Lancaster-based Herley Industries Inc. said today that its Micro Systems Inc. subsidiary received a multiyear option contract for potentially $16 million from Composite Engineering Inc., of California, for work on an aerial target project for the Air Force.

Micro Systems' production schedule - the second contract on which it is working on this Air Force target project - is expected to last five years.

Herley said that Micro Systems already received orders for the fifth and sixth years that had a combined value of about $6.4 million.

Herley, which has eight manufacturing locations and about 985 employees, uses microwave technology to make products for the defense, aerospace and medical industries.    - Roslyn Rudolph