Chemring Regulatory News (CHG)

FOR IMMEDIATE RELEASE 28 MARCH 2013

CHEMRING GROUP PLC

ALLOY SURFACES AND KILGORE FLARES AWARDED $26 MILLION COUNTERMEASURES CONTRACTS BY THE US DEPARTMENT OF DEFENSE

Chemring Group PLC ("Chemring") is pleased to announce that its US subsidiaries, Alloy Surfaces Company, Inc. and Kilgore Flares Company LLC, have been awarded contracts worth $26 million for the manufacture of M211, M206, MJU-7A/B and MJU-10/B decoy devices for the US Army and the US Air Force. Deliveries under the contracts are scheduled to begin in June 2013 and will continue into 2015. The M211 decoy order is valued at $6 million, and will be produced at Alloy Surfaces. The M206, MJU-7A/B and MJU-10/B contracts are valued at $20 million, and will be produced at Kilgore Flares.

Mark Papworth, Chief Executive of Chemring, commented: "We are very pleased to receive these contracts from the US Army and the US Air Force, which demonstrates their continued confidence and trust in our countermeasures. We are very proud to deliver the highest quality infra-red decoys to the US Department of Defense and our international customers."

The US Army and US Air Force use these decoys to protect all of their helicopters, and transport and fighter aircraft against man-portable air defense systems, commonly known as MANPADS.

-ENDS-

Chemring Group PLC

Rupert Pittman - Group Director of Communications and Investor Relations

01489 881880 / rupertp@chemring.co.uk

MHP Communications

Andrew Jaques / James White

0203 128 8100

Notes to Editors:

Chemring is a market leading manufacturing business supplying high technology electronics and energetic products to over sixty countries around the world. Chemring has a diverse portfolio of products that predominantly protect military people and platforms, providing insurance against a constantly changing threat. These range from countermeasures to protect aircraft, to ground penetrating radar to protect troops and vehicles from improvised explosive devices. Alloy Surfaces and Kilgore Flares are industry leaders in the design, development, and production of F-22, JSF and covert multi-spectral special material decoys.