Anticipated Impact of Cessation of Program With a Foreign Customer on Elbit Systems’ 2011 Fourth Quarter Net Profit
HAIFA, Israel, February 10, 2012 /PRNewswire/ –
Elbit Systems Ltd. (NASDAQ and TASE: ESLT) (the “Company”), announced today, further
to its announcement of December 22, 2011, the anticipated impact on the Company’s 2011
fourth quarter net profit as a result of the cessation of a program with a foreign
customer (the “Program”). The Company expects that as a result of the cessation of the
Program the Company’s 2011 fourth quarter net profit will be reduced by approximately $60
to $65 million. This amount is a result of write-off of inventories as well as other
anticipated costs resulting from the cessation. The Company is currently in discussions
with the Israeli Ministry of Defense regarding arrangements with respect to claims of the
Company as a result of cessation of the Program.
The Company expects to announce final financial results for the fourth quarter and
year end of 2011 during March 2012.
About Elbit Systems
Elbit Systems Ltd. is an international defense electronics company engaged in a wide
range of programs throughout the world. The Company, which includes Elbit Systems and its
subsidiaries, operates in the areas of aerospace, land and naval systems, command,
control, communications, computers, intelligence surveillance and reconnaissance
(“C4ISR”), unmanned aircraft systems (“UAS”), advanced electro-optics, electro-optic space
systems, EW suites, airborne warning systems, ELINT systems, data links and military
communications systems and radios.-The Company also focuses on the upgrading of existing
military platforms, developing new technologies for defense, homeland security and
commercial aviation applications and providing a range of support services.
For additional information, visit: http://www.elbitsystems.com.
This press release contains forward-looking statements (within the meaning of Section
27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange
Act of 1934, as amended) regarding Elbit Systems Ltd. and/or its subsidiaries
(collectively the Company), to the extent such statements do not relate to historical or
current fact. Forward Looking Statements are based on management’s expectations,
estimates, projections and assumptions. Forward-looking statements are made pursuant to
the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as
amended. These statements are not guarantees of future performance and involve certain
risks and uncertainties, which are difficult to predict. Therefore, actual future results,
performance and trends may differ materially from these forward-looking statements due to
a variety of factors, including, without limitation: scope and length of customer
contracts; governmental regulations and approvals; changes in governmental budgeting
priorities; general market, political and economic conditions in the countries in which
the Company operates or sells, including Israel and the United States among others;
differences in anticipated and actual program performance, including the ability to
perform under long-term fixed-price contracts; and the outcome of legal and/or regulatory
proceedings. The factors listed above are not all-inclusive, and further information is
contained in Elbit Systems Ltd.’s latest annual report on Form 20-F, which is on file with
the U.S. Securities and Exchange Commission. All forward-looking statements speak only as
of the date of this release. The Company does not undertake to update its forward-looking
statements.
Contacts:
Company Contact:
Joseph Gaspar, Executive VP & CFO
Tel: +972-4-8316663
j.gaspar@elbitsystems.com
Dalia Rosen, VP, Head of Corporate Communications
Tel: +972-4-8316784
dalia.rosen@elbitsystems.com
Elbit Systems Ltd.
IR Contact:
Ehud Helft
Kenny Green
CCG Investor Relations
Tel: +1-646-201-9246
elbitsystems@ccgisrael.com
SOURCE Elbit Systems Ltd