Mexico Accepts Bofors Defence 57-mm Mk 3 Naval Gun For Navy Service

    KARLSKOGA, Sweden--April 16, 2003--United Defense Industries, Inc, announced that its Swedish subsidiary, Bofors Defence, successfully completed Sea Acceptance Tests of the 57-mm Mk 3 Naval Gun System aboard Mexico's Oceanica Class ship SONORA (PO 152) in the Pacific Ocean off Mexico earlier this year.
    These sea trials were the final step in Mexico's installation and acceptance of the 57-mm Mk 3 for Navy service.
    "This test was a great success for the Mexican Navy," said Rear Admiral C.G. DEM. Miguel A. Ramos Real, the Ordnance General Director of the Mexican Navy. "Mexico has needed a high technology gun solution to handle its many missions, including the interception of drug smugglers. This new gun and intelligent ammunition system provides us the flexibility needed to engage our broad spectrum of responsibilities."
    In addition to SONORA, Mexico has installed and tested a second 57-mm Mk 3 Naval Gun System aboard the DURANGO (PO 151). Both gun systems are comprised of a remotely controlled gun capable of firing at 220 rounds per minute. Each has an ammunition loading system that holds up to 120 rounds in a lower deck magazine and uses a fully automated Saab EOS 450 fire control system.
    The gun fires the Bofors Defence 3 P (prefragmented, programmable, proximity-fuzed) family of 57-mm ammunition. During acceptance testing, the gun successfully engaged static and moving targets using impact, time, and gated proximity modes. For the moving air target engagements, the Mk 3 gun system was set to auto function mode whereby the system tracked the target, programmed the fuze, and fired fully automatically.
    "Next year Bofors Defence plans to deliver two addition 57-mm Mk 3 Naval Gun Systems to the Mexican Navy," said Magnus Ingesson, President of Bofors Defence. The Bofors Defence Mk 3 Naval Gun is available in both 40-mm and 57-mm calibers.

    About Bofors Defence

    Bofors Defence, a leading provider of intelligent systems and munitions, is a Swedish defense company wholly owned by United Defense Industries, Inc. Bofors Defence is recognized globally for its end-to-end competencies in the design, development and production of intelligent munitions, artillery systems, naval gun mounts, combat vehicle weapon stations, and mine clearing systems. For additional information, visit the Bofors Defence website at www.boforsdefence.com.

    About United Defense Industries, Inc.

    United Defense designs, develops and produces combat vehicles, artillery, naval guns, missile launchers and precision munitions used by the U.S. Department of Defense and allies worldwide, and is America's largest non-nuclear ship repair, modernization and conversion company. To learn more about United Defense Industries, Inc., visit www.uniteddefense.com.

    Forward-Looking Statements

    Information in this release may involve guidance, expectations, beliefs, plans, intentions or strategies regarding the future. These forward-looking statements involve risks and uncertainties. All forward-looking statements included in this release are based upon information available to United Defense Industries, Inc. as of the date of the release, and we assume no obligation to update any such forward-looking statements. The statements in this release are not guarantees of future performance and actual results could differ materially from our current expectations. Numerous factors could cause or contribute to such differences. Please refer to the Company's Annual Report on Form 10K for the year ended December 31, 2002, and in our other reports filed from time to time with the Securities and Exchange Commission for a further discussion of the factors and risks associated with our business.