AWARD OF CONTRACT FOR SPECTRAL FLARES

FOR IMMEDIATE RELEASE 1 August 2006

                              CHEMRING GROUP PLC                               

                     AWARD OF CONTRACT FOR SPECTRAL FLARES                     

Chemring Group PLC ("Chemring") announces that its UK countermeasures business,
Chemring Countermeasures, has secured an initial order of £4.9 million for
spectral flares from the UK Ministry of Defence ("UK MoD"). These flares will
play an important role in the protection of UK aircraft on deployed operations.

Designed and developed in-house, the spectral flares, which are a new product
for Chemring, will be delivered by the summer of 2007. Chemring Countermeasures
will invest approximately £0.7 million in new facilities to generate additional
capacity in order to fulfil the UK MoD requirement.

David Price, Chief Executive of Chemring, commented: "I am delighted that the
UK MoD has placed this initial order with Chemring, and we are optimistic that
there will be the potential for follow on business. In developing spectral
flares we have demonstrated both our technological capabilities and our ability
to respond to the urgent operational needs of our customer."

Chemring is a world leader in defensive countermeasures for land, sea and air.
The countermeasures division comprises Chemring Countermeasures in the UK, and
Alloy Surfaces Company, Inc. and Kilgore Flares Company LLC in the US.

For further information:

Paul Rayner Finance Director, Chemring Group PLC 01489 881880

Rupert Pittman Cardew Group 020 7930 0777