Three-year Contract To Supply To The US Navy

The Company is pleased to announce that the United States Navy, through the Naval Sea Systems Command (NAVSEA), has awarded a three-year contract to the Company's wholly owned subsidiary, MSI-Defence Systems US LLC, based in Rock Hill, South Carolina, USA. This is the first time that MSI-Defence Systems US LLC has been awarded a multi-year contract with the United States Navy.

This contract was awarded on a sole source basis for the continued supply of the MK88 MOD4 MSI-DS Stabilised Gun Mounts (which is the US Navy version of our MSI-DS Naval Gun Mount) and the MK48 MOD2 Electro-Optical Sights (which is the US Navy version of our MSI-DS Electro Optics System). It commences with immediate effect.

Under the first year of the contract, the US Navy has committed to purchase 22 MK88 Gun Mounts and 23 MK48 Electro-Optical Sights, with a total Year 1 contract value of $61.3m. The quantities to be supplied in each subsequent year will be agreed annually, in accordance with the customary structure of this type of US Navy contract.

MS INTERNATIONAL plc has previously stated that, despite the challenges arising from instability in global markets, its medium- to long-term prospects have never been stronger. This multi-year contract award reinforces the Company's confidence in its future position within the global defence market and represents sustained growth in the US market.

The award of this contract further demonstrates the US Navy's confidence in MSI-Defence Systems' ability to deliver world-class naval defence systems. The continued selection of the Company's equipment by leading nations reinforces its confidence in the prospects of the Defence and Security Division.