Argon ST, Inc. Announces Contract Award for Ship’s Signal Exploitation Equipment Increment F Low Rate Initial Production for $36.9M

FAIRFAX, Va.--()--Argon ST, Inc. (NASDAQ:STST), a leading systems engineering, development and services company providing full-service C5ISR (command, control, communications, computers, combat systems, intelligence, surveillance and reconnaissance) systems and services to a wide range of defense and intelligence customers, announced today that is has been awarded the Ship’s Signal Exploitation Equipment (SSEE) Increment F contract option for production and delivery of SSEE Increment F systems to the United States Navy. The award is for the Low Rate Initial Production (LRIP) of systems and is valued at $36.9M. The base contract also includes priced options to allow the Government to procure Full Rate Production units over a four-year period beginning in 2011.

The LRIP option award results from the program successfully achieving Milestone C. Argon ST won the competitive bid for the SDD phase in April, 2006 and built an Engineering Development Model (EDM) system that was installed for ship-based testing. The system successfully completed an Operational Assessment late in 2009.

“With the award of the SSEE Increment F LRIP option, warfighters will have our integrated systems join operations, highlighting next-generation Argon Lighthouse technology,” commented Kerry Rowe, President and Chief Operating Officer, Argon ST. “The SSEE Increment F program represents the best of our Lighthouse 3.x architecture and is the model for future Argon programs. Our modular design, commercial off-the-shelf product integration, and remote network services address the evolving requirements of our defense customers and will efficiently bring new capabilities to market.”

About Argon ST, Inc.

Argon ST, Inc. designs, develops, and produces systems and sensors for the Command, Control, Communications, Computers, Combat Systems, Intelligence, Surveillance, and Reconnaissance (C5ISR) markets including SIGINT (Signals Intelligence), ESM (Electronic Support Measures), EW (Electronic Warfare), IO (Information Operations), imaging, and acoustic systems serving domestic and international markets.

Forward-Looking Statements

Statements in this press release which are not historical facts are forward-looking statements under the provision of the Private Securities Litigation Reform Act of 1995. These statements may contain words such as “expects”, “could”, “believes”, “estimates”, “intends”, “may”, “envisions”, “targets” or other similar words. Forward-looking statements are not guarantees of future performance and are based upon numerous assumptions about future conditions that could prove not to be accurate. Forward-looking statements are subject to numerous risks and uncertainties, including without limitation the risks and uncertainties identified in the reports filed by the Company with the Securities and Exchange Commission (including the Company’s Form 10-K for the fiscal year ended September 30, 2009). Some of these specific risks, although not all, are: general economic, business and political conditions nationally and internationally, including federal budgetary priorities; difficulties in developing and producing operationally advanced technology systems; the cost and availability of office and laboratory space; the timing and customer acceptance of contract deliverables; the number, length and type of contracts and task orders awarded to the Company by its commercial and governmental customers; the market for the Company’s products and services; changes in the U.S. federal government procurement laws, regulations, and policies; the Company’s ability to attract and retain qualified personnel, including personnel with appropriate security clearances; charges from any future impairment reviews; the future impact of any acquisitions or divestitures the Company may make; the competitive environment for information technology products and services; availability of cash or capital; and other factors affecting the Company’s business that are beyond its control. All of the forward-looking statements should be considered in light of these factors. Investors should not put undue reliance on any forward-looking statements. We undertake no obligation to update these forward-looking statements to reflect new information, future events or otherwise.

Contacts

Argon ST, Inc.
Investor Contact:
Aaron Daniels, 703-995-5610
ir@argonst.com
or
Media Contact:
Lori Hughes, 703-995-5610
media@argonst.com

Contacts

Argon ST, Inc.
Investor Contact:
Aaron Daniels, 703-995-5610
ir@argonst.com
or
Media Contact:
Lori Hughes, 703-995-5610
media@argonst.com