Alion Awarded $9.8M Naval Sea Systems Command Contract

Technology Solutions Provider to Support Electric Ships Office with Systems Engineering and Integration

McLean, VA – March 4, 2008 – The Naval Sea Systems Command (NAVSEA) has awarded Alion Science and Technology a $9.8 million contract to help engineer, design and integrate electrical power systems for Navy surface ships and submarines.

Alion will be supporting NAVSEA’s Electric Ships Office (ESO) with systems engineering and integration of Next Generation Integrated Power System (NGIPS) technology, an investment made by the Navy to meet the need of future ship designs. Alion will also be providing modeling and simulation capabilities.

“The NGIPS evolutionary development approach improves on existing Integrated Power Systems and inserts technologies as they are ready into ship acquisition programs,” said Mike Collins, Director of the ESO (PMS 320). “NGIPS is an enterprise approach to develop and provide smaller, simpler, more affordable and more capable power systems for all Navy ships. We look forward to Alion’s assistance in helping the Navy implement NGIPS using an open architecture business and technology model.”

The contract runs for five years, ending January 2013. Subcontractors include BMT Syntek and RCI Serco.

“Alion will be supporting the cross-platform systems architecting and engineering as outlined in the Navy’s NGIPS Technology Development Roadmap,” said Roger Bagbey, Alion Senior Vice President and Manager of the Engineering Technology Center Group. “This work includes development and maintenance of baseline ships and power systems, development and execution of a business case assessment process and compiling and tracking power system module characterization data. We are pleased to be supporting NAVSEA as it takes a laudable and independent approach to systems engineering and integration that is not tied to specific technologies or products.”

This press release contains information about management’s view of Alion’s future expectations, plans and prospects that constitute forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by these forward-looking statements as a result of a variety of risk factors and uncertainties discussed in documents periodically filed by Alion with the SEC. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof.