Argon ST Announces Stock Repurchase Program.

FAIRFAX, Va. -- Argon ST, Inc. (NASDAQ:STST), today announced that its Board of Directors has authorized a stock repurchase program of up to a total of 2,000,000 shares of its common stock.

The Company will finance the repurchase program with available cash and/or borrowings under the Company's credit facility. The Company may repurchase shares in open market purchases or in privately negotiated transactions in accordance with applicable insider trading and other securities laws and regulations. The timing and extent to which the Company repurchases its shares will depend upon market conditions, corporate requirements and other factors as may be considered in the Company's sole discretion. The repurchase program is scheduled to terminate on August 31, 2008, and may be modified or discontinued at any time.

Argon ST has approximately 22.4 million shares of common stock outstanding. As of August 29, 2007, the Company's stock closed at $17.77 per share.

"The Board's approval of the stock repurchase program reflects its confidence in the continued growth of Argon ST's business and our ongoing commitment to increase stockholder value," said Terry L. Collins, Argon ST's Chairman, Chief Executive Officer and President. "We have a strong balance sheet and available cash resources that will allow us to implement the stock repurchase program while continuing to pursue growth opportunities."

About Argon ST, Inc.

Argon ST, Inc. designs, develops, and produces systems and sensors for the Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance (C4ISR) markets including SIGINT (Signals Intelligence), ESM (Electronic Support Measures), EW (Electronic Warfare), IO (Information Operations), imaging, and acoustic systems serving domestic and international markets.

Forward-Looking Statements

Statements in this press release, including without limitation statements regarding the Company's share repurchase program, its confidence in the continued growth of its business, its ongoing commitment to increase stockholder value and its cash available to implement the stock repurchase program while pursuing growth opportunities, which are not historical facts are forward-looking statements under the provision of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not guarantees of future performance and are based upon numerous assumptions about future conditions that could prove not to be accurate. Forward looking statements are subject to numerous risks and uncertainties, and our actual results could differ materially as a result of such risks and other factors. There can be no assurance that shares will be repurchased in the future, since the stock repurchase program may be limited or terminated at any time without notice and since actual share repurchases will be subject to a variety of factors, including market conditions and share prices. In addition to those risks specifically mentioned in the reports filed by the Company with the Securities and Exchange Commission (including the Company's Form 10-K for the fiscal year ended September 30, 2006), such risks and uncertainties include, but are not limited to: the availability of U.S. and international government funding for the Company's products and services; changes in the U.S. federal government procurement laws, regulations, policies and budgets (including changes to respond to budgetary constraints and cost-cutting initiatives); the number and type of contracts and task orders awarded to the Company; the exercise by the U.S. government of options to extend the Company's contracts; the Company's ability to retain contracts during any rebidding process; the timing of Congressional funding on the Company's contracts; any government delay in award or termination of the Company's contracts and programs; difficulties in developing and producing operationally advanced technology systems; the timing and customer acceptance of contract deliverables; the Company's ability to attract and retain qualified personnel, including technical personnel and personnel with required security clearances; charges from any future impairment reviews; the future impact of any acquisitions or divestitures the Company may make; the competitive environment for defense and intelligence information technology products and services; general economic, business and political conditions domestically and internationally; and other factors affecting the Company's business that are beyond its control. All of the forward-looking statements should be considered in light of these factors. Investors should not put undue reliance on any forward-looking statements. We undertake no obligation to update these forward-looking statements to reflect new information, future events or otherwise.