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2. Significant Events and Transactions
9 Months Ended
Sep. 30, 2015
Notes to Financial Statements  
NOTE 2 - Significant Events and Transactions

In September 2015, the Company received awards under the U.S. Department of Homeland Security (DHS) Tactical Communications Contract totaling approximately $26.2 million for portable radios, repeaters, accessories and service. The equipment will be deployed by the U.S. Transportation Security Administration (TSA) at over 400 airports both inside and outside the continental United States. The awards are for a base term of one-year that commencing on September 28, 2015 with four one-year options. The first option year was partially exercised immediately. Approximately $15.5 million, or almost 60% of the total amount, is specified in delivery orders. The precise timing for fulfilling these orders has not yet been determined as several logistical variables are addressed. Accordingly, the impact to sales revenue in any particular quarter is uncertain. The Company anticipates that shipments will commence during the first quarter of 2016. No equipment under these awards was shipped during the third quarter 2015, and consequently no sales revenue was recorded. The exercise, if any, of the remaining option years, which total $10.7 million, is not specified or guaranteed.