Business
Contracts & Order Book Update
Contracts & Order Book Update.
About this update from Pennant International Group Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 6768F\n Pennant International Group PLC\n 23 March 2022\n \n \n \n \n \n \n \n \n \n \n \n FOR IMMEDIATE RELEASE\n \n \n \n \n \n 23 March 2022\n \n \n \n \n \n \n PENNANT INTERNATIONAL GROUP PLC\n \n \n \n Contracts & Order Book Update\n \n \n \n \n \n \n Pennant International Group plc (AIM:PEN)(\"Pennant\", the \"Group\" or \"Company\"), a leading global provider of training technology and integrated product support solutions, is pleased to provide the following update.\n \n \n \n \n \n Major Programme\n \n \n \n \n \n The contract for the Major Programme has now been formally awarded to Pennant by Boeing Defence United Kingdom Limited (BDUK). \n \n \n \n \n \n The contract is for the significant redesign and upgrade of several Apache training devices in support of the UK Apache Mk 2 programme.\n \n \n \n \n \n The contract value is £8.8 million and, being an 'engineered-to-order' programme, the associated revenue will be recognised over the next three years on a 'cost-to-complete' basis. Pennant has agreed a milestone payment plan over the course of the contract with the customer such that additional working capital facilities should not be required.\n \n \n \n \n \n BDUK is a new customer for Pennant. \n \n \n \n \n \n Other Contract Wins & Order Book\n \n \n \n \n \n The Group has finalised and signed contracts for the supply of software and services to a new customer in the North American commercial aerospace market (an opportunity mentioned in the Group's announcement of 20 January 2022). The contract is worth circa $1.8 million, comprising software licences to be supplied this financial year, consultancy services and a multi-year maintenance package. \n \n \n \n \n \n This contract win demonstrates significant progress in the Group's strategy to increase the proportion of its revenues from civilian customers, which was further boosted this January when the Group secured circa £200,000 in new orders from rail industry customers in the UK.\n \n \n \n \n \n Pennant has also received an order worth up to £250,000 from UK Defence for the supply of the Group's sophisticated, proprietary rotary-wing ai...