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Syntonic announces international launch of the Freeway Roaming Service™ for mobile carriers

New service enables operators to accelerate growth in international roaming ARPUs by participating in the US$676 billion generated by online travel services

SEATTLE, June 06, 2018 (GLOBE NEWSWIRE) — Syntonic, a mobile platform and services provider, today announced the commercial launch of its international Freeway Roaming Service for mobile carriers.

Syntonic’s Freeway Roaming Service enables mobile carriers to capture new revenue streams from their international roaming subscribers by participating in the US$676 billion generated by online travel transactions.

The Freeway Roaming Service is a white-labeled service that can be branded by mobile carriers and offers data-free access to travel services paid for by app affiliation fees and transaction commissions from consumer purchases. The service enables travel app providers to capture lost transactional opportunities from travelers who turn off their expensive cellular data connection when roaming internationally.

Additionally, the Freeway Roaming Service provides a convenient way for travelers to purchase data roaming packages and micro-data plans to premium apps to further enhance carrier international roaming ARPU.

With the Freeway Roaming Service, international travelers no longer need to turn-off mobile data, wait for uncertain Wi-Fi access, or inconveniently purchase a local SIM. This always-connected international subscriber translates into additional carrier ARPU through participation in the app economy.

The first deployment of the Freeway Roaming Service is with Smart Communications, which will provide their 57.7 million subscribers, when travelling abroad, with sponsored access to mobile apps and content through the RoamFree by Smart® international traveler application, available in the App Store and Google Play Store. The upcoming version of RoamFree, powered by the Freeway technology platform, provides Smart’s international travelers with data-free access to essential and popular travel services such as Agoda, AirBnB, Grab, Uber, Klook, TripAdvisor, ATM Finder, Google Maps, and Groupon.

“This partnership and roaming service rollout with Smart represents an important milestone and the first announced deployment of our Freeway Roaming Service,” said Syntonic founder and CEO Gary Greenbaum. “Along with the revenue-advancing benefits, our technology platform enables mobile carriers to add more value for subscribers, reduce customer churn, and better monetize their roaming services.”

Alice Ramos, Vice President of International Roaming for Smart Communications, commented, “We are proud to be working with Syntonic that shares our zeal in delivering enriching travel experiences for our subscribers.”

“Smart customers already enjoy roaming plans that are simple, easy and affordable, with the power to track usage in real time,” she added. “Now, RoamFree democratizes roaming while allowing Smart to enhance in-trip experiences. With Syntonic, we are expanding our services from roaming access to travel content, further and faster than before.”

For more information, please contact info@syntonic.com.

About Syntonic 
Syntonic Ltd (SYT.ASX) is a Seattle based software company which has developed two mobile technology services: Freeway by Syntonic®, which allows consumers unlimited mobile access to content and applications, supported by paid subscription and sponsorship; and Syntonic DataFlex®, which enables businesses to manage split billing expenses for employees when they use their personal mobile phones for work. Founded in 2013, Syntonic has developed worldwide strategic partnerships with leaders in the mobile ecosystem.

For media enquiries, please contact:

Paul Lonnegren
Pulse8 PR
plonnegren@pulse8pr.com
(720) 470-7488

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/a2baf39d-196c-41ad-ab3b-5d3e36876084

Northrop Grumman Receives FTC Clearance to Close Acquisition of Orbital ATK and Updates 2018 Financial Guidance

  • Combination enhances capabilities, innovation and competition in critical global security domains
  • Orbital ATK to become Northrop Grumman Innovation Systems, a new, fourth business sector
  • Northrop Grumman now expects 2018 sales of approximately $30 billion, EPS of $16.20 to $16.45 and free cash flow1 of $2.3 to $2.6 billion

FALLS CHURCH, Va., June 05, 2018 (GLOBE NEWSWIRE) — Northrop Grumman Corporation (NYSE:NOC) announced today that the U.S. Federal Trade Commission (FTC) has cleared Northrop Grumman’s proposed acquisition of Orbital ATK Inc. The FTC’s Bureau of Competition has completed its review of the merger, and the Premerger Notification Office has informed the company that the waiting period under the HSR Act has terminated, allowing the companies to complete the merger. As part of that clearance, the FTC issued a decision and order providing for solid rocket motors to be available on a non-discriminatory basis under specified circumstances and under processes defined in the order. The company expects to complete the transaction after market close tomorrow and is issuing the following updated guidance. This updated guidance assumes the completion of the transaction tomorrow.

1 Non-GAAP measure – see definitions at the end of this release.

Updated 2018 Guidance

2018 financial guidance reflects the company’s judgment based on the information available to the company at the time of this release. The government budget and appropriations processes can impact our customers, programs and financial results. Government budgets, appropriations, including the timing of appropriations, and the occurrence of continuing resolutions and government shutdowns can impact the company’s ability to achieve 2018 guidance.

Updated 2018 guidance reaffirms Northrop Grumman stand-alone guidance provided on April 25, 2018 and reflects the expected results of Innovation Systems for the remainder of the year. Updated guidance reflects a partial year of acquisition-related purchased intangibles amortization of approximately $175 million; this estimate is subject to the completion of purchase accounting and other post-closing activities. Free cash flow guidance for 2018 also reflects an expected $250 million discretionary pension contribution.

2018 Guidance
($ in millions, except per share amounts) As of 4/25/18 As of 6/5/18
Sales ~27,000 ~30,000
Segment operating margin %1 Low – mid 11% Low – mid 11%
Total net FAS/CAS pension adjustment2 ~960 ~1,080
Unallocated corporate expenses3 ~250 ~425
Operating margin % ~12% High 11%
Net interest expense4 ~390 ~520
Effective tax rate % ~18% ~18%
Diluted EPS 15.40 15.65 16.20 16.45
Capital expenditures ~1,000 ~1,150
Free cash flow1 2,000 2,300 2,300 2,600
1 Non-GAAP measure – see definitions at the end of this release.
2 Total net FAS/CAS pension adjustment is presented as a single amount consistent with our historical presentation, and includes expected 2018 CAS pension cost of $965 million and FAS pension benefit of $115 million. In accordance with ASU No. 2017-07, $405 million of FAS (service-related) pension cost is reflected in operating income and $520 million of FAS (non-service) pension benefit is reflected below operating income. CAS pension cost continues to be recorded in operating income.
3 Includes initial estimate of approximately $175 million for approximately seven months of purchased intangibles amortization in 2018. Purchased intangibles amortization in 2019 is not expected to be ratable to 2018 due to accelerated amortization of customer-related intangibles.
4 Includes full year of net interest expense for $8.25 billion debt issued in October 2017 to finance the Orbital ATK acquisition, as well as estimated net interest for the company’s remaining debt.

About Northrop Grumman

Northrop Grumman is a leading global security company providing innovative systems, products and solutions in autonomous systems, cyber, C4ISR, strike, and logistics and modernization to customers worldwide. Please visit news.northropgrumman.com and follow us on Twitter, @NGCNews, for more information.

Cautionary Statement Regarding Forward-Looking Statements
Statements in this press release, other than statements of historical fact, constitute “forward-looking” information within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “will,” “anticipate,” “expect,” “intend,” “plan,” “believe,” “estimate,” and similar expressions generally identify these forward-looking statements. Forward-looking statements include, among other things, statements regarding the benefits and implications of the Orbital ATK acquisition. These forward-looking statements speak only as of the date when made, and Northrop Grumman undertakes no obligation to update or revise any forward-looking statements after the date of this press release except as required by applicable law. Forward-looking statements are not guarantees of future performance and inherently involve a wide range of risks and uncertainties that are difficult to predict.  Actual results may differ materially from those described or implied in these statements based on a number of factors.  A discussion of these risks and uncertainties is contained in Northrop Grumman’s Annual Report on Form 10-K and in our other filings with the Securities and Exchange Commission. They include:

  • our dependence on the U.S. Government for a substantial portion of our business
  • significant delays or reductions in appropriations for our programs and U.S. Government funding more broadly
  • investigations, claims, disputes, enforcement actions and/or litigation
  • the use of estimates when accounting for our contracts and the effect of contract cost growth and/or changes in estimated contract revenues and costs
  • our exposure to additional risks as a result of our international business, including risks related to geopolitical and economic factors, laws and regulations
  • the improper conduct of employees, agents, subcontractors, suppliers, business partners or joint ventures in which we participate and the impact on our reputation, our ability to do business, and our financial position, results of operations and/or cash flows
  • cyber and other security threats or disruptions faced by us, our customers or our suppliers and other partners
  • the performance and financial viability of our subcontractors and suppliers and the availability and pricing of raw materials and components
  • changes in procurement and other laws, regulations and practices applicable to our industry, findings by the U.S. Government as to our compliance with such laws and regulations, and changes in our customers’ business practices globally
  • increased competition within our markets and bid protests
  • the ability to maintain a qualified workforce
  • our ability to meet performance obligations under our contracts, including obligations that are technologically complex, require certain manufacturing expertise or are dependent on factors not wholly within our control
  • environmental matters, including unforeseen environmental costs and government and third party claims
  • natural and/or environmental disasters
  • the adequacy and availability of our insurance coverage, customer indemnifications or other liability protections
  • products and services we provide related to hazardous and high risk operations, which subject us to various environmental, regulatory, financial, reputational and other risks
  • the future investment performance of plan assets, changes in actuarial assumptions associated with our pension and other post-retirement benefit plans and legislative or other regulatory actions impacting our pension, post-retirement and health and welfare plans
  • our ability successfully to integrate the Orbital ATK business and realize fully the anticipated benefits of the acquisition, without adverse consequences
  • our ability to exploit or protect intellectual property rights
  • our ability to develop new products and technologies and maintain technologies, facilities, and equipment to win new competitions and meet the needs of our customers
  • changes in business conditions that could impact business investments and/or recorded goodwill or the value of other long-lived assets
  • unanticipated changes in our tax provisions or exposure to additional tax liabilities

Additional information regarding these risks and other important factors can be found in the section entitled “Risk Factors” in our 2017 Annual Report on Form 10-K and from time to time in our other filings with the SEC.

You are urged to consider the limitations on, and risks associated with, forward-looking statements and not unduly rely on the accuracy of forward-looking statements. These forward-looking statements speak only as of the date this release is first issued or, in the case of any document incorporated by reference, the date of that document.  We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.

This release also contains non-GAAP financial measures. A definition and discussion of these non-GAAP financial measures are included in this release.

Non-GAAP Financial Measures Disclosure: This release contains non-GAAP (accounting principles generally accepted in the United States of America) financial measures, as defined by SEC (Securities and Exchange Commission) Regulation G and indicated by a footnote in the text of the release. Definitions for the non-GAAP measures are provided below. Other companies may define these measures differently or may utilize different non-GAAP measures.

Segment operating income: Total earnings from our four segments, including allocated pension expense recognized under CAS, and excluding unallocated corporate items and FAS pension expense. This measure may be useful to investors and other users of our financial statements as a supplemental measure in evaluating the financial performance and operational trends of our sectors. This measure should not be considered in isolation or as an alternative to operating results presented in accordance with GAAP.

Segment operating margin rate: Segment operating income as defined above, divided by sales. This measure may be useful to investors and other users of our financial statements as a supplemental measure in evaluating the financial performance and operational trends of our sectors. This measure should not be considered in isolation or as an alternative to operating results presented in accordance with GAAP.

Free cash flow: Net cash provided by operating activities less capital expenditures. We use free cash flow as a key factor in our planning for, and consideration of, acquisitions, stock repurchases and the payment of dividends. This measure may be useful to investors and other users of our financial statements as a supplemental measure of our cash performance, but should not be considered in isolation, as a measure of residual cash flow available for discretionary purposes, or as an alternative to operating cash flows presented in accordance with GAAP.

Contact:

Tim Paynter (media)
703-280-2720
timothy.paynter@ngc.com

Steve Movius (investors)
703-280-4575
steve.movius@ngc.com

SmartCash Announces Success of Community-Approved Initiatives Funded by SmartHive Project Treasury

Recent accomplishments by proactive community members demonstrate effectiveness of remarkable community-centric design

NEW YORK, May 31, 2018 (GLOBE NEWSWIRE) — via NetworkWire — SmartCash, a community governance, cooperation and growth focused crypto-asset created via blockchain technology, today provides a recap of its completed community initiatives. Each project was made possible via the SmartHive Project Treasury, which is funded by a portion of the block rewards and then directed via SmartCash holders who participate in SmartVoting.

Building the Future

Proposals to the SmartCash community include nearly as many ideas as there are participants, with each garnering its share of interest in the voting process for SmartHive funding support. The 22 successful projects funded and completed include:

  • Sponsorship of the largest innovation and technology event in Mexico where tens of thousands gathered and could watch a presentation on SmartCash
  • A month-long program that provided up to 2,500 meals every Sunday to feed hungry people in Venezuela and teach them about self-reliance through SmartCash
  • Introduction of SmartCash at one of the top business schools in France via a SmartEvent conference tailored to university students
  • Creating, funding and running a soccer program for vulnerable children and young adults in Brazil
  • Introduction of SmartCash to students and teachers at five universities in Ghana
  • Production of Actuarial Blockchain Educational Videos that feature the potential and rewards of blockchain technology in finance
  • Expansion of the SmartCash Roadshow in Ghana to merchants seeking avenues to exchange cryptocurrencies for goods and services in Africa
  • Sponsorship of a Mexican MMA fighter
  • Listing SmartCash on MasterNodes.Online to increase visibility among cryptocurrency enthusiasts
  • Development of a university-level crypto-course featuring SmartCash
  • Training dozens of Cameroonian youths to become financially literate through the use of SmartCash in entrepreneurial pursuits
  • Promote SmartCash at a crypto-blockchain event on the Smart Services Campus in the Netherlands

Expanding the SmartCash Ecosystem

Incubating and expanding the SmartCash community is inherently built into each proposal. Participants enthusiastically express an excitement and willingness to elevate the SmartCash brand and its focused approach to building up entrepreneurs, solving problems, and creating a universal path to a better world. Funding has already been allocated for another 35 community-driven proposals that are poised to further increase the visibility and acceptance of SmartCash throughout the world.

“Our community-centric design allows us to tap into a diverse array of talents, enjoy major gains in efficiency, and give everyone the opportunity to make a significant impact with their unique ideas,” a spokesperson for the SmartCash community stated. “As more and more people around the world join our growing community, we’re excited to see all the new ways being introduced that will further increase our reach and functionality.”

Accessibility to Everyone

The SmartCash community extends an open invitation to anyone who wishes to join and pitch their ideas. To learn more about the process of submitting a proposal, visit the SmartCash website and select one of the many options available to engage.

About SmartCash

SmartCash (Crypto: SMART) is a blockchain-based crypto that sets itself apart with community governance, a self-funded SmartHive Project Treasury, and mining accessibility to standard PCs. With emphasis on community involvement and merchant adoption, SmartCash aims to create the most nimble and fastest-growing crypto.

To learn more about SmartCash, visit: https://smartcash.cc/

Interactive Flipbook

To learn more about SmartCash via an interactive flipbook, visit http://smartcash.blockchainnewssource.com/flipbook/

Engage with the SmartCash Community

Discord chat via https://discord.gg/BDUh8jr
Telegram chat via http://bit.do/smartcash
Twitter social media via https://twitter.com/scashofficial
Facebook social media via https://www.facebook.com/scashofficial
YouTube via https://www.youtube.com/channel/UCzwZxu6BtWcRiQXdPqNeB5Q/featured

SmartCash Contact
SmartCash
https://smartcash.cc
hello@smartcash.cc

Blockchain Relations Contact
Blockchain Relations
http://www.blockchainrelations.io
614-465-6025
press@blockchainrelations.io

Improving Security Solutions Could Grow the Internet of Things Cybersecurity Market by $9-$11 Billion

New Bain & Company research identifies four steps IoT device vendors can take to address  security concerns that are holding back further growth in this market

NEW YORK, May 30, 2018 (GLOBE NEWSWIRE) — Security concerns are a significant roadblock to investment in the Internet of Things (IoT).  According to a new Bain & Company report, Cybersecurity is the Key to Unlocking Demand in IoT45 percent of IoT buyers say concerns about security remain a significant barrier and are hindering the adoption of IoT devices.

If vendors could provide better security, enterprise customers surveyed say they would be willing to buy, on average, at least 70 percent more IoT devices.  In addition, 93 percent of executives said they would pay more for devices with better security – about 22 percent more on average.  Taken together, Bain & Company estimates that improving security solutions for these devices could grow the IoT cybersecurity market by $9-$11 billion.  For IoT device vendors – companies that make IoT devices as well as those that provide related solutions – the message is clear: improve security to gain a competitive edge and grow your market.

These are among Bain & Company’s findings over the last three years and new, recently completed research on IoT security.

“We expect growth in the markets that comprise the IoT to continue full steam ahead, but issues around security concerns could derail that progress,” said Ann Bosche, a partner in Bain & Company’s Telcom, Media and Technology Practice.  “Enterprise customers are moving cautiously until they can gain some reasonable assurance of the security of their data and operations, which increasingly rely on devices, sensors and the Internet of Things.”

The Bain & Company survey found most executives (60 percent) said they were very concerned about the risks IoT devices pose to their companies – not surprising, given the damage that an IoT security breach can cause to operations, revenues and safety.

In determining solutions to guard against attacks, IoT device vendors can segment their target customers by levels of cybersecurity capability maturity.  The research finds that customers at the least-advanced end of the spectrum are more likely to seek out simplified and integrated security solutions, whereas those with more advanced capabilities prefer to invest in best-of-breed or customized point solutions.

Further, across segments, nearly all executives – 90 percent – said that IoT devices pose a moderate or significant risk to their organizations, and executives in companies with greater cybersecurity sophistication see more risk than those in less sophisticated companies.

The research also found that executives in some industries see themselves at greater risk than others. Those in durable goods, building and construction, energy and utilities, financial services, and technology were most likely to express a significant level of concern.

In response to these risks, executives who manage security said that, as customers, they want solutions that are highly effective, easy to integrate, and flexible to deploy.

Companies take a range of approaches to meet their security needs, based on their capabilities and the availability of marketplace solutions from vendors.  Only about a third of IoT cybersecurity solutions used today are from IoT device vendors, indicating that vendors are either not offering holistic, high quality, solutions that meet consumer needs or they are not promoting them well enough. Bain & Company found that companies with the most advanced cybersecurity capabilities rely more on internally developed security solutions, not only because they may have more complex needs but because they are more likely to have the talent and capabilities to develop their own solutions. Companies with ad hoc security capabilities have the most gaps across all IoT layers tested.

The research also looked at how companies deploy solutions by layer of security and found ample opportunity for IoT device vendors at every layer of the stack.   The access interface layer has the greatest level of protection, whether developed internally or provided by a manufacturer or third party. Other layers of the stack were protected by more internal solutions – or, in some cases, none at all. Customers’ preference for internal solutions may be partially explained by considering the specific conditions of each layer. For example, data security solutions typically require more computing and power resources than are currently available on basic IoT devices.

“Most enterprises want a cohesive set of tools and a unified overview of the security posture of their devices, but few IoT device makers understand their customers’ operations well enough to provide that kind of solution,” said Syed Ali, a cybersecurity expert in Bain & Company’s IT Practice.  “Lacking well-designed IoT cybersecurity products and services, customers are devising their own solutions, foregoing them altogether, or failing to implement IOT solutions until vendors can fill the gap.”

All IoT device vendors will need to pay more attention to security in the design, development and deployment of devices. Four steps can help executives frame their task:

  1. Understand how customers are using devices. Staying current by refreshing their understanding of customer use cases every 12 to 18 months will allow them to stay on top of evolving security requirements, and help identify unmet needs. Ascertaining the average cybersecurity maturity level of their customers will help manufacturers invest in the right out-of-the-box and add-on solutions.
  2. Provide cybersecurity capabilities on the device and, where possible, partner with trusted cybersecurity vendors to provide additional solutions. Engineering teams should embed secure development practices in the software and hardware components of the device, and provide inherent solutions for the access interface, apps, data and device layers. Taking these measures can mitigate common vulnerabilities in IoT devices today such as default or embedded passwords, lack of data security for credentials and network communications, and weak safeguards for ensuring system integrity.
  3. Meet quality assurance thresholds and be able to certify that their IoT devices are free from known vulnerabilities. This would mitigate a major pain point for customers who sometimes install new devices without realizing they contain vulnerabilities. Deploying a more methodical process to identify and remove vulnerabilities across layers or engaging third-party vulnerability scanning and or penetration test firms can help manufacturers meet this bar.
  4. Fulfill their obligations during the warranty period by continuously testing for new vulnerabilities, providing software and firmware updates, as well as feature and functionality upgrades for out-of-box and aftermarket solutions. Delivering updates to firmware, operating systems and applications in response to newly discovered security vulnerabilities should remain a top priority through the warranty period.

“IoT device vendors and ecosystem players that move quickly to improve the security around IoT devices are likely to reap rewards not only from their ability to earn a premium, but also from an expanded market,” said Frank Ford, a partner in Bain & Company’s IT Practice.  “These four steps are a start, though by no means, the whole of what it will take to begin to address the security concerns that are holding back growth of the IoT.”

Editor’s Note: To arrange an interview, contact Dan Pinkney at dan.pinkney@bain.com or +1 646 562 8102

About Bain & Company 
Bain & Company is the management consulting firm that the world’s business leaders come to when they want results. Bain advises clients on strategy, operations, information technology, organization, private equity, digital transformation and strategy, and mergers and acquisition, developing practical insights that clients act on and transferring skills that make change stick.  The firm aligns its incentives with clients by linking its fees to their results.  Bain clients have outperformed the stock market 4 to 1. Founded in 1973, Bain has 55 offices in 36 countries, and its deep expertise and client roster cross every industry and economic sector. For more information visit: www.bain.com.  Follow us on Twitter @BainAlerts.

Media Contact:

Dan Pinkney
Bain & Company
Tel: +1 646 562 8102
dan.pinkney@bain.com

GMO Internet Group Offers GMO miner, The World’s First Mining Machine Equipped with Mining Chips Using a Cutting-Edge 7 nm Process Technology: Holding information session for potential customers on Wednesday, June 6

TOKYO, May 23, 2018 (GLOBE NEWSWIRE) — Tokyo, Japan – May 23, 2018 – GMO Internet Group (https://www.gmo.jp/en/ ) will launch GMO miner (product name: GMO miner B2), which is our own high-performance computer for mining (mining machine), on Wednesday, June 6, 2018. We will mass-produce the world’s first mining machine equipped with a cutting-edge 7 nm* process based semiconductor chip (7 nm mining chip; “GMO 72b”), which will be shipped at the end of October 2018. As a result, an information session for potential customers considering the purchase of GMO miner will be held on Wednesday, June 6 in Shibuya, Tokyo, and we will explain the details of GMO miner, such as price and performance.

*nm: nanometer. 1/1 billion meters. 1/1 million millimeters.

Selling “GMO miner”

Cryptocurrency mining requires high-performance mining machines enabling highly sophisticated and intensive computation. Accordingly, GMO Internet Group has been working on research and development of a cutting-edge 7 nm mining chip since September 2017, and now realized its own high-performance mining machine GMO miner equipped with 7 nm mining chip. Now that the mass production of GMO miner is within reach, in addition to introducing some GMO miners to the in-house mining, we will offer the others to potential customers who are planning to mine. GMO miner will be shipped at the end of October 2018.

Information session

Information session for potential customers considering the purchase of GMO miner will be held on June 6, and we will explain the details of GMO miner. Please refer to the following URL for more details: https://cloudmining.z.com/ .
*Please note that the information session is in Japanese and English translations of any materials will be made available on the above website after June 6.
■Mining machine “GMO miner” (https://gmominer.z.com/)

Product name GMO miner B2
Launch date 6/6/2018 (Wed)
Delivery At the end of October 2018 (tentative)
Note We will explain the details of GMO miner at the information session.

Press Inquiries

GMO Internet Group Public / Investor Relations
TEL: +81-3-5456-2695  Email: pr@gmo.jp

Copyright (C) 2018 GMO Internet, Inc. All Rights Reserved.

Fujitsu Deploys Juniper Networks’ AppFormix for Cloud Operations Management and Optimization

AppFormix features such as real-time intelligent monitoring and the easy visualization of data, were crucial for the increased requirements of the new region of Fujitsu’s K5 cloud platform

TOKYO, May 22, 2018 (GLOBE NEWSWIRE) — Juniper Networks (NYSE:JNPR), an industry leader in automated, scalable and secure networks, today announced that Fujitsu Limited has deployed Juniper’s cloud management platform AppFormix in Japan, as a key part of ensuring the operational efficiency of the new region of its widely adopted enterprise cloud platform Cloud Service K5.

Open, agile and legacy-compatible, Fujitsu’s K5 is the world’s largest open-source based platform and has seen strong adoption globally by organizations looking to drive digital business transformation, across the public, private and hybrid cloud.

However, the open-source software used previously for the management of the K5 platform did not provide Fujitsu with the automated real-time management and data visualization features it needed, which resulted in manual processes and increased OPEX.

As Fujitsu prepared for the launch of the new region of K5 which scales several times the previous version, they required a cloud operations management solution that could address these operational requirements, while also bringing significantly increased capabilities.

To combat these ongoing challenges, Juniper was selected to carefully develop and deploy AppFormix for Fujitsu’s K5 platform to address these growing operational needs, offering simplified cloud operations management and performance optimization capabilities through big data analysis and machine learning.

In addition to significantly reducing operational burden and complexity, AppFormix’s unique user-friendly GUI dashboard displaying real-time reporting and high level compatibility with OpenStack has also allowed Fujitsu to better plan resource consumption and capacity expansion, which is crucial in light of potential continued service expansions of the K5 platform in the future.

Supporting Quotes

“AppFormix is a crucial component of our K5 platform, especially for the understanding of real-time cloud usage status through its intelligent dashboards and  seamless integration with billing systems. We are excited to further develop our partnership with Juniper Networks, as we anticipate greater scope of applications for AppFormix going forward, particularly for advanced operations utilizing AI.”

– Masahiro Ohta, SVP and Head of Cloud Service Business Unit, Fujitsu Limited

“AppFormix is delighted to be an integral part of Fujitsu’s K5 Cloud Service platform, an exciting partnership in our challenge against complexity. We look forward to the continued advancement of AppFormix solutions in support of Fujitsu’s operational needs going forward, especially for the potential global deployment of K5 as a continuation of our long-term, firm partnership.”

– Sumeet Singh, Vice President of Engineering at Juniper Networks

Additional Resources:

About Juniper Networks
Juniper Networks simplifies the complexities of networking with products, solutions and services in the cloud era to transform the way we connect, work and live. We remove the traditional constraints of networking to enable our customers and partners to deliver automated, scalable and secure networks that connect the world. Additional information can be found at Juniper Networks (www.juniper.net) or connect with Juniper on Twitter and Facebook.

Juniper Networks, the Juniper Networks logo, Juniper and Junos are registered trademarks of Juniper Networks, Inc. and/or its affiliates in the United States and other countries. Other names may be trademarks of their respective owners.

Media Relations:
Kenneth Chew
Juniper Networks
+65 9770 6615
kchew@juniper.net

Wabtec and GE Transportation to Merge, Creating Global Leader for Rail Equipment, Services and Software

Strategic Combination Will Drive Shareholder Value Creation by Accelerating Innovation in Transportation and Logistics

  • Following the transaction, Wabtec will have approximately $8 billion in revenues, a more diversified business mix, higher margins, and approximately 15 percent cash EPS accretion in year one.
  • Both businesses are expected to benefit from the cyclical tailwinds they are experiencing as industry conditions improve. Complementary businesses and large global installed base will create additional opportunities for cross-selling, aftermarket services growth and new solutions in a rapidly evolving industry.
  • GE Transportation is positioned for a substantial rebound, with estimated adjusted EBITDA growing from about $750 million in 2018 to between $900 million and $1 billion in 2019.
  • Substantial annual run-rate synergies of $250 million and a net present value of approximately $1.1 billion of net tax benefit will accrue to the combined company.
  • The transaction is valued at approximately $11.1 billion.1 When adjusted for the net tax benefit of $1.1 billion accruing to the combined company, the transaction value is $10 billion. The 2019 EBITDA multiple range including synergies and tax benefits is approximately 9x, and the 2019 EBITDA multiple range excluding synergies and tax benefits is approximately 11.75x.
  • Strong free cash flow to enable rapid debt reduction, maintain Wabtec’s quarterly dividend and preserve investment grade credit rating.
  • Wabtec Chairman, Albert J. Neupaver, has been re-appointed executive chairman; Raymond T. Betler will remain president and CEO of the merged company; Rafael Santana, president and CEO of GE Transportation, will become president and CEO of Wabtec’s Freight Segment and Stéphane Rambaud-Measson, will become president and CEO of Wabtec’s Transit Segment.

WILMERDING, Pa. and CHICAGO, May 21, 2018 (GLOBE NEWSWIRE) — Wabtec Corporation (NYSE:WAB) has entered into a definitive agreement to combine with GE Transportation, a unit of General Electric Company (NYSE:GE). The combination will make Wabtec a Fortune 500, global transportation leader in rail equipment, software and services, with operations in more than 50 countries.

Under the agreement, which has been approved by the Boards of Directors of Wabtec and GE, GE will receive $2.9 billion in cash at closing and GE and its shareholders will receive a 50.1% ownership interest in the combined company, with Wabtec shareholders retaining 49.9% of the combined company. The transaction is expected to be tax free to the companies’ respective shareholders.

Both companies are expected to benefit from the cyclical tailwinds they are experiencing as industry conditions improve. GE Transportation revenues and EBIT are expected to grow at double digit CAGRs from 2017A to 2019E as the cycle rebounds from trough levels. The GE Transportation business is positioned for a significant rebound, with estimated adjusted EBITDA growing from about $750 million in 2018 to between $900 million and $1 billion in 2019. The backlog of approximately $18 billion includes about 1,800 new locomotives and approximately 1,000 to be modernized. GE Transportation has received $3.6 billion in orders in the last two quarters. Wabtec reported a strong Q1, also forecasting robust growth for the year with record backlog.

The combination will bring together two global leaders in rail equipment, services and software, combining GE Transportation, a global digital industrial leader and supplier to the rail, mining, marine, stationary power and drilling industries, with Wabtec’s broad range of freight, transit and electronics solutions. Wabtec and GE shareholders will have ownership in a combined company with significantly expanded margins, a highly attractive growth profile based on an improved business mix, expanded global reach, and faster innovation in key growth areas.

KEY STRATEGIC BENEFITS

The combination is expected to:

  • Drive increased value for shareholders: With approximately $8 billion in combined revenues and a large global installed base, the combined company will have a leading position in key freight rail and transit geographies worldwide, and will be well-positioned to serve customers as industry demand continues to improve. Investors are expected to benefit through ownership of a stronger, more diverse business better positioned to perform through the cycle, with expected annual double-digit EPS growth and total run-rate synergies of about $250 million estimated to be achieved by 2022. Furthermore, the transaction will facilitate a tax step-up with an NPV of approximately $1.1 billion of net tax benefit accruing to the combined company.
  • Create a leading equipment, aftermarket services, and digital solutions provider across the transportation ecosystem: From factory to final destination – and every point in-between – the combined company will have the capabilities to accelerate lifecycle solutions for the transportation industry and unlock significant productivity for customers by improving interoperability, efficiency, and competitiveness.
  • Capitalize on digital/electronic technologies to develop autonomous capabilities: Bringing together GE Transportation’s digital solutions with Wabtec’s electronic systems is expected to drive the advancement and implementation of technology solutions to improve safety, efficiency and productivity for the transportation industry. This combination will create a compelling offering to meet the industry’s rapidly growing demand for rail performance, with the potential to unlock billions in annual savings across freight rail for customers and operators.
  • Generate growth opportunities through the extensive installed base and attractive global footprint: The combined company will be a leading global freight and transit rail provider with more than 23,000 locomotives in its global installed base and content on virtually all locomotives and freight cars in North America, creating significant opportunities for aftermarket parts and services in key regions around the world.

Effective immediately, Wabtec Chairman Albert J. Neupaver has been re-appointed executive chairman of the company, while Raymond T. Betler remains Wabtec’s president and CEO. Following the completion of the transaction, Stéphane Rambaud-Measson will become president and CEO of Wabtec’s Transit Segment; and Rafael Santana, president and CEO of GE Transportation, will become president and CEO of Wabtec’s Freight Segment.

Betler said: “Wabtec and GE Transportation are global industry leaders and we believe that together we have a unique opportunity to drive tremendous growth in 2019 and beyond as the industry continues to improve. By bringing together our highly complementary strengths we are confident that this transformational combination will create value for both Wabtec and GE shareholders, innovative solutions for our customers, and new outlets for long-term career growth for our employees. Our two companies have more than 250 years of rail industry heritage, and our shared focus on safety, reliability, quality, and customer relationships will enable a smooth integration.”

Santana said: “The combination of our two strong brands and remarkable people is an excellent fit that will create an organization well-positioned to accelerate the future of transportation. Together, we can expand our global reach, strengthen our market capabilities and lead digital innovation across the transportation industry. We are seeing growth in rail traffic and recent promising orders for new and modernized locomotives from North American Class I, Shortlines and international railroads, and are confident in the compelling long-term opportunities and synergies before us.”

GOVERNANCE AND HEADQUARTERS
Following the completion of the transaction, Wabtec’s corporate headquarters will remain in Wilmerding, Pa. Wabtec’s Freight Segment will be headquartered in Chicago, and Wabtec’s Transit Segment headquarters will remain in Paris.

GE will designate for nomination three independent Board members.

TRANSACTION DETAILS
GE will receive a $2.9 billion up-front cash payment, and GE and its shareholders will receive a 50.1% ownership interest in the combined company. Based on Wabtec’s stock price on April 19, 2018, the last unaffected trading day prior to media speculation regarding a potential transaction, the value of the transaction is approximately $11.1 billion. When adjusted for the net tax step-up value of $1.1 billion accruing to the combined company, the transaction value is $10 billion. The transaction is expected to be tax free to the companies’ respective shareholders.

Wabtec and GE Transportation will be combined in a transaction in which GE will (i) sell a portion of the assets of GE Transportation to Wabtec; (ii) complete the spin-off or split-off of a portion of GE Transportation to GE shareholders; and (iii) immediately thereafter merge GE Transportation with a wholly owned subsidiary of Wabtec. Upon closing, Wabtec shareholders will own approximately 49.9%, and it is planned that GE shareholders will own approximately 40.2%, and GE will own 9.9% of the merged company on a fully diluted basis. GE has the right to increase the portion of the merged company owned by GE shareholders (subject to a corresponding reduction in GE’s ownership).

Wabtec has obtained full commitments for a $2.9 billion bridge facility and expects to put in place permanent debt financing prior to closing.  The Company is committed to maintaining a strong investment grade credit rating profile and will use its strong cash flow to prioritize debt reduction.

The transaction is expected to close in early 2019, subject to customary closing conditions, approval by Wabtec shareholders, and regulatory approvals.

CONFERENCE CALL AND INVESTOR INFORMATION
Wabtec and GE Transportation will host a conference call today at 8:30 am Eastern to discuss the transaction. An audio webcast of the investor call can be accessed at https://engage.vevent.com/rt/kekstandcompanyao~1688628. A replay will also be available at the same link after the event.  You can also access the link by going to www.wabtec.com and clicking on the “Webcasts” tab in the “Investor” section.  To view a copy of the presentation that will be discussed during the call, click on the “Press Releases” tab under “About Us” and click on the press release titled “Wabtec and GE Transportation to Merge.”  The presentation will be included at the end of the press release on the website.

ABOUT WABTEC
Wabtec Corporation is a leading global provider of equipment, systems and value-added services for transit and freight rail.  Through its subsidiaries, the company manufactures a range of products for locomotives, freight cars and passenger transit vehicles. The company also builds new switcher and commuter locomotives, and provides aftermarket services. The company has roughly 18,000 employees and facilities located throughout the world. For the fiscal year ending December 31, 2017, Wabtec generated approximately $3.9 billion in revenue and $504 million in adjusted EBIT (approximately 13% margin).

ABOUT GE TRANSPORTATION
GE Transportation helps move the world and improve the world, as a global technology leader and supplier of equipment, services and digital solutions to the rail, mining, marine, stationary power and drilling industries. GE Transportation’s innovations help customers deliver goods and services with greater speed and savings using advanced manufacturing techniques and connected machines. The company employs approximately 9,000 employees worldwide. GE Transportation has a backlog of roughly $18 billion, including approximately 1,800 new locomotives and roughly 1,000 locomotive modernized units. For the fiscal year ending December 31, 2017, GE Transportation generated approximately $3.9 billion in revenue and $701 million in adjusted EBIT (approximately 18% margin).

ADVISORS
Goldman Sachs & Co. LLC and Jones Day are acting as financial advisors and legal counsel, respectively, to Wabtec in the transaction.

Morgan Stanley & Co. LLC and Dyal Co. LLC are acting as financial advisors, and Davis Polk & Wardwell LLP as legal advisors, to GE in the transaction.

CONTACTS

Investors
Tim Wesley, Wabtec
412-825-1543 or twesley@wabtec.com

Matt Cribbins, GE
617-443-3400 or matthewg.cribbins@ge.com

Media
Deia Campanelli, GE
773-297-0482 or deia.campanelli@ge.com

Rich Stimel, Wabtec
412-825-1423 or rstimel@wabtec.com

ADDITIONAL INFORMATION AND WHERE TO FIND IT
In connection with the proposed transaction between GE and Wabtec, Transportation Systems Holdings Inc., a wholly owned subsidiary of GE created for the transaction (“SpinCo”), will file with the SEC a registration statement on Form S-4/S-1 containing a prospectus or a registration statement on Form 10 and Wabtec will file with the SEC a registration statement on Form S-4 that will include a combined proxy statement/prospectus. If the transaction is effected via an exchange offer, GE will also file with the SEC a Schedule TO with respect thereto.  This communication is not a substitute for any proxy statement, registration statement, proxy statement/prospectus or other documents GE, Wabtec and/or SpinCo may file with the SEC in connection with the proposed transaction.  INVESTORS AND SECURITY HOLDERS ARE URGED TO READ CAREFULLY AND IN THEIR ENTIRETY THESE DOCUMENTS WHEN THEY BECOME AVAILABLE, ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, AND OTHER DOCUMENTS FILED BY GE, WABTEC OR SPINCO WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTION, BECAUSE THESE DOCUMENTS WILL CONTAIN IMPORTANT INFORMATION.  Investors and security holders will be able to obtain free copies of these materials and other documents filed with the SEC by GE, Wabtec and/or SpinCo through the website maintained by the SEC at www.sec.gov.  Investors and security holders will also be able to obtain free copies of the documents filed by GE, Wabtec and/or SpinCo with the SEC from the respective companies by directing a written request to GE and/or SpinCo at General Electric Company, 41 Farnsworth Street, Boston, Massachusetts 02210 or by calling 617-443-3400. Investors and security holders can also contact Wabtec at Wabtec Corporation, 1001 Air Brake Avenue, Wilmerding, PA 15148 or by calling 412-825-1543.

NO OFFER OR SOLICITATION
This communication is for informational purposes only and not intended to and does not constitute an offer to subscribe for, buy or sell, the solicitation of an offer to subscribe for, buy or sell, or an invitation to subscribe for, buy or sell, any securities or the solicitation of any vote or approval in any jurisdiction pursuant to or in connection with the proposed transaction or otherwise, nor shall there be any sale, issuance or transfer of securities in any jurisdiction in contravention of applicable law.  No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended, and otherwise in accordance with applicable law.

PARTICIPANTS IN THE SOLICITATION
This communication is not a solicitation of a proxy from any investor or security holder.  GE, Wabtec, SpinCo, their respective directors, executive officers and other members of its management and employees may be deemed to be participants in the solicitation of proxies from shareholders of Wabtec in connection with the proposed transaction.  Information regarding the persons who may, under the rules of the SEC, be deemed participants in the solicitation of proxies in connection with the proposed transaction, including a description of their direct or indirect interests, by security holdings or otherwise, will be set forth in the relevant materials when filed with the SEC.  Information regarding the directors and executive officers of GE is contained in GE’s proxy statement for its 2018 annual meeting of stockholders, filed with the SEC on March 23, 2018, its Annual Report on Form 10-K for the year ended December 31, 2017, which was filed with the SEC on February 23, 2018, its Quarterly Report on Form 10-Q for the quarter ended March 31, 2018, which was filed with the SEC on May 1, 2018 and certain of its Current Reports filed on Form 8-K.  Information regarding the directors and executive officers of Wabtec is contained in Wabtec’s proxy statement for its 2018 annual meeting of stockholders, filed with the SEC on April 5, 2018, its Annual Report on Form 10-K for the year ended December 31, 2017, which was filed with the SEC on February 26, 2018, its Quarterly Report on Form 10-Q for the quarter ended March 31, 2018 which was filed with the SEC on May 4, 2018 and certain of its Current Reports filed on Form 8-K.  These documents can be obtained free of charge from the sources indicated above.

CAUTION CONCERNING FORWARD-LOOKING STATEMENTS
This communication contains “forward-looking” statements as that term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995, including statements regarding the proposed transaction between GE and Wabtec.  All statements, other than historical facts, including statements regarding the expected timing and structure of the proposed transaction; the ability of the parties to complete the proposed transaction considering the various closing conditions; the expected benefits of the proposed transaction, including future financial and operating results, the tax consequences of the proposed transaction, and the combined company’s plans, objectives, expectations and intentions; legal, economic and regulatory conditions; and any assumptions underlying any of the foregoing, are forward-looking statements.

Forward-looking statements concern future circumstances and results and other statements that are not historical facts and are sometimes identified by the words “may,” “will,” “should,” “potential,” “intend,” “expect,” “endeavor,” “seek,” “anticipate,” “estimate,” “overestimate,” “underestimate,” “believe,” “could,” “project,” “predict,” “continue,” “target” or other similar words or expressions.  Forward-looking statements are based upon current plans, estimates and expectations that are subject to risks, uncertainties and assumptions.  Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements.  The inclusion of such statements should not be regarded as a representation that such plans, estimates or expectations will be achieved.  Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, among others, (1) that one or more closing conditions to the transaction, including certain regulatory approvals, may not be satisfied or waived, on a timely basis or otherwise, including that a governmental entity may prohibit, delay or refuse to grant approval for the consummation of the proposed transaction, may require conditions, limitations or restrictions in connection with such approvals or that the required approval by the stockholders of Wabtec may not be obtained; (2) the risk that the proposed transaction may not be completed on the terms or in the time frame expected by GE or Wabtec, or at all; (3) unexpected costs, charges or expenses resulting from the proposed transaction; (4) uncertainty of the expected financial performance of the combined company following completion of the proposed transaction; (5) failure to realize the anticipated benefits of the proposed transaction, including as a result of delay in completing the proposed transaction or integrating the businesses of GE, Wabtec and SpinCo; (6) the ability of the combined company to implement its business strategy; (7) difficulties and delays in achieving revenue and cost synergies of the combined company; (8) inability to retain and hire key personnel; (9) the occurrence of any event that could give rise to termination of the proposed transaction; (10) the risk that stockholder litigation in connection with the proposed transaction or other settlements or investigations may affect the timing or occurrence of the proposed transaction or result in significant costs of defense, indemnification and liability; (11) evolving legal, regulatory and tax regimes; (12) changes in general economic and/or industry specific conditions; (13) actions by third parties, including government agencies; and (14) other risk factors as detailed from time to time in GE’s and Wabtec’s reports filed with the SEC, including GE’s and Wabtec’s annual report on Form 10-K, periodic quarterly reports on Form 10-Q, periodic current reports on Form 8-K and other documents filed with the SEC.  The foregoing list of important factors is not exclusive.

Any forward-looking statements speak only as of the date of this communication.  Neither GE nor Wabtec undertakes any obligation to update any forward-looking statements, whether as a result of new information or development, future events or otherwise, except as required by law.  Readers are cautioned not to place undue reliance on any of these forward-looking statements.

1 Based on Wabtec share price of $83.79 on 19-Apr-2018, the last unaffected trading day prior to media speculation regarding a potential transaction, and Wabtec fully diluted share count.