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ATK Notified by the U.S. Army of Its Intent to Award the Company a Contract for Continued Operation of the Lake City Army Ammunition Plant

New Contract Extends ATK's Operating Authority at Lake City by Four Years

Contract Award Secures ATK's Position as the Nation's Largest provider of Military Small-Caliber Ammunition

MINNEAPOLIS, Dec. 19 /PRNewswire-FirstCall/ -- Alliant Techsystems (NYSE: ATK) has been notified by the U.S. Army of its intent to award the company a contract to operate the Lake City Army Ammunition Plant for an additional four years. The new contract covers government small-caliber ammunition orders through September 2012, with deliveries on these orders scheduled for up to 18 months after receipt of the order.

ATK has operated the Lake City facility since April 1, 2000. During this time, the company has delivered more than 6.8 billion rounds of 5.56mm, 7.62mm, and 50-caliber ammunition. Working in tandem with the U.S. government, ATK has increased annual plant production from 350 million rounds per year to over 1.4 billion rounds annually. The ammunition produced by ATK at Lake City is an essential element of the nation's efforts in the global war on terror.

"ATK is extremely proud of our stewardship of this national asset at such a critical time," said Mark DeYoung, President, ATK Ammunition Systems. "We have worked with the Army to successfully meet the nation's increased need for small-caliber ammunition, while simultaneously developing and executing a plan to modernize the Lake City facility. This effort assures that Lake City remains a viable and dependable source of ammunition for decades to come,"

The Lake City Army Ammunition Plant is located in Independence, Missouri. It was originally constructed in 1941 by the U.S. Government as one of several government-owned ammunition plants. The plant is the nation's primary production source for small-caliber rifle ammunition.

ATK is an advanced weapon and space systems company with annual revenues in excess of $4.1 billion that employs approximately 17,000 people in 21 states. News and information can be found on the Internet at

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: the successful conclusion of contract negotiations, 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.

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