Document:

exv10w15

 

EXHIBIT 10.15

	 	 	 	 	 
	

	AWARD/CONTRACT	1.	This contract is rated order
under DPAS (15 CFR 350) 	Rating
 DO C9	Page of   Pages
     1      |      59
	

	2. Contract (Pros. last.) No.	3.	 Effective Date	4.
Requisition/Purchase Request/Project No.
	SP0200-02D-0006		13 SEP 2002	DD# 01010
	

	5. Issued by	Code  |	SP0200	 6.  Administered by (if other than Item 5)	   Code   S2101A
	 
	DEFENSE SUPPLY CENTER PHILADELPHIA

ATTN: DSCP-MGAA (BLDG #6)

700 ROBBINS AVENUE

PHILADELPHIA, PA 19111-5092

ATTN: A. PODLAS (DSCP-MGAA-PGC)

215-737-5768	DCMC BALTIMORE

217 EAST REDWOOD STREET

SUITE 1800

BALTIMORE, MD 21202-5299

	

	7. Name and Address of Contractor
 (No.,Street,city,county,state,zipcode) 	8. Delivery
	 
	 	MERIDIAN MEDICAL TECHNOLOGIES, INC.

10240 OLD COLUMBIA ROAD

COLUMBIA, MD 21046

ATTN: MS. CRISTINA D’ERASMO	x  
FOB ORIGIN

 9. DISCOUNT FOR PROMPT
PAYMENT

.5% 10 DAYS

10. SUBMIT INVOICES
(4
copies unless otherwise 
specified herein)

ADDRESS SHOWN IN:	o OTHER (See below)

ITEM
	

	CODE 54452	FACILITY CODE
	

	11. SHIP TO/MARK FOR		Code  |	 12. PAYMENT WILL BE MADE BY	   Code   HQ0338
	 
	SEE INDIVIDUAL DELIVERY ORDERS	DFAS-COLUMBUS CENTER

DFAS-CO/SOUTH ENTITLEMENT OPERATIONS

P.O. BOX 182264

COLUMBUS, OH       43218-2264

	

	13. AUTHORITY FOR USING OTHER THAN FULL AND OPEN COMPETITION:	 14. ACCOUNTING AND APPROPRIATION DATA
	 
	x 10USC2304(c)	( 3 )	o 41USC253(c)
(      ) 	MG97X4930  5CMO 01 25.0 S33150 (CLINs 0001, 0002 & 0006)

MG97X4930  5CMO 01 26.0 S33150 (CLINs 0004 and 0005)
	

	15.A. ITEM No.	15B.
SUPPLIES/SERVICES	  15C. QUANTITY	15D. UNIT	15E. UNIT
PRICE       15F. AMOUNT
	

	 	 	 
	 	SEE ATTACHED PAGES	 	 	 
	 	 	 
	

	 	 	 	15G. TOTAL AMOUNT OF
CONTRACT   $
	

	16. TABLE OF
CONTENTS
	

	(X)	SEC.	DESCRIPTION	PAGE(S)	(X)	SEC.	DESCRIPTION	PAGE(S)
	

	PART 1 - THE SCHEDULE	PART II - CONTRACT CLAUSES
	

		A	SOLICITATION/CONTRACT FORM			I	CONTRACT CLAUSES	
	

		B	SUPPLIES OR SERVICES AND PRICES/COST		PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH.	
	

		C	DESCRIPTION/SPECS./WORK STATEMENT			J	LIST OF ATTACHMENTS	
	

		D	PACKAGING AND MARKING		PART IV - REPRESENTATIONS AND INSTRUCTIONS.	
	

		E	INSPECTION AND ACCEPTANCE			K	REPRESENTATIONS, CERTIFICATIONS AND
OTHER STATEMENTS OF OFFERORS
	

		F	DELIVERIES OR PERFORMANCE		
	

		G	CONTRACT ADMINISTRATION DATA			L	INSTRS., CONDS., AND NOTICES TO OFFERORS	
	

		H	SPECIAL CONTRACT REQUIREMENTS			M	EVALUATION FACTORS FOR AWARD	
	

	CONTRACTING OFFICER
WILL COMPLETE ITEM 17 OR 18 AS APPLICABLE
	

	17. o
CONTRACTOR’S NEGOTIATED AGREEMENT (Contractor is
required to sign this document and return
          copies to issuing office.) Contractor agrees to furnish and deliver all items or perform all the services set forth or otherwise identified above and on any continuation sheets for the consideration stated
 herein. The rights and obligations of the parties to this contract
shall be subject to and governed by the following documents (a) this
award/contract, (b) the solicitation, if any, and (c) such provisions, representations, certifications, and specifications, as are attached or incorporated by reference herein. (Attachments are listed herein.)	 	18. x
 AWARD (Contractor is not required to sign this
document). Your offer on Solicitation
 Number SP0200-01R-1005 (see page 25), including the additions or changes made by you which additions or changes are set forth in full above, is hereby accepted as to the items listed above and on any continuation sheets.  This award consummates the contract which consists of the following documents: (a) the Government's solicitation and your offer, and (b) this award/contract. No further contractual document is necessary.
	

	19A. NAME AND TITLE OF SIGNER (Type or print)	 	 20A. NAME OF CONTRACTING OFFICER	 
	 
	JAMES H. MILLER  - CHAIRMAN, PRESIDENT
& CEO	 	ANNA PODLAS	 
	

	19B. NAME OF CONTRACTOR	19C. DATE SIGNED
9/13/02	 20B. UNITED STATES OF AMERICA	19C. DATE SIGNED
9/13/02
	 
	BY   /s/ JAMES H. MILLER                        	 	BY   /s/ ANNA PODLAS                        	 
	       (Signature
of person authorized to sign)	 	       (Signature of Contracting Officer)	 
	

	nsn 7540-01-152-8069	 	 	26-107	 	 	STANDARD FORM 28 (REV.4-85)(EG)/PRESCRIBED BY GSA
	PREVIOUS EDITION UNUSABLE
	 	 	PERFORM (DLA)	 	 	FAR (48 CFR) 43.214 (a)

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

SECTION B

0001      BASE MAINTENANCE/SERVICE

     To provide labor, services and incremental production as directed by the
Government in accordance with statement of work.

0002      LOGISTICS MAINTENANCE

     To provide segregation of goods, disassembly into components, shelf life
extension program, and storage in accordance with statement of work.

0003      DIVISION-READY BRIGADE SET PROGRAM [now known as Deployable Force Package

(DFP)]

     To provide on-site support for the storage, assembly, and shipment of
Deployable Force Packages in accordance with statement of work.

0004      BASE MAINTENANCE/MATERIAL

     To provide completely assembled Mark I Kits, Atropine, Pralidoxime,
Diazepam, Morphine, and ATNAA (when fielded by Army) Auto Injectors using
refurbished and/or new components in accordance with statement of work.

0005      MOBILIZATION SURGE OPTION

     To provide material in the event of a mobilization surge contingency or
other Government need. The contractor will ship to those locations identified
by the Contracting Officer up the maximum quantities indicated.

0006      PROGRAM MANAGEMENT UNDER READINESS ENHANCEMENT PROGRAM (REP)

     To maintain a contract with a personnel company to ensure a trained
personnel pool is available to staff a 2nd and 3rd shift in accordance with
statement of work.

2

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	SCHEDULE	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	SUPPLIES	 	 	 	 	 	QTY	 	U/I	 	U/P	 	TOTAL
	
        

      	 	
        

      	 	 	 	 	 	
        

      	 	
        

      	 	
        

      	 	
        

      
	
        0001

      	 	
        BASE MAINTENANCE/SERVICE

      	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
        0001AA

      	 	
        BASE YEAR*

      	 	 	 	 	 	 	1	 	 	LT	 	$	
        8,409,568.13

      	 	 	$	
        8,409,568.13

      	 
	
        0001AB

      	 	
        OPTION YEAR ONE**

      	 	 	 	 	 	 	1	 	 	LT	 	$	
        10,060,341

      	 	 	$	
        10,060,341

      	 
	
        0001AC

      	 	
        OPTION YEAR TWO***

      	 	 	 	 	 	 	1	 	 	LT	 	$	
        10,507,790

      	 	 	$	
        10,507,790

      	 
	
        0002

      	 	
        LOGISTICS MAINTENANCE

      	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
         

      	 	 	 	
         

      	 
	
        0002AA

      	 	
        BASE YEAR*

      	 	 	 	 	 	 	1	 	 	LT	 	$	
        1,231,121.50

      	 	 	$	
        1,231,121.50

      	 
	
        0002AB

      	 	
        BASE YEAR ONE**

      	 	 	 	 	 	 	1	 	 	LT	 	$	
        1,526,755

      	 	 	$	
        1,526,755

      	 
	
        0002AC

      	 	
        BASE YEAR TWO***

      	 	 	 	 	 	 	1	 	 	LT	 	$	
        1,653,352

      	 	 	$	
        1,653,352

      	 
	
        0003

      	 	
        DIVISION-READY BRIGADE SET PROGRAM
          
(Now known as Deployable Force Package)

      	 	 	 	 	 	 	 	 	 	 	 	
         

      	 	 	 	
         

      	 
	
        0003AA

      	 	
        BASE YEAR*

      	 	 	 	 	 	 	1	 	 	LT	 	$	
        0

      	 	 	$	
        0

      	 
	
        0003AB

      	 	
        OPTION YEAR ONE**

      	 	 	 	 	 	 	1	 	 	LT	 	$	
        0

      	 	 	$	
        0

      	 
	
        0003AC

      	 	
        OPTION YEAR TWO***

      	 	 	 	 	 	 	1	 	 	LT	 	$	
        0

      	 	 	$	
        0

      	 
	
        0004

      	 	
        BASE MAINTENANCE/MATERIAL

      	 	 	 	 	 	 	 	 	 	 	 	 	 	ANNUAL ESTIMATE	 	 
	
        0004AA

      	 	
        BASE YEAR

      	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
        MARK I

      	 	 	(6505-01-174-9919	)	 	 	 	 	 	 	380,350	 	 	EA	 	$	9.19	 	 	$	3,495,416.50	 
	
         

      	 	 	
        24,500

      	 	 	thru	 	 	
        122,500

      	
         

      	
         

      	 	 	 	 	$	9.74	 	 	 	 	 
	
         

      	 	 	
        122,501

      	 	 	thru	 	 	
        367,500

      	
         

      	
         

      	 	 	 	 	$	9.41	 	 	 	 	 
	
         

      	 	 	
        367,501

      	 	 	thru	 	 	
        637,000

      	
         

      	
         

      	 	 	 	 	$	9.19	 	 	 	 	 
	
         

      	 	 	
        637,001

      	 	 	thru	 	 	
        882,000

      	
         

      	
         

      	 	 	 	 	$	9.15	 	 	 	 	 
	
         

      	 	 	
        882,001

      	 	 	thru	 	 	
        1,300,000

      	
         

      	
         

      	 	 	 	 	$	9.12	 	 	 	 	 
	
        ATROPINE

      	 	 	(6505-00-926-9083	)	 	 	 	 	 	 	
        414,440

      	
         

      	
         

      	EA	 	$	2.99	 	 	$	1,239,175.60	 
	
         

      	 	 	
        40,529

      	 	 	thru	 	 	
        121,587

      	
         

      	
         

      	 	 	 	 	$	3.15	 	 	 	 	 
	
         

      	 	 	
        121,588

      	 	 	thru	 	 	
        364,761

      	
         

      	
         

      	 	 	 	 	$	3.07	 	 	 	 	 
	
         

      	 	 	
        364,762

      	 	 	thru	 	 	
        648,464

      	
         

      	
         

      	 	 	 	 	$	2.99	 	 	 	 	 
	
         

      	 	 	
        648,465

      	 	 	thru	 	 	
        891,638

      	
         

      	
         

      	 	 	 	 	$	2.99	 	 	 	 	 
	
         

      	 	 	
        891,639

      	 	 	thru	 	 	
        1,300,000

      	
         

      	
         

      	 	 	 	 	$	2.99	 	 	 	 	 
	
        PRALIDOXIME

      	 	 	(6505-01-125-3248	)	 	 	 	 	 	 	
        150,120

      	
         

      	
         

      	EA	 	$	5.84	 	 	$	876,700.80	 
	
         

      	 	 	
        25,829

      	 	 	thru	 	 	
        116,230

      	
         

      	
         

      	 	 	 	 	$	6.16	 	 	 	 	 
	
         

      	 	 	
        116,231

      	 	 	thru	 	 	
        361,606

      	
         

      	
         

      	 	 	 	 	$	5.84	 	 	 	 	 
	
         

      	 	 	
        361,607

      	 	 	thru	 	 	
        645,725

      	
         

      	
         

      	 	 	 	 	$	5.72	 	 	 	 	 
	
         

      	 	 	
        645,726

      	 	 	thru	 	 	
        891,100

      	
         

      	
         

      	 	 	 	 	$	5.68	 	 	 	 	 
	
         

      	 	 	
        891,101

      	 	 	thru	 	 	
        1,300,000

      	
         

      	
         

      	 	 	 	 	$	5.65	 	 	 	 	 

*Base Year is 10.5 months (Sep 15, 2002 to Jul 31, 2003)

3

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

**Option Year One is 12 months (Aug 1, 2003 to Jul 31, 2004)

***Option Year Two is 12 months (Aug 1, 2004 to Jul 31, 2005)

4

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	SCHEDULE	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	SUPPLIES	 	 	 	 	 	QTY	 	U/I	 	U/P	 	TOTAL
	
	 	
	 	 	 	 	 	
	 	
	 	
	 	

	DIAZEPAM
	 	 	(6505-01-274-0951	)	 	 	 	 	 	 	482,050	 	 	EA	 	$	5.10	 	 	$	2,458,455.00	 
	 
	 	 	25,869	 	 	thru	 	 	116,410	 	 	 	 	 	 	$	5.48	 	 	 	 	 
	 
	 	 	116,411	 	 	thru	 	 	362,166	 	 	 	 	 	 	$	5.28	 	 	 	 	 
	 
	 	 	362,167	 	 	thru	 	 	633,790	 	 	 	 	 	 	$	5.10	 	 	 	 	 
	 
	 	 	633,791	 	 	thru	 	 	879,546	 	 	 	 	 	 	$	5.07	 	 	 	 	 
	 
	 	 	879,547	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	5.05	 	 	 	 	 
	MORPHINE
	 	 	(6505-01-302-5530	)	 	 	 	 	 	 	145,290	 	 	EA	 	$	3.23	 	 	$	469,286.70	 
	 
	 	 	40,094	 	 	thru	 	 	120,282	 	 	 	 	 	 	$	3.34	 	 	 	 	 
	 
	 	 	120,283	 	 	thru	 	 	360,846	 	 	 	 	 	 	$	3.23	 	 	 	 	 
	 
	 	 	360,847	 	 	thru	 	 	641,504	 	 	 	 	 	 	$	3.15	 	 	 	 	 
	 
	 	 	641,505	 	 	thru	 	 	882,068	 	 	 	 	 	 	$	3.14	 	 	 	 	 
	 
	 	 	882,069	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	3.14	 	 	 	 	 
	ATNAA
	 	 	(6505-01-362-7427	)	 	 	 	 	 	 	447,400	 	 	EA	 	$	6.00	 	 	$	2,684,400	 
	 
	 	 	25,000	 	 	thru	 	 	362,500	 	 	 	 	 	 	$	7.13	 	 	(See Note on Page 7)
	 
	 	 	362,501	 	 	thru	 	 	625,000	 	 	 	 	 	 	$	6.00	 	 	 	 	 
	 
	 	 	625,001	 	 	thru	 	 	875,000	 	 	 	 	 	 	$	5.80	 	 	 	 	 
	 
	 	 	875,001	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	5.73	 	 	 	 	 
	0004AB
	 	OPTION YEAR ONE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	MARK I
	 	 	(6505-01-174-9919	)	 	 	 	 	 	 	380,350	 	 	EA	 	$	9.51	 	 	$	3,617,128.50	 
	 
	 	 	24,500	 	 	thru	 	 	122,500	 	 	 	 	 	 	$	10.08	 	 	 	 	 
	 
	 	 	122,501	 	 	thru	 	 	367,500	 	 	 	 	 	 	$	9.74	 	 	 	 	 
	 
	 	 	367,501	 	 	thru	 	 	637,000	 	 	 	 	 	 	$	9.51	 	 	 	 	 
	 
	 	 	637,001	 	 	thru	 	 	882,000	 	 	 	 	 	 	$	9.47	 	 	 	 	 
	 
	 	 	882,001	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	9.44	 	 	 	 	 
	ATROPINE
	 	 	(6505-00-926-9083	)	 	 	 	 	 	 	414,440	 	 	EA	 	$	3.09	 	 	$	1,280,619.60	 
	 
	 	 	40,529	 	 	thru	 	 	121,587	 	 	 	 	 	 	$	3.26	 	 	 	 	 
	 
	 	 	121,588	 	 	thru	 	 	364,761	 	 	 	 	 	 	$	3.18	 	 	 	 	 
	 
	 	 	364,762	 	 	thru	 	 	648,464	 	 	 	 	 	 	$	3.09	 	 	 	 	 
	 
	 	 	648,465	 	 	thru	 	 	891,638	 	 	 	 	 	 	$	3.09	 	 	 	 	 
	 
	 	 	891,639	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	3.09	 	 	 	 	 

5

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	SCHEDULE	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	SUPPLIES	 	 	 	 	 	QTY	 	U/I	 	U/P	 	TOTAL
	
	 	
	 	 	 	 	 	
	 	
	 	
	 	

	PRALIDOXIME
	 	 	(6505-01-125-3248	)	 	 	 	 	 	 	150,120	 	 	EA	 	$	6.04	 	 	$	906,724.80	 
	 
	 	 	25,829	 	 	thru	 	 	116,230	 	 	 	 	 	 	$	6.37	 	 	 	 	 
	 
	 	 	116,231	 	 	thru	 	 	361,606	 	 	 	 	 	 	$	6.04	 	 	 	 	 
	 
	 	 	361,607	 	 	thru	 	 	645,725	 	 	 	 	 	 	$	5.92	 	 	 	 	 
	 
	 	 	645,726	 	 	thru	 	 	891,100	 	 	 	 	 	 	$	5.88	 	 	 	 	 
	 
	 	 	891,101	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	5.85	 	 	 	 	 
	DIAZEPAM
	 	 	(6505-01-274-0951	)	 	 	 	 	 	 	482,050	 	 	EA	 	$	5.28	 	 	$	2,545,224.00	 
	 
	 	 	25,869	 	 	thru	 	 	116,410	 	 	 	 	 	 	$	5.67	 	 	 	 	 
	 
	 	 	116,411	 	 	thru	 	 	362,166	 	 	 	 	 	 	$	5.47	 	 	 	 	 
	 
	 	 	362,167	 	 	thru	 	 	633,790	 	 	 	 	 	 	$	5.28	 	 	 	 	 
	 
	 	 	633,791	 	 	thru	 	 	879,546	 	 	 	 	 	 	$	5.25	 	 	 	 	 
	 
	 	 	879,547	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	5.22	 	 	 	 	 
	MORPHINE
	 	 	(6505-01-302-5530	)	 	 	 	 	 	 	145,290	 	 	EA	 	$	3.34	 	 	$	485,268.60	 
	 
	 	 	40,094	 	 	thru	 	 	120,282	 	 	 	 	 	 	$	3.46	 	 	 	 	 
	 
	 	 	120,283	 	 	thru	 	 	360,846	 	 	 	 	 	 	$	3.34	 	 	 	 	 
	 
	 	 	360,847	 	 	thru	 	 	641,504	 	 	 	 	 	 	$	3.26	 	 	 	 	 
	 
	 	 	641,505	 	 	thru	 	 	882,068	 	 	 	 	 	 	$	3.26	 	 	 	 	 
	 
	 	 	882,069	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	3.25	 	 	 	 	 
	ATNAA
	 	 	(6505-01-362-7427	)	 	 	 	 	 	 	447,400	 	 	EA	 	$	6.21	 	 	$	2,778,354	 
	 
	 	 	25,000	 	 	thru	 	 	362,500	 	 	 	 	 	 	$	7.38	 	 	(See Note on Page 7)
	 
	 	 	362,501	 	 	thru	 	 	625,000	 	 	 	 	 	 	$	6.21	 	 	 	 	 
	 
	 	 	625,001	 	 	thru	 	 	875,000	 	 	 	 	 	 	$	6.00	 	 	 	 	 
	 
	 	 	875,001	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	5.93	 	 	 	 	 
	0004AC
	 	OPTION YEAR TWO	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	MARK I
	 	 	(6505-01-174-9919	)	 	 	 	 	 	 	380,350	 	 	EA	 	$	9.84	 	 	$	3,742,644.00	 
	 
	 	 	24,500	 	 	thru	 	 	122,500	 	 	 	 	 	 	$	10.44	 	 	 	 	 
	 
	 	 	122,501	 	 	thru	 	 	367,500	 	 	 	 	 	 	$	10.08	 	 	 	 	 
	 
	 	 	367,501	 	 	thru	 	 	637,000	 	 	 	 	 	 	$	9.84	 	 	 	 	 
	 
	 	 	637,001	 	 	thru	 	 	882,000	 	 	 	 	 	 	$	9.81	 	 	 	 	 
	 
	 	 	882,001	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	9.77	 	 	 	 	 

6

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	SCHEDULE	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	SUPPLIES	 	 	 	 	 	QTY	 	U/I	 	U/P	 	TOTAL
	
	 	
	 	 	 	 	 	
	 	
	 	
	 	

	ATROPINE
	 	 	(6505-00-926-9083	)	 	 	 	 	 	 	414,440	 	 	EA	 	$	3.20	 	 	$	1,326,208.00	 
	 
	 	 	40,529	 	 	thru	 	 	121,587	 	 	 	 	 	 	$	3.38	 	 	 	 	 
	 
	 	 	121,588	 	 	thru	 	 	364,761	 	 	 	 	 	 	$	3.29	 	 	 	 	 
	 
	 	 	364,762	 	 	thru	 	 	648,464	 	 	 	 	 	 	$	3.20	 	 	 	 	 
	 
	 	 	648,465	 	 	thru	 	 	891,638	 	 	 	 	 	 	$	3.20	 	 	 	 	 
	 
	 	 	891,639	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	3.20	 	 	 	 	 
	PRALIDOXIME
	 	 	(6505-01-125-3248	)	 	 	 	 	 	 	150,120	 	 	EA	 	$	6.26	 	 	$	939,751.20	 
	 
	 	 	25,829	 	 	thru	 	 	116,230	 	 	 	 	 	 	$	6.59	 	 	 	 	 
	 
	 	 	116,231	 	 	thru	 	 	361,606	 	 	 	 	 	 	$	6.26	 	 	 	 	 
	 
	 	 	361,607	 	 	thru	 	 	645,725	 	 	 	 	 	 	$	6.12	 	 	 	 	 
	 
	 	 	645,726	 	 	thru	 	 	891,100	 	 	 	 	 	 	$	6.09	 	 	 	 	 
	 
	 	 	891,101	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	6.05	 	 	 	 	 
	DIAZEPAM
	 	 	(6505-01-274-0951	)	 	 	 	 	 	 	482,050	 	 	EA	 	$	5.46	 	 	$	2,631,993.00	 
	 
	 	 	25,869	 	 	thru	 	 	116,410	 	 	 	 	 	 	$	5.87	 	 	 	 	 
	 
	 	 	116,411	 	 	thru	 	 	362,166	 	 	 	 	 	 	$	5.66	 	 	 	 	 
	 
	 	 	362,167	 	 	thru	 	 	633,790	 	 	 	 	 	 	$	5.46	 	 	 	 	 
	 
	 	 	633,791	 	 	thru	 	 	879,546	 	 	 	 	 	 	$	5.43	 	 	 	 	 
	 
	 	 	879,547	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	5.40	 	 	 	 	 
	MORPHINE
	 	 	(6505-01-302-5530	)	 	 	 	 	 	 	145,290	 	 	EA	 	$	3.46	 	 	$	502,703.40	 
	 
	 	 	40,094	 	 	thru	 	 	120,282	 	 	 	 	 	 	$	3.58	 	 	 	 	 
	 
	 	 	120,283	 	 	thru	 	 	360,846	 	 	 	 	 	 	$	3.46	 	 	 	 	 
	 
	 	 	360,847	 	 	thru	 	 	641,504	 	 	 	 	 	 	$	3.37	 	 	 	 	 
	 
	 	 	641,505	 	 	thru	 	 	882,068	 	 	 	 	 	 	$	3.37	 	 	 	 	 
	 
	 	 	882,069	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	3.37	 	 	 	 	 
	ATNAA
	 	 	(6505-01-362-7427	)	 	 	 	 	 	 	447,400	 	 	EA	 	$	6.43	 	 	$	2,876,782	 
	 
	 	 	25,000	 	 	thru	 	 	362,500	 	 	 	 	 	 	$	7.64	 	 	(See Note on Page 7)
	 
	 	 	362,501	 	 	thru	 	 	625,000	 	 	 	 	 	 	$	6.43	 	 	 	 	 
	 
	 	 	625,001	 	 	thru	 	 	875,000	 	 	 	 	 	 	$	6.21	 	 	 	 	 
	 
	 	 	875,001	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	6.14	 	 	 	 	 

Pricing under CLIN 0004 is limited to quantities, excluding Pre-stock units, of
1.2 million each of Mark I Injectors or 1.2 million injectors Atropine and/or
Morphine Injectors and 1.2 million ATNAA and/or Pralidoxime and/or Diazepam
Injectors.

7

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

Note: Price for ATNAA autoinjector under CLIN 0004, for Base Year and Option
Year One and Two (tier 25,000 to 362,500 only), represents a not-to-exceed
ceiling price. This tier price will be evaluated in mid November 2002 and will
be downwardly adjusted by deducting any direct material reduction only, if
applicable.

8

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

SCHEDULE

ADDITIONAL AVAILABLE QUANTITIES UNDER LINE ITEM 0004

During any contract year, if the Government has reached the 2.4 million unit
autoinjector limit under item 0004 (1.2 million each of Mark I Injectors or 1.2
million injectors Atropine and/or Morphine Injectors and 1.2 million ATNAA
and/or Pralidoxime and/or Diazepam Injectors), the Government is entitled to
purchase up to an additional 1,000,000 units during that year, without
exercising Line Item 0005, Mobilization Surge Option.
The pricing is as follows, for these non-mobilization surge quantities
exceeding the 2.4 million annual threshold:

0004AD             BASE YEAR

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	SUPPLIES	 	 	 	 	 	QTY	 	U/I	 	U/P	 	TOTAL
	
	 	
	 	 	 	 	 	
	 	
	 	
	 	

	MARK I
	 	 	(6505-01-174-9919	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	24,500	 	 	thru	 	 	122,500	 	 	 	 	 	 	$	12.89	 	 	 	 	 
	 
	 	 	122,501	 	 	thru	 	 	367,500	 	 	 	 	 	 	$	12.45	 	 	 	 	 
	 
	 	 	367,501	 	 	thru	 	 	637,000	 	 	 	 	 	 	$	12.15	 	 	 	 	 
	 
	 	 	637,001	 	 	thru	 	 	882,000	 	 	 	 	 	 	$	12.11	 	 	 	 	 
	 
	 	 	882,001	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	12.06	 	 	 	 	 
	ATROPINE
	 	 	(6505-00-926-9083	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	40,529	 	 	thru	 	 	121,587	 	 	 	 	 	 	$	4.23	 	 	 	 	 
	 
	 	 	121,588	 	 	thru	 	 	364,761	 	 	 	 	 	 	$	4.12	 	 	 	 	 
	 
	 	 	364,762	 	 	thru	 	 	648,464	 	 	 	 	 	 	$	4.01	 	 	 	 	 
	 
	 	 	648,465	 	 	thru	 	 	891,638	 	 	 	 	 	 	$	4.01	 	 	 	 	 
	 
	 	 	891,639	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	4.00	 	 	 	 	 
	PRALIDOXIME
	 	 	(6505-01-125-3248	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	25,829	 	 	thru	 	 	116,230	 	 	 	 	 	 	$	8.32	 	 	 	 	 
	 
	 	 	116,231	 	 	thru	 	 	361,606	 	 	 	 	 	 	$	7.89	 	 	 	 	 
	 
	 	 	361,607	 	 	thru	 	 	645,725	 	 	 	 	 	 	$	7.72	 	 	 	 	 
	 
	 	 	645,726	 	 	thru	 	 	891,100	 	 	 	 	 	 	$	7.68	 	 	 	 	 
	 
	 	 	891,101	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	7.63	 	 	 	 	 
	DIAZEPAM
	 	 	(6505-01-274-0951	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	25,869	 	 	thru	 	 	116,410	 	 	 	 	 	 	$	7.61	 	 	 	 	 
	 
	 	 	116,411	 	 	thru	 	 	362,166	 	 	 	 	 	 	$	7.34	 	 	 	 	 
	 
	 	 	362,167	 	 	thru	 	 	633,790	 	 	 	 	 	 	$	7.09	 	 	 	 	 
	 
	 	 	633,791	 	 	thru	 	 	879,546	 	 	 	 	 	 	$	7.05	 	 	 	 	 

9

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 	 	 
	879,547
	 	thru	 	 	1,300,000	 	 	$	7.01	 

0004AD             BASE YEAR (continued)

  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	SUPPLIES	 	 	 	 	 	QTY	 	U/I	U/P	TOTAL
	
        

      	 	
        

      	 	 	 	 	 	
        

      	 	
        

      	
        

      	
        

      
	
        MORPHINE

      	 	 	
        (6505-01-302-5530

      	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	 	
        40,094

      	 	 	thru	 	 	
        120,282

      	 	 	 	 	 	 	$	4.65	 	 	 	 	 
	
         

      	 	 	
        120,283

      	 	 	thru	 	 	
        360,846

      	 	 	 	 	 	 	$	4.50	 	 	 	 	 
	
         

      	 	 	
        360,847

      	 	 	thru	 	 	
        641,504

      	 	 	 	 	 	 	$	4.38	 	 	 	 	 
	
         

      	 	 	
        641,505

      	 	 	thru	 	 	
        882,068

      	 	 	 	 	 	 	$	4.38	 	 	 	 	 
	
         

      	 	 	
        882,069

      	 	 	thru	 	 	
        1,300,000

      	 	 	 	 	 	 	$	4.38	 	 	 	 	 
	
        ATNAA

      	 	 	
        (6505-01-362-7427

      	)	 	 	 	 	 	 	
         

      	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	 	
        25,000

      	 	 	thru	 	 	
        362,500

      	 	 	 	 	 	 	$	8.96	 	 	 	 	 
	
         

      	 	 	
        362,501

      	 	 	thru	 	 	
        625,000

      	 	 	 	 	 	 	$	7.91	 	 	 	 	 
	
         

      	 	 	
        625,001

      	 	 	thru	 	 	
        875,000

      	 	 	 	 	 	 	$	7.70	 	 	 	 	 
	
         

      	 	 	
        875,001

      	 	 	thru	 	 	
        1,300,000

      	 	 	 	 	 	 	$	7.63	 	 	 	 	 
	
        0004AE

      	 	OPTION YEAR ONE	 	 	 	 	 	 	
         

      	 	 	 	 	 	 	 	 	 	 	 	 	 
	
        MARK I

      	 	 	(6505-01-174-9919	)	 	 	 	 	 	 	
         

      	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	 	
        24,500

      	 	 	thru	 	 	
        122,500

      	 	 	 	 	 	 	$	13.35	 	 	 	 	 
	
         

      	 	 	
        122,501

      	 	 	thru	 	 	
        367,500

      	 	 	 	 	 	 	$	12.90	 	 	 	 	 
	
         

      	 	 	
        367,501

      	 	 	thru	 	 	
        637,000

      	 	 	 	 	 	 	$	12.59	 	 	 	 	 
	
         

      	 	 	
        637,001

      	 	 	thru	 	 	
        882,000

      	 	 	 	 	 	 	$	12.54	 	 	 	 	 
	
         

      	 	 	
        882,001

      	 	 	thru	 	 	
        1,300,000

      	 	 	 	 	 	 	$	12.50	 	 	 	 	 
	
        ATROPINE

      	 	 	(6505-00-926-9083	)	 	 	 	 	 	 	
         

      	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	 	
        40,529

      	 	 	thru	 	 	
        121,587

      	 	 	 	 	 	 	$	4.38	 	 	 	 	 
	
         

      	 	 	
        121,588

      	 	 	thru	 	 	
        364,761

      	 	 	 	 	 	 	$	4.27	 	 	 	 	 
	
         

      	 	 	
        364,762

      	 	 	thru	 	 	
        648,464

      	 	 	 	 	 	 	$	4.15	 	 	 	 	 
	
         

      	 	 	
        648,465

      	 	 	thru	 	 	
        891,638

      	 	 	 	 	 	 	$	4.15	 	 	 	 	 
	
         

      	 	 	
        891,639

      	 	 	thru	 	 	
        1,300,000

      	 	 	 	 	 	 	$	4.15	 	 	 	 	 
	
        PRALIDOXIME

      	 	 	(6505-01-125-3248	)	 	 	 	 	 	 	
         

      	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	 	
        25,829

      	 	 	thru	 	 	
        116,230

      	 	 	 	 	 	 	$	8.62	 	 	 	 	 
	
         

      	 	 	
        116,231

      	 	 	thru	 	 	
        361,606

      	 	 	 	 	 	 	$	8.18	 	 	 	 	 
	
         

      	 	 	
        361,607

      	 	 	thru	 	 	
        645,725

      	 	 	 	 	 	 	$	8.01	 	 	 	 	 
	
         

      	 	 	
        645,726

      	 	 	thru	 	 	
        891,100

      	 	 	 	 	 	 	$	7.96	 	 	 	 	 

10

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 	 	 
	891,101
	 	thru	 	 	1,300,000	 	 	$	7.92	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	SUPPLIES	 	 	 	 	 	QTY	 	U/I	 	U/P	 	TOTAL
	
	 	
	 	 	 	 	 	
	 	
	 	
	 	

	DIAZEPAM
	 	 	(6505-01-274-0951	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	25,869	 	 	thru	 	 	116,410	 	 	 	 	 	 	$	7.89	 	 	 	 	 
	 
	 	 	116,411	 	 	thru	 	 	362,166	 	 	 	 	 	 	$	7.61	 	 	 	 	 
	 
	 	 	362,167	 	 	thru	 	 	633,790	 	 	 	 	 	 	$	7.35	 	 	 	 	 
	 
	 	 	633,791	 	 	thru	 	 	879,546	 	 	 	 	 	 	$	7.31	 	 	 	 	 
	 
	 	 	879,547	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	7.27	 	 	 	 	 
	MORPHINE
	 	 	(6505-01-302-5530	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	40,094	 	 	thru	 	 	120,282	 	 	 	 	 	 	$	4.82	 	 	 	 	 
	 
	 	 	120,283	 	 	thru	 	 	360,846	 	 	 	 	 	 	$	4.66	 	 	 	 	 
	 
	 	 	360,847	 	 	thru	 	 	641,504	 	 	 	 	 	 	$	4.54	 	 	 	 	 
	 
	 	 	641,505	 	 	thru	 	 	882,068	 	 	 	 	 	 	$	4.54	 	 	 	 	 
	 
	 	 	882,069	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	4.54	 	 	 	 	 
	ATNAA
	 	 	(6505-01-362-7427	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	25,000	 	 	thru	 	 	362,500	 	 	 	 	 	 	$	9.28	 	 	 	 	 
	 
	 	 	362,501	 	 	thru	 	 	625,000	 	 	 	 	 	 	$	8.20	 	 	 	 	 
	 
	 	 	625,001	 	 	thru	 	 	875,000	 	 	 	 	 	 	$	7.98	 	 	 	 	 
	 
	 	 	875,001	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	7.91	 	 	 	 	 
	0004AF
	 	OPTION YEAR TWO	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	MARK I
	 	 	(6505-01-174-9919	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	24,500	 	 	thru	 	 	122,500	 	 	 	 	 	 	$	13.84	 	 	 	 	 
	 
	 	 	122,501	 	 	thru	 	 	367,500	 	 	 	 	 	 	$	13.37	 	 	 	 	 
	 
	 	 	367,501	 	 	thru	 	 	637,000	 	 	 	 	 	 	$	13.05	 	 	 	 	 
	 
	 	 	637,001	 	 	thru	 	 	882,000	 	 	 	 	 	 	$	13.00	 	 	 	 	 
	 
	 	 	882,001	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	12.95	 	 	 	 	 
	ATROPINE
	 	 	(6505-00-926-9083	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	40,529	 	 	thru	 	 	121,587	 	 	 	 	 	 	$	4.54	 	 	 	 	 
	 
	 	 	121,588	 	 	thru	 	 	364,761	 	 	 	 	 	 	$	4.43	 	 	 	 	 
	 
	 	 	364,762	 	 	thru	 	 	648,464	 	 	 	 	 	 	$	4.31	 	 	 	 	 
	 
	 	 	648,465	 	 	thru	 	 	891,638	 	 	 	 	 	 	$	4.31	 	 	 	 	 

11

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 	 	 
	891,639
	 	thru	 	 	1,300,000	 	 	$	4.31	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	SUPPLIES	 	 	 	 	 	QTY	 	U/I	 	U/P	 	TOTAL
	
	 	
	 	 	 	 	 	
	 	
	 	
	 	

	PRALIDOXIME
	 	 	(6505-01-125-3248	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	25,829	 	 	thru	 	 	116,230	 	 	 	 	 	 	$	8.93	 	 	 	 	 
	 
	 	 	116,231	 	 	thru	 	 	361,606	 	 	 	 	 	 	$	8.47	 	 	 	 	 
	 
	 	 	361,607	 	 	thru	 	 	645,725	 	 	 	 	 	 	$	8.29	 	 	 	 	 
	 
	 	 	645,726	 	 	thru	 	 	891,100	 	 	 	 	 	 	$	8.24	 	 	 	 	 
	 
	 	 	891,101	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	8.20	 	 	 	 	 
	DIAZEPAM
	 	 	(6505-01-274-0951	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	25,869	 	 	thru	 	 	116,410	 	 	 	 	 	 	$	8.18	 	 	 	 	 
	 
	 	 	116,411	 	 	thru	 	 	362,166	 	 	 	 	 	 	$	7.89	 	 	 	 	 
	 
	 	 	362,167	 	 	thru	 	 	633,790	 	 	 	 	 	 	$	7.62	 	 	 	 	 
	 
	 	 	633,791	 	 	thru	 	 	879,546	 	 	 	 	 	 	$	7.58	 	 	 	 	 
	 
	 	 	879,547	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	7.54	 	 	 	 	 
	MORPHINE
	 	 	(6505-01-302-5530	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	40,094	 	 	thru	 	 	120,282	 	 	 	 	 	 	$	5.00	 	 	 	 	 
	 
	 	 	120,283	 	 	thru	 	 	360,846	 	 	 	 	 	 	$	4.84	 	 	 	 	 
	 
	 	 	360,847	 	 	thru	 	 	641,504	 	 	 	 	 	 	$	4.71	 	 	 	 	 
	 
	 	 	641,505	 	 	thru	 	 	882,068	 	 	 	 	 	 	$	4.71	 	 	 	 	 
	 
	 	 	882,069	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	4.71	 	 	 	 	 
	ATNAA
	 	 	(6505-01-362-7427	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	25,000	 	 	thru	 	 	362,500	 	 	 	 	 	 	$	9.62	 	 	 	 	 
	 
	 	 	362,501	 	 	thru	 	 	625,000	 	 	 	 	 	 	$	8.50	 	 	 	 	 
	 
	 	 	625,001	 	 	thru	 	 	875,000	 	 	 	 	 	 	$	8.27	 	 	 	 	 
	 
	 	 	875,001	 	 	thru	 	 	1,300,000	 	 	 	 	 	 	$	8.20	 	 	 	 	 

These extra quantities above the 2.4 million will be delivered 150 days after
date of delivery order, but Contractor will not be required to deliver these
additional quantities during the months of June, July, and August. If delivery
of the 1,000,000 falls after the end of the contract year in which the delivery
order was issued, the price will not be increased to the next years pricing,
nor will the quantities be subtracted from the next years 2.4 million available
quantity.

This in no way limits the Government’s rights to purchase quantities against
Line Item 0004, or to exercise Line Item 0005, or any other rights under this
contract.

12

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

13

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

SCHEDULE

PRESTOCK COMPONENT PRICING (Schedule B)

  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	 SUPPLIES	 		 	 	QTY	 	U/I	 	U/P	 	TOTAL
	
        

      	
        

      	 	 	
        

      	 	
        

      	 	
        

      	 	
        

      
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
        0004AG

      	 	BASE YEAR	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	 MARK I	 	 	 	 (6505-01-174-9919)	 	 	EA	 	 	 	 	 	 	 	 
	
         

      	 	 	
        24,500

      	 	 	thru	 	 	
        122,500

      	 	 	 	 	 	 	$	7.25	 	 	 	 	 
	
         

      	 	 	
        122,501

      	 	 	thru	 	 	
        367,500

      	 	 	 	 	 	 	$	6.98	 	 	 	 	 
	
         

      	 	 	
        367,501

      	 	 	thru	 	 	
        637,00

      	 	 	 	 	 	 	$	6.80	 	 	 	 	 
	
         

      	 	 	
        637,001

      	 	 	thru	 	 	
        882,000

      	 	 	 	 	 	 	$	6.77	 	 	 	 	 
	
         

      	 	 	
        882,001

      	 	 	thru	 	 	
        1,200,000

      	 	 	 	 	 	 	$	6.74	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	
        ATROPINE

      	 	 	 	(6505-00-926-9083)	 	 	
         

      	 	 	EA	 	 	 	 	 	 	 	 
	
         

      	 	 	 	 	 	 	 	 	 	 	
         

      	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	 	
        40,529

      	 	 	thru	 	 	
        121,587

      	 	 	 	 	 	 	$	2.33	 	 	 	 	 
	
         

      	 	 	
        121,588

      	 	 	thru	 	 	
        364,761

      	 	 	 	 	 	 	$	2.26	 	 	 	 	 
	
         

      	 	 	
        364,762

      	 	 	thru	 	 	
        648,464

      	 	 	 	 	 	 	$	2.20	 	 	 	 	 
	
         

      	 	 	
        648,465

      	 	 	thru	 	 	
        891,638

      	 	 	 	 	 	 	$	2.19	 	 	 	 	 
	
         

      	 	 	
        891,639

      	 	 	thru	 	 	
        1,200,000

      	 	 	 	 	 	 	$	2.19	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	
        PRALIDOXIME

      	 	 	 	 (6505-01-125-3248)	 	 	
         

      	 	 	EA	 	 	 	 	 	 	 	 
	
         

      	 	 	
        25,829

      	 	 	thru	 	 	
        116,230

      	 	 	 	 	 	 	$	4.62	 	 	 	 	 
	
         

      	 	 	
        116,231

      	 	 	thru	 	 	
        361,606

      	 	 	 	 	 	 	$	4.36	 	 	 	 	 
	
         

      	 	 	
        361,607

      	 	 	thru	 	 	
        645,725

      	 	 	 	 	 	 	$	4.26	 	 	 	 	 
	
         

      	 	 	
        645,726

      	 	 	thru	 	 	
        891,100

      	 	 	 	 	 	 	$	4.23	 	 	 	 	 
	
         

      	 	 	
        891,101

      	 	 	thru	 	 	
        1,200,000

      	 	 	 	 	 	 	$	4.20	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	
        DIAZEPAM

      	 	 	 	 (6505-01-274-0951)	 	 	
         

      	 	 	EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        25,869

      	
         

      	 	thru	 	 	
        116,410

      	 	 	 	 	 	 	$	3.98	 	 	 	 	 
	
         

      	 	
         

      	
        116,411

      	
         

      	 	thru	 	 	
        362,166

      	 	 	 	 	 	 	$	3.83	 	 	 	 	 
	
         

      	 	
         

      	
        362,167

      	
         

      	 	thru	 	 	
        633,790

      	 	 	 	 	 	 	$	3.68	 	 	 	 	 
	
         

      	 	
         

      	
        633,791

      	
         

      	 	thru	 	 	
        879,546

      	 	 	 	 	 	 	$	3.66	 	 	 	 	 
	
         

      	 	
         

      	
        879,547

      	
         

      	 	thru	 	 	
        1,200,000

      	 	 	 	 	 	 	$	3.64	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	
        MORPHINE

      	 	 	 	 (6505-01-302-5530)	 	 	
         

      	 	 	EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        40,094

      	
         

      	 	thru	 	 	
        120,282

      	 	 	 	 	 	 	$	2.48	 	 	 	 	 
	
         

      	 	
         

      	
        120,283

      	
         

      	 	thru	 	 	
        360,846

      	 	 	 	 	 	 	$	2.39	 	 	 	 	 
	
         

      	 	
         

      	
        360,847

      	
         

      	 	thru	 	 	
        641,504

      	 	 	 	 	 	 	$	2.32	 	 	 	 	 
	
         

      	 	
         

      	
        641,505

      	
         

      	 	thru	 	 	
        882,068

      	 	 	 	 	 	 	$	2.32	 	 	 	 	 
	
         

      	 	
         

      	
        882,069

      	
         

      	 	thru	 	 	
        1,200,000

      	 	 	 	 	 	 	$	2.32	 	 	 	 	 

14

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

SCHEDULE

PRESTOCK COMPONENT PRICING (Schedule B)

  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM
        NO.	 	 	 SUPPLIES	 		 	 	QTY	 	U/I	 	U/P	 	TOTAL
	 	 	 	 	 	 	 	 	 	 	 
	
         

      	
        ATNAA

      	 	 	 	
        (6505-01-362-7427)

      	 	 	 	 	 	 	 	 EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        25,000

      	
         

      	 	thru	 	 	125,000	 	 	 	 	 	 	$	4.50	 	 	 	 	 
	
         

      	 	
         

      	
        125,001

      	
         

      	 	thru	 	 	362,500	 	 	 	 	 	 	$	3.87	 	 	 	 	 
	
         

      	 	
         

      	
        362,501

      	
         

      	 	thru	 	 	625,000	 	 	 	 	 	 	$	3.84	 	 	 	 	 
	
         

      	 	
         

      	
        625,001

      	
         

      	 	thru	 	 	875,000	 	 	 	 	 	 	$	3.71	 	 	 	 	 
	
         

      	 	
         

      	
        875,001

      	
         

      	 	thru	 	 	1,200,000	 	 	 	 	 	 	$	3.67	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
        0004AH

      	 	
        OPTION YEAR ONE

      	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	
        MARK I

      	
         

      	 	 	 	 (6505-01-174-9919)	 	 	 	 	 	 	 	 EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        24,500

      	
         

      	 	thru	 	 	122,500	 	 	 	 	 	 	$	7.50	 	 	 	 	 
	
         

      	 	
         

      	
        122,501

      	
         

      	 	thru	 	 	367,500	 	 	 	 	 	 	$	7.23	 	 	 	 	 
	
         

      	 	
         

      	
        367,501

      	
         

      	 	thru	 	 	637,00	 	 	 	 	 	 	$	7.04	 	 	 	 	 
	
         

      	 	
         

      	
        637,001

      	
         

      	 	thru	 	 	882,000	 	 	 	 	 	 	$	7.00	 	 	 	 	 
	
         

      	 	
         

      	
        882,001

      	
         

      	 	thru	 	 	1,200,000	 	 	 	 	 	 	$	6.98	 	 	 	 	 
	 	
        ATROPINE

      	
         

      	 	 	 	 (6505-00-926-9083)	 	 	 	 	 	 	 	 EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        40,529

      	
         

      	 	thru	 	 	121,587	 	 	 	 	 	 	$	2.41	 	 	 	 	 
	
         

      	 	
         

      	
        121,588

      	
         

      	 	thru	 	 	364,761	 	 	 	 	 	 	$	2.34	 	 	 	 	 
	
         

      	 	
         

      	
        364,762

      	
         

      	 	thru	 	 	648,464	 	 	 	 	 	 	$	2.27	 	 	 	 	 
	
         

      	 	
         

      	
        648,465

      	
         

      	 	thru	 	 	891,638	 	 	 	 	 	 	$	2.27	 	 	 	 	 
	
         

      	 	
         

      	
        891,639

      	
         

      	 	thru	 	 	1,200,000	 	 	 	 	 	 	$	2.27	 	 	 	 	 
	 	
        PRALIDOXIME

      	
         

      	 	 	 	 (6505-01-125-3248)	 	 	 	 	 	 	 	EA 	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        25,829

      	
         

      	 	thru	 	 	116,230	 	 	 	 	 	 	$	4.78	 	 	 	 	 
	
         

      	 	
         

      	
        116,231

      	
         

      	 	thru	 	 	361,606	 	 	 	 	 	 	$	4.51	 	 	 	 	 
	
         

      	 	
         

      	
        361,607

      	
         

      	 	thru	 	 	645,725	 	 	 	 	 	 	$	4.41	 	 	 	 	 
	
         

      	 	
         

      	
        645,726

      	
         

      	 	thru	 	 	891,100	 	 	 	 	 	 	$	4.38	 	 	 	 	 
	
         

      	 	
         

      	
        891,101

      	
         

      	 	thru	 	 	1,200,000	 	 	 	 	 	 	$	4.35	 	 	 	 	 
	 	
        DIAZEPAM

      	
         

      	 	 	 	 (6505-01-274-0951)	 	 	 	 	 	 	 	 EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        25,869

      	
         

      	 	thru	 	 	116,410	 	 	 	 	 	 	$	4.12	 	 	 	 	 
	
         

      	 	
         

      	
        116,411

      	
         

      	 	thru	 	 	362,166	 	 	 	 	 	 	$	3.96	 	 	 	 	 
	
         

      	 	
         

      	
        362,167

      	
         

      	 	thru	 	 	633,790	 	 	 	 	 	 	$	3.81	 	 	 	 	 
	
         

      	 	
         

      	
        633,791

      	
         

      	 	thru	 	 	879,546	 	 	 	 	 	 	$	3.79	 	 	 	 	 

15

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 	 	 
	879,547
	 	thru	 	 	1,200,000	 	 	$	3.76	 

16

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

SCHEDULE

PRESTOCK COMPONENT PRICING (Schedule B)

  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	 	 SUPPLIES	 		 	 	QTY	 	U/I	 	U/P	 	TOTAL
	
         

      	 	
        MORPHINE

      	 	 	 	(6505-01-302-5530)	 	 	 	 	 	 	 	 EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        40,094

      	
         

      	 	thru	 	 	120,282	 	 	 	 	 	 	$	2.57	 	 	 	 	 
	
         

      	 	
         

      	
        120,283

      	
         

      	 	thru	 	 	360,846	 	 	 	 	 	 	$	2.47	 	 	 	 	 
	
         

      	 	
         

      	
        360,847

      	
         

      	 	thru	 	 	641,504	 	 	 	 	 	 	$	2.40	 	 	 	 	 
	
         

      	 	
         

      	
        641,505

      	
         

      	 	thru	 	 	882,068	 	 	 	 	 	 	$	2.40	 	 	 	 	 
	
         

      	 	
         

      	
        882,069

      	
         

      	 	thru	 	 	1,200,000	 	 	 	 	 	 	$	2.40	 	 	 	 	 
	
         

      	 	
        ATNAA

      	 	 	 	 (6505-01-362-7427)	 	 	 	 	 	 	 	 EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        25,000

      	
         

      	 	thru	 	 	125,000	 	 	 	 	 	 	$	4.66	 	 	 	 	 
	
         

      	 	
         

      	
        125,001

      	
         

      	 	thru	 	 	362,500	 	 	 	 	 	 	$	4.01	 	 	 	 	 
	
         

      	 	
         

      	
        362,501

      	
         

      	 	thru	 	 	625,000	 	 	 	 	 	 	$	3.97	 	 	 	 	 
	
         

      	 	
         

      	
        625,001

      	
         

      	 	thru	 	 	875,000	 	 	 	 	 	 	$	3.84	 	 	 	 	 
	
         

      	 	
         

      	
        875,001

      	
         

      	 	thru	 	 	1,200,000	 	 	 	 	 	 	$	3.79	 	 	 	 	 
	
        0004AJ

      	 	
        OPTION YEAR TWO

      	 	 	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
         

      	 	
        MARK I

      	 	 	 	 (6505-01-174-9919)	 	 	 	 	 	 	 	 EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        24,500

      	
         

      	 	thru	 	 	122,500	 	 	 	 	 	 	$	7.77	 	 	 	 	 
	
         

      	 	
         

      	
        122,501

      	
         

      	 	thru	 	 	367,500	 	 	 	 	 	 	$	7.48	 	 	 	 	 
	
         

      	 	
         

      	
        367,501

      	
         

      	 	thru	 	 	637,00	 	 	 	 	 	 	$	7.28	 	 	 	 	 
	
         

      	 	
         

      	
        637,001

      	
         

      	 	thru	 	 	882,000	 	 	 	 	 	 	$	7.25	 	 	 	 	 
	
         

      	 	
         

      	
        882,001

      	
         

      	 	thru	 	 	1,200,000	 	 	 	 	 	 	$	7.22	 	 	 	 	 
	
         

      	 	
        ATROPINE

      	 	 	 	
        (6505-00-926-9083)

      	 	 	 	 	 	 	 	 EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        40,529

      	
         

      	 	thru	 	 	121,587	 	 	 	 	 	 	$	2.50	 	 	 	 	 
	
         

      	 	
         

      	
        121,588

      	
         

      	 	thru	 	 	364,761	 	 	 	 	 	 	$	2.43	 	 	 	 	 
	
         

      	 	
         

      	
        364,762

      	
         

      	 	thru	 	 	648,464	 	 	 	 	 	 	$	2.35	 	 	 	 	 
	
         

      	 	
         

      	
        648,465

      	
         

      	 	thru	 	 	891,638	 	 	 	 	 	 	$	2.35	 	 	 	 	 
	
         

      	 	
         

      	
        891,639

      	
         

      	 	thru	 	 	1,200,000	 	 	 	 	 	 	$	2.35	 	 	 	 	 
	
         

      	 	
        PRALIDOXIME

      	 	 	 	
        (6505-01-125-3248)

      	 	 	 	 	 	 	 	 EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        25,829

      	
         

      	 	thru	 	 	116,230	 	 	 	 	 	 	$	4.95	 	 	 	 	 
	
         

      	 	
         

      	
        116,231

      	
         

      	 	thru	 	 	361,606	 	 	 	 	 	 	$	4.67	 	 	 	 	 
	
         

      	 	
         

      	
        361,607

      	
         

      	 	thru	 	 	645,725	 	 	 	 	 	 	$	4.56	 	 	 	 	 
	
         

      	 	
         

      	
        645,726

      	
         

      	 	thru	 	 	891,100	 	 	 	 	 	 	$	4.53	 	 	 	 	 

17

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 	 	 
	891,101
	 	thru	 	 	1,200,000	 	 	$	4.50	 

SCHEDULE

PRESTOCK COMPONENT PRICING (Schedule B)

  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
        ITEM NO.

      	 	 SUPPLIES	 		 	 	 	QTY	 	 	U/I	 	U/P	 	TOTAL
	
        

      	 	
        

      	 	 	 	 	 	
        

      	 	 	
        

      	 	
        

      	 	
        

      
	
         

      	 	
        DIAZEPAM

      	 	(6505-01-274-0951)		 	EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        25,869

      	
         

      	 	thru	 	 	
        116,410

      	 	 	 	 	 	 	$	4.26	 	 	 	 	 
	
         

      	 	
         

      	
        116,411

      	
         

      	 	thru	 	 	
        362,166

      	 	 	 	 	 	 	$	4.10	 	 	 	 	 
	
         

      	 	
         

      	
        362,167

      	
         

      	 	thru	 	 	
        633,790

      	 	 	 	 	 	 	$	3.94	 	 	 	 	 
	
         

      	 	
         

      	
        633,791

      	
         

      	 	thru	 	 	
        879,546

      	 	 	 	 	 	 	$	3.92	 	 	 	 	 
	
         

      	 	
         

      	
        879,547

      	
         

      	 	thru	 	 	
        1,200,000

      	 	 	 	 	 	 	$	3.90	 	 	 	 	 
	
         

      	 	
        MORPHINE

      	 	
        (6505-01-302-5530)

      		 	EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        40,094

      	
         

      	 	thru	 	 	
        120,282

      	 	 	 	 	 	 	$	2.66	 	 	 	 	 
	
         

      	 	
         

      	
        120,283

      	
         

      	 	thru	 	 	
        360,846

      	 	 	 	 	 	 	$	2.56	 	 	 	 	 
	
         

      	 	
         

      	
        360,847

      	
         

      	 	thru	 	 	
        641,504

      	 	 	 	 	 	 	$	2.49	 	 	 	 	 
	
         

      	 	
         

      	
        641,505

      	
         

      	 	thru	 	 	
        882,068

      	 	 	 	 	 	 	$	2.49	 	 	 	 	 
	
         

      	 	
         

      	
        882,069

      	
         

      	 	thru	 	 	
        1,200,000

      	 	 	 	 	 	 	$	2.49	 	 	 	 	 
	
         

      	 	
        ATNAA

      	 	
        (6505-01-362-7427)

      		 	EA	 	 	 	 	 	 	 	 
	
         

      	 	
         

      	
        25,000

      	
         

      	 	thru	 	 	
        125,000

      	 	 	 	 	 	 	$	4.82	 	 	 	 	 
	
         

      	 	
         

      	
        125,001

      	
         

      	 	thru	 	 	
        362,500

      	 	 	 	 	 	 	$	4.15	 	 	 	 	 
	
         

      	 	
         

      	
        362,501

      	
         

      	 	thru	 	 	
        625,000

      	 	 	 	 	 	 	$	4.11	 	 	 	 	 
	
         

      	 	
         

      	
        625,001

      	
         

      	 	thru	 	 	
        875,000

      	 	 	 	 	 	 	$	3.97	 	 	 	 	 
	
         

      	 	
         

      	
        875,001

      	
         

      	 	thru	 	 	
        1,200,000

      	 	 	 	 	 	 	$	3.93	 	 	 	 	 

18

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

SCHEDULE

  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	SUPPLIES	 	QTY	 	U/I	 	U/P	 	TOTAL
	
        

      	 	
        

      	 	
        

      	 	
        

      	 	
        

      	 	
        

      
	
        0005

      	 	MOBILIZATION SURGE OPTION*
	
        0005AA

      	 	BASE YEAR (UP TO 1,500,000
        individual injectors---Mark I counts as 2) 
	
        MARK I

      	 	 	(6505-01-174-9919	)	 	 	
        614,799

      	 	 	EA	 	$	13.38	 	 	 	 	 
	
        ATROPINE

      	 	 	(6505-00-926-9083	)	 	 	
        57,072

      	 	 	EA	 	$	4.36	 	 	 	 	 
	
        DIAZEPAM

      	 	 	(6505-01-274-0951	)	 	 	
        181,842

      	 	 	EA	 	$	7.82	 	 	 	 	 
	
        MORPHINE

      	 	 	(6505-01-302-5530	)	 	 	
        31,488

      	 	 	EA	 	$	4.75	 	 	 	 	 
	
        ATNAA

      	 	 	(6505-01-362-7427	)	 	 	
        614,799

      	 	 	EA	 	$	9.31	 	 	 	 	 
	
        Total

      	 	 	 	 	 	 	
        1,500,000

      	 	 	 	 	 	 	 	 	 	 	 	 	 
	
        0005AB

      	 	BASE YEAR (1,500,001 TO 3,811,000
        individual injectors---Mark I counts as 2) 
	
        MARK I

      	 	 	(6505-01-174-9919	)	 	 	
        1,562,000

      	 	 	EA	 	$	12.69	 	 	 	 	 
	
        ATROPINE

      	 	 	(6505-00-926-9083	)	 	 	
        145,000

      	 	 	EA	 	$	4.34	 	 	 	 	 
	
        DIAZEPAM

      	 	 	(6505-01-274-0951	)	 	 	
        462,000

      	 	 	EA	 	$	7.58	 	 	 	 	 
	
        MORPHINE

      	 	 	(6505-01-302-5530	)	 	 	
        80,000

      	 	 	EA	 	$	4.75	 	 	 	 	 
	
        ATNAA

      	 	 	(6505-01-362-7427	)	 	 	
        1,562,000

      	 	 	EA	 	$	8.21	 	 	 	 	 
	
        Total

      	 	 	 	 	 	 	
        3,811,000

      	 	 	 	 	 	 	 	 	 	 	 	 	 
	
        0005AC

      	 	BASE YEAR (3,811,001 AND UP
        individual injectors---Mark I counts as 2) 
	
        MARK I

      	 	 	(6505-01-174-9919	)	 	 	 	 	 	EA	 	$	12.61	 	 	 	 	 
	
        ATROPINE

      	 	 	(6505-00-926-9083	)	 	 	 	 	 	EA	 	$	4.24	 	 	 	 	 
	
        DIAZEPAM

      	 	 	(6505-01-274-0951	)	 	 	 	 	 	EA	 	$	7.36	 	 	 	 	 
	
        MORPHINE

      	 	 	(6505-01-302-5530	)	 	 	 	 	 	EA	 	$	4.75	 	 	 	 	 
	
        ATNAA

      	 	 	(6505-01-362-7427	)	 	 	 	 	 	EA	 	$	7.92	 	 	 	 	 

19

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

*Minimum quantity to exercise surge will be 500,000 Mark I (or 1,000,000
individual injectors)

SCHEDULE

  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ITEM NO.	 	SUPPLIES	 	QTY	 	U/I	 	U/P	 	TOTAL
	
        

      	 	
        

      	 	
        

      	 	
        

      	 	
        

      	 	
        

      
	
        0005AD

      	 	OPTION YEAR ONE (UP TO 1,500,000
        individual injectors-Mark I counts as 2) 
	
        MARK I

      	 	 	(6505-01-174-9919	)	 	 	
        614,799

      	 	 	EA	 	$	13.87	 	 	 	 	 
	
        ATROPINE

      	 	 	(6505-00-926-9083	)	 	 	
        57,072

      	 	 	EA	 	$	4.52	 	 	 	 	 
	
        DIAZEPAM

      	 	 	(6505-01-274-0951	)	 	 	
        181,842

      	 	 	EA	 	$	8.11	 	 	 	 	 
	
        MORPHINE

      	 	 	(6505-01-302-5530	)	 	 	
        31,488

      	 	 	EA	 	$	4.92	 	 	 	 	 
	
        ATNAA

      	 	 	(6505-01-362-7427	)	 	 	
        614,799

      	 	 	EA	 	$	9.65	 	 	 	 	 
	
        Total

      	 	 	 	 	 	 	
        1,500,000

      	 	 	 	 	 	 	 	 	 	 	 	 	 
	
        0005AE

      	 	OPTION YEAR ONE (1,500,001
        TO 3,811,000 individual injectors---Mark I counts as 2) 
	
        MARK I

      	 	 	(6505-01-174-9919	)	 	 	
        1,562,000

      	 	 	EA	 	$	13.15	 	 	 	 	 
	
        ATROPINE

      	 	 	(6505-00-926-9083	)	 	 	
        145,000

      	 	 	EA	 	$	4.50	 	 	 	 	 
	
        DIAZEPAM

      	 	 	(6505-01-274-0951	)	 	 	
        462,000

      	 	 	EA	 	$	7.86	 	 	 	 	 
	
        MORPHINE

      	 	 	(6505-01-302-5530	)	 	 	
        80,000

      	 	 	EA	 	$	4.92	 	 	 	 	 
	
        ATNAA

      	 	 	(6505-01-362-7427	)	 	 	
        1,562,000

      	 	 	EA	 	$	8.51	 	 	 	 	 
	
        Total

      	 	 	 	 	 	 	
        3,811,000

      	 	 	 	 	 	 	 	 	 	 	 	 	 
	
        0005AF

      	 	OPTION YEAR ONE (3,811,001
        AND UP individual injectors---Mark I counts as 2) 
	
        MARK I

      	 	 	(6505-01-174-9919	)	 	 	 	 	 	EA	 	$	13.07	 	 	 	 	 
	
        ATROPINE

      	 	 	(6505-00-926-9083	)	 	 	 	 	 	EA	 	$	4.39	 	 	 	 	 
	
        DIAZEPAM

      	 	 	(6505-01-274-0951	)	 	 	 	 	 	EA	 	$	7.63	 	 	 	 	 
	
        MORPHINE

      	 	 	(6505-01-302-5530	)	 	 	 	 	 	EA	 	$	4.92	 	 	 	 	 
	
        ATNAA

      	 	 	(6505-01-362-7427	)	 	 	 	 	 	EA	 	$	8.21	 	 	 	 	 

20

 

CONTRACT:            SP0200-02D-0006

CONTRACTOR:      MERIDIAN MEDICAL TECHNOLOGIES INC.

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

 

	 	 	 	 	 	 	 	 	 	 	 
	SCHEDULE
	 
	ITEM NO.	 	SUPPLIES	 	QTY	 	U/I	 	U/P	 	TOTAL
	
	 	
	 	
	 	
	 	
	 	

	0005AG	 	
OPTION YEAR TWO
(UP TO 1,500,000
individual
injectors—Mark
I counts as 2)
	 
	MARK I	 	
(6505-01-174-9919)
	 	614,799
	 	EA
	 	$14.37	 	 
	 
	ATROPINE	 	
(6505-00-926-9083)
	 	57,072
	 	EA
	 	$4.68	 	 
	 
	DIAZEPAM	 	
(6505-01-274-0951)
	 	181,842
	 	EA
	 	$8.40	 	 
	 
	MORPHINE	 	
(6505-01-302-5530)
	 	31,488
	 	EA
	 	$5.10	 	 
	 
	ATNAA	 	
(6505-01-362-7427)
	 	614,799
	 	EA
	 	$10.00	 	 
	 
	Total	 	 	 	1,500,000	 	 	 	 	 	 
	 
	0005AH	 	
OPTION YEAR TWO
(1,500,001 TO
3,811,000
individual
injectors—Mark
I counts as 2)
	 
	MARK I	 	
(6505-01-174-9919)
	 	1,562,000
	 	EA
	 	$13.63	 	 
	 
	ATROPINE	 	
(6505-00-926-9083)
	 	145,000
	 	EA
	 	$4.66	 	 
	 
	DIAZEPAM	 	
(6505-01-274-0951)
	 	462,000
	 	EA
	 	$8.15	 	 
	 
	MORPHINE	 	
(6505-01-302-5530)
	 	80,000
	 	EA
	 	$5.10	 	 
	 
	ATNAA	 	
(6505-01-362-7427)
	 	1,562,000
	 	EA
	 	$8.82	 	 
	 
	Total	 	 	 	3,811,000	 	 	 	 	 	 
	0005AJ	 	
OPTION YEAR TWO
(3,811,001 AND
UP individual
injectors—Mark
I counts as 2)
	 
	MARK I	 	
(6505-01-174-9919)
	 	 	 	EA
	 	$13.54	 	 
	 
	ATROPINE	 	
(6505-00-926-9083)
	 	 	 	EA
	 	$4.55	 	 
	 
	DIAZEPAM	 	
(6505-01-274-0951)
	 	 	 	EA
	 	$7.91	 	 
	 
	MORPHINE	 	
(6505-01-302-5530)
	 	 	 	EA
	 	$5.10	 	 

22

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 
	ATNAA	 	
(6505-01-362-7427)
	 	 	 	EA
	 	$8.51	 	 

23

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 
	SCHEDULE
	ITEM NO.	 	SUPPLIES	 	QTY	 	U/I	 	U/P	 	TOTAL
	
	 	
	 	
	 	
	 	
	 	

	0006	 	
PROGRAM MANAGEMENT UNDER READINESS ENHANCEMENT PROGRAM (REP)
	 
	0006AA	 	
BASE YEAR (10.5 Months)
	 	1
	 	LT
	 	$75,719.84
	 	$75,719.84
	 
	0006AB	 	
Adm of Classification Test
	 	1
	 	LT
	 	$2,158,24
	 	$2,158,24
	 
	0006AC	 	
Adm of Eye Test
	 	1
	 	LT
	 	$647.92
	 	$647.92
	 
	0006AD	 	
Adm of Record Check
	 	1
	 	LT
	 	$863.52
	 	$863.52
	 
	0006AE	 	
Adm of Initial Drug Test
	 	1
	 	LT
	 	$2,391.76
	 	$2,391.76
	 
	0006AF	 	
Adm of Random Drug Test
	 	1
	 	LT
	 	$525.00
	 	$525.00
	 
	0006AG	 	
Program Fee
	 	1
	 	LT
	 	$5,860.40
	 	$5,860.40
	 
	0006AH	 	
Retaining Bonus
	 	1
	 	LT
	 	$5,278.00
	 	$5,278.00
	 
	0006AJ	 	
Pool Training
	 	1
	 	LT
	 	$57,995.00
	 	$57,995.00
	 
	 	 	
Total
	 	 	 	 	 	 	 	$75,719.84
	 
	0006BA	 	
OPT YR ONE (12 Months)
	 	1
	 	LT
	 	$90,201.40
	 	$90,201.40
	 
	0006BB	 	
Adm of Classification Test
	 	1
	 	LT
	 	$2,592.00
	 	$2,592.00
	 
	0006BC	 	
Adm of Eye Test
	 	1
	 	LT
	 	$784.00
	 	$784.00
	 
	0006BD	 	
Adm of Record Check
	 	1
	 	LT
	 	$1,027.20
	 	$1,027.20
	 
	0006BE	 	
Adm of Initial Drug Test
	 	1
	 	LT
	 	$2,870.40
	 	$2,870.40
	 
	0006BF	 	
Adm of Random Drug Test
	 	1
	 	LT
	 	$627.00
	 	$627.00
	 
	0006BG	 	
Program Fee
	 	1
	 	LT
	 	$6,988.80
	 	$6,988.80

24

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	SCHEDULE
	 
	ITEM NO.	 	SUPPLIES	 	QTY	 	U/I	 	U/P	 	TOTAL
	
	 	
	 	
	 	
	 	
	 	

	0006BH	 	
Retaining Bonus
	 	 	1
	 	 	LT
	 	$	6,032.00
	 	 	$	6,032.00	 
	 
	0006BJ	 	
Pool Training
	 	 	1
	 	 	LT
	 	$	69,280.00
	 	 	$	69,280.00	 
	 
	 	 	
Total
	 	 	
	 	 	 	 	 	
	 	 	$	90,201.40	 
	 
	0006CA	 	
OPT YR TWO (12 Months)
	 	 	1
	 	 	LT
	 	$	93,321.40
	 	 	$	93,321.40	 
	 
	0006CB	 	
Adm of Classification Test
	 	 	1
	 	 	LT
	 	$	2,592.00
	 	 	$	2,592.00	 
	 
	0006CC	 	
Adm of Eye Test
	 	 	1
	 	 	LT
	 	$	784.00
	 	 	$	784.00	 
	 
	0006CD	 	
Adm of Record Check
	 	 	1
	 	 	LT
	 	$	1,027.20
	 	 	$	1,027.20	 
	 
	0006CE	 	
Adm of Initial Drug Test
	 	 	1
	 	 	LT
	 	$	2,870.40
	 	 	$	2,870.40	 
	 
	0006CF	 	
Adm of Random Drug Test
	 	 	1
	 	 	LT
	 	$	627.00
	 	 	$	627.00	 
	 
	0006CG	 	
Program Fee
	 	 	1
	 	 	LT
	 	$	6,988.80
	 	 	$	6,988.80	 
	 
	0006CH	 	
Retaining Bonus
	 	 	1
	 	 	LT
	 	$	6,032.00
	 	 	$	6,032.00	 
	 
	0006CJ	 	
Pool Training
	 	 	1
	 	 	LT
	 	$	72,400.00
	 	 	$	72,400.00	 
	 
	 	 	
Total
	 	 	
	 	 	 	 	 	
	 	 	$	93,321.40	 

25

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

Variation in Quantity:

          Plus or Minus 2%

Inspection and Acceptance:

          Origin

FOB:

          Origin

Manufacturing and Packaging/Packing Location:

          Meridian Medical Technologies, Inc.

          2555 Hermelin Dr.

          St. Louis, MO 63144

Source of Raw Materials:

	 	 	 
	Atropine:	 	
Boeringer-Ingelheim, Germany
	Pralidoxime:	 	
Organichem, Rensselaer, NY
	Diazepam:	 	
Fabbrica Italiana Sintetici, SPA, Milan, Italy
	Morphine:	 	
Mallinckrodt Chemical, Inc., St. Louis, MO

Payment Address:

          Meridian Medical Technologies, Inc.

          P.O. Box 34466

          Newark, New Jersey 07189-4466

Guaranteed Minimum:

		
	 	Delivery Order SP0200-02D-0006-8001 covering the base year annual services under lines 0001, 0002, and 0006 of the contract will be issued as a
separate document concurrently with the issuance of this basic contract. The guaranteed minimum for line 0004 (2% of the estimated dollar
value of line 0004: $224,469) will be issued during the base year.

Annual Maximum Order Quantities under line item 0004:

		
	 	2,400,000 equivalent injectors (1.2 M Mark I Injectors or 1.2 M Atropine and/or Morphine Injectors and 1.2 M ATNAA and/or Pralidoxime and/or
Diazepam Injectors). Quantities up to 2,400,000 will be priced under Line 0004AA (AB and AC for option year one and two, respectively). An
additional quantity of

26

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

		
	 	1,000,000 injectors will be priced at the unit prices stated in the contract schedule (referenced under quantities above
2.4 M).

Delivery:

	 	 
	 	For items with available pre-stocked components:
For items without available pre-stocked components:       45 days after award of delivery order (assumes MMT does not have any DSCP orders
in-house).   135 days after award of delivery order.

Minimum monthly deliveries during peacetime:

100,000 Mark I Injectors    or    100,000 ComboPens (ATNAA, Pralidoxime, Diazepam) and 175,000 AtroPens (Atropine, Morphine)

     Option Provision:

		
	 	Option Clause 52.217-9P12 is a part of this contract with two one-year option periods available at the unit prices stated on the contract
schedule pages. The contracting officer shall give the contractor a preliminary written notice of intent to extend at least 15 days before expiration of the contract.

Pre-Stocking of Component Parts:

		
	 	The Government may purchase component parts for each injector throughout the life of this contract as excess War Stopper funds become
available. This material shall be purchased against line item 0004 (at the stated prices shown for Pre-stock Lines 0004AD to 0004AF). This material shall be stored and rotated by the contractor to fill given delivery orders. No additional costs for storage (unless the Government
owned quantities as stated on page 29 are exceeded by 10%) and rotation shall apply.

Government Furnished Material:

          The following will be considered Government Furnished Material under this contract:

                       1) Expired or extended material shipped to MMT for shelf life extension in accordance with line item 0002 and Logistics
Maintenance/DFP (Deployable Force Package—these were formerly known as DRB (Division Ready Brigade)) Program Statement of Work.

                       2) Material purchased under line item 0004 specifically for the Army’s DFP Program to be stored at MMT in accordance with line
item 0003 and Logistics Maintenance/DFP Program Statement of Work.

                       3) Material purchased under line item 0004 specifically to support the Army’s Unit Deployment Package (UDP) Medical Potency and
Dated (P&D) material Program to be stored at MMT in accordance with Logistics Maintenance/DFP Program Statement of Work.

27

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

                       4) Components purchased under line item 0004 identified as pre-stocking
components.

                       5) Equipment and components purchased under the
Readiness Enhancement Program (REP).

Effective Date of Award:

		
	 	Effective date of Base Year shall be from 15 Sep 2002 through 31 Jul 2003,
10.5 Months. (Note: The period 8/1/2002 to 9/14/02 was an extension to the prior contract SP0200-99D-0007.)

Option Years One and Two will each be 12 months. Effective dates are 8/1/2003 to 7/31/2004, and 8/1/2004 to 7/31/2005, respectively.

The payment schedule for Line Items 0001 and 0002 (Base Year):

	 	 	 
	Line 0001	 	 
	21 payments of:	 	
$400,455.63
	 
	Line 0002	 	 
	21 payments of:	 	
$58,624.83

Invoices for payment of Lines 0001 and 0002 shall be submitted on the 15 and 30 of each month commencing Sep 30, 2002 and ending July 31, 2003.

The payment schedule for Line Items 0001 and 0002 (Option Year One):

	 	 	 
	Line 0001	 	 
	24 payments of:	 	
$419,180.88
	 
	Line 0002	 	 
	24 payments of:	 	
$63,614.79

Invoices for payment of Lines 0001 and 0002 shall be submitted on the 15 and 30 of each month commencing Aug 15, 2003 and ending July 31, 2004.

The payment schedule for Line Items 0001 and 0002 (Option Year Two):

	 	 	 
	Line 0001	 	 
	24 payments of:	 	
$437,824.58
	 
	Line 0002	 	 
	24 payments of:	 	
$68,889.67

Invoices for payment of Lines 0001 and 0002 shall be submitted on the 15 and 30 of each month commencing Aug 15, 2004 and ending July 31, 2005.

28

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

The payment schedule for Line Item 0006 (Base Year):

Line 0006

First quarter:            $10,817.12 (1.5 months only)

Invoice to be submitted end of quarter (10/31/02)

Second quarter:            $21,634.24 (three months)

Invoice to be submitted end of quarter (1/31/03

Third quarter:            $21,634.24 (three months)

Invoice to be submitted end of quarter (4/30/03)

Fourth quarter:            $21,634.24 (three months)

Invoice to be submitted end of quarter (7/31/03)

The payment schedule for Line Item 0006 (Option Year One):

Line 0006

First quarter:            $22,550.35 (three months)

Invoice to be submitted end of quarter (10/31/03)

Second quarter:            $22,550.35 (three months)

Invoice to be submitted end of quarter (1/31/04

Third quarter:            $22,550.35 (three months)

Invoice to be submitted end of quarter (4/30/04)

Fourth quarter:            $22,550.35 (three months)

Invoice to be submitted end of quarter (7/31/04)

The payment schedule for Line Item 0006 (Option Year Two):

Line 0006

First quarter:            $23,330.35 (three months)

Invoice to be submitted end of quarter (10/31/04)

Second quarter:            $23,330.35 (three months)

Invoice to be submitted end of quarter (1/31/05

Third quarter:            $23,330.35 (three months)

Invoice to be submitted end of quarter (4/30/05)

Fourth quarter:            $23,330.35 (three months)

Invoice to be submitted end of quarter (7/31/05)

Invoices for Line Item 0004 will be submitted after issuance of each Delivery Order. The same shall apply for Line Items 0005, if exercised.

29

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

Continuation from Block 18 Page 1:

Amendments 0001 through 0002

Contractor Correspondence dated:

	 	 	 
	31 Oct, 2001	 	
Initial Offer
	 
	26 Nov 2001	 	
Fax (completion of clause fill-ins)
	 
	22 March 2002	 	
Revised Offer
	 
	1 August 2002	 	
MMT letter in response to DSCP letter dated 29 July 2002
	 
	15 August 2002	 	
MMT letter in response to DSCP e-mail dated 8 August 2002
	 
	15 August 2002	 	
MMT e-mail (completion of clause fill-ins)
	 
	20 August 2002	 	
MMT e-mail (MMT’s response to DSCP’s Proposed Prices
	 
	21 August 2002	 	
MMT e-mail (Corrected Exhibit C)
	 
	21 August 2002	 	
MMT e-mail (FCCM Summary)
	 
	21 August 2002	 	
MMT e-mail (CLIN 0006 breakdown)
	 
	21 August 2002	 	
MMT e-mail (Corrected CLIN 0005 Option II)

30

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

Mobilization Surge Cost Reconciliation Procedure

A full cost accounting and reconciliation against billings is required upon completion of a declared Mobilization Surge (MS). The procedure is as follows:

1.     Declaration and Termination:

		
	 	a.   Mobilization Surge (MS) will be officially declared via a Delivery Order from DSCP requesting products under CLIN 0005 for
immediate delivery under Mobilization Surge provisions. MMT will immediately become obligated to terminate in a reasonable fashion
production for non-DoD customers and proceed as rapidly as possible to devote all production resources to manufacture and deliver the
requested MS products. CLIN 0001 payments shall continue IAW the original contract payment schedule after MS has been declared. If
the MS continues after eight (8) CLIN 0001 biweekly payments have been made, CLIN 0001 payments shall then be suspended for the
duration of the MS. CLIN 0001 payments shall resume IAW the original contract payment schedule upon the termination of the MS.

                b.     Termination of Mobilization Surge requires written confirmation from DSCP. Termination notification is expected to be noted on the last MS
Delivery Order. However, DSCP may terminate MS by separate written notification to the Contractor. Since MMT will likely be in a full production, 3 shift
operation, notification of Mobilization Surge termination will be received prior to completion and delivery of the last quantities requested on a
Mobilization Surge Delivery Order. This prompt notification will allow for orderly phase down and return to commercial production. If CLIN 0001 payments
were suspended in accordance with paragraph 1.a. immediately above, CLIN 0001 payments shall resume IAW the original contract payment schedule upon the
termination of the MS. NOTE: Failure to provide timely MS termination notice may result in additional charges billable to DoD for idle time and idle
facilities.

2.     Accounting for Mobilization Surge (MS):

                 a.     To determine the full cost of Mobilization Surge, costs incurred for MS from the initial MS Delivery Order through the later of delivery of
the final MS Delivery Order or notice of the termination of MS, shall be treated as a single “job-order” under a job-order costing system. The “job-order”
will accumulate the full MS cost for all MS production made during the surge; i.e., the full accounting during MS adjusted for any non-MS production.
Cost to complete production lots in progress at the time Mobilization Surge is started will be deducted from the total costs during MS. Likewise,

31

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

cost continuations beyond termination of MS which are the result of MS will be charged to the MS.

               b.     Cost will be accumulated and summarized in a format consistent with the CLIN 0005 cost proposal. Product cost will include manufacturing
variances against standards. Variances attributable to non-DoD production will be excluded from the MS costing.

3.     Reconciliation of cost against billings and settlement of charges:

               a.     MS total costs will consist of the full costs incurred, (and accounted for in accordance with Section 2.a. above), for MS from
implementation to the later of delivery of the final MS Delivery Order or notice of the termination of MS, plus any costs incurred (idle time and idle
facilities) due to failure of timely termination of MS.

               b.     Progress payments for Direct Materials will be liquidated against invoiced product.

               c.     Amounts due will result when total actual incurred costs, including costs incurred (idle time and idle facilities) from untimely MS
termination, exceed the total payments. The Government’s maximum liability for Mobilization Surge may not exceed the combined value of product ordered
during the MS at the CLIN 0005 prices and the total amount available under CLIN 0001 Base Maintenance for the entire duration of the MS. A refund will
result if total payments exceed actual costs incurred. Refund will be limited to CLIN 0001 payments less any costs (idle time and idle facilities) of
untimely termination.

32

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

PROGRESS PAYMENTS

If Mobilization Surge is officially declared via a Delivery Order from DSCP
for products under CLIN 0005 for immediate delivery pursuant to the
Mobilization Surge provisions of this contract, Progress Payments are
authorized for only Direct Material costs incurred in the performance of the
Mobilization Surge, by Meridian Medical Technology, and supported by vendor
invoices. Progress Payments will cease upon written notification to Meridian
Medical Technology that the Mobilization Surge is ended.

Clauses

The following additional clauses are hereby incorporated by reference and apply only to Direct Material costs incurred for CLIN 0005 end items ordered
pursuant to the Mobilization Surge provisions of this contract:

	 	 	 
	52.232-13	 	
Notice of Progress Payments (Apr 1984)
	 
	252.232-7004	 	
DOD Progress Payment Rates (Oct 2001) DFARS
	 
	The following
clause is also
included by
reference:
	 
	52.233-1	 	
Disputes (July 2001) ALTERNATE 1 (Dec 1991)

Funds from this contract pay the salary expenses of most of Meridian’s NAA
labor force and a significant portion of NAA plant overhead. Therefore, for
the duration of this contract and unless otherwise authorized in writing by
the DSCP Contracting Officer, the contractor shall not accept orders for
autoinjectors for the US military unless those orders are placed by DSCP under
this contract. If contractor has any non-DoD federal agency sales for the
items covered under this contract, then the price charged to that agency (s)
shall not be less than two (2) times the price established in Line Item 0004.

33

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

As of 8/27/02 DSCP has in storage at MMT (as Government Owned Property),
individual components to assemble the following quantities of autoinjectors:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	Atropine	 	Pralidoxime	 	Diazepam	 	Morphine
	

	Quantity	 	1,517,683 Ea	 	1,517,683 Ea	 	490,160 Ea	 	694,812 Ea
	

	Value (dollars paid when placed into
	 	$	2,727,009	 	 	$	5,017,630	 	 	$	1,529,299	 	 	$	1,207,842	 
	storage)
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	

The Atropine and Pralidoxime components may be used to assemble a total of
1,517,683 individual Atropine autoinjectors and 1,517,683 individual
Pralidoxime autoinjectors or 1,517,683 Mark I Kits (each kit contains an
individual Atropine and Pralidoxime autoinjector).

The ATNAA (Antidote Treatment Nerve Agent Autoinjector), currently in the R&D
stage, is expected to receive FDA approval in Sep 2002. The ATNAA will
replace the Mark I Kit as the next generation autoinjector. In order to
facilitate the transition to the ATNAA, the Government shall, from time to
time, direct MMT to draw down and replace Government owned Mark I kit
components with ATNAA components.

When Mark I components are drawn down and replaced with ATNAA components, as
directed by the Contracting Officer, the Mark I components will be replaced in
accordance with the following formula.

		
	 	        Schedule A (pages 31-33) lists NAA component material prices
(without Material Overhead and Profit)
	 	        Schedule B (pages 12-15) lists NAA (including ATNAA) component
prices (inclusive of Material Overhead and Profit)

Number of Mark Is to be purchase as specified by the Contracting Officer: The
number of Mark Is to be purchased will be multiplied by the Mark I material
component price listed in schedule A. This dollar total will then be divided
by the ATNAA component price listed in schedule B, which will the be the
number of ATNAA components received.

The Contracting Officer may also direct MMT to draw down and exchange other
NAA components under the same formula. The Government and MMT, with mutual
agreement reached at the time the request is made, may agree to exchange
components under the same exchange formula at prices set in schedule A and B.
The components exchanged to MMT would become MMT’s property.

34

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

Purchase of ATNAA components (without any draw down of Mark I components)
shall be priced as stated in Schedule B found on pages 12-15.

The Government also retains its right to use Government-owned components for
expedited delivery as cited in the contract. When so directed, MMT shall use
the Government-owned components to complete the order, and replace the
components with an equal number of same components, (That is, replace Mark I
components with Mark I components; or ATNAA components with ATNAA components).
This shall be effected at no cost to the Government.

35

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

Schedule A

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	PRESTOCK EXCHANGE PRICING	 	 	 	 	 	 	 	 
	 
	DRAWDOWN MATERIAL PRICING	 	Schedule A	 	 	 	 
	 
	BASE YEAR	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	Price/Order
	PRODUCT	 	FROM QTY	 	TO QTY	 	Quantity
	
	 	
	 	
	 	

	Mark 1
	 	 	(6505-01-174-9919	)	 	 	 	 	 	 	 	 
	RD
	 	 	24,500	 	 	 	122,500	 	 	$	5.03	 
	 
	 	 	122,501	 	 	 	367,500	 	 	$	4.84	 
	 
	 	 	367,501	 	 	 	637,000	 	 	$	4.71	 
	 
	 	 	637,001	 	 	 	882,000	 	 	$	4.69	 
	 
	 	 	882,001	 	 	 	1,200,000	 	 	$	4.67	 
	Atropine
	 	 	(6505-00-926-9083	)	 	 	 	 	 	 	 	 
	S4
	 	 	40,529	 	 	 	121,587	 	 	$	1.64	 
	 
	 	 	121,588	 	 	 	364,761	 	 	$	1.59	 
	 
	 	 	364,762	 	 	 	648,464	 	 	$	1.54	 
	 
	 	 	648,465	 	 	 	891,638	 	 	$	1.54	 
	 
	 	 	891,639	 	 	 	1,200,000	 	 	$	1.54	 
	Pralidoxime
	 	 	(6505-01-125-3248	)	 	 	 	 	 	 	 	 
	T5
	 	 	25,829	 	 	 	116,231	 	 	$	3.19	 
	 
	 	 	116,232	 	 	 	361,606	 	 	$	3.01	 
	 
	 	 	361,607	 	 	 	645,725	 	 	$	2.94	 
	 
	 	 	645,726	 	 	 	891,101	 	 	$	2.92	 
	 
	 	 	891,102	 	 	 	1,200,000	 	 	$	2.91	 
	Diazepam
	 	 	(6505-01-274-0951	)	 	 	 	 	 	 	 	 
	D1
	 	 	25,869	 	 	 	116,411	 	 	$	2.83	 
	 
	 	 	116,412	 	 	 	362,166	 	 	$	2.72	 
	 
	 	 	362,167	 	 	 	633,791	 	 	$	2.61	 
	 
	 	 	633,792	 	 	 	879,546	 	 	$	2.60	 
	 
	 	 	879,547	 	 	 	1,200,000	 	 	$	2.58	 
	Morphine
	 	 	(6505-01-302-5530	)	 	 	 	 	 	 	 	 
	N3
	 	 	40,094	 	 	 	120,282	 	 	$	1.72	 
	 
	 	 	120,283	 	 	 	380,846	 	 	$	1.65	 
	 
	 	 	360,847	 	 	 	641,504	 	 	$	1.61	 
	 
	 	 	641,505	 	 	 	882,068	 	 	$	1.61	 
	 
	 	 	882,069	 	 	 	1,200,000	 	 	$	1.61	 

36

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

Schedule A (Continued)

	 	 	 	 	 	 	 	 	 	 	 	 	 
	OPTION YEAR ONE
	 	 	 	 	 	 	 	 	 	 	 	Price/Order
	PRODUCT	 	 	FROM QTY	 	 	 	TO QTY	 	 	 	Quantity
	

	Mark 1
	 	 	(6505-01-174-9919	)	 	 	 	 	 	 	 	 
	RD
	 	 	24,500	 	 	 	122,500	 	 	$	5.20	 
	 
	 	 	122,501	 	 	 	367,500	 	 	$	5.01	 
	 
	 	 	367,501	 	 	 	637,000	 	 	$	4.87	 
	 
	 	 	637,001	 	 	 	882,000	 	 	$	4.85	 
	 
	 	 	882,001	 	 	 	1,200,000	 	 	$	4.83	 
	Atropine
	 	 	(6505-00-926-9083	)	 	 	 	 	 	 	 	 
	S4
	 	 	40,529	 	 	 	121,587	 	 	$	1.69	 
	 
	 	 	121,588	 	 	 	364,761	 	 	$	1.65	 
	 
	 	 	364,762	 	 	 	648,464	 	 	$	1.60	 
	 
	 	 	648,465	 	 	 	891,638	 	 	$	1.59	 
	 
	 	 	891,639	 	 	 	1,200,000	 	 	$	1.59	 
	Pralidoxime
	 	 	(6505-01-125-3248	)	 	 	 	 	 	 	 	 
	T5
	 	 	25,829	 	 	 	116,231	 	 	$	3.31	 
	 
	 	 	116,232	 	 	 	361,606	 	 	$	3.12	 
	 
	 	 	361,607	 	 	 	645,725	 	 	$	3.05	 
	 
	 	 	645,726	 	 	 	891,101	 	 	$	3.03	 
	 
	 	 	891,102	 	 	 	1,200,000	 	 	$	3.01	 
	Diazepam
	 	 	(6505-01-274-0951	)	 	 	 	 	 	 	 	 
	Dl
	 	 	25,869	 	 	 	116,411	 	 	$	2.92	 
	 
	 	 	116,412	 	 	 	362,166	 	 	$	2.81	 
	 
	 	 	362,167	 	 	 	633,791	 	 	$	2.70	 
	 
	 	 	633,792	 	 	 	879,546	 	 	$	2.69	 
	 
	 	 	879,547	 	 	 	1,200,000	 	 	$	2.67	 
	Morphine
	 	 	(6505-01-302-5530	)	 	 	 	 	 	 	 	 
	N3
	 	 	40,094	 	 	 	120,282	 	 	$	1.78	 
	 
	 	 	120,283	 	 	 	360,846	 	 	$	1.71	 
	 
	 	 	360,847	 	 	 	641,504	 	 	$	1.66	 
	 
	 	 	641,505	 	 	 	882,068	 	 	$	1.66	 
	 
	 	 	882,069	 	 	 	1,200,000	 	 	$	1.66	 

37

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

Schedule A (Continued)

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	OPTION YEAR TWO	 	 	 	 	 	 	 	 
	 
	PRODUCT	 	FROM QTY	 	TO QTY	 	Price/Order
	 	 	 	 	 	 	Quantity
	

	Mark 1
	 	 	(6505-01-174-9919	)	 	 	 	 	 	 	 	 
	RD
	 	 	24,500	 	 	 	122,500	 	 	$	5.38	 
	 
	 	 	122,501	 	 	 	367,500	 	 	$	5.18	 
	 
	 	 	367,501	 	 	 	637,000	 	 	$	5.04	 
	 
	 	 	637,001	 	 	 	882,000	 	 	$	5.02	 
	 
	 	 	882,001	 	 	 	1,200,000	 	 	$	5.00	 
	Atropine
	 	 	(6505-00-926-9083	)	 	 	 	 	 	 	 	 
	S4
	 	 	40,529	 	 	 	121,587	 	 	$	1.75	 
	 
	 	 	121,588	 	 	 	364,761	 	 	$	1.70	 
	 
	 	 	364,762	 	 	 	648,464	 	 	$	1.65	 
	 
	 	 	648,465	 	 	 	891,638	 	 	$	1.65	 
	 
	 	 	891,639	 	 	 	1,200,000	 	 	$	1.65	 
	Pralidoxime
	 	 	(6505-01-125-3248	)	 	 	 	 	 	 	 	 
	T5
	 	 	25,829	 	 	 	116,231	 	 	$	3.42	 
	 
	 	 	116,232	 	 	 	361,606	 	 	$	3.23	 
	 
	 	 	361,607	 	 	 	645,725	 	 	$	3.15	 
	 
	 	 	645,726	 	 	 	891,101	 	 	$	3.13	 
	 
	 	 	891,102	 	 	 	1,200,000	 	 	$	3.11	 
	Diazepam
	 	 	(6505-01-274-0951	)	 	 	 	 	 	 	 	 
	Dl
	 	 	25,869	 	 	 	116,411	 	 	$	3.03	 
	 
	 	 	116,412	 	 	 	362,166	 	 	$	2.91	 
	 
	 	 	362,167	 	 	 	633,791	 	 	$	2.80	 
	 
	 	 	633,792	 	 	 	879,546	 	 	$	2.78	 
	 
	 	 	879,547	 	 	 	1,200,000	 	 	$	2.77	 
	Morphine
	 	 	(6505-01-302-5530	)	 	 	 	 	 	 	 	 
	N3
	 	 	40,094	 	 	 	120,282	 	 	$	1.84	 
	 
	 	 	120,283	 	 	 	360,846	 	 	$	1.77	 
	 
	 	 	360,847	 	 	 	641,504	 	 	$	1.72	 
	 
	 	 	641,505	 	 	 	882,068	 	 	$	1.72	 
	 
	 	 	882,069	 	 	 	1,200,000	 	 	$	1.72	 

38

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

39

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

STATEMENT OF WORK

Base Maintenance (Line Item 0001)

Page 1 of 5

I.     This is a supply/service contract to provide labor and services as
necessary and directed by the Government and in accordance with the enclosed
Statement of Work and the DoD Industrial Preparedness Program Production
Planning Schedule.

II.    The Contractor agrees from the effective date of contract to perform the
following:

             a.     Maintain existing facilities and equipment and technical
expertise in a state of readiness for immediate production start up to achieve
the Government’s current mobilization requirements, as set forth in the
Contractor’s Industrial Preparedness Planning Agreement (DD Form 1519) for the
following products:

	 	 	 	 	 
	NSN:	 	
6505-01-174-9919
	 	Antidote Kit, Nerve Agent, Mark I
	NSN:	 	
6505-01-125-3248
	 	Pralidoxime Chloride Injection, Automatic,

300 mg per ml, 2 ml
	NSN:	 	
6505-00-926-9083
	 	Atropine Injection, Automatic, 2 mg
	NSN:	 	
6505-01-274-0951
	 	Diazepam Automatic Injector, USP, 10 mg
	NSN:	 	
6505-01-302-5530
	 	Morphine Sulfate Injector, 10 Mg per 0.7 Ml
	NSN:	 	
6505-01-362-7427
	 	ATNAA (Antidote Treatment Nerve Agent Autoinjector)

                b.     Maintain in readiness the following tasks, functions and
activities to produce the above cited products:

                               1)    An aseptic sterile production facility in
accordance with the Federal Food, Drug and Cosmetic Act and regulations
promulgated thereunder including FDA’s current good manufacturing practices.

                               2)    A cleaning and preparation of piece parts function
required for assembly as relates to aseptic sterilization production.

                               3)    A product formulation department consistent with
the products processing requirements and to exercise the formulation process
for the Atropine, Pralidoxime, Diazepam, and Morphine Injection solutions on a
periodic basis that validates the capability to produce the products in
compliance with all regulatory, technical and quality assurance
specifications; the current technical packages for the above cited products,
as of the effective date of this contract, are incorporated into the
solicitation.

                               4)    A clean room and product filling operation.

40

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

STATEMENT OF WORK

Base Maintenance (Line Item 0001)

Page 2 of 5

                               5)    An inspection, assembly, labeling and packaging capability to effectively meet the Government’s mobilization requirements.

                               6)    A warehouse facility to insure adequate control and accountability of new supplies and materials during the receipt, storage
and issue phases and of components and fully assembled injectors being stored/rotated for the Government.

                               7)    A quality assurance and FDA regulatory compliance function to insure compliance with all quality and performance requirements
of the applicable specifications and the Government’s “shelf life enhancement” program for all products.

                               8)    A cost accounting system in accordance with generally accepted accounting principles that will be acceptable to the Government
to insure trackability of contractor costs.

                               9)    A qualified management team, supervisory staff and administrative personnel to insure effective and efficient operation of the
Contractor’s facilities.

                               10)   An acceptable training program to insure that qualified skill levels are retained in order to meet the Government’s
mobilization requirements.

                               11)    Sub-contractor business relationships to insure that the necessary sub-contractor’s production capability, capacity, technical
expertise and management commitment will meet the Contractor’s Industrial Preparedness Planning Agreement provisions.

               c.     Dedicate those best efforts to maintain a qualified sub-contractor component base for the manufacture of components and sub-components
needed to produce the end items.

               d.     In the event that prime contractor-owned component molds, tooling and assembly molds, pre-positioned at various subcontractor plants,
require replacement, the Contractor will replace or issue a contract to replace these items at no additional cost to the Government. Furthermore, the
Contractor agrees that in the event of a third party or other said agreements, the Contractor, or the liable third party, agrees to replace, repair, or
refurbish all Contractor owned molds, tooling and assembly molds prepositioned at various sub-contractor’s plants at no additional cost to the Government.

41

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	 
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC.

STATEMENT OF WORK

Base Maintenance (Line Item 0001)

Page 3 of 5

               e.     In the course of performing said labor and services in accordance with Statement of Work, the Contractor will produce an end item product
listed as line item 0004 of the schedule to the services performed. The Government recognizes these incidental products to be, but not limited to, the
following:

	 	 	 	 	 
	NSN:	 	
6505-01-174-9919
	 	Antidote Kit, Nerve Agent, Mark I
	NSN:	 	
6505-01-125-3248
	 	Pralidoxime Chloride Injection, Automatic,

300 mg per ml, 2 ml
	NSN:	 	
6505-00-926-9083
	 	Atropine Injection, Automatic, 2 mg
	NSN:	 	
6505-01-274-0951
	 	Diazepam Automatic Injector, USP, 10 mg
	NSN:	 	
6505-01-302-5530
	 	Morphine Sulfate Injector, 10 Mg per 0.7 Ml
	NSN:	 	
6505-01-362-7427
	 	ATNAA (Antidote Treatment Nerve Agent Autoinjector)

               f.     The Contractor agrees to advise the Government through the Contracting Officer of changes which may or will adversely impact production
capability to meet the production rate and schedule requirements of the current mobilization planning agreement. The Contractor shall advise the
Contracting Officer of changes required to the agreement and/or proposals which may favorably impact the Government and/or the contractor from achieving
mobilization production delivery requirements.

               g.     The Contractor also agrees to enter into future yearly Industrial Preparedness Agreements with the Government covering the above cited
products for the duration of this contract.

III. Required standards of workmanship:

               a.     Unless otherwise specifically provided in this contract, the quality of all services rendered hereunder shall conform to the highest
standards in the relevant profession, trade or field of endeavor. All services shall be rendered or supervised directly by individuals fully qualified in
the relevant profession, trade or field, and holding any licenses required by law.

               b.     The Defense Supply Center Philadelphia (DSCP) reserves the option to conduct in-process reviews (IPRs) at the Contractor’s facility. These
must be scheduled by DSCP personnel at least seven (7) days in advance of the IPR. Requests for IPRs by any other personnel will be referred to DSCP.

42

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

STATEMENT OF WORK

Base Maintenance (Line Item 0001)

Page 4 of 5

Packaging and Marking

1.     Marking of Reports

All reports shall prominently show on the cover of the report:

           a.      Name and business address of the contractor.

           b.      Contract number.

2.     Preparation for Delivery (Incidental Product — End Item)

Preparation for delivery shall be in accordance with Section 5 of the end item
specification, the latest edition at time of manufacture, required by Section C
of the contract.

Inspection and Acceptance

1.     Inspection of Services

Definition “Services”, as used in this clause, includes services performed,
workmanship, and material furnished or used in performing services.

2.     Inspection and Acceptance

     a.     Inspection and acceptance of services to be furnished hereunder shall
be made, upon completion of the services, by DCMC Saint Louis. Inspection and
acceptance of material shall be made by FDA Kansas City.

     b.     The Contractor shall provide and maintain an inspection system
acceptable to the Government covering services under this contract in
accordance with all Federal Food Drug and Cosmetic Act and regulations.
Complete records of all inspection work performed by the Contractor shall be
maintained and made available to the Government during contract performance and
for as long afterwards as the contract requires.

43

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

     c.     The Government has the right to inspect and test all services called
for by the contract, to the extent practicable at all places and times during
the term of the contract.

STATEMENT OF WORK

Base Maintenance (Line Item 0001)

Page 5 of 5

The Government shall perform inspections and tests in a manner that will not
unduly delay the work.

     d.     If any of the services performed do not conform with contract
requirements, the Government may require the Contractor to perform the services
again in conformity with the contract requirements, for no additional fee.
When the defects in services cannot be corrected by re-performance, the
Government may (1) require the Contractor to take necessary action to ensure
that future performance conforms to contract requirements, and (2) reduce any
fee payable under the contract to reflect the reduced value of the services
performed.

     e.     If the Contractor fails to promptly perform the services again or take
the necessary actions to ensure future performance in conformity with the
contract requirements, the Government may (1) by contract or otherwise, perform
the services and reduce any fee payable by an amount that is equitable under
the circumstances or, (2) terminate the contract for default.

44

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 1 of 16

1. Background

The Army has established several programs to centrally manage Medical Nuclear
Biological Chemical Defense Materiel (MNBCDM). MNBCDM covered by this
Statement of Work (SOW) are listed in paragraph 2B. These items shall be
stored in a state of readiness in support of Deployable Force Package (DFP),
formerly known as Division Ready Brigade (DRB) sets, and Unit Deployment
Package (UDP) Medical Potency and Dated (P&D) materiel programs. The U.S. Army
Medical Materiel Agency (USAMMA) has been designated as the Army Program
Manager for these programs.

2. Description of Work Required

The Contractor shall be required to manufacture new autoinjectors and
store/maintain autoinjectors (both new and extended materiel) and component
parts (includes labels and packaging for Army SLEP material, boxes for Army
UDP, and DSCP pre-stock components). The storage requirement encompasses
receipt processing, storage (i.e. vault, refrigeration, and controlled room
temperature), record-keeping, Care of Supplies in Storage (COSIS).
Re-labeling/over-labeling, assembling and packing will be performed upon
receipt of a Delivery Order based on a funded Army requisition passed through
the Defense Supply Center Philadelphia (DSCP). These costs will be as listed
on page 55. These represent ceiling costs until they are audited by DCAA.
Material shall be shipped as stated in this SOW.

     A.     The Army intends to store:

           (1) A maximum of three (3) DFPs of new materiel (not extended
expiration-dated materiel). Each DFP consists of 15,000 Antidote Kit Nerve
Agent (Mark I Kits), 5,000 Diazepam Injectors (CANA) and 1,000 packages of
Pyridostgmine Bromide Tablets (PBT).

           (2) One (1) DFP of extended expiration dated materiel that has been
re-labeled (CANA and Pralidoxime Chloride/2-PAM) and over-labeled (Atropine).

45

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 2 of 16

           (3) MNBCDM to support the UDP Medical P&D Program. The items under this
program are the Atropine Autoinjectors, CANA, Morphine Sulfate Injectors, and
Pralidoxime Chloride Injectors (2-Pam). UDP materiel, i.e., CANA, Atropine and
2-PAM, having an expiration date, will be re-labeled/over-labeled as the
expiration date is extended. Current Morphine Sulfate assets have a date of
manufacture and will require the “RX Only” statement applied to each unit of
issue (EA) in the event release is required to meet emergency or contingency
situations. New Morphine Sulfate assets will have a date of manufacture and/or
date of expiration and the Rx Only statement on the label. When the date of
manufacture requirement is replaced with the date of expiration per FDA
Regulatory Affairs, the injector shall be over-labeled when the expiration date
is extended.

           (4) MNBCDM in the Shelf Life Extension Program (SLEP). This materiel will
only be re-labeled/over-labeled when notified by the Army Program Manager,
Materiel Management Division (MCMR-MMS-M) and upon receipt of a Delivery Order
based on funded Army requisitions passed through the Defense Supply Center
Philadelphia (DSCP). USAMMA’s Technical Operations Division (MCMR-MMO-T) will
provide the lot numbers and other pertinent data to accomplish the
re-labeling/over-labeling.

           (5) MMT will store 1.5 million pouches and clips for future assembly of
Army owned Mark I Kits.

     B.     The following NSNs apply to the MNBCDM covered by this SOW:

           (1) Mark I Kits or NAAK, NSN 6505-01-174-9919 (consists of one Atropine
and one 2-Pam Injector)

           (2) CANA, NSN 6505-01-274-0951

           (3) PBT or NAPP, NSN 6505-01-178-7903 (consisting of 210 tablets per
package).

46

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

           (4) Atropine Autoinjector, NSN 6505-00-926-9083

           (5) 2-Pam, NSN 6505-01-125-3248

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 3 of 16

           (6) Morphine Sulfate Injector, 10 Mg per 0.7 mL, NSN 6505-01-302-5530

           (7) Antidote Treatment Nerve Agent Autoinjector (ATNAA),
NSN 6505-01-362-7427 (will replace Mark I Kits)

3. Manufacturing

     A.     Based on receipt of funded Army requisitions passed through the Defense
Supply Center Philadelphia (DSCP), the Contractor shall produce the required
materiel (Delivery Orders for this materiel will be issued under Line Item
0004). Materiel required to fill DFP Program funded requisitions may be
retained at the Contractor’s facility or shipped to a DLA depot or a location
within the Continental United States (CONUS) as specified in the order. Prior
to shipping DFP materiel, the Army Program Manager, must be notified of the
estimated shipping date and estimated arrival date at the destination. The
Army Program Manager will coordinate with the receiving unit(s), advising them
of the anticipated shipment(s). The Army Program Manager will then advise the
Contractor when shipment(s) can proceed. Copies of the DD Form 250, or
applicable shipping document, must be sent to USAMMA, ATTN: MCMR-MMS-M when the
shipment has been processed. Materiel manufactured for the UDP Medical P&D
Program will remain at the Contractor’s facility unless/until movement is
requested.

     B.     A maximum of three (3) different lot numbers can be provided for each
15,000 Mark I Kits and two (2) different lot numbers for each 5,000 CANA in
each DFP. Ideally only one (1) lot number would be shipped for each item of
DFP materiel. If the Contractor must produce additional lots of Mark I Kits
and CANA to satisfy this requirement, the Government has no responsibility or
liability to procure these additional quantities. The Army Program Manager
must approve any deviation from this requirement for minimum lots in writing.

     C.     Work must be consistent with current good manufacturing practices
(CGMP) and government regulations.

47

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 4 of 16

4. Storage of Army Owned MNBCDM

     A.     Receipt Processing

                 (1)      Annually, the Contractor will accept the MNBCDM quantities below, in
addition to the MNBCDM currently maintained at the Contractor’s facility.
One-fourth of the yearly amount stated would be the average amount expected in
quarterly shipments.

                 a.      600,000 Mark I Kits, NSN 6505-01-174-9919 and/or stand-alone
autoinjectors of Atropine and 2-Pam, NSNs 6505-00-926-9083 and 6505-01-125-3248
or ATNAA, NSN 6505-01-362-7427.

                 b.      200,000 CANA, NSN 6505-01-274-0951. (The maximum Contractor secure
storage limitation is approximately 883,200 ea, less ten percent (88,320 ea)
for partial cartons). Note: If commercial carriers are utilized for shipment
of overseas returns, proper DEA import/export documentation is required.

                 c.      40,000 packages of PBT, NSN 6505-01-178-7903. (The maximum Contractor
refrigerated storage limitation is approximately 109,560 packages.)

                 d.      200,000 Morphine, NSN 6505-01-302-5530. (The maximum Contractor secure
storage limitation is approximately 200,000 ea). Note: Upon notification by
USAMMA, MCMR-MMO-T of intended return of Morphine, MMT will prepare DEA 222 and
223 forms and provide them to USAMMA, MCMR-MMO-T prior to scheduling the
shipment of the activity returns. If commercial carriers are utilized for
shipment of overseas returns, proper DEA Import/Export documentation is
required.

	 	(2)	 	Materiel will be shipped to the Contractor in
quarterly shipments to be placed in the Industrial Base
Maintenance Contract (IBMC) for the life of the contract.
USAMMA, MCMR-MMO-T, will provide thirty (30) calendar days
advance notification to the Contractor of expected

48

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

	 
	shipments of materiel and when known, will provide notice of changes prior to shipment. USAMMA, MCMR-MMO-T will provide notification of the expected shipments using Excel spreadsheet reflecting the Activity, Lot Number, Nomenclature, NSN, Document Number, and Expected Receipt Quantity. The Contractor will inventory all incoming shipments within thirty (30) workdays of receipt.

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 5 of 16

All requests for an extension of the inventory period will be approved by
USAMMA, MCMR-MMO-T.

                 (3)      If necessary, substitution may be made for the shipment and quantity
of one item for another item. For example, in lieu of shipping 10,000 packages
of PBT during a quarterly shipment, USAMMA, MCMR-MMO-T may substitute 10,000
CANA, Mark I Kits, Atropine, ATNAA, or 2-Pam injectors as long as it is within
the parameters stated in Paragraph 4.A.(1).

                 (4)      USAMMA, MCMR-MMO-T shall request that all turn-in activities not send
loose and mixed materiel to the Contractor. In the event the Contractor
receives shipments of loose materiel, the shipment will not be processed. The
loose shipment shall be segregated and USAMMA, MCMR-MMO-T shall be notified.
USAMMA, MCMR-MMO-T will determine the disposition and provide appropriate
guidance for shipments of loose materiel.

                 (5)      The Contractor will forward USAMMA, MCMR-MMS-M, copies of any DD Forms
1348-1 or other shipping documents received with shipments upon completion of
the receipt inventory.

     B.      Storage

                 (1)      Mark I Kits, ATNAA, Atropine and 2-Pam requires room temperature
storage with approximately 59-86 degrees Fahrenheit or 15-30 degrees Celsius.
These items must not be allowed to freeze.

                 a.      The Contractor shall disassemble Mark I Kits received in to separate
components, unless otherwise directed by USAMMA, MCMR-MMS-M or USAMMA,
MCMR-MMO-T.

49

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

                 b.      MMT will maintain a 1.5 million inventory level using both recovered
clips and new clips.

                 (2)      CANA should be maintained between 59-86 degrees Fahrenheit or 15-30
degrees Celsius and requires safekeeping in a cage or vault due to its Note Q
rating.

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 6 of 16

                 (3)      Morphine should be maintained between 59-86 degrees Fahrenheit or
15-30 degrees Celsius and requires safekeeping in a safe or vault which meets
DEA Class II storage requirements due to its Note Q rating.

                 (4)      PBT requires refrigeration between 35-46 degrees Fahrenheit or 2-8
degrees Celsius and cannot be outside of refrigerated conditions for more than
a cumulative period of six months. The Contractor shall ensure this item is
continuously stored in refrigeration except when USAMMA directs packaging and
shipment of PBT. The Contractor shall not be held accountable for the storage
conditions of the materiel prior to receipt.

                 (5)      All MNBCDM will be segregated by, NSN, lot number, quantity of each
lot and the turn-in activity. A temporary pallet location will be assigned to
facilitate verification of the inventory by USAMMA, MCMR-MMO-T. Lot integrity
shall be maintained at all times. Upon arrival, the Contractor shall provide
the USAMMA, MCMR-MMO-T Representative an inventory report of all stored Army
materiel. The data elements for this report are provided in Paragraph 4.C.(4)
below. At a minimum, USAMMA, MCMR-MMO-T will verify inventory on a quarterly
basis.

                 (6)      Each category of materiel should be stored and recorded separately
(i.e. the extended DFP, SLEP materiel, UDP and DFP).

                 (7)      The Contractor shall notify USAMMA, MCMR-MMS-M to obtain disposition
instructions when they have accumulated ten (10) or more Tri-wall containers
from various turn-in activities.

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	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

                 (8)      The Contractor shall notify MCMR-MMO-T, within one (1) workday, when
any situation arises wherein the above storage requirements cannot be
maintained.

     C.      Record Keeping

                 (1)      After ninety (90) calendar days of contract award or implementation of
an option to the contract, the quantity of Army/Office of The Surgeon General
(OTSG) MNBCDM reflected in USAMMA’s records (MNBCDM database) must match the
quantity of MNBCDM physically on hand (in inventory) at the Contractor’s site.

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 7 of 16

                 (2)      The Contractor shall maintain a database of all stored Army owned
materiel. Accurate data from receipt processing, FDA test results, shipments
and disposal actions will be maintained. The database will reflect the NSN,
nomenclature, manufacturer, quantity, lot number, turn-in activity, extended
expiration date, original expiration date, an indicator if materiel has been
re-labeled or over-labeled, ship date, receipt date, and document number. A
monthly and quarterly extract is required from this database.

                 a.      On a monthly basis, (first workday of the month), the Contractor shall
provide the NSN, nomenclature, project code, lot number and an indicator if
materiel has been re-labeled or over-labeled, original expiration date,
extended expiration date, manufacturer and quantity to USAMMA, MCRM-MMI-M via
electronic mail. USAMMA will review/verify the data and notify the Contractor
of any discrepancies in the data.

                 b.      On a quarterly basis (the first workday of January, April, July, and
October), an extract will be provided via electronic mail to USAMMA, MCMR-MMS-M
and USAMMA, MCMR-MMO-T. This extract contains two (2) parts. The first is the
NSN Summary that provides the NSN, nomenclature, and total quantity on-hand by
project/category. The second part is the Lot Number Summary, which reflect the
project code, NSN, lot number and indicator if material has been re-labeled or
over-labeled, original expiration date, nomenclature, extended expiration date,
manufacturer and quantity. USAMMA will review/verify the data and notify the
contractor of any discrepancies in the data.

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	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

                 (3)      USAMMA, MCMR-MMO-T will provide the contractor copies of the FDA
reports for materiel in the SLEP. Codes on the report will indicate if the
materiel has been extended or failed testing. The contractor will utilize this
data to update their database.

                 (4)      The Contractor must provide USAMMA, MCMR-MMO-T and MCMR-MMS-M an Excel
spreadsheet document reflecting the assets received for each quarterly
shipment. The document shall contain the shipping activity, document number,
NSN, lot number, expected quantity, quantity received, acceptable units,
expiration date, and location. Within fifteen (15) workdays after completion
of the quarterly inspection and inventory, the Contractor shall post the
results of the

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 8 of 16

inspection/inventory to their resident system and provide a copy via electronic
mail to USAMMA, MCMR-MMO-T and MCMR-MMS-M. USAMMA, MCMR-MMO-T and MCMR-MMS-M
will validate the data, resolve discrepancies and provide notification of
acceptance or required changes to the Contractor via electronic mail within
fifteen (15) workdays of receipt from the Contractor. Necessary changes will
be made to the Contractor’s database within fifteen (15) workdays of
notification from USAMMA, MCMR-MMO-T.

     D.      Destructions

                 (1)      USAMMA, MCMR-MMO-T will provide document number, lot numbers and
quantity of materiel to be sent for destruction. Materiel requiring
destruction will be processed and made ready for shipping to destruction within
ninety (90) calendar days upon receipt of notification. USAMMA, MCMR-MMO-T
will provide DEA 222 and 223 forms to MMT for destruction of Schedule II
Morphine. The Contractor shall provide USAMMA, MCMR-MMO-T, the weights and
dimensions of the materiel to be shipped for destruction so that transportation
may be arranged.

                 (2)      USAMMA, MCMR-MMO-T shall direct shipments within thirty (30) calendar
days of verification by the contractor that the materiel has been staged and
quantities and lot numbers verified.

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	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

                 a.      USAMMA will be fully responsible for all costs associated with the
destruction of Army owned MNBCDM assets, including expired SLEP prestock
component inventories. However, should the Contractor desire to reclaim one or
more components of a stand-alone injector which exceeds the Army’s stockage
requirement, the Contractor shall be responsible for the disposal costs. MMT
shall provide USAMMA, MCMR-MMO-T with documentation indicating active
ingredients were destroyed in accordance with (IAW) local, state, and federal
regulations. Should the Contractor desire to reclaim the pouches and clips
after the Army’s stockage requirement has been met, the Contractor may do so at
no expense to the government.

                 b.      USAMMA, MCMR-MMO-T will be responsible for arranging funding and
coordinating the shipments of Army owned assets for destruction and for
obtaining a Certificate of Destruction. Upon destruction of the materiel,
USAMMA, MCMR-MMO-T

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 9 of 16

is responsible for providing the Contractor with a copy of the Certificate of
Destruction for Controlled Substances.

     E.     Government Visits

                 The Contractor agrees to allow the USAMMA Contracting Officer Technical
Representatives (COTR) from MCMR-MMS-M and/or MCMR-MMO-T to inspect, inventory,
and audit all Government owned property at any time (at least quarterly)
throughout the period of the contract. These audits will be directed by the
Contracting Officer, but may be requested by the COTR. If during such audits,
the on-hand quantity is less than indicated in the MNBCDM database maintained
by USAMMA, USAMMA shall select one of two replacement alternatives as outlined
below. The Army Program Manager retains the right to choose the replacement
alternative based upon the needs of the Government at the time.

                 a.      The Contractor replaces in kind all shortages within twenty (20) weeks
from the date of notification.

                 b.      The Contractor shall pay the Government in full for any shortages
within twenty (20) calendar days from the date of notification.

     F.      Re-labeling/Over-labeling

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	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

                 (1)      Re-labeling involves removal of the existing product label and
applying a new product label with updated label information. Over-labeling
involves applying a new product label over the existing product label.

                 (2)      The MNBCDM for the UDP Medical P&D Program will require
re-labeling/over-labeling with the latest extended expiration date within
thirty (30) workdays from date of USAMMA, MCMR-MMO-T notification via .a
Delivery Order based on a funded Army requisition passed through DSCP.

                 (3)      The DFP of extended and SLEP materiel will be re-labeled/over-labeled
on an “as required” basis when directed by USAMMA, MCMR-MMS-M. USAMMA,
MCMR-MMS-M will provide sixty (60) calendar days advance notice via a Delivery
Order based on a funded Army requisition passed through DSCP to
re-label/over-label extended DFP and/or SLEP materiel. USAMMA, MCMR-MMO-T will
provide the Contractor the lot number(s), quantity, and extended expiration
date for

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 10 of 16

each NSN requiring re-labeling/over-labeling at the time of order placement.
The Contractor shall re-label/over-label 160,000 auto-injectors, e.g., 100,000
AtroPens and 60,000 2-PAM or 50,000 Mark I Kits and 60,000 Diazepam, in the
initial 60 calendar day period and 100,000 units per month thereafter, until
the requirement is met.

                 (4)      The Contractor shall at no time combine separate lots to make larger
lots, when re-labeling/over-labeling, due to the potential recall requirements.

                 (5)      The re-label/over-label will always contain the original NSN,
manufacturer, and lot number. The only change to the over-label will be the
new expiration date. Additionally, the Contractor is required to apply the “RX
Only” statement, as required by Federal Law, to all products
re-labeled/over-labeled with a new expiration date. Upon completion of any
MNBCDM re-labeling/over-labeling, the Contractor shall immediately notify
USAMMA, MCMR-MMO-T and USAMMA, MCMR-MMS-M, via electronic mail, with the actual
number of assets of extended/issuable (quantity), NSN, manufacturer, lot
number, and new expiration date. (Losses in the re-labeling/over-labeling
process shall not exceed two percent of the total product requiring labeling.

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	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

                 (6)      MMT shall re-label/over-label lot numbers in the order/configuration
specified by USAMMA MCMR-MMO-T. Lot numbers provided by USAMMA MCMR-MMO-T will
enable MMT to over-label/re-label lots which are 5,000+ units first, followed
by lots in descending quantity lot sizes.

                 (7)      Only lot sizes of 1,000 (+) units will be considered candidates for
re-labeling/over-labeling.

                 (8)      The Contractor will only re-label/over-label MNBCDM, which the
Contractor has manufactured.

                 (9)      The exterior box bar code requirements are waived for extended
materiel in the UDP, DFP and SLEP programs.

                 (10)      PBT is excluded from the re-labeling/over-labeling requirement.

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 11 of 16

                 (11)      Auto-injectors may be over-labeled or re-labeled one (1) time only,
over a period not to exceed (5) years from original expiration date.
Over-labeling shall apply to Atropine and Morphine (if Morphine has expiration
date). Re-labeling shall apply to Diazepam and Pralidoxime.

     G.      Assembly/Packing/Shipping

                 (1)      In the event of contingency operations, DFP and UDP Medical P&D MNBCDM
shall be palletized, shipped and received at locations within seventy-two (72)
hours after the Contractor receives notification. (This seventy-two (72) hour
limitation includes weekend hours.) USAMMA, MCMR-MMS-M or MCMR-MMS-P, will
provide the quantity, type, ship to destination, and other applicable details.
Transportation funding for the DFP shipment will be provided by USAMMA,
MCMR-MMS-M or USAMMA, MCMR-MMO-TF. The DSCP will provide transportation
funding for the UDP Medical P&D materiel. MNBCDM shall be shipped via Defense
Contract Management (DCM) carrier and packaged per the contract specified
Medical Procurement Item Description (MPID) or specification for each product.

55

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

                 (2)      The Contractor shall ensure that only those lots and quantities to be
shipped as directed by the Army Program Manager are packed and prepared for
shipment. The Contractor shall maintain lot integrity at all times. Under no
circumstances will different lots of loose MNBCDM be placed in containers and
shipped.

                 (3)      In non-contingency situations, the Contractor shall pack and ship
MNBCDM (DFP and UDP Medical P&D materiel) within ten (10) calendar days after
receipt of the directive from USAMMA, MCMR-MMS-M or MCMR-MMS-P.

                 (4)      All shipments of MNBCDM shall be made using a Government Bill of
Lading (GBL) or method specified by USAMMA, MCMR-MMS-M or MCMR-MMS-P and shall
conform to applicable Defense Transportation System (DTS) and commercial
carrier rules and regulations. Materiel shall be packaged IAW commercial
practices, and intermediate package(s) and shipping container(s)

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 12 of 16

shall be marked IAW MIL-STD-129 or Medical Marking STD No. 1. Contractor shall
be a Procedure A Contractor. The contractor shall coordinate and make
arrangements with commercial firms specializing in overnight or rapid delivery,
as well as the DTS, for the timely shipment of MNBCDM within CONUS.

                 (5)      Shipment of materiel to the FDA for shelf life testing will be
processed for shipment within ten (10) workdays from receipt of DEA forms. DEA
222 and 223 forms must be provided to MMT from the FDA facility for the
shipment of Morphine samples.

                 (6)      The MNBCDM SLEP materiel that requires re-labeling/over-labeling
before shipment will be packaged using SLEP pre-stock components.

                 (7)      The Contractor shall annotate on the pallet markings and shipping
documents, when PBT are removed from the refrigerator for shipping. The
exception to this requirement is when PBT is removed from refrigeration for
destruction.

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	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

     H.      Testing

                 USAMMA, MCMR-MMS-M or MCMR-MMS-P, will test the Contractor’s ability to
provide MNBCDM to specific locations within the seventy-two (72) hours
timeframe. Such tests could range from a simple paper exercise to the packing
and shipping MNBCDM to specified locations anywhere in the world. The Army
Program Manager intends to test the Contractor twice yearly.

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	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 13 of 16

TIME TABLE SUMMARY

Shipments

     1.      During contingency situations, DFP and UDP MNBCDM must be palletized,
shipped, and received at specified locations within seventy-two (72) hours
after notification from the Army Program Manager.

     2.      The Contractor has up to ten (10) calendar days after notification to
package and ship DFP and UDP MNBCDM in non-contingency situations.

Destruction

     1.      The Contractor has ninety (90) calendar days from USAMMA, MCMR-MMO-T
notification to complete staging for destruction.

     2.      Upon notification that materiel is ready for destruction, USAMMA,
MCMR-MMO-T has thirty (30) calendar days to provide shipping instructions or
notification to the Contractor that shipment cannot occur due to unavoidable
circumstances.

FDA Samples

     The Contractor has ten (10) workdays after notification or receipt of DEA
forms to ship samples.

Re-labeling/Over-Labeling

     1.      The Contractor has thirty (30) workdays after receipt of a Delivery
Order based on a funded Army requisition passed through the Defense Supply
Center Philadelphia (DSCP)to re-label/over-label UDP materiel.

     2.      Excluding PBT, the Contractor has sixty (60) calendar days after
receipt of a Delivery Order based on a funded Army requisition passed through
DSCP to re-

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	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

label/over-label 160,000 DFP or SLEP assets and provide 100,000 each month
thereafter until the requirement is completed.

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 14 of 16

Record Keeping

     1.      The Contractor has ninety (90) calendar days after award of contract or
implementation of an option to ensure the quantity of Army/OTSG MNBCDM
reflected in USAMMA records matches the on-hand balances stored in the
Contractor’s facility.

     2.      Monthly Database Extract – First workday of the month, FTP database
extract to USAMMA, MCMR-MMI-M.

     3.      Quarterly Database Extract – First workday of January, April, July, and
October, annually, forwarded database extract to USAMMA, MCMR-MMS-M and USAMMA,
MCMR-MMO-T via electronic mail.

     4.      The Contractor has fifteen (15) workdays after completion of the
quarterly inspection/inventory to input inventory data into the MNBCDM database
(Contractor facility) and provide USAMMA, MCMR-MMO-T a copy via electronic
mail.

SLEP Receipts

     1.      USAMMA, MCMR-MMO-T will provide thirty (30) calendar days advance
notification to the Contractor of expected shipments.

     2.      The Contractor shall complete processing of SLEP receipts within thirty
(30) workdays from date of last receipt and notify USAMMA, MCMR-MMO-T.

Acronyms/Office Symbols

	 	 	 
	2-Pam	 	
Pralidoxime Chloride Injection
	ATNAA	 	
Antidote Treatment Nerve Agent Auto-injector
	CANA	 	
Diazepam
	CGMP	 	
Current Good Manufacturing Practices

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	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

	 	 	 
	COSIS	 	
Care of Supplies in Storage
	COTR	 	
Contracting Officer Technical Representative
	DCM	 	
Defense Contract Management
	DD Form	 	
Department of Defense Form

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 15 of 16

	 	 	 
	DLA	 	
Defense Logistics Agency
	DFP	 	
Deployable Force Package
	DSCP	 	
Defense Supply Center Philadelphia
	DTS	 	
Defense Transportation System
	FDA	 	
Food and Drug Administration
	FTP	 	
File Transfer Protocol
	GBL	 	
Government Bill of Lading
	IAW	 	
In Accordance With
	IBMC	 	
Industrial Base Maintenance Contract
	JMAR	 	
Joint Medical Asset Repository
	Mark I Kits	 	
Antidote Kit Nerve Agent
	MCMR-MMI-M	 	
Joint Medical Asset Repository Project Office (Leslie Eyler,
leslie.eyler@det.amedd.army.mil)
	MCMR-MMO-T	 	
USAMMA’s Operations and Support Directorate
COTR: Ms. Teresa Bess (teresa.bess@det.amedd.army.mil,
General Supply Specialist)
	MCMR-MMO-TF	 	
USAMMA’s Distribution Operations Center Operations & Support
Directorate
	MCMR-MMS-M	 	
Office within USAMMA’s Strategic Capabilities & Materiel
Directorate for Materiel Management, COTR: Ms. Tammy
Dundus, Army Program Manager
(tammy.dundus@det.amedd.army.mil)
	MCMR-MMS-P	 	
Office within USAMMA’s Strategic Capabilities & Materiel
Directorate for UDP Management
	MNBCDM	 	
Medical Nuclear Biological Chemical Defense Materiel
	MPID	 	
Medical Procurement Item Description
	NAAK	 	
Antidote Kit Nerve Agent
	NAPP	 	
Pyridostigmine Bromide Tablets
	Note Q	 	
An item which is a drug or other substance determined by the
Administrator, Drug Enforcement Administration, to be
designated Schedule Symbol II, III, IV, or V, and defined in the

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	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

	 	 	 
	 	 	
Controlled Substances Act, effective 1 May 1971, and other
items requiring security storage.
	NSN	 	
National Stock Number
	OTSG	 	
Office of The Surgeon General
	Over-Label	 	
Applying a new product label over the existing product label

STATEMENT OF WORK

LOGISTICS MAINTENANCE AND DFP PROGRAM

(LINE ITEMS 0002 AND 0003)

Page 16 of 16

	 	 	 
	P&D Materiel	 	
Potency and Dated Materiel (Medical)
	PBT	 	
Pyridostigmine Bromide Tablets
	Re-Label	 	
Removal of the existing product label and applying a new
product label with updated label information
	SLEP	 	
Shelf Life Extension Program
	Turn-In Activities	 	
Army activities authorized to receive MNBCDM from maneuver
units for shipping to the Contractor (MMT)
	UDP	 	
Unit Deployment Package
	USAMMA	 	
U.S. Army Medical Materiel Agency

ATTN:
	 	 	
1423 Sultan Drive, Suite 100

Fort Detrick, MD 21702-5001
	DEA 222 Form	 	
Schedule I and II Controlled Substances Order Form
	DEA 223 Form	 	
DEA Facility License

DATABASE LOT INDICATORS

	 	 	 
	HT	 	
High temperature – material stored above temperature storage requirements in the field.
	RT	 	
Refrigerated temperature – material not provided refrigerated storage in the field.
	XL	 	
Extra Label – unit has already been over-labeled 2 or more times.
	RL	 	
Re-Labeled – Unit has been relabeled 1 time with new expiration dating. (Applies to 2-PAM and CANA units.)
	OL	 	
Over-Labeled – Unit has been over-labeled 1 time with new expiration dating. (Applies to Atropine and Morphine)

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	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

16a of 16

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Solicitation SPO200-01R-1005	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	SCHEDULE C
	FY03	 	Base Yr.	 	MARK-I	 	PRALIDOXIME	 	ATROPINE	 	DIAZEPAM	 	MORPHINE
	Batch size	 		 	24,650	 	24,650	 	40,500	 	24,650	 	40,500
	
	 	 	 	 	 	
	 	
	 	
	 	
	 	

	Direct Labor
	 	 	 	 	 	$	1.118713	 	 	$	0.451888	 	 	$	0.373837	 	 	$	0.479407	 	 	$	0.373837	 
	Plant O/H
	 	 	26.30	%	 	$	0.294222	 	 	$	0.118847	 	 	$	0.098319	 	 	$	0.126084	 	 	$	0.098319	 
	 
	 	 	 	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 
	Sub Total
	 	 	 	 	 	$	1.412935	 	 	$	0.570735	 	 	$	0.472156	 	 	$	0.605491	 	 	$	0.472156	 
	Corp O/H
	 	 	15.79	%	 	$	0.223102	 	 	$	0.090119	 	 	$	0.074553	 	 	$	0.095607	 	 	$	0.074553	 
	Profit
	 	 	14.00	%	 	$	0.229045	 	 	$	0.092519	 	 	$	0.076539	 	 	$	0.098154	 	 	$	0.076539	 
	 
	 	 	 	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 
	Unit Price
	 	 	 	 	 	$	1.87	 	 	$	0.75	 	 	$	0.62	 	 	$	0.80	 	 	$	0.62	 
	 
	 	 	 	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	FY04	 	Option I	 	MARK-I	 	PRALIDOXIME	 	ATROPINE	 	DIAZEPAM	 	MORPHINE
	 
	Batch size	 	 	 	 	 	24,650	 	24,650	 	40,500	 	24,650	 	40,500
	
	 	 	 	 	 	
	 	
	 	
	 	
	 	

	Direct Labor
	 	 	 	 	 	$	1.198899	 	 	$	0.483471	 	 	$	0.400053	 	 	$	0.513336	 	 	$	0.400053	 
	Plant O/H
	 	 	26.30	%	 	$	0.315310	 	 	$	0.127153	 	 	$	0.105214	 	 	$	0.135007	 	 	$	0.105214	 
	 
	 	 	 	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 
	Sub Total
	 	 	 	 	 	$	1.514209	 	 	$	0.610624	 	 	$	0.505267	 	 	$	0.648343	 	 	$	0.505267	 
	Corp O/H
	 	 	15.79	%	 	$	0.239094	 	 	$	0.096418	 	 	$	0.079782	 	 	$	0.102373	 	 	$	0.079782	 
	Profit
	 	 	14.00	%	 	$	0.245462	 	 	$	0.098986	 	 	$	0.081907	 	 	$	0.105100	 	 	$	0.081907	 
	 
	 	 	 	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 
	Unit Price
	 	 	 	 	 	$	2.00	 	 	$	0.81	 	 	$	0.67	 	 	$	0.86	 	 	$	0.67	 
	 
	 	 	 	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	FY05	 	Option II	 	MARK-I	 	PRALIDOXIME	 	ATROPINE	 	DIAZEPAM	 	MORPHINE
	 
	Batch size	 	 	 	 	 	24,650	 	24,650	 	40,500	 	24,650	 	40,500
	
	 	 	 	 	 	
	 	
	 	
	 	
	 	

	Direct Labor
	 	 	 	 	 	$	1.279184	 	 	$	0.515544	 	 	$	0.426526	 	 	$	0.547457	 	 	$	0.426526	 
	Plant O/H
	 	 	26.30	%	 	$	0.336425	 	 	$	0.135588	 	 	$	0.112176	 	 	$	0.143981	 	 	$	0.112176	 
	 
	 	 	 	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 
	Sub Total
	 	 	 	 	 	$	1.615609	 	 	$	0.651132	 	 	$	0.538702	 	 	$	0.691438	 	 	$	0.538702	 
	Corp O/H
	 	 	15.79	%	 	$	0.255105	 	 	$	0.102814	 	 	$	0.085061	 	 	$	0.109178	 	 	$	0.085061	 

62

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Profit
	 	 	14.00	%	 	$	0.261900	 	 	$	0.105552	 	 	$	0.087327	 	 	$	0.112086	 	 	$	0.087327	 
	 
	 	 	 	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 
	Unit Price
	 	 	 	 	 	$	2.13	 	 	$	0.86	 	 	$	0.71	 	 	$	0.91	 	 	$	0.71	 
	 
	 	 	 	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 	 	 	
	 

63

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

STATEMENT OF WORK

Program Management Under Readiness Enhancement Program

(Line Item 0006)

Page 1 of 4

I      BACKGROUND

A.     The Nerve Agent Antidote Autoinjectors (NAAA) Readiness Enhancement Program
(REP) initiative provides for pre-positioned components of long lead-time
items, production equipment, and a trained pool of personnel to staff the 2nd
and 3rd shifts. The NAAA REP initiative will increase production capacity at
Meridian Medical Technologies (MMT) by 66% during the critical first 120 days
of a Two-Major-Theater-War (2MTW).

B.     In order to maintain a trained pool of personnel to staff the additional
two shifts, MMT shall enter into a business arrangement with an employment
agency to ensure that a trained workforce is available upon notice to staff the
2nd and 3rd shifts.

II      DESCRIPTION OF WORK REQUIRED

A.     MMT shall establish a program that will ensure that a sufficient number of
qualified and properly trained temporary employees are available to staff the
second and third production shifts for the production of NAAAs. MMT will
secure a business arrangement with a subcontractor, Southside Temporaries (ST),
to set up and maintain a contingency worker pool of 25 Assemblers for MMT. The
number of assemblers is based on MMT being able to meet the 2MTW scenario by
taking the following actions:

		
	 	a) Assembling, re-labeling, and shipping inventories currently under
Shelf Life Extension Program (SLEP)
	 
	 	b) Assembling, re-labeling, and shipping inventories currently being
stored at MMT in the form of pre-stock components
	 
	 	c) Utilizing ALL of MMT’s St. Louis staff in production of US DoD
injectors in order to satisfy the 2MTW. This would include personnel not
currently dedicated to DoD production under the IBMC.

The additional 25 assemblers will provide flexibility in operations to allow
for the best utilization of MMT staff employees in other areas of autoinjector
production. Initially these assemblers will concentrate on converting SLEP
inventory for quick shipments to DoD and as those stocks are exhausted, they
will be integrated into the production of new injectors. Three-shift production
shall ensure that production capacity is adequate to meet the requirements of a
2MTW.

If requirements for the 2MTW are adjusted, the number of additional assemblers
may be adjusted. The assignments for these additional employees will expire
once MMT has satisfied the autoinjector requirements for the 2MTW.

64

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

STATEMENT OF WORK

Program Management Under Readiness Enhancement Program

(Line Item 0006)

Page 2 of 4

B.     This program is currently in place under SP0200-99D0007. MMT will advise
the Contracting Officer of any changes to, or cancellation of, that agreement
occurring prior to the expiration of contract SP0200-99-D-0007 and the award of
the next IBMC. The contract/agreement with the personnel company shall
identify the number of employees under the program, a description of the work
the temporary employees are expected to perform under a contingency and the
qualifications the temporary employees must meet to be in enrolled and retained
in the program.

C.     MMT shall continue submitting a written report to the Contracting Officer
on the last day of each quarter documenting the following:

           a) Summary of past quarter’s efforts and results achieved

           b) Outstanding problems, new problems, and prior issues resolved

           c) Summary of costs incurred and amounts to be invoiced for payment

The report shall be submitted in hard copy. Contracting Officer approval of
the progress report submitted shall be deemed as acceptance by the Government
of the service provided. The Contracting Officer shall complete the review of
the progress report within one week after submittal.

D.     MMT shall submit a DD250 as the invoice for the services provided to the
Contracting Officer on the last day of each quarter. The Government shall pay
in accordance with FAR clause 52.232-25, Prompt Payment, based on the actual
costs incurred, but not exceeding the ceiling prices contained in the Cost and
Fee Schedule.

III      BASIC REQUIREMENTS FOR CONTINGENCY WORKERS

A.     The provider of the contingency workers (ST) will use the same criteria it
uses to provide non-contingency workers to MMT.

B.     The basic requirements for contingency workers are as follows:

		
	 	1. Pool members must pass an MMT Assembler Classification Test
administered by ST prior to being selected as a contingency worker. The
Assembler Classification Test is a validated test based on the work the
individuals will be performing (reading comprehension and basic math
skills).

65

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

STATEMENT OF WORK

Program Management Under Readiness Enhancement Program

(Line Item 0006)

Page 3 of 4

		
	 	2. Pool members will be required to pass an eye test administered by ST
trained personnel before job offer and annually thereafter. Pool members
will be tested using the Titmus II Vision Tester. Pool members are
required to achieve a score of 9 or above for near vision, (14”) with
both eyes. This is equivalent to a Snellen fraction of 14/16 or a Jaeger
between J-1 and J-2.

		
	 	3. ST will conduct a police reference check on pool members from the
City and County. Pool members will be required to have a positive police
reference check. A positive police reference check is required before the
individual is assigned as a contingency worker. ST will also conduct a
police reference check when a contingency worker wants to come back after
a break (if they miss a quarterly training cycle) in their pool rotation.

		
	 	4. Pool member will be required to pass a drug test. The individual
will be referred to the South Point Hospital (St. Louis) who will
administer an industry standard drug test in a controlled environment.
An acceptable test result is required before the individual is assigned
as a contingency worker. Contingency workers wanting to come back after
a break (if they miss a quarterly training cycle) in their rotation will
also be administered and required to pass the drug test.

		
	 	5. When DSCP notifies MMT to activate the pool, MMT will telephonically
notify ST. ST, within 3 weeks, must secure the 25 qualified individuals
to undergo the one-week training phase (the training will consist of
hands-on final assembly, labeling, package labeling and packing). For
purposes of training the full complement of 25 individuals have to be
trained. At the conclusion of the one-week training cycle the
individuals are released back to ST who will keep them active and have
them ready for their next training cycle in 3 months.

		
	 	6. At a Department of Defense declared emergency, DSCP will notify MMT
who will in turn notify ST. ST will then have 48 hours to have the
trained pool members report to the MMT facility ready to work, unless the
pool members are already on site as part of their one week, every
quarter, training cycle.

		
	 	7. Pool members will be trained/retrained for one week every quarter.
The training cycle lasts 5 working days. No training will be scheduled
during a week having a Holiday. MMT will follow a training plan, which
addresses final assembly, labeling, package labeling and packing.
Production Supervisors (qualified on Good

66

 

	 	 	 
	CONTRACT:	 	
SP0200-02D-0006
	CONTRACTOR:	 	
MERIDIAN MEDICAL TECHNOLOGIES INC

		
	 	Manufacturing Practices (GMP) and local procedures) will conduct hands on
training on company premises in actual production environments.

STATEMENT OF WORK

Program Management Under Readiness Enhancement Program

(Line Item 0006)

Page 4 of 4

C.     ST will do the following to maintain the pool of contingency workers:

		
	 	1. Ensure that each pool member is tested once for drug use prior to
starting in the contingency program. The drug test will be in accordance
with Industry Standards at a local hospital. Thereafter, pool members
will be randomly tested on a quarterly basis based on the date this
program is activated or when a contingency worker wants to come back
after a break (if they miss a quarterly training cycle) in their pool
rotation.

		
	 	2. ST will communicate with all pool members, no less often than once
every 15-calendar days, to verify the pool members’ availability to work.
All pool members will be required to report in person at least once
every 30-calendar days. Should a pool member not be reached by telephone
or fail to appear in person, ST will report the incident to MMT along
with a recommendation to retain or release the employee from the program.
MMT will in turn report the incident and the outcome in their quarterly
progress report to the Government. ST shall document all contacts with
pool members.

		
	 	3. ST will assist pool members in finding alternate temporary work. MMT
will have priority over any other employers, as it relates to pool
members, should a contingency happen.

		
	 	4. MMT has the discretion of changing the training dates, however, pool
members will be given approximately 30 days notice of any change in
dates.

		
	 	5. ST will send MMT all employment documentation, certification and test
results BEFORE a person is put in the pool and starts their training. ST
shall make the documentation available to MMT upon MMT’s written request
within five working days of the request. MMT will provide this
documentation to the Government either in quarterly progress reports or
at the specific written request of the contracting officer.

		
	 	6. MMT will report additional/new training actions necessary and/or
corrective action taken, as a result of the Pool falling to 13 persons or
less, in the quarterly report to the Government.

		
	 	7. ST will pay a retaining bonus of $100 to each pool member at the
completion of each retraining session based on fulfillment of
requirements and attendance, as required. MMT will be billed for this
payment.

67exv10w22

 

EXHIBIT 10.22

EMPLOYMENT AGREEMENT

     This EMPLOYMENT AGREEMENT, dated as of December 6, 2001, is made by and
between JAMES H. MILLER (the “Executive”) and MERIDIAN MEDICAL TECHNOLOGIES,
INC. (the “Company”), a Delaware corporation.

RECITALS

     WHEREAS, the Executive and the Company have previously entered into an
employment agreement, dated November 20, 1996 (the “Former Agreement”); and

     WHEREAS, the Board of Directors of the Company (“Board of Directors”) has
determined that it is in the best interest of the Company’s shareholders that
appropriate steps should be taken to reinforce and encourage the continued
dedication of the Executive to the Executive’s assigned duties; and

     WHEREAS, in order to induce the Executive to remain in the employ of the
Company and to induce the Executive to give the Executive’s continued attention
and dedication to the Executive’s assigned duties, the Company desires to enter
into, and the Executive wishes to accept, this Employment Agreement in
substitution for the Former Agreement;

     NOW, THEREFORE, in consideration of the mutual covenants herein contained
and other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, and intending to be legally bound hereby, the Company
and the Executive do hereby agree as follows:

ARTICLE 1.

DEFINITIONS

     Whenever the following terms are used below in this Employment Agreement,
they shall have the meaning specified below, and no other, unless the context
clearly indicates to the contrary. The masculine pronoun shall include the
feminine and neuter, and the singular the plural, where the context so
indicates.

	 	 	 
	1.1	 	
Annual Bonus. “Annual Bonus” shall mean the greater of (a)
the annual bonus paid or payable by the Company to the Executive for
the fiscal year immediately preceding the Date of Termination and
(b) the average of the annual bonuses paid or payable to the
Executive for the three (3) fiscal years immediately preceding the
fiscal year in which the Date of Termination falls.
 
	1.2	 	
Board of Directors. “Board of Directors” shall have the
meaning provided in the second recital of this Agreement.
 

 

 

	 	 	 
	1.3	 	
Cause. “Cause” shall mean termination of employment with the
Company because of (i) the Executive’s failure or refusal to
substantially perform the duties reasonably required of the
Executive by the Company (other than by reason of disability), after
reasonable demand for substantial performance is delivered by the
Company specifically identifying the manner in which the Company
believes the Executive has not performed his duties; (ii) the
commission by the Executive of a felony or the perpetration by the
Executive of a dishonest act against or breach of fiduciary duty
toward the Company; or (iii) any willful act or omission by the
Executive which is injurious in any material respect to the
financial condition or business reputation of the Company. For
purposes of this Section 1.3, no act, or failure to act, on the
Executive’s part shall be considered “willful” unless done, or
omitted to be done, by him not in good faith and without reasonable
belief that his act or omission was in the best interests of the
Company.
 
	1.4	 	
Code. “Code” shall mean the Internal Revenue Code of 1986,
as amended.
 
	1.5	 	
Company. “Company” shall mean Meridian Medical Technologies,
Inc., a Delaware corporation, its subsidiaries and affiliates, and
any successor to its business, whether direct or indirect, by
purchase or securities, merger, consolidation, purchase of all or
substantially all of the Company’s assets or otherwise.
 
	1.6	 	
Date of Termination. “Date of Termination” shall mean (i) in
the case of the Executive’s termination of employment by the Company
for Disability, thirty days after Notice of Termination is given,
provided that the Executive shall not have returned to the
performance of the Executive’s assigned duties on a full-time basis
during such thirty day period; (ii) in the case of termination of
the Executive’s employment by the Company for Cause, the date of
actual termination; or (iii) in the case of termination of the
Executive’s employment by the Executive for Good Reason or
termination for any other reason, the date specified in the Notice
of Termination, which date shall not be less than thirty days after
the date such Notice of Termination is given.
 
	1.7	 	
Disability. “Disability” shall mean a disability that
results in the Executive’s entitlement, for the duration of his
disability, to payments under the Company’s long-term disability
plan or policy in effect immediately before the Executive’s
termination of employment hereunder.
 
	1.8	 	
Executive. “Executive” shall have the meaning provided in
the first paragraph of this Agreement.
 
	1.9	 	
Good Reason. “Good Reason” shall mean the occurrence of any
of the following events without the Executive’s express written
consent:
 

-2-

 

	 	(a)	 	the assignment to the Executive of duties
inconsistent with the position and status of the Chairman of
the Board, President and Chief Executive Officer of the
Company, or a substantial alteration in the nature, status or
prestige of the Executive’s responsibilities as Chairman of
the Board, President and Chief Executive Officer of the
Company from those in effect at the date hereof, excluding
for these purposes an isolated, insubstantial and inadvertent
action not taken in bad faith that is remedied by the Company
promptly after receipt of notice thereof given by the
Executive;
	 
	 	(b)	 	a reduction by the Company in the Executive’s
pay grade or base salary as in effect at the date hereof or
as the same may be increased from time to time during the
term of this Agreement or the Company’s failure to increase
(within 12 months of the Executive’s last increase in base
salary) the Executive’s base salary in an amount which at
least equals, on a percentage basis, the average percentage
increase in base salary for the Company’s executive officers
(within the meaning of Rule 3b-7, promulgated under the
Securities Exchange Act of 1934, as amended) in the preceding
12 months;
	 
	 	(c)	 	an involuntary relocation of the Executive from
the location contemplated in Article 3 hereof or the breach
by the Company of any other provision of this Agreement
(other than an immaterial breach that is promptly corrected
after notice by the Executive to the Company); or
	 
	 	(d)	 	any purported termination of the employment of
the Executive by the Company which is not effected according
to the requirements of a Notice of Termination as defined in
Section 1.10 hereof.

	 	 	 
	1.10	 	
Notice of Termination. “Notice of Termination” shall mean a
notice, in writing, to the Executive from the Company or to the
Company from the Executive, which indicates the specific termination
provision enumerated in this Agreement relied upon, and which sets
forth in reasonable detail the facts and circumstances alleged to
provide a basis for termination of the Executive’s employment by the
Company or by the Executive. Such notice must be communicated to
the Executive in accordance with Section 7.3 hereof.
	 
	1.11	 	
Tax Counsel. “Tax Counsel” shall mean legal counsel,
selected by Ernst & Young LLP (or an independent certified public
accounting firm that is duly selected by the Board of Directors),
and acceptable to the Executive and the Company, for the purpose of
rendering legal advice and services on tax issues arising under this
Agreement.

-3-

 

ARTICLE 2.

TERM

     This Agreement shall be effective commencing on the date hereof and shall
continue in effect through the third anniversary of the date hereof; provided,
however, that commencing on the first anniversary of the date hereof and on
each annual anniversary of the date hereof thereafter, the term of this
Agreement shall automatically be extended for one additional year unless no
later than 90 days before such anniversary, the Company shall have given the
Executive notice that it does not desire to extend the term of this Agreement.
Notice by the Company pursuant to this Article 2 that it does not wish to
extend the term of this Agreement shall not constitute a Notice of Termination
and shall not constitute Good Reason for the Executive to terminate his
employment with the Company.

ARTICLE 3.

EMPLOYMENT

     The Company agrees to employ the Executive and the Executive agrees to
continue to serve the Company on the terms and conditions set forth herein.
Except as may otherwise be agreed upon between the Company and the Executive,
the Executive shall serve the Company as President and Chief Executive Officer
of the Company. At all times, the Executive shall report directly to the Board
of Directors of the Company. The Executive shall devote substantially all of
his working time and efforts to the business and affairs of the Company, except
for reasonable time spent for service on the boards of directors of other
corporations, vacations and civic and charitable activities, and shall continue
to represent the Company within its industry. The Executive shall, except as
the Executive may otherwise agree, perform his principal activities at the
executive offices of the Company located in the Baltimore-Washington corridor
subject to required travel on the Company’s business.

ARTICLE 4.

BENEFITS AND COMPENSATION

	 	 	 
	4.1	 	
Base Salary. During the term of his employment hereunder,
the Company shall pay to the Executive, in approximately equal
installments not less often than twice per month, a base salary of
not less than $420,000 per year, as the same may from time to time
be increased.
 
	4.2	 	
Eligibility for Bonuses. Each year during the term of the
Executive’s employment hereunder, the Executive shall be eligible to
receive an annual bonus, the amount and payment of which shall be
determined by the Board of Directors in its reasonable discretion.
 
	4.3	 	
Benefit Plans and Arrangements. The Executive shall be
entitled to participate in the Company’s employee benefit plans and
arrangements in effect during the term of his employment hereunder: provided that the benefits and rights provided to the Executive
under such plans and

-4-

 

	 	 	 
	 	 	
arrangements shall be not less favorable than the benefits and
rights provided to the Executive under the Company’s plans and
arrangements applicable to the Executive as of the date hereof.
 
	 
	4.4	 	
Perquisites. During the term of his employment hereunder,
the Executive shall be entitled to receive fringe benefits
ordinarily and customarily provided by the Company. The fringe
benefits to which the Executive is entitled under this Section 4.4
shall not be less favorable than those to which the Executive is
entitled as of the date hereof.
 
	 
	4.5	 	
Expenses. The Company shall promptly reimburse the Executive
for all reasonable travel and other business-related expenses
related to the Company’s business actually paid or incurred by him
in the performance of his services under this Agreement.
 

ARTICLE 5.

TERMINATION

	 	 	 
	5.1	 	
Death. The Executive’s employment hereunder shall terminate
upon his death.
 
	 
	5.2	 	
Disability. During any period within the term of this
Agreement that the Executive is or becomes incapacitated due to
physical or mental illness, the Executive shall continue to receive
the Executive’s full base compensation and other benefits at the
rate then in effect until the Executive’s employment is terminated.
After termination for Disability, benefits accruing to the Executive
shall be determined in accordance with the Company’s disability
policy as then in effect.
 
	 
	5.3	 	
Cause. The Company may terminate the Executive’s employment
hereunder for Cause. In the event that the Executive’s employment
with the Company is terminated for Cause, the Executive shall
receive the Executive’s full base compensation as earned through the
Date of Termination at the rate in effect at the time Notice of
Termination is given. Following payment of said amount and without
impairing the Executive’s rights under benefit plans and
arrangements and the Company’s policies and procedures, the Company
shall have no further obligations to the Executive under this
Agreement.
 
	 
	5.4	 	
Termination for Reason other than Death, Disability or Cause.
In the event that the employment of the Executive shall be
terminated during the term of this Agreement (i) by the Company for
any reason other than for Cause or Disability or (ii) by the
Executive for Good Reason, then:
 

-5-

 

	 	(a)	 	unless the Executive shall elect instead to
receive the benefits available under the Company’s severance
policy, the Executive shall be entitled to receive from the
Company:
	 

	 	(i)	 	the Executive’s full base
compensation as earned through the Date of Termination
at the rate in effect at the time Notice of
Termination is given;
	 
	 	(ii)	 	any bonus to which the Executive
has become entitled but which has not yet been paid to
the Executive;
	 
	 	(iii)	 	for a 36-month period after such
termination, life, disability, accident and health
insurance coverage (under the Company’s plans and
policies) that are substantially the same as that
which the Executive received immediately prior to the
Notice of Termination, provided that if any such
benefits enumerated above cannot be provided to the
Executive or his dependents, beneficiaries or estate
under any of the Company’s plans, the Company shall
cause the Executive to receive such benefits under
alternative plans or arrangements that provide such
coverage on substantially the same terms and at a cost
to the Executive that is not greater than that
incurred by the Executive (determined on an after-tax
basis) immediately prior to the Notice of Termination;
	 
	 	(iv)	 	a lump sum cash payment equal to
the product of (A) three (3), and (B) the Executive’s
combined base compensation for the twelve-month period
immediately preceding the Notice of Termination;
	 
	 	(v)	 	a lump sum cash payment equal to
the Executive’s Annual Bonus; and
	 
	 	(vi)	 	a lump sum cash payment equal to
the product of (A) the Executive’s Annual Bonus and
(B) a fraction, the numerator of which is the number
of days in the then-current fiscal year through the
Date of Termination and the denominator of which is
365;
	 

	 	(b)	 	all options to purchase securities of the
Company then held by the Executive shall be immediately
exercisable, without regard to whether such options are
exercisable at such time pursuant to the terms of the
documents under which such options were granted; and
	 
	 	(c)	 	any securities of the Company then held by the
Executive that are subject to any restriction on transfer,
other than restrictions

-6-

 

	 	 	 	imposed only by federal or state securities laws, shall
lapse and be of no further force and effect with the result
that the Executive shall be permitted to sell, transfer or
otherwise dispose of such securities without regard to any
such restrictions.

	 	 	 
	5.5	 	
Tax Gross-Up of Benefit Payments.

	 	(a)	 	In the event that (i) the Executive becomes
entitled to any benefits or payments in connection with a
change in the ownership or effective control of the Company
or a change in the ownership of a substantial portion of the
assets of the Company (within the meaning of Section 280G of
the Code and the regulations promulgated thereunder) or the
termination of the Executive’s employment, whether pursuant
to the terms of this Agreement or otherwise (collectively,
the “Total Benefits”), and (ii) any of the Total Benefits
will be subject to the excise tax imposed under Section 4999
of the Code (the “Excise Tax”), the Company shall pay to the
Executive an additional amount (the “Gross-Up Payment”) such
that the net amount retained by the Executive from the
Gross-Up Payment, after deduction of any federal, state and
local income taxes, Excise Tax, and FICA and Medicare
withholding taxes upon the Gross-Up Payment, shall be equal
to the Excise Tax on the Total Benefits. For purposes of
determining the amount of such Excise Tax, the amount of the
Total Benefits that shall be treated as subject to the Excise
Tax shall be equal to (i) the Total Benefits, minus (ii) the
amount of such Total Benefits that, in the opinion of Tax
Counsel, are not excess parachute payments (within the
meaning of Section 280G(b)(1) of the Code).
	 
	 	(b)	 	For purposes of this Section 5.5, the Executive
shall be deemed to pay federal income taxes at the highest
marginal rate of federal income taxation in the calendar year
in which the Excise Tax is (or would be) payable and state
and local income taxes at the highest marginal rate of
taxation in the state and locality of the Executive’s
residence on the Date of Termination, net of the reduction in
federal income taxes which could be obtained from deduction
of such state and local taxes (calculated by assuming that
any reduction under Section 68 of the Code in the amount of
itemized deductions allowable to the Executive applies first
to reduce the amount of such state and local income taxes
that would otherwise be deductible by the Executive). Except
as otherwise provided herein, all determinations required to
be made under this Section 5.5 shall be made by Tax Counsel,
which determinations shall be conclusive and binding on the
Executive and the Company absent manifest error.

-7-

 

	 	(c)	 	In the event that the Excise Tax on the Total
Benefits is subsequently determined to be less than the
amount taken into account hereunder at the time of
termination of the Executive’s employment, the Executive
shall repay to the Company, at the time that the amount of
such reduction in Excise Tax is finally determined, the
portion of the Gross-Up Payment attributable to such
reduction (plus that portion of the Gross-Up Payment
attributable to the Excise Tax, federal, state and local
income taxes and FICA and Medicare withholding taxes imposed
on the Gross-Up Payment being repaid by the Executive to the
extent that such repayment results in a reduction in any such
taxes and/or a federal, state or local income tax deduction)
plus interest (at the rate applicable under Section 1274 of
the Code) on the amount of such repayment for the period that
the portion of the Gross-Up Payment being repaid was held by
the Executive. In the event that the Excise Tax on the Total
Benefits is determined to exceed the amount taken into
account hereunder at the time of the termination of the
Executive’s employment (including by reason of any payment
the existence or amount of which cannot be determined at the
time of the Gross-Up Payment), the Company shall make an
additional Gross-Up Payment (which shall be calculated by Tax
Counsel in the same manner and using the same assumptions as
set forth in Sections 5.5(a) and 5.5(b) hereof) to the
Executive in respect of such excess (plus any interest,
penalties or additions payable by the Executive with respect
to such excess to the Internal Revenue Service or any other
federal, state, local or foreign taxing authority) at the
time that the amount of such excess is finally determined.

	 	 	 
	5.6	 	
Legal Fees and Expenses. Provided that the Executive is the
prevailing party, the Company shall pay to the Executive all
reasonable legal fees and expenses incurred by the Executive as a
result of a dispute regarding the application of any provision of
this Agreement, including all such fees and expenses, if any,
incurred (a) in seeking to obtain or enforce any right or benefit
provided by the Agreement or (b) in connection with any tax audit or
proceeding to the extent attributable to the application of Section
4999 of the Code to any of the Total Benefits. Such payments shall
be made within five (5) business days after delivery of the
Executive’s respective written requests for payment accompanied with
such evidence of fees and expenses incurred as the Company
reasonably may require.
 
	5.7	 	
No Mitigation. The Executive shall not be required to
mitigate the amount of any payment provided for in this Agreement by
seeking other employment or otherwise, nor shall the amount of any
payment provided for in this Agreement be reduced or offset by any
compensation earned by the Executive as a result of employment by
another employer or by
 

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retirement benefits after the Date of Termination or otherwise.
Benefits payable pursuant to Section 5.4(a)(iii) of this Agreement
shall cease to the extent that the Executive is entitled to
receive such benefits pursuant to the benefit plans of another
employer of the Executive.
 

ARTICLE 6.

NON-COMPETITION; NON-DISCLOSURE

	 	 	 
	6.1	 	
The Executive agrees that, while he is employed by the
Company and for the one (1) year period thereafter, he will not
directly or indirectly engage or participate in, as an owner,
partner, shareholder, officer, employee, director, agent or
consultant, any business that directly or indirectly competes with
the Company or any of its subsidiaries or affiliates, and, further,
that he will not make any investments in any business that competes
with the Company. The Executive further agrees that he will not at
any time, except in the performance of his duties for the Company,
directly or indirectly disclose any trade secret or confidential
information that he learns by reason of his association with the
Company. The Executive acknowledges that all business records,
papers, documents and other matters created, collected or made by
him in the performance of his service for the Company shall remain
the exclusive property of the Company. The agreements and
acknowledgements in this paragraph are in addition to those
contained in the Employment Agreement incorporated by reference in
Section 6.2.
 
	6.2	 	
The Executive ratifies and confirms the terms and obligations
of the Employment Agreement executed between the Company and the
Executive on July 13, 1989, containing a covenant not to compete and
provisions on nondisclosure of information, new inventions, delivery
of documents, and remedies. That Employment Agreement, and any
successor agreement to that Agreement, is hereby incorporated by
reference into this Agreement.
 

ARTICLE 7.

MISCELLANEOUS

	 	 	 
	7.1	 	
Successors; Binding Agreement. The Company will require any
successor (whether direct or indirect, by purchase, merger,
consolidation or otherwise) to all or substantially all of the
business and/or assets of the Company to expressly assume and agree
to perform this Agreement in the same manner and to the same extent
that the Company would be required to perform it if no such
succession had taken place. The failure of the Company to obtain
such assumption agreement prior to the effectiveness of any such
succession shall be a breach of this Agreement and shall entitle the
Executive to compensation from the Company in the same amount and on
the same terms as the Executive would be entitled to hereunder if
the Executive had terminated the Executive’s employment for
 

-9-

 

	 	 	 
	 	 	
Good Reason, except that for purposes of implementing the
foregoing, the date on which any such succession becomes effective
shall be deemed the Date of Termination.
 
	7.2	 	
Successors and Assigns. This Agreement shall inure to the
benefit of, and be enforceable by, the personal heirs, distributed,
devisees and legatees of the Executive.
 
	7.3	 	
Notice. Any notice and all communications by either party to
the other provided for in this Agreement shall be in writing and
shall be deemed to have been received when delivered or mailed by
United States registered mail, return receipt requested, postage
prepaid, or deposited with a recognized national overnight delivery
service. If addressed to the Executive, the notice shall be
delivered or mailed to the Executive at the address reflected in the
personnel records of the Company, or if addressed to the Company,
the notice shall be delivered or mailed to the attention of the
Board of Directors with a copy to the Secretary of the Company, to
the Company’s principal executive offices, or to such other address
as either party may have furnished to the other in writing in
accordance herewith, except that notice of change of address shall
be effective only upon receipt.
 
	7.4	 	
No Waiver. No provision of this Agreement may be modified,
waived or discharged unless in writing and signed by the Executive
and such officer of the Company as may be specifically designated or
authorized by the Board of Directors or by a Committee of the Board
of Directors. No waiver by either party hereto at any time of any
breach by the other party hereto of, or compliance with, any
condition or provision of this Agreement to be performed by such
other party shall be deemed a waiver of similar or dissimilar
provisions or conditions at the same or at any prior or subsequent
time.
 
	7.5	 	
Entire Agreement. No agreements or representations, oral or
otherwise, express or implied, with respect to the subject matter
hereof have been made by either party which are not expressly set
forth in this Agreement. This Agreement constitutes the entire
agreement of the parties, recites the sole considerations for the
promises exchanged and supersedes any prior agreements between the
Executive and the Company with respect to the subject matter hereof,
including without limitation the Former Agreement but excluding the
Employment Agreement incorporated by reference in Section 6.2
hereof.
 
	7.6	 	
Controlling Law. The validity, interpretation, construction
and performance of this Agreement shall be governed by the laws of
the State of Delaware relating to contracts to be performed entirely
therein. All amounts payable to the Executive pursuant to this
Agreement shall be paid
 

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subject to such reporting and withholding requirements, if any, as
may be imposed by applicable law and applicable Company policy.
 
	7.7	 	
Invalid Provision. The invalidity or unenforceability of any
provisions of this Agreement shall not affect the validity or
enforceability of any other provision of this Agreement, which shall
remain in full force and effect.
 
	7.8	 	
Counterparts. This Agreement may be executed in several
counterparts, each of which shall be deemed to be an original, and
all such counterparts together shall constitute but one and the same
instrument.
 

     IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of
the date first set forth above.

	 
	MERIDIAN MEDICAL TECHNOLOGIES, INC.,

a Delaware corporation
	 
	By:  /s/ David L. Lougee

Chairman, Compensation and

Stock Option Plan Committee
	 
	JAMES H. MILLER
	 
	/s/ James H. Miller

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