ATK Civil Ammunition Business to Supply DHS With High Performance Ammunition

$16 Million of Initial Contracts Could Lead to a Total Value of More Than $90 Million

DHS Becomes One of ATK's Largest Non-Military Customers

PRNewswire-FirstCall
MINNEAPOLIS
(NYSE:ATK)
Jan 4, 2007

MINNEAPOLIS, Jan. 4 /PRNewswire-FirstCall/ -- Alliant Techsystems (NYSE: ATK) has received a series of contracts to supply the U.S. Department of Homeland Security (DHS) with a variety of small-caliber ammunition. If all contract options are exercised, the total value could exceed $90 million. This series of contract awards elevates DHS to one of ATK's top three civil ammunition customers. Work on the contracts will be performed by facilities in Anoka, Minnesota and Lewiston, Idaho.

ATK will provide rifle ammunition to DHS's Immigration and Customs Enforcement (ICE) division under a five-year opportunity with a potential total value of approximately $75 million. The contract includes a mix of enhanced performance rounds capable of barrier penetration, as well as standard duty ammunition.

In addition, the company announced it will provide DHS's U.S. Coast Guard with 40-caliber tactical pistol ammunition, also under a five-year opportunity, with an estimated total value of $15 million if all options are exercised.

"ATK has pioneered significant advances in projectile technology and has incorporated these improvements into the rounds it will provide to DHS," said Mark DeYoung, President, ATK Ammunition Systems Group. "This ammunition performs extremely well against a variety of barriers."

ATK is a $3.4 billion advanced weapon and space systems company employing approximately 15,000 people in 22 states. News and information can be found on the Internet at http://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.

Media Contact:
Bryce Hallowell
Phone: 952-351-3087
E-mail: bryce.hallowell@atk.com

Investor Contact:
Steve Wold
Phone: 952-351-3056
E-mail: steve.wold@atk.com

SOURCE: ATK

Web site: http://www.atk.com/

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