They misread the market, but so did the competition. Smith just recently blamed a lack of results on unexpected weakness in the cargo market.
The cargo market isn't enough to support one business, let alone three. Government orders are what is needed and it makes perfect sense when you think about it. The only question is whether we can get a significant order from the TSA. Given all the "clues" (TSA touring the facility, TSA qualifying us for cargo several months early, GSA best ETD in the business award, the CRADA, someone willing to give us $20M with NO WARRANT COVERAGE, etc...), it seems likely we will get an order.
The good news is that we don't need to take management's word for it with passenger screening because we have enough info to know what the TSA is planning to do and there is enough there to know that we have a good product.