ATLANTA, May 23, 2006 (PRIMEZONE) -- EMS Technologies, Inc. (Nasdaq:ELMG) has announced that Paul B. Domorski will become its President and Chief Executive Officer on June 2, 2006, following the retirement of current President and CEO, Alfred G. Hansen. Until he accepted this position, Domorski, 49, had served since 2003 as Vice President of Avaya Inc. (NYSE:AV) with operational responsibility for its $1.6 billion services business. Other successful management efforts include two years, first as President and CEO and then as a consultant, with RSL Communications, Ltd. during its restructuring, and three years as President of British Telecom Syncordia Solutions, a combined products/services outsourcing and solution provider that he organized from other British Telecom businesses.
John B. Mowell, Chairman of the Board, stated, "The Board is very pleased to have been able to bring Paul Domorski on as the new CEO. Having worked with Al Hansen over the past 6 1/2 years, it was the primary objective of the Board to find a successor with the experience, intelligence, leadership, vision and energy to also be successful in the CEO role, and to accomplish the growth in revenues and earnings that we believe the Company has the capacity to achieve. After an extensive review of resumes and interviewing a number of promising candidates, we believe Paul is that person. He has excellent operational and strategic experience, a track record for identifying and executing growth opportunities, strong interpersonal skills, and significant background and interest in developing both international markets and service revenue streams. We also believe he has the talent and strong commitment needed to meet the demands of this job. In short, we concluded that he was the ideal candidate for EMS at this stage in its corporate life. We very much look forward to welcoming him as CEO and a member of the Board.
"With Al Hansen having effected a large number of needed improvements in our manufacturing, engineering and management processes and staffing, and with the completion of the process of eliminating unprofitable businesses and strengthening the balance sheet, it appeared the Company had reached an important juncture in its development. The Company and Al agreed that with Paul Domorski's availability, this was an opportune time for Al to proceed with his retirement plans and for the Company to bring a new CEO aboard for the next phase of corporate development."
Mowell reported that, "Much has been achieved under the leadership of Al Hansen. Our infrastructure is now strong and well-situated to enhance the future growth plans here at EMS. Al has developed a strong management team and an employee base that has talent, dedication and high morale. The Board has asked Al to remain available to the Company under an arrangement that it believes will support a very smooth and productive transition, and Al has agreed. The Board is very grateful to him for not only his past services, but also for his willingness to contribute advice and assistance to the new CEO."
Hansen stated that, "It has been enormously satisfying to me to work with the Board and with such an exceptional group of employees world-wide during the last 5 1/2 years while serving as CEO. Together, I feel, we have accomplished much, preparing the way for the new CEO to build on the achievements of recent years, and to take the Company to the next level of sustained growth."
Domorski added, "I am excited about this job and about this company and its prospects. I am working hard to learn about its people, businesses, products and technology and will expand on that process when I arrive in June. The Board members impressed me a great deal during the interview process, and I very much look forward to working with them, as well as with Al, and getting to know the Company's management and other employees. I also look forward to meetings, perhaps a bit further down the road after I've gotten comfortable with my knowledge of the Company, with investors and analysts and to sharing with them my perspectives on where EMS will be going over the next few years."
EMS Technologies, Inc. is an innovative leader in the technology of advanced wireless communications, focusing on the needs of the mobile information user and broadband applications. Headquartered in Atlanta and with approximately 1,200 workers worldwide, we provide wireless communications products for diverse markets, including commercial and defense. The Company's four business units address the needs of different markets, but they share a common foundation in broadband and other advanced wireless technologies, leading to important technical and marketing synergies:
-- LXE is a leading provider of rugged computers and wireless data
networks used for logistics applications such as distribution
centers, warehouses and container ports. LXE automatic
identification and data capture products serve mobile
information users at over 7,500 sites worldwide;
-- Defense & Space Systems supplies highly-engineered subsystems for
defense electronics and sophisticated satellite applications --
from military communications, radar, surveillance and
countermeasure to commercial high-definition television,
satellite radio, and live TV for today's most innovative airlines;
-- SATCOM supplies a broad array of terminals and antennas that
enable end-users in aircraft and other mobile platforms, such
as military command vehicles or over-the-road trucks to
communicate over satellite networks at variety of data speeds;
and
-- EMS Wireless is recognized globally as a leading supplier of
RF-based mobile telephony solutions. The division's extensive
product line rages from base station antennas and wireless
backhaul products for PCS/cellular telecommunications to active
antennas and repeaters for complete in-building communications
solutions.
Statements contained in this press release concerning the Company's potential for future growth are forward-looking statements. Actual results could differ from those statements as a result of a wide variety of factors. Such factors include, but are not limited to.
-- economic conditions in the U.S. and abroad and their effect on
capital spending in the Company's principal markets;
-- difficulty predicting the timing of receipt of major customer
orders, and the effect of customer timing decisions on our
quarterly results;
-- successful completion of technological development programs by
the Company and the effects of technology that may be developed
by, and patent rights that may be held or obtained by,
competitors;
-- the ability of the Company to obtain patent licenses, with
satisfactory license rights and royalty rates, from owners of
RFID-related patents that the Company concludes are valid and
would otherwise be infringed by Company products;
-- U.S. defense budget pressures on near-term spending priorities;
-- uncertainties inherent in the process of converting contract
awards into firm contractual orders in the future;
-- volatility of foreign exchange rates relative to the U.S. dollar
and their effect on purchasing power by international customers,
and the cost structure of the Company's non-U.S. operations, as
well as the potential for realizing foreign exchange gains and
losses associated with non-U.S. assets or liabilities held by
the Company;
-- successful resolution of technical problems, proposed scope
changes, or proposed funding changes that may be encountered on
contracts;
-- changes in the Company's consolidated effective income tax rate
caused by the extent to which actual taxable earnings in the
U.S., Canada and other taxing jurisdictions may vary from
expected taxable earnings;
-- successful transition of products from development stages to an
efficient manufacturing environment;
-- changes in the rates at which our products are returned for
repair or replacement under warranty;
-- customer response to new products and services, and general
conditions in our target markets (such as logistics, PCS/cellular
telephony and space-based communications);
-- the success of certain of our customers in marketing our line of
high-speed commercial airline communications products as a
complementary offering with their own lines of avionics products;
-- the availability of financing for satellite data communications
systems and for expansion of terrestrial PCS/cellular phone
systems;
-- the extent to which terrestrial systems reduce market
opportunities for space-based broadband communications systems
by providing extensive broadband Internet access on a dependable
and economical basis;
-- development of successful working relationships with local
business and government personnel in connection with
distribution and manufacture of products in foreign countries;
-- the demand growth for various mobile and high-speed data
communications services, and the possible effect of public
health concerns about alleged health risks of radio frequency
emissions;
-- the Company's ability to attract and retain qualified senior
management and technical personnel, and to devise and implement
effective senior management succession plans;
-- the ability to negotiate successfully with potential acquisition
candidates, finance acquisitions, or effectively integrate the
acquired businesses, products or technologies into our existing
businesses and products;
-- the availability, capabilities and performance of suppliers of
basic materials, electronic components and sophisticated
subsystems on which the Company must rely in order to perform
according to contract requirements, or to introduce new products
on the desired schedule;
-- the effects of consolidation in the telecommunications service
provider industry, including effects on the numbers of suppliers
used by the Company's customers, the overall demand by such
customers for our products, and the possibility that such
customers may demand greater price concessions; and
-- uncertainties associated with U.S. export controls and the export
license process, which restrict the Company's ability to hold
technical discussions with customers, suppliers and internal
engineering resources and can reduce the Company's ability to
obtain sales from foreign customers or to perform contracts with
the desired level of efficiency or profitability.
Further information concerning relevant factors and risks are identified under the caption "Risk Factors" in the Company's annual report on Form 10-K for the year ended December 31, 2005.