Sept 29 British defence contractor Chemring
Group Plc, which has been struggling with defence budget
cuts in its key markets, said on Thursday that it had signed an
Australian contract for A$18 million ($13.79 million).
The deal, with the Australian Department of Defence, is to
supply Chemring's Resolve 3 portable electronic surveillance
systems, the company said.
"This is the largest award that the group has received for
the Resolve system, growing Resolve's user-base to nine
countries..." CEO Michael Flowers said.
Chemring, which also makes ejector seats for fighter jets
and flares used to counter heat-seeking missiles, has lost over
a quarter of its value in the last 12 months as it struggled in
Middle Eastern economies, which have taken a hit from the slump
in oil prices.
The company secured an ammunition contract in the Middle
East in April after several delays that had forced it to warn on
profit last year.
Shares in the Romsey, Hampshire-based company, which was
worth more than 1 billion pounds at its peak, were up 5.65
percent at 144.75 pence at 1017 GMT on the London Stock
($1 = 1.3053 Australian dollars)
(Reporting by Noor Zainab Hussain in Bengaluru; Editing by