ATK (NYSE: ATK) announced it was awarded a Fixed Price Indefinite Delivery/Indefinite Quantity (IDIQ) contract from the U.S. Army for the production of Mk248 Mod 0, 190-grain and Mk248 Mod 1, 220-grain 300 Win. Magnum (Win Mag) rifle ammunition. The Army has selected this ammunition for primary use in its M2010 Sniper rifle.
The five-year 300 Win Mag ammunition contract is in its first year. The contract has a total of five 12-month ordering periods. This award has an estimated maximum value of $20 million over the life of the contract, and an initial delivery order for the ammunition was received at the time of the award.
"ATK is committed to providing advanced, affordable and mission-critical solutions to our nation's warfighters," said ATK's Sporting Group President Jay Tibbets. "We are proud the U.S. Army has selected our 300 Win Mag ammunition. These products are highly engineered and manufactured with stringent quality assurance processes to ensure optimum performance."
The U.S. Army Contracting Command - Rock Island is the procuring office for this award, with program oversight being provided by the Project Manager Maneuver Ammunition Systems. The ammunition will be manufactured at ATK's Anoka, Minnesota, Federal Premium® Ammunition factory.
Source: Alliant Tech Systems, Inc (ATK) (NYSE: ATK)
Date: May 12, 2014