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Globecomm Systems Inc. (GCOM) Awarded Multiple Contracts Valued at $9.1M

Globecomm integrates satellite network applications in order to provide reliable, high-quality connection to the edge of the network; it broadcasts one-to-many, and supports bandwidth-hungry applications. Globecomm delivers systems and services anywhere in the world, under any conditions. Whether it’s a secure military application in a war zone, or a highly distributed retail data network under tight cost and schedule constraints, Globecomm is able to accommodate the customer.

Globecomm believes that satellite communications, properly integrated into today’s complex applications and multimedia networks, can provide enormous value by extending the customer’s reach and allowing the customer to do more at a lower cost.

Globecomm’s pre-engineered systems are based on a set of building blocks that provide high reliability and fast start-up at a very competitive price. Each fixed or transportable earth station is customized from these building blocks to meet specific customer requirements. The components can include:

• Summit: A line of fixed earth stations that come in configurations from sub-meter antennas up to Standard A and include all electronics needed to meet the customer’s requirements for transmission, reception and interfacing to terrestrial networks.

• Explorer: A line of mobile earth stations with integrated electronics that is suited to a wide variety of military, institutional, newsgathering, enterprise and other applications, in sizes ranging from sub-meter up to 3 meters.

• SkyBorne IPTV: Solution offers telephone companies, broadband carriers and enterprises a single, cost-effective, customizable system that provides content acquisition, content management, subscriber management, and content packaging and delivery to the terrestrial distribution network.

• AxxSys Orion: A network management system that monitors and controls all of the terrestrial elements of a satellite communications network and integrates them with ground-based telecom systems, from routers to microwave, fiber to wireless.

Globecomm’s announcement on Tuesday is certainly good news for the company. While they have been profitable for several years, the last few quarters have shown revenues slightly down from prior years. This may be largely due to the economic slowdown that is besieging many companies with high capital spend products. GCOM’s stock is trading around $8.82, near its 52-week low of $7.77. The 52-week range for GCOM is $7.77 to $ 16.49. Of the five analysts recommending the stock, 3 recommend a buy and 2 recommend a strong buy. It may be time to start watching Globecomm.

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