"The company has been the leading supplier to the NSA [Non-Standard Ammunition] program since its inception in 2008, providing 600 million units of NSA products to our country’s allies," the release stated. "This new IDIQ contract comes with an initial award of approximately $20 million."
IDIQ is an acronym for Indefinite Delivery, Indefinite Quantity, meaning the amount of weapons to be purchased is unspecified during the five-year life of the new contract. The $20 million estimate was characterized as an "initial award," the release explained.
Orbital has received orders worth about $300 million under the previous three-year NSA IDIQ contract, which expired in December 2015, the release noted.
Orbital ATK is the operator of the US Army’s Lake City Army Ammunition Plant in the state of Missouri, which produces small caliber ammunition for the Department of Defense.