AlliedSignal Upgrades Combat Identification Systems Onboard Australian Air Force C-130 Fleet.

FARNBOROUGH '98, England--(BUSINESS WIRE)--Sept. 8, 1998-- AlliedSignal Inc. (NYSE:ALD) Tuesday announced that it has successfully completed systems integration of its APX-100 Mode S Identification Friend or Foe (IFF) transponders onboard the Royal Australian Air Force (RAAF) C-130H transport aircraft.

This contract successfully illustrates AlliedSignal's full turnkey IFF systems integration capabilities.

AlliedSignal systems integration responsibilities included: delivering APX -100 IFF/Mode S transponders; integration, installation, test and evaluation; training; and in-country logistics and depot support.

This Tri-Service standard unit is the only transponder to offer seamless, integrated military (Mode 4) IFF and commercial (Mode S) datalink communications in a single system, increasing pilots' safety through easier recognization and decreasing the possibility of friendly fire.

The APX-100 is safer, more compact, lighter weight and more functional than its predecessor, APX-72. The APX-100 transponder system solution replaces four large boxes of the more than 20-year-old APX-72 technology, offering more space and reduced weight on the aircraft. The APX-100 IFF/Mode S also offers increased safety with the most advanced MK XII technology and embedded Mode 4 cryptographic functionality.

AlliedSignal is a recognized world leader in IFF systems engineering with more than 30 years of experience, delivering a complete suite of more than 30,000 IFF transponders and interrogators for surface and air applications to more than 30 countries on more than 50 different platform types.

The company also has produced virtually all of the world's cryptographic computers, which are now embedded in its IFF systems. AlliedSignal Communications Systems has the world's only IFF/Mode S integrated transponder, meeting Eurocontrol mandates for Mode S datalinks by the year 2000.

The parent company, AlliedSignal Inc., is an advanced technology and manufacturing company serving customers worldwide with aerospace and automotive products, chemicals, fibers, plastics and advanced materials. AlliedSignal is the largest supplier of equipment and systems for commercial transport, regional, business, general aviation and military aircraft.

http://www.alliedsignal.com/aerospace

This release contains forward-looking statements as defined in Section 21E of the Securities Exchange Act of 1934, including statements about future business operations, financial performance and market conditions. Such forward-looking statements involve risks and uncertainties inherent in business forecasts.

    CONTACT: AlliedSignal Electronic & Avionics Systems
              Maria Trintis, 410/583-4200
                or
              AlliedSignal
              Bill Reavis, 602/365-2055