CLARIFICATION OF RECENT STATEMENTS REGARDING GOVERNMENT RESOLUTIONS

Austal USA and Austal Limited remain committed to their respective obligations outlined in the previously announced settlements with the U.S. Department of Justice (DOJ) and U.S. securities and Exchange Commission (SEC).  As part of its plea agreement with the DOJ, Austal USA accepted responsibility for the criminal conduct of its former employees that was the subject of that agreement.  Accordingly, Austal USA and Austal Limited hereby clarify recent public statements made by corporate representatives relating to those settlements.  The conduct at issue involved intentional, fraudulent conduct of Austal USA's former employees.  Austal USA admitted pursuant to its guilty plea all the underlying criminal conduct set forth in the plea agreement with DOJ, and it continues to accept responsibility for that conduct.

From their top management through all ranks of their respective workforces, Austal USA and Austal Limited remain committed to maintaining strong financial systems and controls, and the responsible individuals for the prior criminal conduct are no longer with the company.