Astrotech Secures Navy Contract

Astrotech Space Operations to Support Multiple Spacecraft Missions at the Eastern Range

Austin, Texas (January 7, 2011) - Astrotech Corporation (NASDAQ: ASTC), a leading provider of commercial aerospace services, today announced that the Department of the Navy’s Space and Naval Warfare Systems Command (SPAWAR) awarded its Astrotech Space Operations business unit a new contract for payload processing services in support of the Mobile User Objective System (MUOS) Program.

“Astrotech is proud to support the Navy in processing the MUOS satellites for launch,” stated Astrotech Chairman and Chief Executive Officer Thomas B. Pickens III. “This array of satellites will significantly improve communications for U.S. forces, and Astrotech is honored to play a small role by providing our capabilities and processing facilities for these missions.”

Astrotech Space Operations has committed to provide payload processing support for up to five satellite launches for MUOS under the contract. The Navy has informed Astrotech that it will utilize Astrotech’s processing services for the initial launch. The Navy has the right to exercise options to have Astrotech support up to four additional launches in support of MUOS. The contract stipulates that the contract services are targeted to begin in fiscal year 2012, and would potentially run through 2015.

From Titusville, Florida, Vandenberg Air Force Base, California and the Sea Launch Home Port facilities in Long Beach, California, Astrotech Space Operations provides all support necessary for government and commercial customers to successfully process their satellite hardware for launch, including advance planning; use of unique facilities; and spacecraft checkout, encapsulation, fueling, and transport. In its 29 year history, Astrotech has supported the processing of more than 285 spacecraft without impacting a customer’s launch schedule.