Contract

								Exhibit 10.38
CERTAIN PORTIONS OF THESE MATERIALS HAVE BEEN OMITTED BASED ON A REQUEST FOR CONFIDENTIAL TREATMENT SUBMITTED TO THE U.S. SECURITIES AND EXCHANGE COMMISSION (THE “SEC”). THE NON-PUBLIC INFORMATION HAS BEEN OMITTED AND HAS BEEN SEPARATELY FILED WITH THE SEC. EACH REDACTED PORTION OF THE AGREEMENT IS INDICATED BY A “[ ]” AND IS SUBJECT TO THE REQUEST FOR CONFIDENTIAL TREATMENT SUBMITTED TO THE SEC. THE REDACTED INFORMATION IS CONFIDENTIAL INFORMATION OF SPARTON CORPORATION.
	Subcontractor:			Sparton XxXxxx Springs, LLC.
	Effective Date:			3-Apr-17
	Subcontract Number:			ERAPS017-353
	Subcontract Modification:			Mod 1
	Mod Effective Date:			NA
	Customer:			US Navy-NAVAIR
	Customer Contract Number:			N00421-14-D-0025 DO N0001917F0175
	Program:			53G FY17
	Total Contract Value:			[___________]		Fee		Funded	100%
	USSI:		[____]	[___________]		[___________]		[___________]
	Sparton:		[____]	[___________]		[___________]		$41,561,753.87
	This subcontract is entered into by and between ERAPSCO (“ERAPSCO” or “Buyer”), a general partnership comprised of Sparton XxXxxx Springs, LLC. and UnderSea Sensor Systems Inc. (“USSI” or “Seller”), with offices located at 0000 Xxxx Xxxx 00 Xxxxx, Xxxxxxxx Xxxx, Xxxxxxx 00000 and Sparton XxXxxx Springs, LLC., 0000 Xxxxxxx Xxxx Xxxx, XxXxxx Xxxxxxx, Xxxxxxx 00000 (“Sparton” or “Seller”). As such, ERAPSCO provides authorization for the Seller to perform requirements identified in the attached customer contract and as summarized herein.
	This subcontract is entered into by and between ERAPSCO (“ERAPSCO” or “Buyer”), a general
	ERAPSCO/ STS					Sparton XxXxxx Springs, LLC
	By:	/s/				By:	/s/
	Name	Xxxxx Xxxxxx				Name	Xxxxxxxx Xxx
	Title:	ERAPSCO Contract Administrator				Title:	Contracts
	Date	9/7/2017				Date	9/7/2017
	A Sparton XxXxxx Springs, LLC. and Ultra Electronics UnderSea Sensor Systems Joint Venture 0000 Xxxx Xxxx 00 Xxxxx, Xxxxxxxx Xxxx, Xxxxxxx 00000

CERTAIN PORTIONS OF THESE MATERIALS HAVE BEEN OMITTED BASED ON A REQUEST FOR CONFIDENTIAL TREATMENT SUBMITTED TO THE U.S. SECURITIES AND EXCHANGE COMMISSION (THE “SEC”). THE NON-PUBLIC INFORMATION HAS BEEN OMITTED AND HAS BEEN SEPARATELY FILED WITH THE SEC. EACH REDACTED PORTION OF THE AGREEMENT IS INDICATED BY A “[ ]” AND IS SUBJECT TO THE REQUEST FOR CONFIDENTIAL TREATMENT SUBMITTED TO THE SEC. THE REDACTED INFORMATION IS CONFIDENTIAL INFORMATION OF SPARTON CORPORATION.
								Page 2 of 3
	Customer Information
	Customer Name:		US Navy Navair			Technical Contact:		Xxx Xxxxx
	Contract Contact:		Xxxxx Xxxxx			Phone:	000-000-0000 209
	Phone:	000-000-0000				Email:	xxx.xxxxx@xxxx.xxx
	Email:	xxxxx.x.xxxxx@xxxx.xxx				Bid Number:		FY17 IDIQ
	End User:	US Navy
	Contract Terms
	Contract Type:		FFP
	Period of Performance:			4/3/17	to	4/3/19
	Shipping Terms:		FOB Origin			Freight Forwarder:		NA
	Payment Terms:		Net 30			Export License Required:			No
	Subcontract Line Item Number (SLIN) Information
	SLIN: 001
	Product Description:		53G			Quantity:	[___________]
	Price:	[___________]			Delivery Date:	4/3/2019
	Product Specifications:			PSS and HAASW Spec
	Packaging Specifications:			Appendix C
					SLIN Total:		[_____________]
	SLIN: 002
	Product Description:		53G			Quantity:	[___________]
	Price:	[___________]			Delivery Date:	8/30/2019
	Product Specifications:
	Packaging Specifications:
					SLIN Total:		[_____________]
	SLIN: 003
	Product Description:					Quantity:
	Price:				Delivery Date:
	Product Specifications:
	Packaging Specifications:
					SLIN Total:		$0

CERTAIN PORTIONS OF THESE MATERIALS HAVE BEEN OMITTED BASED ON A REQUEST FOR CONFIDENTIAL TREATMENT SUBMITTED TO THE U.S. SECURITIES AND EXCHANGE COMMISSION (THE “SEC”). THE NON-PUBLIC INFORMATION HAS BEEN OMITTED AND HAS BEEN SEPARATELY FILED WITH THE SEC. EACH REDACTED PORTION OF THE AGREEMENT IS INDICATED BY A “[ ]” AND IS SUBJECT TO THE REQUEST FOR CONFIDENTIAL TREATMENT SUBMITTED TO THE SEC. THE REDACTED INFORMATION IS CONFIDENTIAL INFORMATION OF SPARTON CORPORATION.
								Page 3 of 3
	SLIN: 004
	Product Description:					Quantity:
	Price:				Delivery Date:
	Product Specifications:
	Packaging Specifications:
					SLIN Total:		$0
	SLIN: 005
	Product Description:					Quantity:
	Price:				Delivery Date:
	Product Specifications:
	Packaging Specifications:
					SLIN Total:		$0
				Subcontract Total:			$41,561,753.87
	Miscellaneous Comments
	See tracking sheet/delivery order details
	Mod 1- [___] additional 53G's that ERAPSCO plans to ship with Lot 77
	A Sparton XxXxxx Springs, LLC. and Ultra Electronics UnderSea Sensor Systems Joint Venture 0000 Xxxx Xxxx 00 Xxxxx, Xxxxxxxx Xxxx, Xxxxxxx 00000