR/NAR). Mr. Even-Ezra also said that Magal's Taut Wire Systems are installed along more than 3,000 miles of sensitive installations around the world.
About Magal Security Systems
Magal Security Systems Ltd. is engaged in the development, manufacturing and marketing of computerized security systems, which automatically detect, locate and identify the nature of unauthorized intrusions. The Company's products are currently used in more than 70 countries worldwide to protect national borders, airports, correctional facilities, nuclear power stations and other sensitive facilities from terrorism, theft and other threats. Israeli-based Magal has subsidiaries in the U.S., Canada, the U.K., Germany, Mexico and an office in China. Revenues for fiscal year 2000 were US$38.6 million, with net income of US$2.9 million.
Magal trades in the U.S. on the NASDAQ market since 1993 and in Israel on the Tel-Aviv Stock Exchange (TASE) since July 2001, in both under the symbol MAGS.
This press release contains forward-looking statements, which are subject to risks and uncertainties. Such statements are based on assumptions and expectations which may not be realized and are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which might not even be anticipated. Future events and actual results, financial and otherwise, may differ from the results discussed in the forward-looking statements. A number of these risks and other factors that might cause differences, some of which could be material, along with additional discussion of forward-looking statements, are set forth in the Company's Report on Form 8-K filed with the Securities and Exchange Commission