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| x | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---|-----------------------------------------------------------------------------------------|

| o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---|------------------------------------------------------------------------------------------|

| DELAWARE                                 | 23-2874370          |
|------------------------------------------|---------------------|
| (State or other jurisdiction             | (I.R.S. Employer    |
| of incorporation or organization)        | Identification No.) |
|                                     |                |
| 506 Prudential Road, Horsham, PA         | 19044               |
| (Address of principal executive offices) | (Zip Code)          |

| Large accelerated filer  o | Accelerated filer  o | Non-accelerated filer  o                 | Smaller reporting company x |
|--------------------------------------|--------------------------------|-----------------------------------------------|-----------------------------|
|                                 |                           | (Do not check if a smaller reporting company) |                        |

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dex

|       |   |                  |   |                                                                                                         | Page No. |
|------------|--------|-----------------------|--------|--------------------------------------------------------------------------------------------------------------|----------|
|       |   |                  |   |                                                                                                         |     |
| PART I.    |   | FINANCIAL INFORMATION |   |
|       |   |                  |   |                                                                                                         |     |
|       |   | Item 1.               |   | Consolidated Financial Statements                                                                            |     |
|       |   |                  |   |                                                                                                         |     |
|       |   |                  |   | Condensed Consolidated Balance Sheets—March 31, 2011 (Unaudited) and December 31, 2010                 | 4        |
|       |   |                  |   |                                                                                                         |     |
|       |   |                  |   | Condensed Consolidated Statements of Operations—Three months ended March 31, 2011 and 2010 (Unaudited) | 5        |
|       |   |                  |   |                                                                                                         |     |
|       |   |                  |   | Condensed Consolidated Statements of Cash Flows-- Three months ended March 31, 2011 and 2010 (Unaudited)     | 6        |
|       |   |                  |   |                                                                                                         |     |
|       |   |                  |   | Notes to Condensed Consolidated Financial Statements (Unaudited)                                             | 7        |
|       |   |                  |   |                                                                                                         |     |
|       |   | Item 2.               |   | Management's Discussion and Analysis of Financial Condition and Results of Operations                        | 11       |
|       |   |                  |   |                                                                                                         |     |
|       |   | Item 4.               |   | Controls and procedures                                                                                      | 14       |
|       |   |                  |   |                                                                                                         |     |
| PART II.   |   | Other Information     |   |
|       |   |                  |   |                                                                                                         |     |
|       |   | Item 1.               |   | Legal Proceedings                                                                                            | 16       |
|       |   |                  |   |                                                                                                         |     |
|       |   | Item 1A.              |   | Risk Factors                                                                                                 | 16       |
|       |   |                  |   |                                                                                                         |     |
|       |   | Item 6.               |   | Exhibits                                                                                                     | 16       |
|       |   |                  |   |                                                                                                         |     |
| Signatures | 17     |

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Index

BA

|                                                                                              |   | March 31,2011 |   |   | December 31,2010 |   |
|---------------------------------------------------------------------------------------------------|--------|---------------|--------|--------|------------------|--------|
|                                                                                              |   | Unaudited     |   |   |             |   |
| ASSETS                                                                                            |   |          |   |   |             |   |
|                                                                                              |   |          |   |   |             |   |
| Current assets:                                                                                   |   |          |   |   |             |   |
| Cash and cash equivalents                                                                         |   | $             | 4,388  |   |             | $      | 2,400 |   |
| Accounts receivable, less allowance of $91 and $90                                                |   |          | 3,646  |   |             |   | 5,693 |   |
| Inventory                                                                                         |   |          | 3,126  |   |             |   | 2,776 |   |
| Costs and estimated earnings in excess of billings on uncompleted contracts                       |   |          | 4,476  |   |             |   | 4,941 |   |
| Income tax refunds receivable                                                                     |   |          | 325    |   |             |   | 655 |   |
| Deferred income taxes                                                                             |   |          | 1,275  |   |             |   | 1,437 |   |
| Other                                                                                             |   |          | 882    |   |             |   | 745 |   |
| Total current assets                                                                              |   |          | 18,118 |   |             |   | 18,647 |   |
|                                                                                              |   |          |   |   |             |   |   |   |
| Property and equipment, net                                                                       |   |          | 2,487  |   |             |   | 2,296 |   |
| Deferred income taxes                                                                             |   |          | 648    |   |             |   | 688 |   |
| Cost in excess of net assets acquired                                                             |   |          | 301    |   |             |   | 301 |   |
|                                                                                              |   |          |   |   |             |   |   |   |
| Total assets                                                                                      |   | $             | 21,554 |   |             | $      | 21,932 |   |
|                                                                                              |   |          |   |   |             |   |   |   |
| LIABILITIES AND STOCKHOLDERS' EQUITY                                                              |   |          |   |   |             |   |   |   |
|                                                                                              |   |          |   |   |             |   |   |   |
| Current liabilities:                                                                              |   |          |   |   |             |   |   |   |
| Accounts payable                                                                                  |   | $             | 2,849  |   |             | $      | 3,781 |   |
| Accounts payable—parent company                                                             |   |          | 2,115  |   |             |   | 1,697 |   |
| Accrued expenses                                                                                  |   |          | 3,677  |   |             |   | 3,728 |   |
| Customer advances                                                                                 |   |          | 4      |   |             |   | 75 |   |
| Billings in excess of costs and estimated earnings on uncompleted contracts                       |   |          | 2,935  |   |             |   | 2,117 |   |
| Total liabilities, all current                                                                    |   |          | 11,580 |   |             |   | 11,398 |   |
|                                                                                              |   |          |   |   |             |   |   |   |
| Stockholders' equity:                                                                             |   |          |   |   |             |   |   |   |
| Preferred stock: $.01 par value: Authorized shares--2,000,000 Issued and outstanding shares--none |   |          | --     |   |             |   | -- |   |
| Common stock: $.01 par value: Authorized shares--10,000,000 Issued shares--6,084,473              |   |          | 61     |   |             |   | 61 |   |
| Additional paid-in capital                                                                        |   |          | 16,507 |   |             |   | 16,500 |   |
| Accumulated deficit                                                                               |   |          | (6,358 | )      |             |   | (5,727 | ) |
| Accumulated other comprehensive income (loss) - foreign currency translation adjustment           |   |          | 7      |   |             |   | (57 | ) |
| Treasury stock--82,700 shares                                                                     |   |          | (243   | )      |             |   | (243 | ) |
| Total stockholders' equity                                                                        |   |          | 9,974  |   |             |   | 10,534 |   |
|                                                                                              |   |          |   |   |             |   |   |   |
| Total liabilities and stockholders' equity                                                        |   | $             | 21,554 |   |             | $      | 21,932 |   |

----

Index

M

|                                                                        |   | Three Months Ended |      |
|-----------------------------------------------------------------------------|--------|--------------------|-----------|
|                                                                        |   | March 31,          |      |
|                                                                        |   | 2011               |      |   | 2010 |   |
|                                                                        |   |               |      |   |   |   |
| Contract revenues                                                           |   | $                  | 7,317     |   |   | $ | 7,322 |   |
| Cost of revenues                                                            |   |               | 5,976     |   |   |   | 4,874 |   |
| Gross profit                                                                |   |               | 1,341     |   |   |   | 2,448 |   |
| Operating expenses:                                                         |   |               |      |   |   |   |   |   |
| General and administrative:                                                 |   |               | 746       |   |   |   | 752 |   |
| Sales and marketing:                                                        |   |               | 720       |   |   |   | 733 |   |
| Sales, marketing, general and administrative – MVG                    |   |               | 250       |   |   |   | 400 |   |
| Research and development                                                    |   |               | 269       |   |   |   | 253 |   |
| Total operating expenses                                                    |   |               | 1,985     |   |   |   | 2,138 |   |
| Operating (loss) income                                                     |   |               | (644      | ) |   |   | 310 |   |
|                                                                        |   |               |      |   |   |   |   |   |
| Other (loss) income, net                                                    |   |               | (216      | ) |   |   | 4 |   |
| Income (loss) before income taxes                                           |   |               | (860      | ) |   |   | 314 |   |
| Income tax (benefit)                                                        |   |               | (229      | ) |   |   | -- |   |
| Net (loss) income                                                           |   |               | (631      | ) |   |   | 314 |   |
| Other comprehensive income (loss) - foreign currency translation adjustment |   |               | 64        |   |   |   | (76 | ) |
| Total comprehensive (loss) income                                           |   | $                  | (567      | ) |   | $ | 238 |   |
|                                                                        |   |               |      |   |   |   |   |   |
| Basic net (loss) income per share                                           |   | $                  | (0.11     | ) |   | $ | 0.05 |   |
|                                                                        |   |               |      |   |   |   |   |   |
| Diluted net (loss) income per share                                         |   | $                  | (0.11     | ) |   | $ | 0.05 |   |
|                                                                        |   |               |      |   |   |   |   |   |
| Weighted average number basic common shares                                 |   |               | 6,001,773 |   |   |   | 6,001,773 |   |
|                                                                        |   |               |      |   |   |   |   |   |
| Weighted average number diluted common shares                               |   |               | 6,001,773 |   |   |   | 6,001,773 |   |

----

Index

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS 

|                                                                                        |   | Three Months Ended |   |
|---------------------------------------------------------------------------------------------|--------|--------------------|--------|
|                                                                                        |   | March 31,          |   |
|                                                                                        |   | 2011               |   |   | 2010 |   |
| Cash flows from operating activities:                                                       |   |               |   |   |   |   |
| Net (loss) income                                                                           |   | $                  | (631   | ) |   | $ | 314 |   |
| Adjustments to reconcile net income to net cash provided by (used in) operating activities: |   |               |   |   |   |   |   |   |
| Depreciation and amortization                                                               |   |               | 144    |   |   |   | 113 |   |
| Stock based compensation                                                                    |   |               | 7      |   |   |   | 10 |   |
| Deferred income taxes                                                                       |   |               | 199    |   |   |   | -- |   |
| Changes in operating assets and liabilities:                                                |   |               |   |   |   |   |   |   |
| Accounts receivable                                                                         |   |               | 2,070  |   |   |   | 2,894 |   |
| Inventory                                                                                   |   |               | (343   | ) |   |   | (374 | ) |
| Costs and estimated earnings in excess of billings on uncompleted contracts                 |   |               | 510    |   |   |   | (479 | ) |
| Income tax refunds receivable                                                               |   |               | 329    |   |   |   | 100 |   |
| Other current assets                                                                        |   |               | (160   | ) |   |   | (120 | ) |
| Accounts payable and accrued expenses                                                       |   |               | (1,030 | ) |   |   | (1,854 | ) |
| Accounts payable—parent company                                                       |   |               | 468    |   |   |   | 116 |   |
| Customer advances                                                                           |   |               | (71    | ) |   |   | 6 |   |
| Billings in excess of costs and estimated earnings on uncompleted contracts                 |   |               | 789    |   |   |   | 1,866 |   |
|                                                                                        |   |               |   |   |   |   |   |   |
| Net cash provided by operating activities                                                   |   |               | 2,281  |   |   |   | 2,592 |   |
|                                                                                        |   |               |   |   |   |   |   |   |
| Cash flows from investing activities:                                                       |   |               |   |   |   |   |   |   |
| Purchase of property and equipment                                                          |   |               | (322   | ) |   |   | (98 | ) |
|                                                                                        |   |               |   |   |   |   |   |   |
| Net cash (used in) investing activities                                                     |   |               | (322   | ) |   |   | (98 | ) |
|                                                                                        |   |               |   |   |   |   |   |   |
| Cash flows from financing activities:                                                       |   |               |   |   |   |   |   |   |
| Proceeds from short term notes payable                                                      |   |               | 200    |   |   |   | -- |   |
| Repayment of short term notes payable                                                       |   |               | (200   | ) |   |   | (250 | ) |
|                                                                                        |   |               |   |   |   |   |   |   |
| Net cash (used in) financing activities                                                     |   |               | --     |   |   |   | (250 | ) |
|                                                                                        |   |               |   |   |   |   |   |   |
| Effect of foreign exchange rate changes on cash and cash equivalents                        |   |               | 29     |   |   |   | (22 | ) |
|                                                                                        |   |               |   |   |   |   |   |   |
| Net increase in cash and cash equivalents                                                   |   |               | 1,988  |   |   |   | 2,222 |   |
| Cash and cash equivalents at beginning of period                                            |   |               | 2,400  |   |   |   | 1,622 |   |
| Cash and cash equivalents at end of period                                                  |   | $                  | 4,388  |   |   | $ | 3,844 |   |
|                                                                                        |   |               |   |   |   |   |   |   |
| Supplemental disclosures of cash flow information:                                          |   |               |   |   |   |   |   |   |
| Cash (received) paid during the period for income taxes                                     |   | $                  | (333   | ) |   | $ | 103 |   |
|                                                                                        |   |               |   |   |   |   |   |   |
| Cash paid during the period for interest                                                    |   | $                  | 6      |   |   | $ | -- |   |

----

Index

CONSOLIDATED FINANCIAL 

----

Index

| Parts and components |   | $      | 2,758 |   |
|----------------------|--------|--------|-------|--------|
| Work- in- process    |   |   | 368   |   |
| Total                |   | $      | 3,126 |   |

| Lab and computer equipment    |   | $      | 3,113 |   |
|-------------------------------|--------|--------|-------|--------|
| Office equipment              |   |   | 898   |   |
| Transportation equipment      |   |   | 61    |   |
| Furniture and fixtures        |   |   | 65    |   |
| Fixed assets in progress      |   |   | 130   |   |
| Leasehold improvements        |   |   | 661   |   |
| Total                         |   |   | 4,928 |   |
| Less accumulated depreciation |   |   | 2,441 |   |
| Property and equipment, net   |   | $      | 2,487 |   |

| Contract costs   |   | $      | 112   |   |
|------------------|--------|--------|-------|--------|
| Compensation     |   |   | 1,793 |   |
| Commissions      |   |   | 464   |   |
| Royalties        |   |   | 33    |   |
| Warranty         |   |   | 521   |   |
| Deferred revenue |   |   | 220   |   |
| Other accruals   |   |   | 534   |   |
| Total            |   | $      | 3,677 |   |

----

Index

| Accumulated expenditures on uncompleted contracts |   | $      | 46,817  |   |
|---------------------------------------------------|--------|--------|---------|--------|
| Estimated earnings thereon                        |   |   | 12,685  |   |
| Total                                             |   |   | 59,502  |   |
| Less: Applicable progress billings                |   |   | (57,961 | )      |
| Balance                                           |   | $      | 1,541   |   |

| Costs and estimated earnings on uncompleted contracts in excess of billings |   | $      | 4,476  |   |
|-----------------------------------------------------------------------------|--------|--------|--------|--------|
| Billings on uncompleted contracts in excess of costs and estimated earnings |   |   | (2,935 | )      |
| Total                                                                       |   | $      | 1,541  |   |

----

Index

| Three months ended March 31, 2011 |   | North America |   |   | Europe |   |   | Asia   |   |   | Total  |   |
|-----------------------------------|--------|---------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                              |   |          |   |   |   |   |   |   |   |   |   |   |
| Contract revenues                 |   | $             | 2,726  |   |   | $      | 1,999  |   |   | $      | 2,592  |   |   | $ | 7,317 |   |
| Cost of revenues                  |   |          | 2,623  |   |   |   | 1,526  |   |   |   | 1,827  |   |   |   | 5,976 |   |
| Gross profit                      |   | $             | 103    |   |   | $      | 473    |   |   | $      | 765    |   |   | $ | 1,341 |   |
|                              |   |          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Three months ended March 31, 2010 |   | North America |   |   | Europe |   |   | Asia   |   |   | Total  |   |
|                              |   |          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Contract revenues                 |   | $             | 2,816  |   |   | $      | 2,839  |   |   | $      | 1,667  |   |   | $ | 7,322 |   |
| Cost of revenues                  |   |          | 1,754  |   |   |   | 1,939  |   |   |   | 1,181  |   |   |   | 4,874 |   |
| Gross profit                      |   | $             | 1,062  |   |   | $      | 900    |   |   | $      | 486    |   |   | $ | 2,448 |   |

----

Index

ment'

----

Index

|                                      |   | Three Months Ended March 31, |   |
|-------------------------------------------|--------|------------------------------|--------|
|                                      |   | 2011                         |   |   | 2010 |   |
|                                      |   | (Unaudited)                  |   |   | (Unaudited) |   |
| Revenues                                  |   |                         | 100.0  | % |   |   | 100.0 | % |
| Gross profit                              |   |                         | 18.3   |   |   |   | 33.4 |   |
| General and administrative                |   |                         | 10.2   |   |   |   | 10.3 |   |
| Sales and marketing                       |   |                         | 9.8    |   |   |   | 10.0 |   |
| Research and development                  |   |                         | 3.7    |   |   |   | 3.5 |   |
| Microwave Vision Group corporate expenses |   |                         | 3.4    |   |   |   | 5.5 |   |
| Operating (loss) income                   |   |                         | (8.8   | ) |   |   | 4.2 |   |
| (Loss) income before income taxes         |   |                         | (9.4   | ) |   |   | 4.3 |   |
| Net (loss) income                         |   |                         | (7.1   | ) |   |   | 4.3 |   |

----

Index

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Index

Pr

|   | (a) | Evaluation of disclosure controls and procedures. |
|--------|-----|---------------------------------------------------|

----

Index

|   | (b) | Changes in Internal Control Over Financial Reporting |
|--------|-----|------------------------------------------------------|

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Index

Pr

Ris

xhi

|   | 31.1 | Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, Per Iversen, President and Chief Executive Officer. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------|

|   | 31.2 | Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, Relland Winand, Chief Financial Officer. |
|--------|------|-------------------------------------------------------------------------------------------------------------------|

|   | 32.1 | Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, Per Iversen, President and Chief Executive Officer. |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 32.2 | Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, Relland Winand, Chief Financial Officer. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

Index

NA

|                  | Orbit/FR, Inc.                        |   |
|-----------------------|---------------------------------------|--------|
|                  |                                  |   |
| Date: August 22, 2011 | /s/  Per Iversen            |   |
|                  | President and Chief Executive Officer |   |

----