ATK Receives Orders for Small-Caliber Ammunition Under New Production Contract at Lake City Army Ammunition Plant Orders Total Approximately $387 Million
ARLINGTON, Va., Nov. 11, 2013 /PRNewswire/ -- ATK (NYSE: ATK) has received orders for approximately $387 million for small-caliber rifle ammunition to be produced at the Lake City Army Ammunition Plant. The orders fall under the plant's new production contract, which began Oct. 1, 2013, and include a mix of 5.56mm, 7.62mm and .50-caliber high-quality military ammunition.
In 2012, the U.S. Army Contracting Command, Rock Island (ACC-RI) selected ATK to continue production of small-caliber ammunition and operation and maintenance of the Independence, Mo., plant under new contracts. The contracts initially cover the next seven years through FY19, with a potential award term for a total contract term of up to 10 years.
"Our vision for Lake City is a highly-efficient production facility that is lean, scalable and sustainable for the next generation of the nation's warfighters," said Kent Holiday, vice president and general manager of ATK's Small Caliber Systems division.
"ATK is giving greater value to our government customer through the new operations contract at Lake City," said Mike Kahn, president of ATK's Defense Group. "Our ammunition has no equal in its quality and reliability, which is the standard we set for our support of the warfighter. Our ATK-wide focus on efficiency, quality and affordability allows us to deliver an excellent value to our military customers."
ATK Defense Group is an industry leader in providing innovative and affordable ammunition, precision and strike weapons, electronic warfare systems, and missile components across air-, sea-, and land-based systems.
ATK is an aerospace, defense and commercial products company with operations in 22 states, Puerto Rico and internationally. News and information can be found on the Internet at www.atk.com, on Facebook at www.facebook.com/atk or on Twitter @ATK.
Certain information discussed in this press release constitutes forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Although ATK believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be achieved. Forward-looking information is subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected. Among those factors are: changes in governmental spending, budgetary policies and product sourcing strategies; the company's competitive environment; the terms and timing of awards and contracts; and economic conditions. ATK undertakes no obligation to update any forward-looking statements. For further information on factors that could impact ATK, and statements contained herein, please refer to ATK's most recent Annual Report on Form 10-K and any subsequent quarterly reports on Form 10-Q and current reports on Form 8-K filed with the U.S. Securities and Exchange Commission.