CMC Electronics Sells Non-Aviation Global Positioning System OEM Product Line To Its Subsidiary NovAtel
(Calgary, Alberta, Canada and Montréal, Québec, Canada, May 15, 2003) CMC Electronics Inc. has sold its non-aviation Global Positioning System (GPS) Original Equipment Manufacturer (OEM) product line to its subsidiary, NovAtel Inc. (NASDAQ: NGPS). The announcement follows the signing by both companies of a Memorandum of Understanding, which was announced in February 2003.
Jim Close, President and CEO, CMC Electronics, explained, "CMC Electronics is very pleased to have this growing, non-aviation product line placed under the management of our NovAtel subsidiary. This transaction aligns well with CMC Electronics' strategic thrust to focus on the Aviation Electronics market sector. We are convinced that the L1 OEM products and technology will flourish within the NovAtel organization."
CMC Electronics' non-aviation GPS OEM product line consists of three GPS engines, which use the L1 frequency band, known as the Superstar I, the Superstar II and the Allstar. The product line also includes three different enclosures known as the Starbox, Navistar and Smart Antenna series, along with development kits, and various accessories. In addition to the hardware variants, the L1 product line offers software variations for Wide Area Augmentation System (WAAS) corrections, base stations, timing applications and high-quality L1 carrier phase outputs.
CMC Electronics' non-aviation GPS OEM product line consists of three GPS engines, which use the L1 frequency band, known as the Superstar I, the Superstar II and the Allstar. The product line also includes three different enclosures known as the Starbox, Navistar and Smart Antenna series, along with development kits, and various accessories. In addition to the hardware variants, the L1 product line offers software variations for Wide Area Augmentation System (WAAS) corrections, base stations, timing applications and high-quality L1 carrier phase outputs.
The new product line will extend NovAtel's current high-performance, upgradeable single and dual frequency (L1/L2) product line into the mid-level single frequency market.
"NovAtel is excited about the opportunity to broaden our market access with a proven set of non-aviation GPS OEM products and a strong, established customer base," said Jon Ladd, NovAtel's President and CEO. "We intend to build on the current L1 product using many of NovAtel's patented technologies and core competencies, which will afford our OEM customers a faster time to market, earlier return on investment and greater flexibility and performance."
About CMC Electronics
CMC Electronics designs and produces leading technology electronics products for the aviation, infrared sensing, global positioning and space electronics markets. Its principal locations are in Montreal, Quebec; Ottawa, Ontario; Cincinnati, Ohio; and Sugar Grove, Illinois. The company's capabilities are broadened by NovAtel Inc., its subsidiary in Calgary, Alberta. For more information, visit www.cmcelectronics.ca.
CMC Electronics is a private company controlled by an investor group led by ONCAP L.P. ONCAP is a CDN $400 million investment fund established by Onex Corporation and a number of leading Canadian financial institutions. Onex Corporation is a diversified company with annual consolidated revenues of approximately CDN $24 billion and consolidated assets of approximately CDN $23 billion. Onex is Canada's 5th largest company with global operations in service, manufacturing and technology industries.
About NovAtel Inc.
NovAtel Inc. is a leading provider of precise global positioning and augmentation technologies designed to afford their customers rapid integration and exceptional return on investment. The company's core technology is being applied in diversified positioning markets around the globe including agriculture, mining, marine, surveying, unmanned systems and machine control. NovAtel is also the premier supplier of GPS ground reference receivers to national satellite-based augmentation systems worldwide including the U.S. WAAS, Europe EGNOS, Japan MSAS and China SNAS. For more information, visit www.novatel.com.
Contact
Janka Dvornik
Public Relations Manager
CMC Electronics Inc.
Telephone: (514) 748-3113
Fax: (514) 748-3184
kEncEmailKbolb/EwpsojlAdndfmfduspojdt/db
Mrs. Sonia Ross
Investor contact NovAtel
CMC Electronics Inc.
Telephone: (403) 295-4532
Mr. Farlin Halsey
Marketing contact NovAtel
CMC Electronics Inc.
Telephone: (403) 295-4970