RIDGEFIELD, Conn., Jan. 24, 2005 (PRIMEZONE) -- Markland Technologies, Inc. (OTCBB:MRKL), a defense and homeland security company transforming advanced laboratory technology into real-world products, has announced its Strategic Initiatives for 2005. The announcement was made by Robert Tarini, Chairman and CEO of Markland.
The announcement recaps Markland's key business and technological achievements during 2004, and describes the Company's goals for continued development of its leadership position in the homeland security and defense marketplaces. It provides a general overview of the Company's strategic approach to achieve growth in revenue and shareholder value throughout 2005 and beyond.
"With our innovative products and services in greater demand, we are announcing our strategic initiatives for 2005, which outline what we believe to be a compelling vision for the future of our dynamic company," said Mr. Tarini. "The past year has been a period of significant revenue growth for Markland. For example, in our first quarter of the fiscal year ending Sept. 30, 2004, we reported a corporate record of $15.7 million in gross revenues, a significant year-over-year increase. We feel the numbers provide the best validation of our overall strategy. It's our opinion that calendar year 2005 will build and improve upon this success in the Homeland security and Department of Defense (DOD)-related industries.
"The nature of domestic security and defense has undergone major transformation in recent years," said Mr. Tarini. "This has sparked the government, military and first-responders to turn to fast-moving technology innovators such as Markland to provide many important answers to the world's safety and security needs. The U.S. government has allotted $28.9 billion in spending this year for Homeland security. In addition, the military has an ongoing need for new technologies -- particularly, the innovative and highly differentiated detection and monitoring sensor systems that Markland specializes in. We believe these conditions will continue to support significant growth for our industry overall and for Markland.
A few of Markland's milestones and achievements during 2004 include:
1. Acquisition and successful integration of wholly-owned subsidiary EOIR Technologies Inc. into Markland's other business segments of chemical detection, border security and emerging technologies.
EOIR Technologies Inc. specializes in remote sensing technology and currently holds an ongoing five-year omnibus contract with the U.S. Army's Night Vision and Electronic Sensors Directorate (NVESD), one of the military's most advanced technology research and development entities. The omnibus contract may provide a maximum ceiling award amount of up to $80 million in fiscal year revenues for Markland. The contract has a potential value of approximately $406 million over the life of the contract.
2. Successful technical evaluation of next-generation wide area coverage "stand-off" chemical detection technology.
These long-distance hyper spectral sensor surveillance systems are being designed to identify chemical agent plumes across a wide area and from a distance far enough to enable first responder and security personnel to maximize their response time and planning. Markland's research and development program utilizes advanced thermal signature analysis techniques.
3. Development of an integrated multi-technology system to identify and stop suicide bombers.
Markland is developing an integrated approach to stopping suicide bombers. The system integrates Markland's stand-off detection technology with several other imaging and detection systems to identify armed or bomb-laden attackers. It is based on a unique three-tiered screening system that combines a range of existing thermal imaging and other advanced sensor technology along with new Markland-developed software analysis techniques. Together, they generate detection capabilities, which the company believes can be significantly more powerful than could be achieved by any single system.
The following represent Markland Technologies' key strategic initiatives for the coming year.
Strategic Initiative 1 -- Continue to solidify Markland as a strong niche player in the DOD/Homeland Security arena via organic growth:
We have been extremely successful -- growing revenue over ten-fold -- in building Markland into a viable force in the DOD/homeland security sector. Through additional initiatives that the company is presently implementing we believe that we can grow our market presence through providing innovative products and services to a number of United States intelligence agencies. The newly-implemented reforms in U.S. intelligence gathering agencies and renewed emphasis on increased budgets make this an attractive area for corporate growth initiatives to increase our present government intelligence business base.
We are also presently engaged in developing a new center for excellence for both DOD Force Protection and homeland security initiatives. This effort is intended to bridge the gap for dual-use technologies that have found their place in solving problems for both the United States military and the United States Department of Homeland Security. This strategy can potentially increase corporate revenues significantly in the coming year.
Strategic Initiative 2 -- Continue to pursue focused acquisitions of synergistic, revenue-producing assets:
As our successful integration of EOIR Technologies demonstrates, Markland's strategy of identifying and acquiring synergistic businesses can provide an important source of top line revenues. We currently believe that the homeland security, defense and intelligence markets are best served with a diversified and integrated portfolio of technology services and product-based solutions. We will continue to seek out and acquire complementary businesses and technologies. In particular, Markland strives to be a provider of highly differentiated turn-key systems that best meet the needs of our government and military customers. To increase our capabilities, Management has determined that Markland should attempt to acquire additional revenue-generating assets that would provide capabilities in a range of technologies, including video surveillance, biometrics, as well as basic research and development. We believe that we can successfully acquire synergistic revenue-producing assets in these key business areas in the coming year.
Strategic Initiative 3 -- Partner with established industry players on key, large-scale government contract programs:
To maximize and fully leverage our innovative technology assets, Management is engaged in efforts to establish partnerships with larger, established industry players in a host of potential key and large-scale government contracts and programs. One successful example of this strategy can be seen in our role as a subcontractor on the US-VISIT program for the Department of Homeland Security, where Markland has teamed with multiple Fortune 500 companies. The Company also has numerous initiatives in place with the U.S. Army's Night Vision and Electronic Sensors Directorate, one of the military's most advanced technology research and development entities and Markland's most important industry partner. We believe that these types of partnerships will enhance and accelerate our corporate growth business plan.
Strategic Initiative 4 -- Incubate and commercialize emerging technologies:
Markland has worked hard to position the Company as an innovator. We are continually working to develop new technologies within our business lines. Additionally, we are always monitoring the market for emerging technologies to acquire and/or incubate. We intend to continue to invest in intellectual property development and commercialization in the next year.
Summary
Markland's goal is to become a leading force in next-generation expert services and innovative products for the defense and homeland security markets. We have already achieved important early successes with our strategy of providing turn-key solutions that smoothly integrate disparate complementary technologies, easing the purchase and management process for our government and military customers. We believe these successes validate our business strategy and bode well for the future of Markland in the coming calendar year and beyond. Management is enthusiastic about the success Markland has accomplished to date and the numerous milestones the Company has achieved. Most importantly, we look forward to the continued rapid growth of our business base and to increasing shareholder value."
About Markland Technologies
Markland Technologies, Inc. is committed to setting next-generation standards in defense and security through the provision of innovative emerging technologies and expert services. The Company is engaged in the identification of advanced technologies currently under development in laboratories, universities and in private industry, and in the transformation of those technologies into next-generation products. Markland's solutions support military, law enforcement and homeland security personnel to protect the nation's citizens, borders and critical infrastructure assets from the threat of terrorism and other dangers. Through strategic development, Markland focuses on the creation of dual-use technology and products with applications in both the defense market and civilian homeland security and law enforcement fields. The Company is a Board Member of the Homeland Security Industries Association, and is a featured Company on HomelandDefenseStocks.com; additional details can be viewed at: http://www.homelanddefensestocks.com/Companies/MarklandTech.
For more information about the Company and its products, please visit the Markland home page at http://www.marklandtech.com.
Forward-Looking Statements
Investors are cautioned that certain statements contained in this document as well as some statements in periodic press releases and some oral statements of Markland Technologies officials during presentations about Markland Technologies, are ``forward-looking'' statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the ``Act''). Forward-looking statements include statements which are predictive in nature, which depend upon or refer to future events or conditions, which include words such as ``expects,'' ``anticipates,'' ``intends,'' ``plans,'' ``believes,'' ``estimates,'' or similar expressions. In addition, any statements concerning future financial performance (including future revenues, earnings or growth rates), ongoing business strategies or prospects, and possible future actions, which may be provided by management, are also forward-looking statements as defined by the Act. Some of the factors that could significantly impact the forward-looking statements in this press release include, but are not limited to: a reduction in order rates from the Army's Night Vision and Electronic Surveillance Directorate, difficulties integrating our acquisition of EOIR, insufficient cash flow to continue to fund the development and marketing of the Company's products and technology; a rejection of the Company's products and technologies by the marketplace, and; disputes as to the Company's intellectual property rights. Forward-looking statements are based upon current expectations and projections about future events and are subject to risks, uncertainties, and assumptions about Markland Technologies, its products, economic and market factors and the industries in which Markland Technologies does business, among other things. These statements are not guarantees of future performance and Markland Technologies has no specific intention to update these statements. More detailed information about those factors is contained in Markland Technologies filings with the Securities and Exchange Commission.
Markland Technologies, Inc is a featured Company on http://www.HomelandDefenseStocks.com, a service for which Markland compensates the provider.
For full details, click here: http://www.homelanddefensestocks.com/Companies/MarklandTech/NewsReleases.asp
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More information on Homeland Security issues, including news releases, events and experts available for comment, can be found on the Homeland Security Newsline at www.primezone.com/hs