Cyalume Technologies Receives Contract Extension to Supply Chemiluminescent Products to the Canadian Department of National Defence


WEST SPRINGFIELD, Mass., Oct. 18, 2011 (GLOBE NEWSWIRE) -- Cyalume Technologies, Inc. (OTCBB:CYLU) today announced that the Public Works and Government Services Canada (PWGSC) has exercised the first of two potential 12-month extension periods with Cyalume distribution and packaging partner, Military Magic Light (MML), for the supply of chemiluminescent products. The PWGSC is the common service agency for the Government of Canada's various departments and agencies. Through this contract, Cyalume's products are the exclusive chemical light products procured by the Canadian Department of National Defence (DND).

Cyalume will continue to provide over 40 different product varieties including light sticks and flares for military use and search and rescue needs.  Cyalume secured the sole supplier contract after qualifying trials proved that the products met military specifications regarding light output and duration and use of non-toxic, phthalate-free materials.

The original contract covered a one year period and included two additional option-year extensions.  The PWGSC forecasts that the contract, in its entirety, will amount to a potential value of CAD $3.2 million.

 "Cyalume's products are standard-issue equipment used by defense agencies worldwide, and we're pleased that the PWGSC has recognized the high quality and non-toxic characteristics that our ChemLight® and Cyflect® products exhibit," commented Derek Dunaway, Cyalume president and CEO.

Cyalume will manufacture the products at its headquarters in West Springfield, Massachusetts.  Military Magic Light, located in Mirabel, Québec, will package the products in compliance with Canadian law.

About Cyalume Technologies Holdings, Inc.

Cyalume Technologies is the world leader in chemiluminescent (chemical-light) technology, producing different variations of chemical-light products in all light wavelengths for the ammunition, military and public safety markets. The products provide dependable light solutions for training and battlefield operations, safety and emergency demands and non-toxic ammunition alternatives. Cyalume is the exclusive supplier to the U.S. and NATO-country militaries for all of their chemical-light needs and operates manufacturing facilities in the U.S. and France. Through its subsidiary Cyalume Specialty Products, Cyalume manufactures all of its active chemical components in the U.S. The Company has strategic partnerships with Rheinmetall Waffe Munition, GmbH, General Dynamics and Fiocchi Ammunition.

The Cyalume Technologies Holdings, Inc. logo is available at: http://www.globenewswire.com/newsroom/prs/?pkgid=8101

Forward-Looking Statements:

Certain statements made in this press release constitute forward-looking statements that are based on management's expectations, estimates, projections and assumptions. Words such as "expects," "anticipates," "plans," "believes," "scheduled," "estimates" and variations of these words and similar expressions are intended to identify forward-looking statements. Forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended. These statements are not guarantees of future performance and involve certain risks and uncertainties, which are difficult to predict. Therefore, actual future results and trends may differ materially from what is forecast in forward-looking statements due to a variety of factors. All forward-looking statements speak only as of the date of this press release and the company does not undertake any obligation to update or publicly release any revisions to forward-looking statements to reflect events, circumstances or changes in expectations after the date of this press release.            



            

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