Alliant Techsystems Inc. (ATK) has been awarded a $67 million contract to produce the AAR-47 Missile Warning System Weapon Replaceable Assemblies (WRAs) for the U.S. Navy.

Under the contract, Alliant will produce new and retrofit components, including optical sensors, control indicators and computer processors.

Alliant’s AAR-47 Missile Warning System, an electronic warfare system, protects helicopters and aircraft from surface-to-air missile threats. The combat-proven system is capable of saving military aircrew lives and the aircraft from attack. The AAR-47 also warns the crew members of threats from laser-guided and laser-aided weapons.

Alliant develops and delivers affordable and reliable electronic warfare systems that protects U.S. and allied military aircrews. Presently, AAR-47 is installed on aircraft flown by the U.S. and its allies in more than 16 countries. The systems are installed on more than 2,600 fixed and rotary-wing aircraft including the C-5, C-17, C-130, P-3, AH-1W, UH-1N and V-22.

Minneapolis, Minnesota-based Alliant Techsystems is a premier aerospace and defense company, supplying products to the U.S. government agencies, and its prime contractors and sub-contractors. The company also supplies ammunition and related accessories to law enforcement agencies and commercial customers. The company employs more than 18,000 people in 22 states, Puerto Rico and internationally. It earns annual revenues of approximately $4.8 billion.

Alliant is scheduled to release its fiscal year 2011 second quarter financial results on Thursday, November 4, 2010.

In the last quarter, Alliant said it anticipates full year 2011 sales in the range of $4.78-$4.85 billion. The company expects EPS for fiscal 2011 to come in the range of $8.50 to $8.80. The Zacks Consensus Estimate of $9.19 for fiscal 2011 is significantly above the company’s guidance range.

We retain our long term Neutral recommendation on the stock. However, Alliant currently has a short-term Zacks #4 Rank (Sell).

 
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