Building off our discussions from last week's Midrats, our guest this Sunday from 5-6pm Eastern will be Lieutenant Joshua M. Roaf, USN to discuss
ARLINGTON, Va., March 8, 2013 /PRNewswire/ -- ATK (NYSE: ATK) announced today the award of a first-year, $12 million contract to deliver 30mm MK266 ammunition to the U.S. Navy. This is a single award, firm-fixed-price, five-year indefinite delivery indefinite quantity (IDIQ) contract for 30mm x 173mm, MK266 High Explosive Incendiary with Trace Cartridges in MK15 Linked Belts. This multi-year contract has a potential value of $41 million should all possible follow on contracts be awarded through 2018.
The ammunition is used with the MK46 Mod 2 Gun Weapon System, which is composed of ATK's MK44, 30mm Bushmaster automatic cannon. This weapon system arms the U.S. Navy's San Antonio class Landing Platform Dock (LPD) ships and Littoral Combat Ships (LCS).
"We take great pride in developing and producing ammunition that provides superior performance and reliability," said Bruce DeWitt, Vice President and General Manager for ATK's Armament Systems division. "Our medium-caliber expertise includes a full spectrum of highly effective and accurate tactical ammunition for air, ground and sea platforms as well as cost-effective training ammunition that provides a realistic experience for the warfighter."
The MK266 is a modification to the PGU-13 High Explosive Incendiary 30mm round, accomplished by adding a tracer and ATK's Low Drag Fuze. The non-self-destruct, Low Drag Fuze, produced exclusively by ATK, provides superior performance at extended range. The MK266 rounds may also be used for any cannon that fires 30mm x 173mm ammunition.
Program management for the MK266 is headquartered at ATK's Defense Group facility located in Plymouth, Minn., while ammunition production activities take place at Allegany Ballistics Laboratory in Rocket Center, W. Va. and New River Energetics in Radford, Va. First-year production deliveries are scheduled to begin in 2014.
The contract was awarded through the Project Manager Maneuver Ammunition Systems (PM MAS) under its role as the Single Manager for Conventional Ammunition (SMCA), which is responsible for the procurement of ammunition for all the Armed Services.
ATK is an aerospace, defense, and commercial products company with operations in 21 states, Puerto Rico, and internationally. 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: 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.