03.08.2006 17:50:00

Comtech Telecommunications Corp. Signs Definitive Agreement to Acquire Insite Consulting and Consolidates Comtech Tolt Operations into Comtech Mobile Datacom

Comtech Telecommunications Corp. (NASDAQ:CMTL) announcedtoday that its Maryland-based subsidiary, Comtech Mobile DatacomCorporation, has entered into a definitive agreement to acquirecertain assets and assume certain liabilities of Insite Consulting,Inc. ("Insite"), a logistics application software company.Consummation of the transaction is subject to the satisfaction ofcustomary closing conditions.

Insite, formed in 1998, has developed the geoOps(TM) EnterpriseLocation Monitoring System, a software-based solution that allowscustomers to integrate legacy data systems with near-real timelogistics and operational data systems. Such real-time operationaldata updates are distributed to command centers, mobile and fixed,enabling them to share the same view of unfolding operations oremergency scenarios.

Insite's primary customer is the United States Air Force. Insitewas recently awarded a contract to incorporate its software platforminto a multi-national satellite-based friendly force tracking systemto be deployed by NATO.

Comtech will purchase the business of Insite for $2.7 million,plus certain earn-out payments based on the achievement of futuresales targets. Insite's sales were less than $2.0 million in calendar2005 and the impact of this acquisition on the Company's fiscal 2007operating results is expected to be near break-even.

In addition, the Company announced that the operations of ComtechTolt Technologies, Inc. are being consolidated into Comtech MobileDatacom. As part of this consolidation, the Company will further focusits efforts on commercial satellite-based mobile data applications andsignificantly de-emphasize stand-alone sales of low margin Tolt legacyhardware products. Stand-alone sales of these low margin productsduring fiscal 2006 are expected to approximate $15.0 million and suchsales in fiscal 2007 are expected to be nominal.

Fred Kornberg, President and Chief Executive Officer of ComtechTelecommunications Corp., said, "The Insite acquisition will allowComtech Mobile Datacom to offer additional software applications tothe United States Government's logistics and war fighting communities,as well as to approved allied military forces."

Mr. Kornberg added, "In the long-term, we believe that thecombination of our (i) superior location and messaging hardwareofferings, (ii) state-of-the-art network operations center, (iii)proven operating performance in the demanding military arena, (iv) thenewly acquired geoOps(TM) software platform, and (v) the ability tointegrate handheld devices into our satellite-based offerings, willprovide commercial companies in vertical markets that require nearreal-time communications with a compelling, well-integrated solution."

Comtech Mobile Datacom Corporation, a Germantown, Maryland-basedcompany, is engaged in the provision of satellite-based packet datacommunication systems and location and messaging services through theuse of advanced communication and network technology. To learn moreabout Comtech Mobile Datacom, please visit the company's website atwww.comtechmobile.com.

Comtech Telecommunications Corp. designs, develops, produces andmarkets innovative products, systems and services for advancedcommunications solutions. The Company conducts its business throughthree complementary segments: telecommunications transmission, mobiledata communications and RF microwave amplifiers. The Company offersniche products, systems and services where it believes it hastechnological, engineering, systems design or other expertise thatdifferentiate its product offerings.

Certain information in this press release contains statements thatare forward-looking in nature and involve certain significant risksand uncertainties. Actual results could differ materially from suchforward-looking information. The Company's Securities and ExchangeCommission filings identify many such risks and uncertainties. Anyforward-looking information in this press release is qualified in itsentirety by the risks and uncertainties described in such Securitiesand Exchange Commission filings.

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