CHEMRING ANNUAL REPORT AND ACCOUNTS 2010

Strong sales growth at NIITEK

NIITEK had an outstanding year, increasing its revenue by 124% to £102 million, driven by the urgent demand from the US and Canadian Armies for the Husky Mounted Detection System (HMDS) ground penetrating radars for counter-IED operations.

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Growth in the Middle East

Our non-NATO customers represent the largest opportunity for growth over the next five years. In 2010, our revenues from Middle East and Far East customers grew by over 60% and we believe that future growth in these regions should be substantial.

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Acquisition of Roke

In September we completed the acquisition of Roke, a leading UK developer of advanced sensors, signal processing, communications and network solutions. The acquisition provides the Group with a very broad range of capabilities and market access across our business segments.

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