1,200 Cargo Drop 'Chutes To Be Manufactured At NC Facility

Ballistic Recovery Systems announced last week that it has been awarded a $4.1 million military contract to provide 1,200 G-12 cargo parachutes to the US Army through August 2010. An option for an additional 1,500 systems may be exercised by the Army once this initial batch is delivered, equating to an additional $5.1million contract, or a total potential of $9.2M in revenue if fully realized.

The G-12 is a heavy capacity, 64-foot diameter parachute designed for the aerial delivery of between 500-3,500 lbs of bulk-type, platform loaded cargo.

A significant win for BRS, this contract will require the hiring of a significant number of new employees bringing the total head count at BRS's Pinebluff, NC production facility, where the bulk of this contract will be fulfilled, to close to 95 staff.

"This win couldn't have come at a more opportune time for us," said BRS CEO & President, Larry Williams. "We have invested heavily over the past couple of years in our North Carolina and Minnesota headquarters facilities to position ourselves to win exactly these kinds of contracts."

"We are now beginning to see the payoff of these efforts and the realization by government agencies, such as the Army, that BRS can combine best value options with high quality standards for their needs. After all, we've been saving lives through our core whole-aircraft parachute product line for over 29 years. We know how to make reliable and high quality parachute systems, and this win reflects that reality," concluded Williams.

As with the recently announced B-52 parachute win, BRS's manufacturing facility in Pinebluff, NC known as BRS Defense, will be the primary production location for this contract. "We will be ramping up very quickly over the next few weeks to meet the delivery dates the Army desires," says BRS Defense General Manager, Norman Girdwood.

"This is excellent news for our community. We are especially excited to be able to prove to the Army that the story we have touted for several months now, regarding the capital infrastructure and process improvements we have made, is real. We see this as a very positive indication of the trust the government has in our abilities," Girdwood added.

This is the second military contract awarded to BRS within the past 30 days. BRS has now won $5.3 million in military contracts to date in its current fiscal year which began October 1, 2008.

FMI: www.brsparachutes.com