Cubic, AMTI to Continue Coordinating Vital Homeland Security Exercises.

SAN DIEGO -- The defense segment of Cubic Corporation (AMEX:CUB) will continue to work with Applied Marine Technology, Inc. (AMTI) to support the Department of Homeland Security's National Exercise Program (NEP) under a new Indefinite Quantity Contract (IQC). AMTI is one of six prime contractors selected to bid for the NEP program, which has a potential value of $350 million over a five-year period.

Cubic and AMTI work with DHS to plan and execute large-scale training events such as the Top Officials (TOPOFF) exercise series. These exercises help test collective emergency preparedness and collaboration capabilities across all levels of government and the private sector.

Cubic's Hampton, Virginia-based Operations Support Division, part of the Mission Support Business Unit of the Cubic Defense Applications Group, played an important role in coordinating TOPOFF 3 in April 2005. The largest and most complex counterterrorism exercise ever attempted, TOPOFF 3 featured a simulated chemical attack in Connecticut, and a simultaneous simulated biological attack in New Jersey. About 20,000 people in the United States, the United Kingdom and Canada took part in the exercise.

Cubic provided pre-event training and logistics support in both New Jersey and Connecticut. Logistics support included coordinating safety gear and setting up telephone banks, computer workstations and a software help desk. Cubic employees supported the development of task-based training objectives to prepare for the event, and integrated them into the scenario. As the Venue Chief of Control for New Jersey, Cubic personnel worked side by side with the Federal Exercise Leader to ensure that all federal and state training objectives were met.

"Exercises like TOPOFF 3 push government and private sector responders to their limits to test their capability to respond," said Rich Bristow, vice president and general manager of Cubic's Operations Support Division. "These efforts have greatly assisted the Department of Homeland Security and state, local and private responders. Cubic and AMTI look forward to continuing and expanding the scope of this vital work under the new contract."

"AMTI's National Exercise team is committed to helping the nation become more effective and better equipped to deal with a disaster, manmade or natural. We are eager to work with Cubic and DHS on such an important mission," said Norman J. Carley, AMTI's president and chief executive officer.

In addition to exercise coordination activities, Cubic has played an integral role in an extensive post-exercise data collection process that allows agencies to analyze their preparedness.

"Through this analytical process, Cubic and AMTI are helping federal, state and local agencies to identify vulnerabilities in emergency plans, policies, procedures, systems and facilities," said Gary Olsen, NEP program manager for Cubic. "The value of this work could one day be measured in saved lives."

About Cubic:

Cubic's Operations Support Division is part of the Mission Support Business Unit of Cubic Defense Applications (CDA). One of Cubic Corporation's two main segments, CDA is a world leader in realistic combat training systems, mission support services and defense electronics. The corporation's other major segment, Cubic Transportation Systems, designs and manufactures automatic fare collection systems for public mass transit authorities. For more information about Cubic, see the company's web site at www.cubic.com.

About AMTI:

AMTI is a leading supplier of professional and technical services and products for Homeland Security and the Global War on Terrorism growing. Headquartered in Virginia Beach, VA, AMTI provides government and private sector customers with expertise in training and exercises, information systems and communications, systems engineering and integration, and the rapid prototyping of unique technical solutions. In addition, AMTI designs, develops, and manufactures communications, information technology, personal protection, and explosive ordnance disposal products. For more information, visit www.amti.net.