Elbit Systems to post $55 mln acquisition-related expense in Q4

Hanwha Systems

06/02/2020 07:17

TEL AVIV, Feb 6 (Reuters) - Israeli defence contractor Elbit
Systems  ESLT.TA  said on Thursday it expects to record an
expense of about $55 million in the fourth quarter related to
the acquisition by its U.S. subsidiary of the night vision
business of L3Harris Technologies  LHX.N .
    This expense will be recorded mainly in the "cost of
revenues" line item and will be eliminated in the non-GAAP
results due to the non-recurring nature of the expense.
    Elbit  ESLT.O  will report fourth quarter results in March.
    The incorporation of the night vision business "is expected
to produce synergies that will enhance the company's ability to
address various market requirements and customer support
activities," Elbit said in a statement.
    The company also said it won a six-year, $43 million
contract from South Korea's Hanwha Systems  272210.KS  to equip
next generation Korean fighter jets with terrain avoidance
systems.

 (Reporting by Tova Cohen
Editing by Steven Scheer)
 ((tova.cohen@thomsonreuters.com; +972-9-899-0222; Reuters
Messaging: tova.cohen.thomsonreuters.com@reuters.net))