PART I [Business](index=5&type=section&id=Item%201.%20Business) Comtech Telecommunications Corp. provides critical communications infrastructure and solutions through two main segments, navigating fiscal 2024 with refinancing and liquidity challenges while achieving record backlog and announcing a strategic transformation to a pure-play satellite and space communications company - The company operates through two core business segments: Satellite and Space Communications (secure satellite and wireless communications) and Terrestrial and Wireless Networks (next-generation 911 and public safety)[11](index=11&type=chunk)[21](index=21&type=chunk) - On October 17, 2024, the company announced a transformation strategy to become a pure-play satellite and space communications company, including exploring strategic alternatives for the Terrestrial and Wireless Networks segment, pursuing further portfolio-shaping, and implementing operational initiatives to align its cost structure[19](index=19&type=chunk)[71](index=71&type=chunk) - Fiscal 2024 results were impacted by refinancing and liquidity headwinds, which affected the supply chain and lengthened product cycles; despite this, the company exited fiscal 2024 with a record funded consolidated backlog of **$798.9 million**[13](index=13&type=chunk)[16](index=16&type=chunk) Fiscal 2024 Segment Contribution to Net Sales | Segment | Contribution to Net Sales | | :--- | :--- | | Satellite and Space Communications | ~60% | | Terrestrial and Wireless Networks | ~40% | [Satellite and Space Communications Segment](index=8&type=section&id=Satellite%20and%20Space%20Communications%20Segment) This segment, contributing approximately 60% of fiscal 2024 net sales, designs and supports sophisticated communications equipment for global defense, government, and commercial entities, driven by rising defense spending and satellite expansion - The segment is organized into four categories: satellite modem and amplifier technologies, troposcatter technologies, government services, and space components[26](index=26&type=chunk) - In September 2024, the company launched its new Digital Common Ground (DCG) portfolio of modems, designed to enable digitized, hybrid satellite network architectures for the U.S. DoD and coalition partners, and is one of the first to be Digital Intermediate Frequency Interoperability (DIFI) compliant[29](index=29&type=chunk)[30](index=30&type=chunk) - Key growth drivers include increasing demand from government and military for satellite communications, the launch of new LEO, MEO, and HTS satellites, the expansion of satellite-based cellular backhaul, and a growing market for advanced troposcatter systems[39](index=39&type=chunk)[40](index=40&type=chunk)[41](index=41&type=chunk) - Approximately **55.4%** of the segment's sales are derived from U.S. government and related agency contracts; key customers include the U.S. Armed Forces, major defense contractors like General Dynamics and Lockheed Martin, and commercial entities such as Intelsat and SES[43](index=43&type=chunk)[44](index=44&type=chunk) [Terrestrial and Wireless Networks Segment](index=11&type=section&id=Terrestrial%20and%20Wireless%20Networks%20Segment) Contributing approximately 40% of fiscal 2024 net sales, this segment is a leading provider of Next Generation 911 infrastructure and solutions, demonstrating strong performance with a 1.70x book-to-bill ratio, and is being explored for strategic alternatives - The segment is organized into three service areas: next generation 911 and call delivery, Solacom call handling solutions, and trusted location and messaging solutions[47](index=47&type=chunk) - The segment achieved a book-to-bill ratio of **1.70x** in fiscal 2024 and more than doubled its year-over-year bookings for next-generation solutions[15](index=15&type=chunk) - The company is exploring strategic alternatives for this segment as part of its strategy to become a pure-play satellite and space communications company[46](index=46&type=chunk) - Key customers include U.S. state and local governments (e.g., Massachusetts, Pennsylvania, Washington) and major telecommunications companies like AT&T, T-Mobile, and Verizon[64](index=64&type=chunk) [Strategic Transformation](index=15&type=section&id=Strategic%20Transformation) The company is executing a strategic transformation to become a pure-play satellite and space communications company, involving divestiture of the Terrestrial and Wireless Networks segment and other portfolio-shaping activities, including the recent divestiture of the PST product line and exit from UK operations - On October 17, 2024, the company announced its strategy to transform into a pure-play satellite and space communications company[71](index=71&type=chunk) - Completed the divestiture of its solid-state RF microwave high power amplifiers product line (PST Divestiture) on November 7, 2023, for net proceeds of **$33.2 million**[70](index=70&type=chunk) - In Q4 of fiscal 2024, the company decided to exit its operations in Basingstoke, United Kingdom, which were focused on LEO constellation-based antenna technologies, due to unattractive returns on invested capital[71](index=71&type=chunk) [Sales, Marketing and Customer Support](index=15&type=section&id=Sales%2C%20Marketing%20and%20Customer%20Support) The company utilizes direct sales, independent representatives, and value-added resellers, with U.S. sales accounting for 78.5% of consolidated net sales in fiscal 2024, including 33.7% from U.S. government contracts Sales by Geography and Customer Type (% of Consolidated Net Sales) | Category | FY 2024 | FY 2023 | FY 2022 | | :--- | :--- | :--- | :--- | | **U.S. Government** | **33.7%** | **31.3%** | **27.2%** | | **Domestic** | **44.8%** | **44.7%** | **47.8%** | | **Total U.S.** | **78.5%** | **76.0%** | **75.0%** | | **International** | **21.5%** | **24.0%** | **25.0%** | | **Total** | **100.0%** | **100.0%** | **100.0%** | - In fiscal 2024, no single customer, other than the U.S. government, represented more than **10%** of consolidated net sales; in fiscal 2023, Verizon represented **10.6%** of sales[79](index=79&type=chunk) [Backlog](index=16&type=section&id=Backlog) As of July 31, 2024, Comtech reported a record consolidated backlog of $798.9 million, with the Terrestrial and Wireless Networks segment contributing $520.0 million and the Satellite and Space Communications segment contributing $278.9 million, expected to be recognized as sales within 24 months Backlog as of July 31, 2024 | Segment | Backlog (in millions) | | :--- | :--- | | Satellite and Space Communications | **$278.9** | | Terrestrial and Wireless Networks | **$520.0** | | **Consolidated Total** | **$798.9** | - The backlog composition as of July 31, 2024, was **66.6%** from U.S. commercial customers, **18.8%** from U.S. government contracts, and **14.6%** from international customers[82](index=82&type=chunk) [Research and Development](index=17&type=section&id=Research%20and%20Development) Internal research and development expenses significantly decreased in fiscal 2024 to $24.1 million, or 4.5% of net sales, primarily due to increased customer-funded R&D, higher capitalization of engineering costs, and workforce reductions Research and Development Expenses (Internal) | Fiscal Year | Amount (in millions) | % of Net Sales | | :--- | :--- | :--- | | 2024 | **$24.1** | **4.5%** | | 2023 | **$48.6** | **8.8%** | | 2022 | **$52.5** | **10.8%** | - Customer-funded R&D activities, which are reflected in net sales and cost of sales, increased to **$18.9 million** in fiscal 2024 from **$14.0 million** in fiscal 2023[88](index=88&type=chunk) [Human Capital](index=19&type=section&id=Human%20Capital) As of July 31, 2024, Comtech employed 1,676 people, focusing on fostering a diverse and inclusive workplace through initiatives like "Comtech University" and an expanded internship program - Total workforce was **1,676** employees as of July 31, 2024, with **345** based outside the United States[114](index=114&type=chunk) Employee Workforce Demographics | Category | 2024 | 2023 | | :--- | :--- | :--- | | Women | **24%** | **22%** | | People of Color | **39%** | **38%** | | Veterans | **12%** | **10%** | | People with Disabilities | **7%** | **5%** | - Launched "Comtech University" in fiscal 2024, an online learning management system to provide ongoing training and career development opportunities[111](index=111&type=chunk) [Risk Factors](index=25&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant risks, including substantial doubt about its ability to continue as a going concern due to operating losses and liquidity challenges, potential failure to realize strategic transformation benefits, ongoing global supply chain constraints, and cybersecurity threats - Business Risk: The company's cash and liquidity projections raise substantial doubt about its ability to continue as a going concern, stemming from operating losses over the past three fiscal years and negative cash flow from operations[141](index=141&type=chunk)[187](index=187&type=chunk)[189](index=189&type=chunk) - Strategic Transformation Risk: There is a risk that the company may fail to realize the anticipated benefits of its operational initiatives, including the strategic alternatives for its Terrestrial and Wireless Networks segment, or that these benefits may take longer to realize than expected[140](index=140&type=chunk)[181](index=181&type=chunk) - Global Risk: Ongoing challenges related to supply chain constraints and inflation, particularly for satellite and troposcatter components, could adversely impact revenue, gross margins, and financial results[137](index=137&type=chunk)[157](index=157&type=chunk) - Financial Risk: The company must service its debt and maintain compliance with various restrictive covenants under its credit facility; failure to comply could result in an event of default and acceleration of repayment obligations[147](index=147&type=chunk)[254](index=254&type=chunk)[259](index=259&type=chunk) - Cybersecurity Risk: The company could be negatively impacted by system failures, security breaches, or cyber-attacks on its IT networks or those it operates for customers, which could lead to financial penalties and reputational damage[148](index=148&type=chunk)[276](index=276&type=chunk) [Unresolved Staff Comments](index=62&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports no unresolved staff comments from the Securities and Exchange Commission - None[365](index=365&type=chunk) [Properties](index=64&type=section&id=Item%202.%20Properties) The company primarily leases its facilities and does not own any material properties, with its corporate headquarters and major manufacturing in Chandler, Arizona, and other significant leased facilities globally Primary Leased Facilities (as of July 31, 2024) | Location | Property Type | Square Footage | Lease Expiration | | :--- | :--- | :--- | :--- | | Chandler, Arizona | Manufacturing, Engineering & Corporate HQ | **146,000** | July 2036 | | Orlando, Florida | Manufacturing and Engineering | **99,000** | April 2026 | | Hampshire, UK | Manufacturing and Engineering | **77,000** | November 2030 | | Santa Clara, California | Manufacturing and Engineering | **47,000** | April 2026 | | Seattle, Washington | Network Operations, R&D, Engineering & Sales | **30,000** | October 2033 | - As a result of the decision to exit the product line, the company is in discussions with landlords regarding the termination of leases for its two manufacturing facilities in Hampshire (Basingstoke), United Kingdom[379](index=379&type=chunk) [Legal Proceedings](index=66&type=section&id=Item%203.%20Legal%20Proceedings) Information regarding legal proceedings is incorporated by reference from Note 13(a) of the Notes to Consolidated Financial Statements - The company is involved in legal actions that arise in the normal course of business; management believes the outcome of these matters will not have a material adverse effect on the company's financial condition or results of operations[757](index=757&type=chunk) [Mine Safety Disclosures](index=66&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[389](index=389&type=chunk) PART II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=66&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's common stock trades on the Nasdaq under "CMTL," with no equity repurchases in fiscal 2024, and a $100.0 million stock repurchase program remaining authorized - The company's common stock trades on the Nasdaq Stock Market LLC under the symbol "CMTL"[392](index=392&type=chunk) - No equity securities were repurchased during the fiscal year ended July 31, 2024; a **$100.0 million** stock repurchase program remains authorized with no time restrictions[393](index=393&type=chunk) [Reserved](index=67&type=section&id=Item%206.%20%5BReserved%5D) This item is reserved [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=68&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's financial performance, significantly impacted by challenging business conditions, restructuring, and strategic shifts in fiscal 2024, resulting in a GAAP net loss and raising substantial doubt about its ability to continue as a going concern - Fiscal 2024 was operated under extremely difficult business conditions, including increased working capital needs, a CEO change, a prolonged contract protest, supply chain challenges, and a strained liquidity position[420](index=420&type=chunk) - The company's financial performance in FY2024 included consolidated net sales of **$540.4 million**, a GAAP net loss of **$135.4 million**, and Adjusted EBITDA of **$45.7 million**[419](index=419&type=chunk) - The company's liquidity situation and recurring losses raise substantial doubt about its ability to continue as a going concern; plans to address this include executing the transformation strategy, reducing working capital, and seeking financing opportunities[499](index=499&type=chunk)[501](index=501&type=chunk)[508](index=508&type=chunk) [Fiscal 2024 Highlights and Business Outlook for Fiscal 2025](index=72&type=section&id=Fiscal%202024%20Highlights%20and%20Business%20Outlook%20for%20Fiscal%202025) In fiscal 2024, Comtech achieved a record backlog and strong book-to-bill ratio despite operational and financial challenges, with post-year-end credit facility amendments and a new subordinated loan, while the fiscal 2025 outlook remains challenging due to ongoing transformation Fiscal 2024 Financial Highlights | Metric | Value | | :--- | :--- | | Consolidated Net Sales | **$540.4 million** | | Gross Margin | **29.1%** | | GAAP Net Loss Attributable to Common Stockholders | **$135.4 million** | | Adjusted EBITDA | **$45.7 million** | | New Bookings | **$700.6 million** | | Book-to-Bill Ratio | **1.30x** | | Year-End Backlog | **$798.9 million** | - Cash flows used in operating activities were **$54.5 million**, primarily due to a significant increase in unbilled receivables related to large, long-term contracts[419](index=419&type=chunk) - The business outlook for fiscal 2025 is challenging and unpredictable due to the transformation strategy, interest rates, inflation, and geopolitical conflicts[437](index=437&type=chunk) [Comparison of Fiscal 2024 and 2023](index=76&type=section&id=Comparison%20of%20Fiscal%202024%20and%202023) Consolidated net sales decreased by 1.7% to $540.4 million in fiscal 2024, with gross margin declining to 29.1%, and a significant operating loss of $79.9 million primarily due to a $64.5 million impairment charge Net Sales by Segment (in millions) | Segment | FY 2024 | FY 2023 | Change | | :--- | :--- | :--- | :--- | | Satellite and Space Communications | **$324.1** | **$337.8** | **-4.1%** | | Terrestrial and Wireless Networks | **$216.3** | **$212.2** | **+1.9%** | | **Consolidated Total** | **$540.4** | **$550.0** | **-1.7%** | - Gross profit decreased to **$157.2 million** (**29.1%** of sales) in FY2024 from **$184.5 million** (**33.5%** of sales) in FY2023, reflecting product mix changes and higher costs on certain engineering projects[448](index=448&type=chunk)[449](index=449&type=chunk) - A non-cash impairment charge of **$64.5 million** was recorded in the Satellite and Space Communications segment related to long-lived assets and goodwill[463](index=463&type=chunk)[466](index=466&type=chunk) Adjusted EBITDA by Segment (in millions) | Segment | FY 2024 | FY 2023 | | :--- | :--- | :--- | | Satellite and Space Communications | **$29.8** | **$37.0** | | Terrestrial and Wireless Networks | **$44.7** | **$35.3** | | Unallocated | (**$28.7**) | (**$18.8**) | | **Consolidated Total** | **$45.7** | **$53.5** | [Liquidity and Capital Resources](index=85&type=section&id=Liquidity%20and%20Capital%20Resources) The company's liquidity position is under significant pressure with recurring operating losses and negative cash flow, raising substantial doubt about its ability to continue as a going concern, addressed by a new credit facility and subordinated loan - The company's financial condition raises substantial doubt about its ability to continue as a going concern due to recurring operating losses and negative cash flows[499](index=499&type=chunk)[501](index=501&type=chunk)[509](index=509&type=chunk) - Net cash used in operating activities was **$54.5 million** in fiscal 2024, a significant increase from **$4.4 million** used in fiscal 2023, primarily due to an increase in unbilled receivables[493](index=493&type=chunk) - In June 2024, the company entered a new **$222.0 million** credit facility; in October 2024, this facility was amended to waive defaults, and the company also entered into a new **$25.0 million** subordinated credit agreement to bolster liquidity[496](index=496&type=chunk)[498](index=498&type=chunk)[504](index=504&type=chunk) Contractual Cash Obligations (as of July 31, 2024) | Obligation (in thousands) | Total | Due Within 1 Year | | :--- | :--- | :--- | | Credit Facility - principal | **$194,163** | **$4,050** | | Credit Facility - interest | **$92,800** | **$28,985** | | Operating lease obligations | **$43,690** | **$8,263** | | **Total** | **$330,653** | **$41,298** | [Quantitative and Qualitative Disclosures About Market Risk](index=90&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risk exposure is to interest rate fluctuations on its variable-rate Credit Facility, where a hypothetical 10% change would impact annual interest expense by approximately $2.7 million - The company's earnings and cash flows are subject to fluctuations from changes in interest rates on its Credit Facility borrowings[532](index=532&type=chunk) - A hypothetical **10%** change in interest rates would change annual interest expense by approximately **$2.7 million**[532](index=532&type=chunk) [Financial Statements and Supplementary Data](index=90&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section incorporates by reference the company's Reports of Independent Registered Public Accounting Firm, Consolidated Financial Statements, and Notes to Consolidated Financial Statements - The company's financial statements and related schedules are annexed to the report[534](index=534&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=91&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants on accounting and financial disclosure - None[535](index=535&type=chunk) [Controls and Procedures](index=91&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded that as of July 31, 2024, the company's disclosure controls and procedures were not effective due to material weaknesses in internal control over financial reporting, stemming from insufficient resources and ineffective control activities, with a remediation plan underway - Management concluded that disclosure controls and procedures were not effective as of July 31, 2024[536](index=536&type=chunk) - Material weaknesses were identified in the control environment and in control activities related to revenue, inventory, and other assets, due to a lack of sufficient resources with appropriate knowledge and experience[542](index=542&type=chunk) - A remediation plan is ongoing, which includes hiring additional skilled resources in program management, accounting, and finance[544](index=544&type=chunk) [Other Information](index=92&type=section&id=Item%209B.%20Other%20Information) During the three months ended July 31, 2024, none of the company's directors or officers adopted or terminated a Rule 10b5-1 trading plan or a non-Rule 10b5-1 trading arrangement - No directors or officers adopted or terminated Rule 10b5-1 trading plans or non-Rule 10b5-1 trading arrangements in the fourth quarter of fiscal 2024[545](index=545&type=chunk) PART III [Directors, Executive Officers and Corporate Governance](index=93&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information required for this item is incorporated by reference from the company's Proxy Statement for the Annual Meeting of Stockholders [Executive Compensation](index=93&type=section&id=Item%2011.%20Executive%20Compensation) Information required for this item is incorporated by reference from the company's Proxy Statement for the Annual Meeting of Stockholders [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=93&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information required for this item is incorporated by reference from the company's Proxy Statement for the Annual Meeting of Stockholders [Certain Relationships and Related Transactions, and Director Independence](index=93&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Information required for this item is incorporated by reference from the company's Proxy Statement for the Annual Meeting of Stockholders [Principal Accounting Fees and Services](index=93&type=section&id=Item%2014.%20Principal%20Accounting%20Fees%20and%20Services) Information required for this item is incorporated by reference from the company's Proxy Statement for the Annual Meeting of Stockholders PART IV [Exhibits, Financial Statement Schedules](index=94&type=section&id=Item%2015.%20Exhibits%2C%20Financial%20Statement%20Schedules) This section lists the financial statements, financial statement schedules, and exhibits filed as part of the Form 10-K report, including corporate governance documents, material contracts, compensation plans, and certifications [Form 10-K Summary](index=97&type=section&id=Item%2016.%20Form%2010-K%20Summary) This item is noted as "None," indicating no summary is provided in this section of the report

Core Insights - The article compares Comtech Telecommunications (CMTL) and Qualcomm (QCOM) to determine which stock offers better value for investors [1] Valuation Metrics - CMTL has a forward P/E ratio of 7.75, while QCOM has a forward P/E of 15.93 [5] - CMTL's PEG ratio is 0.97, indicating a favorable valuation relative to its expected earnings growth, compared to QCOM's PEG ratio of 1.40 [5] - CMTL's P/B ratio is 0.30, significantly lower than QCOM's P/B ratio of 7.86, suggesting CMTL is undervalued relative to its book value [6] Zacks Rank and Earnings Outlook - CMTL has a Zacks Rank of 2 (Buy), indicating a positive earnings estimate revision trend, while QCOM has a Zacks Rank of 3 (Hold) [3] - The improving earnings outlook for CMTL is a positive indicator for value investors [3] Overall Conclusion - CMTL exhibits stronger estimate revision activity and more attractive valuation metrics than QCOM, making it a superior option for value investors at this time [7]

Core Viewpoint - Momentum investing focuses on "buying high and selling higher," contrasting with traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investing can be risky as stocks may lose momentum if their valuations exceed future growth potential [1] - A safer approach involves investing in bargain stocks that exhibit recent price momentum, identified through the Zacks Momentum Style Score [2] Group 2: Comtech Telecommunications (CMTL) Analysis - CMTL has shown a price increase of 30.3% over the past four weeks, indicating growing investor interest [3] - The stock gained 35.7% over the past 12 weeks, demonstrating its ability to deliver positive returns over a longer timeframe [4] - CMTL has a beta of 1.59, suggesting it moves 59% more than the market in either direction, indicating fast-paced momentum [4] - CMTL has a Momentum Score of B, suggesting it is an opportune time to invest in the stock [5] - The stock has a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which attract more investors [6] - CMTL is trading at a Price-to-Sales ratio of 0.22, indicating it is relatively cheap at 22 cents for each dollar of sales [6] Group 3: Additional Investment Opportunities - Besides CMTL, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [7] - Investors can explore over 45 Zacks Premium Screens tailored to different investing styles to identify potential winning stocks [8]

Core Message - Ken Peterman, former CEO and Chairman of Comtech Telecommunications Corp, endorses a complete board overhaul to restore stockholder value [1] - Peterman is the third former CEO of Comtech to call for a fully reconstituted Board of Directors [2] Board and Leadership Changes - Peterman's endorsement follows an open letter by Fred Kornberg and Michael Porcelain detailing the urgent need for board and leadership changes [2] - The current Board's actions have disrupted progress, driven away executives, impacted customer relations, and impeded stockholder value [4] - The June 2024 financing deal had a blended interest rate of 14.0%, with an effective interest rate exceeding 18.0% due to warrants issued to lenders [4] Strategic Initiatives - Peterman was a driving force behind the One Comtech initiative, aimed at unifying businesses, cutting operating costs, and driving efficiencies [3] - The One Comtech strategy was built on the foundation laid by Fred Kornberg and Mike Porcelain, focusing on acquisitions and operational excellence [4] Operational and Strategic Expertise - Mike Porcelain was instrumental in expanding Next-Generation 911 and satellite earth station product lines, and overseeing acquisitions like Solacom Technologies Inc and UHP Networks [4] - Fred Kornberg's tenure as CEO transformed Comtech from less than $20 million in revenue to a global leader with over 2,000 employees [5] Shareholder Perspective - Peterman, as a large stockholder, emphasizes the need for a Board with deep operational expertise and a proven track record of delivering long-term stockholder value [6] - His endorsement is independent and based on his assessment of what is best for Comtech's stockholders, customers, and employees [6] Background on Ken Peterman - Ken Peterman is the Founder and CEO of TheSpyGlass Group, specializing in defense and aerospace market trends [7] - He served as President and CEO of Comtech from August 2022 and was previously President of Viasat Government Systems from 2013 to 2021 [7]

Core Viewpoint - Significant stockholders and former CEOs of Comtech Telecommunications Corp. advocate for an independent evaluation of strategic options for the company's 911 Public Safety business, the appointment of an external CEO and COO, and other initiatives to enhance stockholder value [1][4][22]. Group 1: Nomination of New Directors - Michael Porcelain has nominated a slate of eight highly qualified director candidates for election to the Comtech Board at the upcoming 2024 Annual Meeting of Stockholders, collectively owning approximately 7.6% of the outstanding shares [2][6]. - The nominees include experienced professionals from various sectors, such as Keith Hall, Michael Hildebrandt, Fred Kornberg, and others, each bringing relevant industry expertise [3][23]. Group 2: Recommendations for Comtech - The nominees propose critical actions for Comtech's future success, including leadership change disclosures, a thorough search for an external CEO and COO, and an evaluation of strategic options for the 911 Public Safety business [9][10][11]. - Recommendations also include assessing capital structure and financing, enhancing core business units, optimizing operational efficiency, investing in innovation, and establishing targeted profit centers [12][13][14][15][16]. Group 3: Strategic Alternatives for 911 Public Safety Business - The stockholders recommend exploring strategic alternatives for the 911 Public Safety business, suggesting that a well-executed sale process could unlock substantial stockholder value, potentially exceeding $553 million based on industry comparisons [17][18]. - They have consulted with an industry-specific investment banking firm and believe that the 911 Public Safety business is significantly larger than Rave Mobile Safety, Inc., which was sold for $553 million [18][20]. Group 4: Engagement and Communication - The stockholders express their commitment to engaging in constructive dialogue with the Board and management to collaboratively develop strategies that benefit all stockholders [22][23]. - A new website, TheFutureComtech.com, has been created to facilitate communication and provide updates on the stockholders' initiatives and SEC filings [21].

Core Insights - Comtech Telecommunications Corp. (CMTL) has launched a Digital Common Ground (DCG) portfolio of modems aimed at assisting the U.S. Department of Defense and coalition partners in transitioning to a digitized and hybrid satellite network architecture [1] Group 1: Product Features and Market Position - The DCG product line is built on Comtech's advanced satellite communications modem portfolio, designed to serve both commercial and government markets on a unified platform with an open-standard and flexible architecture [2] - The product line offers multi-gigabit throughput, which is expected to minimize overall lifecycle costs for customers while delivering industry-leading performance and efficiency [3] - Modern cybersecurity design principles have been integrated at every level of the product line, ensuring secured over-the-air communication and compliance with Federal Information Protection Standards 140-3 Level 2 certification [4] Group 2: Market Impact and Financial Outlook - The DCG portfolio is one of the first to provide robust access to multi-orbit capabilities across commercial and purpose-built networks, compliant with Digital Intermediate Frequency Interoperability standards [5] - This launch is expected to generate incremental demand for Comtech's products and services, potentially leading to higher revenues and improved financial performance, which may positively impact the stock price [5] - Over the past year, CMTL's shares have decreased by 61.8%, contrasting with the industry's growth of 40.5% [6]

SAN FRANCISCO, July 19, 2024 (GLOBE NEWSWIRE) -- Hagens Berman urges Comtech Telecommunications Corp. (NASDAQ: CMTL) investors who suffered substantial losses to take action by submitting your losses here. Comtech, a Melville, Long Island provider of next-generation 911 technology, faces heightened financial uncertainty after announcing another delay in filing its quarterly financial statements on June 10, 2024. This latest development adds to a string of negative events that have cast a shadow over the com ...

Group 1: Company Initiatives - Comtech is actively deploying Next Generation 9-1-1 (NG9-1-1) systems across Canada, collaborating with leading ESInet providers like SaskTel, Bell, and Telus to build critical infrastructure [1][6] - The company recently completed a local NG9-1-1 PSAP migration in Ontario, highlighting its expanding presence in the public safety technology sector [1] - In October 2023, Comtech implemented its NG9-1-1 solution in Strathcona County, Alberta, marking it as the first public safety answering point in Canada to adopt this advanced technology [2] Group 2: Technological Advancements - The NG9-1-1 solution represents a significant improvement over traditional 9-1-1 services, supporting various communication formats including text, video, and data, in addition to voice calls [7] - The use of IP-based networks enhances the robustness and resilience of the system, minimizing disruptions and improving location accuracy for emergency responses [7] Group 3: Market Position and Future Outlook - Comtech is committed to nationwide deployment of NG9-1-1 services, with the recent venture in Saskatchewan setting a precedent for other regions [8] - The company is focusing on expanding its portfolio of NG9-1-1 call routing and handling solutions, which is expected to contribute positively to its long-term growth [8] - Despite challenges, shares of Comtech have seen a significant decline of 62.5% over the past year, contrasting with the industry's growth of 39.6% [12]

Group 1 - The Rosen Law Firm is investigating potential securities claims on behalf of shareholders of Comtech Telecommunications Corp. due to allegations of materially misleading business information issued by the company [1] - On March 12, 2024, Comtech's Board of Directors terminated Ken Peterman as President and CEO for cause, unrelated to the company's business strategy or financial results [2] - Following the announcement of the CEO's termination, Comtech's stock experienced a significant decline of 27% on March 13, 2024 [9] Group 2 - The Rosen Law Firm is preparing a class action to seek recovery of investor losses, allowing investors to potentially receive compensation without upfront fees through a contingency fee arrangement [8] - Investors interested in joining the prospective class action can find more information through the Rosen Law Firm's website or contact details provided [6]

BOSTON, June 26, 2024 (GLOBE NEWSWIRE) -- Block & Leviton is investigating Comtech Telecommunications Corp. (NASDAQ:CMTL) for potential securities law violations. Investors who have lost money in their Comtech Telecommunications investment should contact the firm to learn more about how they might recover those losses. For more details, visit https://blockleviton.com/cases/cmtl. What is this all about? Who is eligible? What is Block & Leviton doing? What should you do next? Whistleblower? If you have non-pu ...