For the quarter, revenue was $402.0 million, up 4.5% from $384.8 million in the June 2008 quarter. Organic revenue growth for the same period was 3.5%. Operating income for the quarter was $29.0 million, for an operating margin of 7.2%. Net income was $17.5 million, for a net margin of 4.3%. Diluted earnings per share (DEPS) for the quarter were $0.30, down $0.02 year over year.

For the full fiscal year, revenue was $1.541 billion, up 2.2% from $1.507 billion in FY 2008. Organic revenue growth for the same period was 0.7%. Operating income for the year was $99.9 million, for an operating margin of 6.5%. Net income was $58.0 million, for a net margin of 3.8%. DEPS for the year were $1.01, down $0.23 year over year.

SRA President and CEO Stan Sloane said, "We're pleased to have made progress in our business execution during the second half of FY09. Organic revenue growth and operating margins were higher in Q4 than in any prior quarter during the year. Having won over $2.3 billion of new business in FY09, we've improved our revenue visibility for FY10 and established a solid foundation for growth."

Executive Vice President and CFO Rick Nadeau added, "Our Q4 financial results reflected effective cost containment across the company and improving performance in our Era business. Cash flow from operations was $60 million in Q4, and our net debt balance was $300 thousand as of June 30, 2009."

Contract Awards

SRA won new business in the third quarter with potential value of $434 million, if all option years are exercised. As of June 30, 2009, the company's backlog of signed business orders was $4.1 billion, up 5% year-over-year, and the funded portion of backlog was $762 million.

Major highlights of competitive contract awards in the quarter include:

-- Classified Contract. SRA was awarded a $68 million contract in support

of a classified customer.

-- Department of Defense, Joint Staff Information Network. The company won

a 31-month, $63 million task order to provide systems integration

services for the Pentagon's Joint Staff Information Network.

Awarded under the ENCORE II contract vehicle, the task order involves

system and application upgrades, as well as communications

infrastructure support.

-- Environmental Protection Agency (EPA). The EPA awarded SRA two

recompete task orders under its Software Engineering and Specialized

Scientific Support contract. The task orders have a combined value of

$30 million and cover a range of technical and program support services.

SRA was also awarded several multiple-award, indefinite delivery, indefinite quantity (ID/IQ) contracts in the June quarter. ID/IQ wins are not included in the company's quarterly bookings figure, but they provide a solid foundation for future growth.

-- U.S. Army, Program Executive Office Enterprise Information Systems (PEO

EIS). PEO EIS named SRA one of the awardees of its Program Management

Support Services-2 (PMSS-2) contract, which covers a variety services

related to information technology and program support.

-- Department of Homeland Security (DHS), National Communications System

(NCS). SRA was one of the prime contractors selected by DHS for a

five-year ID/IQ contract with a combined ceiling value of $388 million.

Task orders under this contract will involve support for emergency

communications and operations.

Forward Guidance

The company is issuing initial revenue and earnings guidance for Fiscal Year 2010. The table below represents management's current expectations about the company's future financial performance, based on information available at this time. The forward guidance in this table does not include any effect for acquisitions that SRA might make in the future. The guidance assumes a FY 2010 diluted share count of 58.6 million.

Fiscal Year (FY) Ending__ Change from

Measure__ June 30, 2010__ FY 2009 to 2010

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Revenue__ $1.585 billion to

$1.645 billion__ 3% to 7%

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Diluted earnings__ $1.15 to $1.25__ 14% to 24%

per share

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Conference Call

SRA senior management will hold a conference call to discuss these operating results and forward guidance today at 5:00 PM Eastern. Interested parties may listen to the conference call by dialing 888-603-9073 (U.S./Canada) or 210-234-0078 (Other) with passcode SRX.