Washington, D.C. 20549







Pursuant to Section 13 OR 15(d) of the

Securities Exchange Act of 1934

Date of report (Date of earliest event reported): December 18, 2012






(Exact Name of Registrant as Specified in its Charter)




Delaware   333-89756   54-2061691

(State or Other Jurisdiction

of Incorporation)



File Number)


(IRS Employer

Identification No.)

1750 Tysons Boulevard

Suite 1300

McLean, VA

(Address of Principal Executive Offices)   (Zip Code)

Registrant’s telephone number, including area code: (703) 918-4480



Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:


¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)


¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)


¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))


¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))




Item 2.02 Results of Operations and Financial Condition

The information in this report set forth under Item 7.01 is incorporated herein by reference.


Item 7.01 Regulation FD Disclosure

Alion Science and Technology Corporation (Alion or the Company) intends to disclose on December 19, 2012, the following non-public information.

Consolidated EBITDA (as defined in the Company’s Credit Agreement dated as of March 22, 2010, as amended) for the twelve months ended September 30, 2012, was approximately $71.8 million, and for the three months ended September 30, 2012, was approximately $18.2 million. The calculation and reconciliation to the most comparable financial measure calculated and presented in accordance with GAAP is included in the table below.

Non-GAAP Measures—Consolidated Net Income and Consolidated EBITDA Calculations

(Dollars in thousands)



     Three months
September 30, 2012
    Twelve months
September 30, 2012

Calculation of Consolidated Net Income


Net loss

   $ (9,527   $ (41,447

Less: Gain on asset sales

     —          (104

Less: Debt extinguishment gain

     —          —     







Consolidated Net Income

   $ (9,527   $ (41,551







Calculation of Consolidated EBITDA


Consolidated Net Income

   $ (9,527   $ (41,551

Plus: Interest expense

     18,804        74,934   

Plus: Income tax expense

     1,744        6,974   

Plus: Depreciation and amortization expense

     3,115        11,717   

Plus: Non-cash stock-based compensation expense (credit)

     (60     (90

Less: Cash paid for stock-based compensation

     —          —     

Plus: Non-cash ESOP and 401(k) contributions

     3,220        13,735   

Plus: Employee salary deferrals used to purchase Alion common stock

     494        2,427   

Less: Cash paid for ESOP obligations

     —          (857

Plus: Non-cash LTIP expense

     742        1,400   

Less: Cash paid for LTIP grants

     (1,849     (1,869

Plus: Non-recurring expenses

     1,521        4,934   







Consolidated EBITDA

   $ 18,204      $ 71,754   







EBITDA (earnings before interest, taxes, depreciation and amortization) is not a measure under generally accepted accounting principles in the United States of America (GAAP). EBITDA is a common non-GAAP financial metric in the government contracting industry, in part because it excludes from performance the effects of a company’s capital structure, in particular taxes and interest. EBITDA does not measure operating income, profitability, cash flows or liquidity in accordance with GAAP. EBITDA has important limitations on its usefulness as an analytical tool.

Consolidated EBITDA is a contractually-defined term that excludes certain non-cash expenses and non-recurring items from EBITDA in order to evaluate our ability to meet our obligations from our continuing operations. Consolidated EBITDA is not defined under GAAP and is not a measure of operating income, operating performance, profitability, cash flows or liquidity presented in accordance with GAAP. Consolidated EBITDA is presented as a measure of our ability to meet contractually-determined debt covenants. Consolidated EBITDA has important limitations on its usefulness as an analytical tool.


Item 8.01 Other Events

Alion will host a conference call on December 19, 2012 at 2:00 p.m. EST, 11:00 a.m. PST, to discuss fourth quarter financial results for Alion’s fiscal year 2012. Participants may join the conference call by dialing (866) 847-7860 (toll-free) or (703) 639-1427 ten minutes prior to the start of the conference. The conference code is 1601261. This call is being provided for and is limited to investors in Alion’s debt.


Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: December 18, 2012


/s/ Barry Broadus
Name: Barry M. Broadus
Title: Chief Financial Officer