Elbit Systems Ltd. (NASDAQ and TASE: ESLT) («Elbit Systems»), announced today, that a decision has been made to wind up the activities of Harpia Sistemas S.A. («Harpia»), a joint venture in Brazil, of Elbit Systems subsidiary AEL Sistemas S.A , owned in conjunction with Embraer Defesa e Seguranca and Avibras Divisão Aérea e Naval S.A. Harpia was formed in September 2011 in order to explore the unmanned aerial vehicles market. The decision for partnership wind up occurred amicably given the current budget constraints in Brazil.
Due to the venture’s strategic nature for designing a Brazilian Remotely Piloted Aircraft System (SARP) the companies will continue to develop technologies to meet future demands of the Brazilian Armed Forces and the civilian market in a new format, and agreed on working together in the future.
The companies recognize that the preservation of knowledge is critical to maintaining the technological capacity acquired and, therefore, relocated professionals of Harpia in other programs.
Source: Elbit Systems Ltd.
CUBE Defense Analysis 