US Department of Defense contract award

Avon is pleased to announce that it has been awarded a 3 year IDIQ (indefinite delivery indefinite quantity) contract from the US Department of Defense for the continued supply of M61 filters for use with Avon's M50 respirator.

The maximum contract value is approximately $38 million with an initial order value of $11 million which we expect to fulfill in this financial year.

Commenting on the news, Peter Slabbert, Chief Executive said: "As we anticipated when investing in additional production capacity in 2010, we are seeing growing demand for the consumable filters as increasing numbers of  mask systems are supplied and issued to the troops in the field. As the sole source supplier of this unique conformal filter, we believe this growth will continue. "

The company will release its next Interim Management Statement on 18 August.

[8 August 2011]