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ATK Awarded $77 Million Contract for Tank Ammunition Training Rounds

Mar 1, 2001

ATK (NYSE: ATK) (Alliant Techsystems) said it has been awarded a contract valued at $77 million from the U.S. Army Operations Support Command, Rock Island, Ill., for 120mm training ammunition to be used by the Army's M1A1/A2 Abrams main battle tank. The total includes $5 million for refurbishment of the ammunition's storage containers.

The award represents the third annual procurement under a five-year basic contract received in 1999. Deliveries under the contract are slated to begin in October 2001 and continue through October 2002.

The contract is managed by ATK Ammunition Systems Company, New Brighton, Minn.

Mike McCann, president, ATK Ammunition Systems Company, said ATK has delivered nearly three million tank ammunition rounds to the U.S. and allied nations since 1985.

"The design, development, and high-volume production of tactical and training tank ammunition is one of ATK's most important core capabilities," said McCann. "We are proud to continue to provide this key product to our armored forces."

McCann said all ATK ammunition production operations are guided by strict adherence to rigorous process control standards to ensure that the rounds perform consistently each time they are used. "This repeatability is fundamental to helping the fighting troops who use our ammunition achieve mission success and safety," said McCann.

ATK produces a complete family of tactical and training rounds for main battle tanks. The company also is developing the U.S. Army's next-generation combat and training ammunition for the Abrams M1A1/A2 tank, and is participating in the development of a smart 120mm round that will extend the combat effectiveness of the Abrams well into the 21st century.

ATK is a $1.1 billion aerospace and defense company with leading market positions in munitions, precision capabilities, propulsion, and composite structures. The company, which is headquartered in Hopkins, Minn., employs approximately 6,400 people and has three business segments: Conventional Munitions, Aerospace, and Defense Systems. ATK news and information can be found on the Internet at http://www.atk.com/

SOURCE: ATK

Contact: Media, Rod Bitz, 952-931-5413, rod_bitz@atk.com, or Investors,
Steve Wold, 952-931-6747, steve_wold@atk.com, both of ATK