July 7, 2009

Cubic acquires Vix ERG's Calif. ops center, licenses

Cubic Transportation Systems Inc., a subsidiary of San Diego-based Cubic Corp., signed an agreement to acquire the Concord, Calif., operations center and licenses on select software from the U.S. subsidiary of Australia-based Vix ERG Pty Ltd. Cubic will use these assets to expand services to transit agencies in San Francisco; Seattle; Boston; Ventura, Calif.; and Las Vegas. The newly acquired operation will add approximately $20 million in annual revenues, and broadens a Cubic services base that already includes numerous transit properties on three continents.

The agreement initially will cover servicing the TransLink contract in the San Francisco Bay Area and eventually include the other transit agencies currently using Vix ERG MASS systems.

As part of this purchase, Cubic has acquired a fully functioning comprehensive service operation in Concord, Calif., designed specifically to support public transport authorities with complete solutions for smart card distribution and call center operations. Approximately 125 ERG employees have joined Cubic from ERG's U.S. operations and engineering operations in Perth, Australia.

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