SCIENCE/TECHNOLOGY : Comarco Wins $35-Million Contract for Navy Weapons Center in Indiana

Comarco has received a multiyear contract valued at more than $35 million from the U.S. Naval Weapons Center in Crane, Ind. Under the contract, the Anaheim firm will supply engineering services for the Navy center’s ordnance programs.

The contract, which is Comarco’s second-largest ever, has an initial period of three years with options for two additional years.

The contract will boost Comarco’s sales by about 10% during the next year. The firm expects to report sales of about $80 million for its fiscal year ending Jan. 31.

The company plans to hire 130 people, mostly engineers, to perform the work. Most of the hiring will be done in the Indiana area, said Don Bailey, vice president of corporate development.

Comarco said the contract brings its current backlog of orders to more than $130 million. Comarco plans to form a new division in Bloomington, Ind., to perform the contract work.

Bailey said Comarco is one of about half a dozen companies bidding on a related contract for the Navy facility in Indiana. That contract, which involves aerospace electronics programs, has a value of roughly $100 million, he said.

“If we win that one, it may significantly impact employment,” Bailey said. He said the second contract could also lead to an increase in Comarco’s Orange County employment.

Comarco’s largest previous contract was an $88 million award with the Naval Weapons Center in China Lake. The manager of that program, Mark L. Fagerlin, will head the Indiana program.

Several months ago, Comarco received several contracts from the Navy with a total value of $40 million.