U.S. Army Awards $35.1 Million Contract to FLIR Systems for New Chemical Agent Disclosure Spray

Innovative Spray Technology Changes Color when Chemical Warfare Agents like Sulfur Mustard, VX, or Sarin are Detected on Equipment, Surfaces, or Clothing; Enables Faster, More Effective Decontamination

ARLINGTON, Va., September 30, 2019― FLIR Systems, Inc. (NASDAQ: FLIR) announced it has won an indefinite-delivery/indefinite-quantity (IDIQ) contract worth up to $35.1 million with the United States Army to deliver a new version of the company’s Agentase^™ C2 chemical agent disclosure spray to detect sulfur mustard, a highly toxic chemical warfare agent.

FLIR Agentase C2 spray quickly changes color on a surface if a chemical warfare agent is present. With faster and more targeted detection, military decontamination experts can locate trace levels of contamination on surfaces and precisely mitigate the threat.

“Blister agents like sulfur mustard and nerve agents such as VX and sarin are an ongoing concern to the military,” said David Ray, President of FLIR’s Government and Defense Business Unit. “Our Agentase C2 spray technology offers unprecedented performance, enabling rapid detection of highly toxic substances while reducing the lifecycle cost of decontamination operations. This new award underscores our strategy to provide mission-critical solutions that help protect personnel on the frontline and save lives.”

The contract will support the Army’s Contamination Indicator/Decontamination Assurance System (CIDAS) program, a “program of record” within the Joint Program Executive Office for Chemical, Biological, Radiological and Nuclear Defense (JPEO-CBRND). Work will be performed at FLIR’s Pittsburgh location.

The IDIQ award consists of a 30-month engineering and manufacturing development phase, followed by an 18-month low-rate initial production phase, and a 72-month full-rate production phase. Shipments are expected to begin in the first quarter of fiscal year 2020. 

This is the second award issued to FLIR by JPEO-CBRND to support fielding of the Agentase C2 product line to the Joint Services under CIDAS. FLIR already is engaged on a $30 million contract to deliver its disclosure spray formulated for nerve agents such as VX and sarin. That effort is scheduled to enter full-rate production in first quarter of fiscal year 2020.

For more on FLIR’s chemical agent disclosure spray, visit www.flir.com/AgentaseC2.

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About FLIR Systems, Inc.

Founded in 1978, FLIR Systems is a world-leading industrial technology company focused on intelligent sensing solutions for defense, industrial, and commercial applications. FLIR Systems’ vision is to be “The World’s Sixth Sense,” creating technologies to help professionals make more informed decisions that save lives and livelihoods. For more information, please visit www.flir.com and follow @flir.

Forward Looking Statements
The statements in this release by David Ray and the other statements in this release about the contract and order described above are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on current expectations, estimates, and projections about FLIR's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including the following: the ability to manufacture and deliver the systems referenced in this release, changes in pricing of FLIR's products, changing demand for FLIR's products, product mix, the impact of competitive products and pricing, constraints on supplies of critical components, excess or shortage of production capacity, the ability of FLIR to manufacture and ship products in a timely manner, FLIR's continuing compliance with U.S. export control laws and regulations, and other risks discussed from time to time in FLIR's Securities and Exchange Commission filings and reports. In addition, such statements could be affected by general industry and market conditions and growth rates, and general domestic and international economic conditions. Such forward-looking statements speak only as of the date on which they are made and FLIR does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release, or for changes made to this document by wire services or Internet service providers.