On July 13, 2021, Emergent BioSolutions Inc. through its wholly-owned subsidiary, Emergent Product Development Gaithersburg Inc., received a contract modification from the Office of the Assistant Secretary for Preparedness and Response (“ASPR”), an agency of the U.S. Department of Health and Human Services (“HHS”), exercising and funding the second of nine annual contract term extension options (the “Second Option Exercise”) for Emergent to supply ACAM2000® (Smallpox (Vaccinia) Vaccine, Live) into the U.S. Strategic National Stockpile (the “SNS”). The Second Option Exercise is valued at approximately $182.2 million. The Second Option Exercise was made under Emergent’s existing 10-year contract (the “Contract”) awarded by ASPR on August 30, 2019. The period of performance under the Second Option Exercise requires Emergent to deliver doses of ACAM2000 into the SNS by December 31, 2021. Therefore, the entire amount is expected to be delivered in fiscal year 2021.