Comtech Urges Stockholders to Get to Know Its Outstanding Director Candidates

MELVILLE, N.Y. –
November 22, 2021– Comtech Telecommunications Corp. (NASDAQ: CMTL), a leading global provider of next-generation 911 emergency systems and secure wireless communications technologies, today announced that it has mailed a letter to stockholders detailing the deficiencies of Outerbridge Capital Management’s nominees and enabling shareholders to get to know Comtech’s highly qualified director candidates.

Comtech invites shareholders to familiarize themselves with the two members of the Board up for election this year-Judy Chambers and Larry Waldman-by reviewing the short interviews below. Comtech believes that Ms. Chambers and Mr. Waldman are vastly superior Board candidates to Outerbridge’s nominees, who clearly lack the relevant skills and experience necessary to create shareholder value and oversee good corporate governance.

The full text of the interviews follow and can also be accessed by visiting: https://comtechcreates.com/stockholder-materials/.

PROTECT THE VALUE OF YOUR INVESTMENT BY VOTING THE ENCLOSED BLUE PROXY CARD TODAY FOR COMTECH’S HIGHLY QUALIFIED DIRECTORS

Dear Fellow Shareholder:

We invite you to take a moment of your time to familiarize yourself with the two members of the Board up for election this year-Judy Chambers and Larry Waldman-by reviewing the short interviews accompanying this letter.

Comtech is benefitting from new oversight, new leadership and new capital to deploy in service of a technology renewal cycle occurring across our core markets. Your current Board of Directors is action-oriented and highly experienced, with the collective skills, expertise, and diversity of perspectives that deliver shareholder value. Your Board is overseeing a carefully considered long-term plan to enhance financial performance and accelerate growth. That plan is already delivering strong results.

We believe that Ms. Chambers and Mr. Waldman are vastly superior Board candidates to Outerbridge’s nominees, who clearly lack the relevant skills and experience necessary to create shareholder value and oversee good corporate governance. We say, “we believe,” because after only an initial introductory meeting, Outerbridge refused to allow us to vet these candidates following our standard process. A cursory review of Outerbridge’s proxy filing and other public information, however, reveals clear red flags:

• Wendi Carpenter is unqualified to serve as a director at Comtech.
  • Ms. Carpenter’s education and Navy experience have no bearing on Comtech’s core end markets. Despite references to systems engineering and technology development experience in versions of her biography, Ms. Carpenter conceded to our Board during an introductory meeting that she does not possess any technical experience.
  • Ms. Carpenter has been a public company director at only one company, newly public SkyWater Technology, for a total of seven months. SkyWater’s share price has a history of significant declines, (45)% following preliminary Q2 2021 results and (36)% following Q3 2021 results, after the company guided to or reported negative adjusted EBITDA and a net loss. Further, SkyWater’s principal accounting officer’s resignation in October 2021 for whatever reason in the midst of this turbulence raises governance concerns and stresses the important need for strong accounting skills on any Board.
  • Ms. Carpenter clearly does not have any accounting or audit experience – shortfalls which could damage our Board’s ability to oversee Comtech’s global accounting and complex information systems if she is elected over our nominees.
  • Importantly, we are concerned about material omissions from Ms. Carpenter’s resume and introductory meeting with our Board that mask a history of poor oversight. During our due diligence, we discovered that Ms. Carpenter was named Chair of the Board of a now defunct credit card processing company in 2015 and that three small businesses that Ms. Carpenter formed have been administratively dissolved due to failure to file required annual reports and registrations.

• Sidney Fuchs is unfit to serve as a director at Comtech.
  • Mr. Fuchs currently serves as Chairman of the Board of Eutelsat North America, a major competitor to many of Comtech’s largest customers. This role presents a material conflict of interest, and his appointment would significantly damage key customer relationships and negatively impact prospective business opportunities.
  • His industry background is in services – not products or software – and he also possesses no accounting or audit experience.
  • While Outerbridge has touted Mr. Fuchs’ ability to lead strategic alternatives processes and proposed that he chair a newly formed committee to do so, nothing in his biography demonstrates any experience doing so for a publicly traded company. Mr. Fuchs’ M&A experience is limited to long-ago stints at companies of a significantly smaller scale than Comtech. Regardless, if elected, his material conflict of interest would limit Mr. Fuchs’ ability to participate fully in strategic discussions including a review of alternatives.
  • We are also troubled that Mr. Fuchs resigned his only position as CEO and director of a public company, ATS Corporation, just a few days after assuming the CEO role.

In summary, Outerbridge’s nominees consist of a director with no experience or background in our core markets and an executive who presents a material risk to our largest customer relationships. Neither has any expertise in global accounting requirements or accounting experience. These director candidates reflect Outerbridge’s limited understanding of our business, our capital needs, our strategy, and our end markets.

We urge you to support your Board by using the enclosed BLUE proxy card to vote today FOR Comtech’s two highly qualified director nominees, Judy Chambers and Larry Waldman. Please do not return or otherwise vote using any White proxy card you may receive from Outerbridge.

Thank you for your support,

Board of Directors

Comtech Telecommunications Corp.

IMPORTANT PERSPECTIVES FROM COMTECH’S DIRECTOR NOMINEES: JUDY CHAMBERS AND LARRY WALDMAN

Judy Chambers

Director since August 2021; Nominating and Governance Committee Chair

• Extensive experience in the investment advisory services industry and corporate finance
• Managing Principal and director of Meketa Investment Group, an investment advisory firm with more than $1.5 trillion assets under advisement
• Works with some of the largest institutional investors in the U.S. including public pension plans, corporations, endowments, foundations, and insurance companies

As Comtech’s newest director, what attracted you to join the Board?

Given my background in the investment industry, I keep a close watch on the wireless technology space. When I was approached about joining the Comtech Board, I immediately recognized a unique opportunity to help a true industry leader in critically important and growing markets create value for shareholders. Comtech’s strategic momentum is clear from its significant new business wins over the past couple of years, and I believe the company is uniquely positioned to capitalize on exciting growth opportunities across end markets. After meeting several members of the Board during a months-long interview process, I knew I could work well with them and that my skills and perspectives would be highly complementary.

What are your biggest takeaways from your first three months on the Board?

This is a Board that is willing to make any and all changes necessary to create shareholder value. Since I joined the Board this summer, we have announced a plan to declassify the Board, the completion of a leadership transition plan, and the appointment of two additional directors with significant industry experience. Yes, it has been a bit of a whirlwind, but I am proud to serve on a Board that is so action-oriented and so focused on the interests of shareholders.

What do you bring to the Board that will further enhance shareholder value creation?

I will reiterate exactly what I told the Board during my interviews – experience, perspective, and commitment. My considerable experience dealing with regulatory and public authorities as it relates to major infrastructure projects will be critical to Comtech as it continues to pursue next generation 911 contracts. In my role at Meketa, I spend all day, every day addressing institutional investors’ interests and concerns, and I will bring the same perspective to ensuring we are watching out for shareholders’ interests and being responsive to their feedback. I am fully committed to fostering diversity, equity and inclusion and addressing ESG issues, and I intend to hold Comtech to a high standard in that regard. It is the best thing to do for all stakeholders.

Larry Waldman

Director since August 2015; Audit Committee Chair; Designated Lead Independent Director

• Significant experience providing financial and business advisory services to technology companies, serving on public company boards, and leading public accounting firms.
• Serves as non-executive Chairman of the Board and Chairman of the Audit Committee of CVD Equipment Corporation
• Serves as Lead Independent Director and Audit Committee Chair of APYX Medical

What have you learned during your time on the Comtech Board and how does that inform the Company’s execution of its strategy?

Following my election at the Annual Meeting, I will have the privilege of being the longest tenured independent director of Comtech and the only remaining independent director who helped oversee the Company’s acquisition strategy, Board refreshment process, and recently completed leadership succession plan. During my tenure, Comtech has successfully executed a dramatic transformation into a business with significant recurring revenues, best-in-class satellite ground station and next generation 911 offerings, and blue-chip customers. Comtech has a rich history of innovation and solving complex problems that we continue to leverage to this day to create value for shareholders. I intend to continue putting my experience and deep knowledge of the Company to good use for shareholders.

How would you characterize the relationship between the Board and management?

We are a hands-on Board that values thoughtful perspectives and is committed to holding management accountable. Our entire Board is excited about Mike Porcelain’s promotion to Chief Executive Officer, which marks the completion of a succession plan we initiated in 2018. Over the past several years, we have watched Mike distinguish himself by building our 911 public safety business, strengthening our satellite and space communications business, and spearheading new product lines and new business wins. We are fully confident that he is the right leader for this next phase of Comtech’s growth. With a refreshed Board that brings new skills and experiences to the table, we are even better placed to oversee execution of our strategic growth plan.

You will be serving as Lead Independent Director. Can you tell us more about how your background and experience will enable you to further enhance shareholder value?

I have significant experience as lead director at other public companies, which helps inform the perspective I bring to our Board deliberations. Additionally, I believe my extensive public accounting experience is critically important to my success as a director. The cornerstone of public accounting is independence – and maintaining an independent perspective enables me to effectively hold management accountable and do what is in the best interest of shareholders. Most importantly, as a member of the Board for the past six years, I have played a key role in overseeing a strategy that is clearly delivering results. I know we have the right mix of skills, experience and demanding expectations on the Board to continue driving value for shareholders.

À propos de Comtech

Comtech Telecommunications Corp. est l'un des principaux fournisseurs mondiaux de systèmes d'urgence 911 de nouvelle génération et de technologies de communication sans fil sécurisées à des clients commerciaux et gouvernementaux du monde entier. Basée à Melville, dans l'État de New York, Comtech conçoit, produit et commercialise des solutions sans fil avancées et sécurisées, avec une passion pour la réussite de ses clients. Pour de plus amples informations, veuillez consulter le site www.comtechtel.com.

Déclarations prospectives

Certaines informations contenues dans cette lettre contiennent des déclarations de nature prospective qui impliquent des risques et des incertitudes importants, notamment en ce qui concerne la trajectoire de nos activités, nos revenus et nos ventes futurs, notre stratégie d'acquisition, les changements en matière de gestion et de gouvernance, et la croissance. Les résultats réels pourraient différer matériellement de ces informations prospectives. Les risques et les incertitudes qui pourraient avoir un impact sur ces déclarations prospectives sont les suivants la possibilité que les synergies et les avantages attendus des récentes acquisitions ne soient pas entièrement réalisés, ou ne le soient pas dans les délais prévus ; le risque que les entreprises acquises ne soient pas intégrées avec succès dans la société ; la possibilité de perturbations dues aux récentes acquisitions, rendant plus difficile le maintien des relations commerciales et opérationnelles ou la conservation du personnel clé ; le risque que la société ne parvienne pas à mettre en œuvre un changement tactique dans son secteur des solutions gouvernementales, en s'éloignant des appels d'offres pour les grands contrats de services de base et en recherchant des contrats pour ses produits de niche avec des marges plus élevées ; la nature et le calendrier de réception, et la performance de la société sur les commandes nouvelles ou existantes qui peuvent entraîner des fluctuations importantes du chiffre d'affaires net et des résultats d'exploitation ; le calendrier et le financement des contrats gouvernementaux ; les ajustements des bénéfices bruts sur les contrats à long terme ; les risques liés aux ventes internationales ; les changements technologiques rapides ; l'évolution des normes industrielles ; les annonces de nouveaux produits et les améliorations ; l'évolution des demandes des clients et des stratégies d'approvisionnement ; l'évolution des conditions économiques et politiques ; l'évolution du prix du pétrole sur les marchés mondiaux ; l'évolution des taux de change des monnaies étrangères ; les risques liés aux procédures judiciaires de la société, aux demandes d'indemnisation des clients et à d'autres questions similaires ; les risques liés aux obligations de la société en vertu de sa facilité de crédit ; les risques liés aux grands contrats de la société ; les risques liés à la pandémie de COVID-19 et aux perturbations de la chaîne d'approvisionnement qui en découlent ; et d'autres facteurs décrits dans le présent document et dans les autres documents déposés par la société auprès de la Securities and Exchange Commission (Commission des valeurs mobilières). Nous n'assumons aucune obligation et n'avons pas l'intention de mettre à jour ces déclarations prévisionnelles ou de les adapter aux résultats réels ou à l'évolution de nos attentes.

Informations complémentaires et lieux d'accès

Comtech has filed with the Securities and Exchange Commission (“SEC”) and mailed to the Company’s stockholders a definitive proxy statement, an accompanying BLUE proxy card and other relevant documents in connection with the Company’s Fiscal 2021 Annual Meeting of Stockholders (the “2021 Annual Meeting”). THE COMPANY’S STOCKHOLDERS ARE URGED TO READ THE PROXY STATEMENT, THE ACCOMPANYING BLUE PROXY CARD AND ANY OTHER DOCUMENTS TO BE FILED WITH THE SEC IN CONNECTION WITH THE COMPANY’S 2021 ANNUAL MEETING OR INCORPORATED BY REFERENCE IN THE PROXY STATEMENT BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE COMPANY’S 2021 ANNUAL MEETING AND THE PARTIES RELATED THERETO. The Company’s stockholders may obtain a free copy of documents filed with the SEC at the SEC’s website at https://www.sec.gov or the Company’s website at www.comtechcreates.com.

Participants à l'appel d'offres

La Société, ses administrateurs et certains de ses cadres dirigeants sont, et certains autres membres de la direction et employés de la Société peuvent être considérés comme des "participants" à la sollicitation de procurations auprès des actionnaires en rapport avec les questions à examiner lors de l'assemblée annuelle de 2021. Les informations concernant les intérêts directs et indirects, par la détention de titres ou autrement, dans la Société des personnes qui sont ou peuvent être, selon les règles de la SEC, considérées comme des participants à la sollicitation des actionnaires de la Société dans le cadre de l'Assemblée annuelle 2021 de la Société, sont présentées dans la circulaire de sollicitation de procurations définitive de la Société déposée dans le cadre de l'Assemblée annuelle 2021 de la Société et dans d'autres documents pertinents déposés auprès de la SEC. Vous trouverez également des informations sur les cadres dirigeants et les administrateurs de la société dans le rapport annuel de la société sur le formulaire 10-K pour l'exercice clos le 31 juillet 2021, ainsi que dans les autres documents déposés par la société et ces personnes auprès de la SEC.

PCMTL

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