The contract is fully funded through the United States Agency for International Development and the project work is expected to begin immediately upon receipt of the USAID's direct letter of commitment.

On June 1, 2004, Globecomm announced the first contract from the MoC valued at $14.7 million, bringing the combined contract values to $28.9 million.

Under the terms of this contract, Globecomm will design, deliver, install and maintain a second satellite based communications network.

When completed, the network will deliver voice, data, Internet and video conferencing services to 337 districts within Afghanistan, and will enable the MoC to offer broadband services to other government agencies, as well as international organizations and private commercial enterprises.

The system will include telecommunication facilities, air conditioning, power generation equipment, computers and office equipment for each location, amongst other equipment required to operate and maintain a modern communications network.

His Excellency Stanekzai, Afghanistans's Minister of Communications, commented "The MoC is placing very high confidence in Globecomm by awarding it both national communications system contracts. These two programs are very important to Afghanistan. We expect that the MoC and Globecomm will be working together on these and future programs for many years to come."

David Hershberg, Chief Executive Officer and Chairman of Globecomm Systems, said, "As communication technologies continue to converge, Globecomm is proving its ability to handle the full spectrum of requirements to win jobs of this scale and complexity."

"The capability of integrating multiple technologies and equipment required in large complex broadband communications networks is enabling the Company's growth. In just the past 90 days, we have reported three such large infrastructure projects with a combined value of approximately $44 million."

"In addition to this contract, we previously announced contracts on June 1, 2004 valued at $14.7 million and July 13, 2004 valued at $15 million. The magnitude of this bookings activity further validates Globecomm's turnaround."

"The reconstruction of Afghanistan and other parts of the world offer future opportunities for Globecomm. The Company intends on working very closely with the MoC in addressing their current and future needs as they rebuild their communications infrastructure."

"Globecomm also intends to continue to focus our resources on these kinds of larger more complex projects where we believe the Company possesses a competitive advantage."

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