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11/08/2012 | Press release
distributed by noodls on 11/08/2012 10:11
2013 Annualized Savings Expected to be in Excess of
$550,000
Hauppauge, New York, November 8, 2012 --- Orbit
International Corp. (NASDAQ:ORBT) today announced the
consolidation of production and administrative related
functions involving its Integrated Combat Systems
("ICS") and Tulip Development Laboratory
("TDL") facilities.
Beginning November 15, 2012 most of the production and
administrative functions currently performed at the ICS
facility in Louisville, KY will be transferred to
Orbit's 50,000 square foot TDL facility in Quakertown,
PA. Operations consolidation should be completed before
2012 year-end.
Mitchell Binder, President and CEO of Orbit International
commented, "Orbit is committed to both maximizing
profitability and shareholder value. After careful
analysis, we concluded that this course of action was both
necessary and appropriate. Going forward, the ICS facility
will be refocused on logistics and business development
initiatives while preserving select production efforts. The
annualized salary savings from this operational change are
expected to be in excess of $550,000."
Mr. Binder continued, "ICS currently leases
approximately 23,000 square feet, approximately half of
which is currently being subleased to a third party. The
ICS lease is up for renewal in early 2014, at which time we
plan to relocate ICS operations into a smaller, more
suitable facility, thereby creating additional savings in
occupancy related costs."
Mr. Binder concluded, "We do not anticipate requiring
additional employees at our TDL facility to support the ICS
production effort. Our TDL facility is not currently
operating at full capacity and this consolidation of
operations with ICS is expected to improve the
facility's utilization for 2013."
Orbit International Corp. is involved in the manufacture of
customized electronic components and subsystems for
military and nonmilitary government applications through
its production facilities in Hauppauge, New York, and
Quakertown, Pennsylvania; and designs and manufactures
combat systems and gun weapons systems, provides system
integration and integrated logistics support and
documentation control at its facilities in Louisville,
Kentucky. Its Behlman Electronics, Inc. subsidiary
manufactures and sells high quality commercial power units,
AC power sources, frequency converters, uninterruptible
power supplies and COTS power solutions.
Certain matters discussed in this news release and oral
statements made from time to time by representatives of the
Company including, statements regarding our expectations of
Orbit's operating plans, deliveries under contracts and
strategies generally; statements regarding our expectations
of the performance of our business; expectations regarding
costs and revenues, future operating results, additional
orders, future business opportunities and continued growth,
may constitute forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of
1995 and the Federal securities laws. Although Orbit
believes that the expectations reflected in such
forward-looking statements are based upon reasonable
assumptions, it can give no assurance that its expectations
will be achieved.
Forward-looking information is subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected. Many of these factors are beyond Orbit International's ability to control or predict. Important factors that may cause actual results to differ materially and that could impact Orbit International and the statements contained in this news release can be found in Orbit's filings with the Securities and Exchange Commission including quarterly reports on Form 10-Q, current reports on Form 8-K, annual reports on Form 10-K and its other periodic reports. For forward-looking statements in this news release, Orbit claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Orbit assumes no obligation to update or supplement any forward-looking statements whether as a result of new information, future events or otherwise.
CONTACT Mitchell Binder, President & Chief Executive Officer, 631-435-8300
or Investor Relations Counsel, Linda Latman, 212-836-9609, Lena Cati, 212-836-9611, The Equity Group Inc.