Stock exchange release

Free for publication on July 6, 2017 at 12.40pm (CEST +1)

Finnish Defence Forces plans to purchase Bittium TAC WIN™ software-defined radio system products

Oulu, Finland, July 6, 2017 – The Finnish Minister of Defence Jussi Niinistö has authorized Finnish Defence Forces to purchase Bittium Tactical Wireless IP Network™ (TAC WIN) system products. The Ministry of Defence has informed about the authorization today. Bittium and Finnish Defence Forces plan to sign a Framework Agreement for the delivery of Bittium TAC WIN products, that covers years 2018-2020, with the total value of the agreement being EUR 30 million (excl. VAT). According to the Framework Agreement, Finnish Defence Forces would issue separate purchase orders for the products each year. The Framework Agreement will not have an effect on Bittium's financial outlook for the year 2017, published on February 20, 2017 in Bittium's Financial Statement Bulletin 2016.

The Framework Agreement will be a continuation to the long cooperation between Finnish Defence Forces and Bittium. It will continue the renewal of the Finnish Defence Forces’ command, control and communications system, where the Software-Defined Radio based Bittium TAC WIN system acts as the backbone for tactical data transfer. Bittium TAC WIN provides broadband IP network connections for mobile communication stations and command posts. In the reformed combat doctrine of the Finnish Defence Forces, mobility, leading the troops on the move and effective communications play a key role.

Bittium Tactical Wireless IP Network™

Bittium Tactical Wireless IP Network (TAC WIN) is a Software-Defined Radio based wireless broadband network system intended for military and public safety use. With the system MANET (mobile ad hoc network), link, and connection networks can be formed into one logical IP network quickly, no matter what the location is. Bittium TAC WIN is compatible with existing fixed and wireless network infrastructures. The core of the system is a tactical router that enables users to freely form both wired and wireless broadband data transfer IP connections. Tactical router enables also connections to different types of terminals and other communication systems connecting them into a one communication network. In addition to the router the system comprises three types of radio heads, and each radio head covers its own frequency band area and can be used for flexible formation of optimized network topologies for different communication needs. All the products of the system are designed for harsh conditions, and thanks to the system's automated functions the implementation of the system can be done quickly. Due to the software-based functionality of the Bittium TAC WIN system, it can be easily updated with additional performance cost-efficiently during the whole lifespan of the system.

More information on the Bittium TAC WIN system and the related products:

http://www.bittium.com/products__services/defense/bittium_tactical_wireless_ip_network.

Oulu, July 6, 2017
Hannu Huttunen
CEO

Further information:

Hannu Huttunen
CEO
Tel. +358 40 344 5466

Distribution:

Nasdaq Helsinki Ltd
Main media

Bittium

Bittium specializes in the development of reliable, secure communications and connectivity solutions leveraging its 30 year legacy of expertise in advanced radio communication technologies. Bittium provides innovative products and services, customized solutions based on its product platforms and R&D services. Complementing its communications and connectivity solutions, Bittium offers proven information security solutions for mobile devices and portable computers. From November 2016 onwards, Bittium offers its customers also healthcare technology products and services in biosignal measuring in the areas of cardiology, neurology, rehabilitation, occupational health and sports medicine. Net sales in 2016 was EUR 64.2 million and operating profit was EUR 2.5 million. Bittium is listed on Nasdaq Helsinki. www.bittium.com.