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OSI Geospatial Signs $29m Contract to Deliver W-AIS Systems

Maritime Activity Reports, Inc.

November 28, 2006

OSI Geospatial Inc. (OSI) announced that its international systems business has now signed the prime contract with the United Kingdom Ministry of Defence to deliver Warship Automated Identification Systems (W-AIS). On November 2, 2006, the company announced its selection as the preferred bidder for a contract valued at approximately US$29 million, including all options. The company will begin delivery immediately and will recognize a portion of the revenue from this contract in fiscal 2006.

The U.K. Royal Navy W-AIS will be installed in platform Operations and Control Rooms and integrated into the Warship Electronic Chart Display and Information System (WECDIS) located on the bridge of the naval ship. This system will enhance maritime interdiction operations, operations room situational awareness, co-ordination with other command and control systems, contribution to the recognized maritime picture and operational deception. The W-AIS will be deployed on up to 77 naval ships and could be deployed on naval aircraft in the future.

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