Cubic Introduces Full Spectrum of Force Modernization Tools To Central and Eastern European Market.

Business Editors/High-Tech Writers

MSPO International Defence Industry Exhibition

SAN DIEGO & KIELCE, Poland--(BUSINESS WIRE)--Sept. 2, 2003

Also Teams with Polish Partner to Spotlight Communications Products at

MSPO International Defence Industry Exhibition in Kielce, Poland

Cubic Defense Applications, the defense segment of Cubic Corp. (AMEX: CUB), will unveil a complete package of training and operational products and services at the MSPO International Defence Industry Exhibition from Sept. 2-5 in Kielce, Poland.

Cubic is also teamed with Unitronex at the Unitronex booth, where the two companies will showcase military communications products available to the Central and Eastern European market. Unitronex is Cubic's authorized representative for communications products in Poland.

"Cubic is well known in Central and Eastern Europe as an expert on defense modernization," said Gerald Dinkel, president and CEO of the Cubic Defense Applications Group. "Cubic has been a partner with many NATO members and aspirants in restructuring, modernizing and transitioning their militaries to comply with NATO requirements. Now we want to expand our presence in this market by offering allied militaries a total package of force modernization, training systems and advanced communications tools -- plus the necessary systems integration support."

At its own booth, Cubic will highlight its capabilities in transformation assistance, ground combat training systems, simulation and combat training centers, technical services and systems integration. Cubic is also introducing its Deployable System for Training and Readiness (DSTAR), a mobile exercise control center that provides live simulation training and feedback on units' performance. DSTAR has just been designated as the U.S. Army's Initial Homestation Instrumentation Training System (I-HITS). Cubic is also promoting its Precision Combat Training System, a direct-fire weapons simulation system that supports both precision gunnery and tactical training.

"Cubic experts have conducted numerous studies on national security, defense restructuring and peacekeeping operations for European and Central Asian clients and have been fully involved with implementing complex restructuring programs," said Bob Howard, vice president and general manager of Cubic's Analysis and Learning Technologies Division in Alexandria, Va. "Through these studies, Cubic has developed credibility and name recognition, which has led to additional business, such as assisting the Romanian Armed Forces in establishing the Romanian Simulation Training Center, which opened last year in Bucharest. Cubic can not only assist clients in setting up simulation and instrumented combat training centers and ranges, but also has the engineering capability to integrate legacy components into training solutions."

At the Unitronex booth, Cubic will spotlight a full-range of communications and avionics products. Cubic will demonstrate the capabilities of its DF 4400 DF (Direction-Finding) Receiver/Processor, a flexible and extremely cost-effective DF system used extensively for regulatory monitoring, search-and-rescue, police and combat operations applications. This system is now under evaluation by various agencies of the Polish government. Another focus will be combat search and rescue systems and GPS handheld radios, including Cubic's new AN/ARS (6) V12 Personnel Locator System. The smaller, lighter V12 system is interoperable with all standard emergency distress beacons and Cubic's URX-3000 Tactical ELT and GPS based survival radios. Cubic is working to ensure that the system will be interoperable with new worldwide standards.

The Unitronex booth will also feature information about jam-resistant, DSP-based data links for the Intelligence, Surveillance and Reconnaissance (ISR) community, a ground collision avoidance system, a software-definable surveillance receiver and high-frequency (HF) communications systems.

"Central and Eastern Europe represent a promising new market for us," said Rick Lober, senior vice president of Cubic's Communications and Electronics Business Unit. "Nations that are aspiring to join NATO are interested in our communications products and search-and-rescue systems as they view having these capabilities important to being able to contribute to NATO's combat and peacekeeping operations."

Cubic's Current Efforts in Emerging Democracies

Force Modernization Studies: Cubic's Analysis and Learning Technologies Division is the leading provider of force modernization studies, analyses and expert advice to NATO nations and NATO invitee countries. The division is currently assisting the U.S. and host governments with force modernization efforts in the Czech Republic, Hungary, Romania, Slovakia and Lithuania. It has also performed peace operations studies for Armenia, Azerbaijan and Kyrgyzstan.

Romanian Simulation Training Center: In 2002, the Romanian Armed Forces and Cubic opened a new Simulation Training Center in Bucharest, Romania. Under contract with the U.S. Army Security Assistance Command, a team of Cubic and Romanian personnel train Romanian military officers in the leadership skills needed in contemporary operations.

Multiple Integrated Laser Engagement System (MILES) for Croatia: Cubic's laser-based ground combat training system is used by the U.S. Army, Marines and Air Force and the British Army, Royal Netherlands Marine Corps and Kuwait Land Forces. Cubic is supplying its MILES system to the Republic of Croatia under a Foreign Military Sale authorized by the U.S. Army's Program Executive Office for Simulation, Training and Instrumentation (PEO STRI). It is due for fielding in Croatia in early 2004.

The Cubic Defense Applications group, one of Cubic's two major segments, provides realistic combat training systems for military forces as well simulation, force transformation assistance, educational services, operations & maintenance and manufacturing services. The group also supplies products and systems for C4ISR (Command, Control, Communications, Computers, Intelligence, Surveillance & Reconnaissance) applications, search and rescue avionics and radio communications for military and civil markets. 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, visit www.cubic.com.