SOURCE: TeleCommunication Systems, Inc.

September 17, 2008 09:12 ET

TCS to Ship $23.4 Million of Deployable Satellite Solutions Under U.S. Army SNAP Program

Satellite Solutions to Support Multi-National Coalition Military Transition Teams Engaged in Operation Iraqi Freedom

ANNAPOLIS, MD--(Marketwire - September 17, 2008) - TeleCommunication Systems, Inc. (TCS) (NASDAQ: TSYS), a leading provider of mission-critical wireless communications, today announced that it has received a $23.4 million follow-on order for deployable satellite solutions under its Secure Internet Protocol Router (SIPR) and Non-secure Internet Protocol Router (NIPR) Access Point (SNAP) Very Small Aperture Terminal (VSAT) Satellite Systems Program. This U.S. Army Communications-Electronics Life Cycle Management Command (CECOM LCMC) Program has a potential value of $246 million over the next 39 months if fully funded.

Following the July 2008 $2.6 million order for initial shipments, the U.S. Army CECOM LCMC has now procured with this $23.4 million order, an additional 122 satellite systems from TCS' highly reliable SwiftLink® deployable communications product line. The SNAP program was awarded under the TCS World-Wide Satellite Systems (WWSS) contract vehicle to support the Army's need for rapidly deployable and highly secure satellite communication access to broadband satellite services. To date, the total awards to TCS under the WWSS contract vehicle total more than $376 million.

The SNAP program includes options for approximately 1,500+ terminals and supporting equipment to be deployed in various sizes and configurations over the next few years, along with up to 30 field support personnel. The company's 2007 investments in capacity for integration, testing, and deployment of its SwiftLink and wireless point-to-point deliverables assures timely delivery on large volume orders that meets customer expectations.

"TCS deployable satellite solutions provide the ease-of-use, secure and reliable communications that are necessary to support our soldiers in the field," said Michael Bristol, senior vice president of government solutions for TCS. "We anticipate that the U.S. Army will continue to leverage the SNAP program in order to provide our troops with advanced and secure SwiftLink products to support mission-critical communications."

The TCS SwiftLink VSAT systems used to fulfill SNAP program requirements provide multimedia communications capabilities which convey encrypted voice, video and imagery data. TCS SwiftLink products are highly transportable and ruggedized, with a graphical user interface that facilitates easy set-up and operation. The modularity and "plug and play" interfaces between all RF and Baseband configurations inherent in the SwiftLink product line result in communication solutions tailored to the end-user's specific needs.

TCS has established a proven track record over the past decade of providing highly specialized solutions to the Department of Defense, Special Operations and Intelligence Communities, the Department of Homeland Security and the Department of State. The TCS SwiftLink product line meets the critical communications demands of this elite customer set, no matter where or how they deploy.

About TeleCommunication Systems, Inc.

TeleCommunication Systems, Inc. (TCS) (NASDAQ: TSYS) engineers and delivers highly reliable wireless communications technology. TCS is a leader in wireless text messaging and location-based technology, including E9-1-1 services and commercial applications like navigation that use the precise location of a wireless device, and secure satellite-based communications systems and services. Customers include leading wireless and VoIP carriers around the world, cable MSOs, automotive telematics vendors, and agencies of the U.S. Departments of Defense, State, and Homeland Security. TCS is one of six primary vendors on a $5 billion Army Worldwide Satellite Systems Contract vehicle. For more information, visit

Except for the historical information contained herein, this news release contains forward-looking statements as defined within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended. These statements are subject to risks and uncertainties and are based upon TCS' current expectations and assumptions that if incorrect would cause actual results to differ materially from those anticipated. Risks include without limitation the possibility that the delivery order will not be fully funded, the possibility that equipment will not be delivered on time, the prospect that this order may be the foundation for additional large project wins, the possibility that large-scale production requirements could impair our ability to deliver, and those detailed from time to time in the Company's SEC reports, including the report on Form 10-K for the year ended December 31, 2007 and Form 10-Q for the quarter ended June 30, 2008.

Existing and prospective investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to update or revise the information in this press release, whether as a result of new information, future events or circumstances, or otherwise.

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