Intecon announces two municipal automation contracts
LAS VEGAS, NV, Dec. 4, 2007 -- National Automation Services Inc. and Intecon Controls Inc., located in Tempe Arizona, are pleased to announce the signing of an automation control contract for the City of Tucson to build required control and compressor panels for water wells located throughout the city. The contract is a continual supply contract which is open ended depending upon the needs of the city for these automation products and services. The Company estimates that this contract has a minimum value of $500,000 per annum and could rise to as high as $1,000,000 in annual revenues to Intecon. Profit margins are expected to exceed 30% on this contract.
Intecon was also notified by the City of Buckeye, Arizona that it is also being awarded a contract for $280,000.00 for the Farralon Pump Booster Station controls located in the City of Buckeye Arizona. This contract is another municipal contract for new controls at the Booster Station which supplies domestic potable water to the city. Profit margins are expected to exceed 30% on this contract.
VP of Sales Dayv Marlow of Intecon in describing these contracts stated: "We are already receiving the revenue synergies expected in our combination with National Automation Services, which we anticipated when we agreed to the acquisition. NASV and its wholly owned subsidiary, ISS, have an expertise in providing automation control products and services to municipalities in general, and municipal water treatment plants in particular. We are relied on that expertise in the bidding on these contracts, which we were pleased to be awarded."
Robert Chance, CEO of National Automation Services Inc., in describing the relationship with Intecon stated: "We are please that the management teams of Intecon and National Automation are working together even before the acquisition is officially closed during this month. Intecon has expertise in areas which our subsidiary, ISS, will utilize in expanding our revenue sources, and we are providing expertise to Intecon in area of municipal contracts, which has not been a major emphasis for it in the past. This is the reason that we believe that Intecon will double its revenues in 2008, and ISS' revenues will exceed $15 million in the next 12 months."
National Automation Services Inc. is a public holding company for specialized automation control companies located in the Southwestern United States. The Company presently owns 100% of the stock in Intuitive System Solutions Inc. ("ISS") of Las Vegas, Nevada and is currently completing its second acquisition in Phoenix, Arizona of Intecon Controls Inc.
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