ATK Receives $20 Million Order for TOW Rocket Motors
May 3, 2005
Minneapolis, May 3, 2005 – ATK (NYSE: ATK) has received a new contract from Raytheon (NYSE: RTN) to continue manufacturing rocket motors for the Tube-launched, Optically-tracked, Wire-guided (TOW) anti-tank missile. Raytheon is the prime contractor on the TOW missile. The contract’s value is approximately $20 million if all options are exercised throughout its five-year length. The rocket motors supplied under this contract will delivered to Raytheon for U.S. and allied nations.
ATK is the sole source supplier of flight motors for the TOW missile and has manufactured over 350,000 since production began in 1982. In addition to the rocket motors for the missile, ATK provides launch motors for the TOW system.
The TOW-2 missile defeats armored vehicles, bunkers, fortifications, and amphibious landing vehicles and is in use throughout the world today. ATK is working with Raytheon to enhance the missile’s performance and lethality by reducing the time to target while increasing the missile’s range. In addition, design features are being evaluated to provide Insensitive Munitions (IM) capability to make the entire weapon system safer for soldiers.
ATK is a $2.4 billion advanced weapon and space systems company employing approximately 14,000 people in 23 states. News and information can be found on the Internet at www.atk.com.
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: meeting current earnings guidance, changes in governmental spending and budgetary policies, economic conditions, equity market returns, the company's competitive environment, the timing of awards and contracts, program performance, and sales projections. ATK undertakes no obligation to update any forward-looking statements. For further information on factors that could impact ATK, and the statements contained herein, reference should be made to ATK’s filings with the Securities and Exchange Commission, including quarterly reports on Form 10-Q, current reports on Form 8-K and annual reports on Form 10-K.
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