Harris Corporation Awarded FAA Contract
International telecommunications and technology provider, Harris Corporation (NYSE:HRS – $67.06) has been awarded a 10-year contract, with an expected value of $98 million, by the Federal Aviation Administration to upgrade and manage the system that provides real-time weather data and flight-planning capabilities for Alaska’s general aviation community. The contract includes three base years and seven one-year options. Under the Operational and Supportability Implementation System (OASIS) II program, Harris will provide integrated flight planning and real-time weather briefing capabilities to FAA Flight Service specialists. OASIS II also supports Notice to Airmen messages – which alert pilots to potential hazards and provides up-to-date radar and satellite imagery. OASIS II will be the first consumer of System Wide Information Management in National Airspace System. As a part of the contract Harris also will provide system test and maintenance support services. Harris was awarded the original OASIS contract in 1997, and it is currently operational at 18 sites in Alaska and four support sites in the continental U.S. The shares of Harris have held up quite well in an otherwise weak defense sector and a stock market with a downward bias over the past four weeks. The shares, which yield 2.8%, can be held in a well-diversified aggressive account for long-term total returns.