Cubic Defense Systems Wins Maximum Performance Fee for Kadena Interim Training System Support.

Business Editors

SAN DIEGO--(BUSINESS WIRE)--May 9, 2001

For the third consecutive time in 18 months, Cubic Defense Systems, a subsidiary of San Diego-based Cubic Corp. (AMEX:CUB), has won the U.S. Air Force's maximum fee for performance on its contract for logistics support for the Kadena Interim Training System (KITS) in Japan.

Cubic is receiving a $50,000 fee, which represents 100 percent of the highest bonus available, for providing support on the Rangeless Air Combat Training system at Kadena Air Base, Okinawa, Japan, which Cubic also installed.

"This award is an example of Cubic Defense Systems' dedication to customer satisfaction," said Bruce Roberts, president, Cubic Defense Systems.

Cubic won the bonus for supporting thousands of USAF air combat training sorties by keeping training pods and displays ready for the customer's use whenever needed. The pods, which are attached under the wings of aircraft in training exercises, contain electronic data, allowing commanders to review and record exercises.

The award also recognized Cubic's outstanding support on deployments to Singapore, Thailand, Korea and mainland Japan, where Cubic Worldwide Technical Services personnel traveled with the USAF crews.

Keith Shean, Cubic's KITS program manager, gave special praise to the Cubic Worldwide Technical Services field team based at Kadena as well as Cubic Defense Systems depot support personnel in San Diego.

"They're the No. 1 reason why we received the award," he said.

The Air Force Pacific Forces evaluates Cubic for award fee bonuses twice annually as an incentive for exceptional performance on the KITS contract, which Cubic has had since June 1997, when KITS became operational. Three years remain on the contract.