Gofer, news out on your pick OSI-t:
Offshore Systems ready to help in the coming war
Mr. John Jacobson reports
Offshore Systems International has confirmed its business strategy of
focusing on key niches in military electronic chart markets for future
growth.
"We are, as everyone else is, shocked, saddened and horrified by the events
in New York and Washington last week, and everyone at Offshore extends
their condolences to the families and loved ones of those affected," said
Mr. Jacobson. "We live in a changed world, and we have to challenge the
changes, and to deprive the perpetrators of the satisfaction of knowing
that they won something, even in a small way. In response to questions from
investors, I'm taking this opportunity to share Offshore's views on how
these events affect our strategy, and how they might affect our business."
Offshore's strategy is based upon pursuing business opportunities in
carefully selected niches in the military electronic chart market. This is
a new market which has only just begun to grow, and Offshore has already
reported seeing a growing number of new opportunities coming for the
future. With its recent success with the Royal Danish Navy, Offshore has
established itself as a leader, achieving fleet deployments in two North
Atlantic Treaty Organization navies.
The key elements of Offshore's strategy are:
a tight focus on specific market opportunities where the company has
competitive advantage;
forming pursuit teams with well-known national players to pursue business
in foreign markets;
a highly capable modular product line that meets or surpasses published
standards and requirements;
a scalable corporate business model built on the sale of software licences
to finance internal research and development, and product development.
This strategy is working, and events of Sept. 11, 2001, will not affect its
design or execution. Offshore does expect some long-term effects in its
NATO and United States military markets. In the long term, the company
expects that increases in readiness and an increased focus on securing
North America's borders will lead to increased expenditures on naval
technology in general, including electronic chart systems. Offshore,
through its work with the U.S. Coast Guard, owns an extensive portfolio of
electronic charts of U.S. territorial waters, with excellent coverage of
remote areas and secondary ports. An increase in operational tempo in these
regions may create new demand for the company's electronic charts and
electronic chart systems. And, while this attack was in the U.S., all NATO
countries have joined together in a long-term alliance to pursue and engage
the perpetrators, so we expect to see product and data demand increase
across the broader market.
In the near term, Offshore is not expecting any specific positive or
negative effects on its business from last week's events. The company
continues to pursue the opportunities before it, and will announce
successes as they are achieved. |
