The way I read it, it was "excess" equipment that was (legally) sold off to the public, but that could still have military-sensitive abilities - so, concern about terrorists getting it.
Yeah, but look at some of the stuff they could get their hands on:
-- an all-band antenna used to track aircraft (Now all they need is the radar to use it with.)
-- microcircuits for an F-14 Tomcat (A printed circuit board, a couple of engines, wings, and armament is all that it will take for them to complete their own do-it-yourself F-14.)
Two things are probably true here: There was some stuff sold that may be of some value to terrorists. BUT This article is hyping some of these items way beyond any real potential threat.