Exhibit 99.1
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NTS LOGO
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National Executive Office
Technical 24007 Ventura Boulevard
Systems, Inc. Calabasas, California 91302
Tel: (818) 591-0776
NEWS RELEASE for January 26, 2004 at 7:30 AM EST
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Contact: Allen & Caron Inc National Technical Systems
Jill Bertotti Aaron Cohen
jill@allencaron.com Vice Chairman of the Board
Len Hall (media) 818-591-0776
len@allencaron.com
949-474-4300
NATIONAL TECHNICAL SYSTEMS COMPLETES ACQUISITION OF DTI HOLDINGS, LLC
Provider of Large Scale Shock and Vibration Tests for U.S. Navy
CALABASAS, CA (January 26, 2004) . . . National Technical Systems, Inc. (Nasdaq:
NTSC) (NTS), a leading provider of quality, conformance and certification
testing, quality registration, and managed services, announced today that it has
finalized the acquisition of privately-held DTI Holdings, LLC, doing business as
"Dynamic Testing" (DTI), headquartered in Rustburg, VA. Mertz Associates, Inc.,
a Milwaukee-based merger and acquisition consulting firm, assisted in
negotiating the transaction. As previously reported, on December 8, 2003, the
purchase was made for a combination of cash and NTS common stock.
NTS Chairman and CEO, Jack Lin, Ph.D., commented, "The acquisition of DTI
is another step in NTS' growth strategy for increasing revenue and profitability
for our shareholders. Not only will this acquisition be immediately accretive in
its own right, but it is also expected to play an important role in NTS'
strategy of capturing a significant share of the large-scale shock and vibration
testing mandated by the Navy. The DTI acquisition differentiates NTS as the only
commercial company able to offer the Navy and its suppliers a complete suite of
physical tests to qualify products for deployment on Naval vessels."
DTI provides its customers large-scale shock and vibration testing
services that are used to qualify mission-critical equipment such as navigation,
communication and guidance weapons installed on U.S. Navy combatants. Its
customers include the U.S. Navy and other U.S. and foreign government agencies,
as well as a number of prime contractors and commercial organizations. In
addition to testing services, DTI also offers its customers a full line of shock
isolators.
NTS President and Chief Operating Officer William C. McGinnis added, "DTI
is a healthy organization with a strong management team and a culture that is
compatible with NTS. Its operations are efficient and should immediately provide
higher margins to our organization. NTS is now positioned to offer the Navy and
its suppliers complete and convenient one-stop services to meet all the Navy
NAVSEA test requirements. One of the jewels of this acquisition is DTI's $7.0
million time and material task order based contract with the Naval Surface
Warfare Center. We also believe there is an opportunity to achieve significant
shock isolator product growth in the domestic and international shipping
industry."
MORE-MORE-MORE
NATIONAL TECHNICAL SYSTEMS COMPLETES ACQUISITION
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About National Technical Systems, Inc.
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National Technical Systems, Inc. is a business-to-business services
company providing organizations in the aerospace, defense, information
technology (IT) and high technology markets integrated testing, certification,
quality registration, systems evaluation and engineering solutions. For
additional information about National Technical Systems, visit its web site at
www.ntscorp.com.
The statements in this press release that relate to future plans, events
or performance, are forward-looking statements that involve risks and
uncertainties, including risks associated with uncertainties pertaining to
customer orders, demand for services and products, development of markets for
the companies' services and products and other risks identified in the
companies' SEC filings. Actual results, events and performance may differ
materially. Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date hereof. The
companies undertake no obligation to release publicly the result of any
revisions to these forward-looking statements that may be made to reflect events
or circumstances after the date hereof or to reflect the occurrence of
unanticipated events.
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