DRS Technologies Awarded $42.5 Million U.S. Navy Contract to Provide Engineering and Technical Support Services.

PARSIPPANY, N.J. -- DRS Technologies, Inc. (NYSE:DRS) announced today that it has received a new U.S. Navy award under the SEAPORT Enhanced (SEAPORT-e) contract valued at $42.5 million, including options, to provide engineering and technical support services. The contract is expected to help the U.S. Navy reach its Seapower 21 objectives for cost reduction, business efficiencies and customized technical and engineering services to meet diverse product requirements and missions.

The initial $5.3 million order comprising several tasks was awarded to DRS by the Naval Surface Warfare Center, Indian Head Division, in Indian Head, Maryland. For this award, DRS will utilize Commercial Off-The-Shelf (COTS)-based and open-architecture technology to provide state-of-the-art solutions to the U.S. Navy. Work for this contract will range from the development of improved software processes, leading to simpler and less expensive methods for integrating disparate software and hardware products from a variety of vendors, to the upgrade of obsolescent combat systems in some of the Navy's amphibious assault ships. This work will be performed by several DRS business units at Navy shore sites, test beds and on board various ship platforms.

"This contract continues the DRS legacy of providing combat system engineering services to develop and support COTS-based mission-critical shipboard systems," said Steven T. Schorer, president of DRS's C4I Group. "As a key provider of engineering and technical support services to the U.S. military, we are pleased to support the U.S. Navy's Seapower 21 objectives."

The scope of the contract encompasses a wide range of engineering expertise and leverages the talents of several of the company's business units involved in thermal imaging surveillance systems, unmanned aerial vehicle systems, avionics equipment, command and control systems and software, and ship power, propulsion and control equipment. Services for this contract have commenced under a base effort that spans a 36-month period. Two one-year contract options potentially extend the service effort to a total of 48 to 60 months.

DRS Technologies, headquartered in Parsippany, New Jersey, provides leading edge products and services to defense, government intelligence and commercial customers. Focused on defense technology, DRS develops and manufactures a broad range of mission critical systems. The company employs 6,000 people worldwide.

For more information about DRS Technologies, please visit the company's web site at www.drs.com.