The US govt fiscal year finishes on Sept 30. And sometime before...

The US govt fiscal year finishes on Sept 30. And sometime before this date, the FAA (the US Federal Aviation Administration) is due to announce who it has chosen to fill a contract to place an ATC simulator in 80-120 airport towers around the US.

If Adacel wins this contract, it will likely be worth between $80-120mill over three years for the initial roll out, plus a further $12mill per year over the long term with additional service and staffing contracts.

Adacel is already a solidly profitable company. The addition of this company-defining contract could realistically see Adacel increasing earnings by around 100% a year over the next 2-3 years. Obviously, if this happens its share price will follow suit. With a current market cap of only $34mill, this is definately one to keep an eye on.