Orbital ATK (NYSE: OA), a global leader in aerospace and defense technologies, announced today that it has signed multiple, long-term agreements with premier commercial ammunition suppliers, valued in excess of $400 million over a three-year period. The agreements span from 2018 to 2020 and provide flexibility to optimize factory operations and best support customer needs and market demands.
The supplier agreements focus primarily on 5.56mm and .223 caliber ammunition manufactured at the Lake City Army Ammunition Plant in Independence, Missouri. Since 2000, Orbital ATK has produced more than 17 billion rounds of small-caliber ammunition at Lake City to support U.S. and allied warfighters around the globe as well as commercial customers.
“Our primary mission is, and always has been, to manufacture and provide the highest quality ammunition to the United States Armed Forces and our allies,” said Jim Nichols, Vice President and General Manager of Orbital ATK's Small Caliber Systems Division of the Defense Systems Group. “Supplementing military production, commercial supply agreements like these are beneficial to both Orbital ATK and our Army customer as they provide an expanded business base for our Lake City operations, workforce, and key suppliers, and help ensure that we stand ready to quickly increase production of small-caliber ammunition for the U.S. Army when needed.”
Orbital ATK’s Defense Systems Group, of which the Small Caliber Systems Division is a part, is an industry leader in providing innovative and affordable precision and strike weapons, advanced propulsion and hypersonics, missile components across air-, sea- and land-based systems, ammunition and related energetic products.
Source: Orbital ATK, Inc.
Date: Jul 12, 2017