Electro Optic Systems Holdings Limited
has been informed that their tender for participation in the US Army CROWS 3
program was not successful.
May 2010 EOS announced it had
teamed with Northrop Grumman Corporation to jointly pursue the market for
remote weapon systems [RWS] in the United States through programs such
as the US Army’s Common Remotely Operated Weapon Station 3 [CROWS 3] program.
In response to an Army call for tenders, a team bid was submitted for this
program in March 2012.
EOS was recently informed in
the US that this bid was not
successful and that the CROWS 3 contract was awarded to the incumbent CROWS 2
contractor, Kongsberg Defence & Aerospace AS, Kongsberg, Norway.
“The CROWS 3 decision is
disappointing but is a contingency always addressed in EOS plans and has no
impact on EOS financial performance over the next 6 quarters,” EOS Chief Executive
Officer, Dr Ben Greene said.
“It will not reduce our pursuit of other
remote weapon system programs in the US market, especially where the
requirements include performance or advanced features not compatible with
CROWS,” Greene added.
Greene then went on to say that the current transformation of
EOS to meet volatile global business conditions is equally required for this
outcome from CROWS and will be completed.
“This includes changes to EOS production which have achieved more scalable
output at low cost, reducing the impact of CROWS on the cost base for all other
RWS programs,” he concluded.
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The CROWS 3 contract was awarded to the incumbent CROWS 2 contractor Kongsberg Defence & Aerospace.