PORTLAND, Ore.–(BUSINESS WIRE)–Jan. 14, 2004–FLIR Systems, Inc. (Nasdaq:FLIR) announced today that it has been awarded a firm fixed-price contract valued at $16.9 million for 27 of its Star SAFIRE(TM) III airborne thermal imaging systems as well as two of its Star SAFIRE(TM) II airborne thermal imaging units from the U.S. Army’s Space and Missile Defense Command in Huntsville, Alabama. Work will be performed in FLIR’s Portland, Oregon production facility and deliveries will begin during FLIR’s current fiscal quarter.

“This contract represents a significant order for our Portland facility and for our Company. The star SAFIRE(TM) III is one of FLIR’s newest and most advanced products, and we are delighted the Army has chosen FLIR to provide these systems,” commented Earl R. Lewis, President and CEO of FLIR Systems, Inc.

Forward-Looking Statements

The statements in this release regarding FLIR’s expectation of the value of the US Army contract and the time period within which these revenues will be generated are forward-looking statements. Such statements are based on current expectations, estimates and projections about FLIR’s business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including the following: the ability of FLIR to deliver the units ordered in a timely manner and consistent with contract requirements, changes in demand for FLIR’s products, product mix, the timing of customer orders and deliveries, the impact of competitive products and pricing, FLIR’s continuing compliance with US export control laws and regulations, constraints on supplies of critical components, excess or shortage of production capacity, actual purchases under agreements, the continuing eligibility of FLIR to act as a federal contractor, the amount and availability of appropriated government procurement funds and other risks discussed from time to time in the Company’s Securities and Exchange Commission filings and reports. In addition, such statements could be affected by general industry and market conditions and growth rates, and general domestic and international economic conditions. Such forward-looking statements speak only as of the date on which they are made and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release.

About FLIR Systems

FLIR Systems, Inc. is a world leader in the design, manufacture and marketing of thermal imaging and stabilized camera systems for a wide variety of thermography and imaging applications including condition monitoring, research and development, manufacturing process control, airborne observation and broadcast, search and rescue, drug interdiction, surveillance and reconnaissance, navigation safety, border and maritime patrol, environmental monitoring and ground-based security.

For More Information:

Tony Trunzo
FLIR Systems, Inc.
503-684-3731

Visit the FLIR Systems web site.