DRS Technologies Receives $16.8 Million Contract to Provide Embedded Diagnostics Systems for U.S. Army Combat Vehicles

PARSIPPANY, N.J.--July 14, 2005--DRS Technologies, Inc. announced today that it was awarded a $16.8 million contract from the U.S. Army to deliver new embedded diagnostics systems for installation on the M2A3 Bradley Fighting Vehicles.

For this award, DRS will manufacture Chassis Modernization and Embedded Diagnostics (CMED) kits. The kits will provide substantially upgraded weapon systems capability and an integrated embedded diagnostics functionality for these vehicles, while delivering real-time diagnostics and increased reliability, reducing logistics footprint, and lower operating and support costs. The CMED systems are applicable to the entire fleet of Bradley Fighting Vehicles.

The contract was awarded to DRS by the U.S. Army's Tank and Automotive Command Life Cycle Management Command (TACOM LCMC), Rock Island, Illinois, on behalf of Program Manager Combat Systems in Warren, Michigan. Work for this order will be accomplished by the company's DRS Test & Energy Management unit in Huntsville, Alabama. Product deliveries are expected to begin in August 2006 and continue through July 2007. Additional contracts for production and installation of these diagnostic kits are anticipated by the company.

"The receipt of this contract reinforces our role as a key supplier of operationally-proven electronic test and diagnostics equipment for the U.S. Army's fleet of ground vehicles," said Fred L. Marion, president of DRS's Surveillance & Reconnaissance Group. "The upgraded capabilities developed for this ground combat vehicle system will result in enhanced situational awareness for the Bradley driver, increased vehicle availability, simplified logistics, and improved product functionality and performance, ensuring that the Bradley fleet will continue to play a crucial role on the battlefield."

For this contract, DRS will deliver transducer sensor kits, cable modification kits, Driver Vision Enhancer (DVE) kits, Digital Vehicle Distribution Box (DVDB) embedded diagnostics and video integration kits, new Driver Display Panels (DDPs), steering column modifications and common display panel kits for existing M2A3 Bradley Fighting Vehicles.

DRS's Test & Energy Management business is a leading supplier of automated test systems, embedded diagnostic systems, vehicle electronics, and power and energy management solutions for a broad range of military applications.

DRS Technologies, headquartered in Parsippany, New Jersey, provides leading edge products and services to defense, government intelligence and commercial customers. Focused on defense technology, DRS develops and manufactures a broad range of mission critical systems. The company employs 5,700 people worldwide.

For more information about DRS Technologies, please visit the company's web site at www.drs.com.

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