Saturday, August 8, 2009

GTSI Wins Multi-Award $419 Million Department of the Army Automatic Identification Technology (AIT) - IV Contract

GTSI Builds on Track Record of Providing AIT Solutions and Services to Defense Agencies.

HERNDON, Va., -- GTSI (R) Corp. (Nasdaq: GTSI) an enterprise infrastructure solutions and services provider to government, was recently named as one of five awardees on an Army Program Executive office, Enterprise Information Systems (PEO-EIS) $418.52 million contract for Automatic Identification Technology (AIT) products, services, and solutions.

AIT includes the use of mobile and handheld computing devices -- connected to wireless networks and enterprise applications - to capture and process data from bar codes, item unique identification (IUID), and radio frequency identification (RFID) tags. The contract represents an extremely important undertaking for the Army as it replaces a single-source contract with a multi-award IDIQ (Indefinite Delivery/Indefinite Quantity) contract that provides greater product and solution diversity. Through this contract, GTSI will provide a wide range of services and innovative solutions to fully address the Government's AIT requirements.

"As one of the largest solutions contracts in the company's history and building on our extensive track record in the area of automatic identification technology, we look forward to working with the Army and other departments to help them build sophisticated asset management and supply chain solutions to meet their critical mission needs," said Jim Leto, GTSI's Chief Executive Officer. "Over the past several years we have provided the Army and other key agencies with logistics support through a variety of technology applications and are pleased to be a part of the future development and deployment of automatic identification technology solutions. By automating or applying technology applications to what was previously a purely manual task, customers will have real-time visibility of assets throughout their work centers and storage areas."

AIT-IV is designed to provide a common, integrated solution for logistics tracking, locating, and monitoring of assets and processes. In addition, data collection and storage, information processing, and transmission of AIT data will greatly enhance systems within Department of Defense (DoD), United States Coast Guard, and other Federal Agencies. AIT reduces administrative and logistics costs in a wide variety of applications by increasing data accuracy (eliminating errors), speeding the collection and transmission of data, and making the entire data entry/collection process more efficient. The award went to five companies and is expected to have a positive financial impact on GTSI beginning the later half of the fourth quarter of 2009 or the first quarter of 2010.

GTSI is working with many partners including several small, disadvantaged businesses to help it fulfill this contract worldwide.

"Working with GTSI over the past few years, we have come to trust and rely on their expertise in the area of technology solutions," said Jim Mears, vice president and general manager of Motorola's U.S. Federal Government Market Division. "The Motorola team recognizes the need for the continued development and deployment of sophisticated AIT solutions to ensure that our government customers have complete and efficient system capabilities and processes in place to track and manage their assets at all times." GTSI recently won Motorola's "Government Partner of the Year" Award.

The contract is a firm, fixed price nine-year IDIQ with a three-year base period; one two-year option; and one four-year maintenance only option. The scope of the contract provides for Technical Engineering Services that include requirements analysis, systems engineering and integration, application development, implementation, training and lifecycle support services. The contract is open to the DoD, US Coast Guard, NATO, Federal Agencies, Coalition Partners and other Foreign Military Sales.

About GTSI Corp.

GTSI Corp. provides a Technology Lifecycle Management (TLM) approach to IT infrastructure solutions delivered through industry-leading professional and financial services. GTSI employs a proactive, strategic methodology that streamlines technology lifecycle management, from initial assessment to acquisition, implementation, refresh, and disposal. TLM allows government agencies to implement solutions of national and local significance quickly and cost-effectively. GTSI's certified engineers and project managers leverage strategic partnerships with technology innovators. These experts use proven, repeatable processes to design, deploy, manage, and support simple to complex solutions, to meet governments' current and future requirements and business objectives. GTSI is headquartered in Northern Virginia, outside of Washington, D.C. Further information about the Company is available at www.GTSI.com.

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