B.O.S. Receives Order for Mobile and RFID Livestock System in Africa and Reports on Recent Developments in its Supply Chain Division
Rishon Letzion, Israel — October 11, 2010 — B.O.S. Better Online Solutions Ltd. (“BOS”) (NASDAQ: BOSC) today announced that it has sold a mobile and RFID livestock identification system for a project in an African country.
The first stage of the system is expected to be delivered in the fourth quarter of this year and the company expects it to yield revenues in the range of a few hundreds of thousands of dollars. Following a successful implementation of the first stage, the project may be significantly extended.
The BOS Livestock System, which provides a smooth process for livestock management, is comprised of hardware and software, including mobile handheld devices managed by the BOS ID software, RFID tags and readers, the BOS RFID server and BOS Livestock - the database for the livestock records.
BOS has been involved in a number of livestock-related projects, including the development of an RFID solution for a major Israeli pig farm and supplying the Israeli Ministry of Agriculture with animal ID tags for sheep and goats.
"This represents an important RFID project outside of Israel, and points to BOS’ growing reputation as an RFID supplier internationally," said Yuval Viner, BOS CEO.
Avidan Zelicovsky, BOS president added: "We are harvesting the investment in the livestock system that was developed and sold in Israel a year ago. In our supply chain division, we continue to invest efforts to expand business through our Israeli subsidiary, which has recently begun representing new electronic manufacturers in the display industry such as Wintek Corporation and Fema Electronics Corporation. This will enable us to add value to our customers’ design processes.”
In the last three months BOS’ US subsidiary has experienced a reduction in orders from one of its main customers.
Mr. Zelicovsky commented: "We are examining the activities of our US subsidiary, Summit, which continues to struggle with the slowdown in the civil aerospace industry, and with the resulting decreased working capital. Summit's bank credit line (non recourse towards BOS) will expire at the end of October this year and we will be entering into a discussion with the bank for a renewal. We are committed to the long-term profitability of BOS and are examining various alternatives in order obtain this goal."