SIM.L Regulatory News (SIM)

20 Nov 2007 07:02

SimiGon Limited20 November 2007 20 November 2007 SimiGon Limited ("SimiGon" or "the Company") SimiGon continues SIMbox success with $2.4m contract November 20 2007 - SimiGon Limited (LSE: SIM), a global leader in the provisionof simulation solutions, announces that it has signed a $2.4m contract with aninternational customer. The customer has bought licences for the provision of software and servicesbased on SIMbox architecture, which enables users to develop flexible, PC-basedtraining solutions. It is expected that SimiGon will deliver the software to thecustomer and will recognise revenues from the sale in the current financialyear. The Company believes that this can be the first step of several with thiscustomer. The revenues to be recognised in this contract are already factored into marketexpectations for the Company's performance in 2007 and the deal itselfillustrates the changing nature of SimiGon's business, from short-term programswith short sales cycles into multi-million dollar programs with major customers.While this shift places SimiGon in a much stronger position to achieve long-termgrowth, in the short-term in such deals there remains a potential timing lagbetween the Company being selected as the preferred supplier of simulationtraining technology and commencement of the delivery of the systems. The Companyexpects that, as revenues grow, the potential overall impact of such timing lagswill reduce. SimiGon President and CEO, Ami Vizer said: "SimiGon has made significantprogress in expanding the market and customer base for SIMbox throughout 2007and is delighted to have signed a substantial deal with another internationalcustomer. This deal provides another strong endorsement both of the strength ofthe SIMbox product, as well as our business model." Enquiries: SimiGon Limited Ami Vizer, CEO +44 (0) 20 7977 0020 Corfin Communications Harry Chathli +44 (0) 20 7977 0020 Ben Hunt Evolution Securities Jeremy Ellis +44 (0) 20 7071 4300 Notes to Editors SimiGon is a fast-growing company with vast experience in providing Modelling,Simulation & Training solutions to customers worldwide. The Company's partnersinclude government and industry leading training and simulation organisations aswell as small businesses providing end users with added value content packagesbased on SIMbox technologies. This information is provided by RNS The company news service from the London Stock Exchange