Local firm lands $50 million Coast Guard account

Communications Products Inc., an Indianapolis-based telecommunications firm, has won its second large government contract in the last nine months.

Earlier this month, CPI won a five-year, $50 million contract to provide telecommunications hardware and consulting services to 650 U.S. Coast Guard locations in the western part of the country and overseas, including remote locations such as Alaska and Guam.

The Coast Guard contract comes on the heels of a similarly big deal with the U.S. Department of Defense, in which CPI will serve facilities in Indiana and Ohio.

CPI officials said the contracts will be key to keeping the company's 80-person staff working at full capacity.

“This deal with the Coast Guard is a really big deal for us, one of our biggest,” said CPI spokesman Christopher Dellen. “With the economy as it is, getting a contract that lasts so long is really key to our success.”

CPI, a privately held company founded in 1983 by Cliff Arellano, saw strong profitability two years ago, but suffered a dip last year related to the economy, Dellen said. The company had revenue of $14 million during its most recent fiscal year, he added.

“This year, we’re doing better compared to last year, but it’s still too early to tell,” Dellen said, adding that governmental work has been a big part of the company’s rebound. “We’ve been working on big government contracts for a decade and a half, so we have a great deal of experience.”

CPI, which is headquartered near 96th Street and Interstate 69, sets up hardware needed for telephone and data-transmission services, including e-mail, Web, video conferencing and other electronic data. After CPI installs the system, it helps clients use it effectively, Dellen said.

“For us, it’s about closely matching the technology to the clients’ needs,” he said.

CPI's other clients include The Finish Line, Citizens Gas and Lucas Oil Stadium.