DRS Technologies Awarded an Initial $1.1 Million U.S. Army Contract for 5-Year Maintenance of Boresight Equipment.

PARSIPPANY, N.J.--(BUSINESS WIRE)--June 21, 1999--

DRS Technologies, Inc. (ASE: DRS) announced today that its Electro-Optical Systems Group has been awarded an initial contract valued at approximately $1.1 million for the maintenance and supply of Captive Boresight Harmonization Kits (CBHK). Contract options, if exercised over the next five years, could increase the total value of the award to $16.5 million. The contract was awarded by the U.S. Army Aviation and Missile Command, Redstone Arsenal, Alabama. Work for this contract will be accomplished by the company's DRS Photronics, Inc. unit in Oakland, New Jersey.

DRS's CBHK systems are used with the Army's Apache and Apache Longbow attack helicopters, and are part of the company's Multiple Platform Boresight Equipment (MPBE) product line. MPBE systems are portable, ground-support devices that align an aircraft's navigation, targeting and weapon systems with the pilot's sighting gear to ensure synchronization and target accuracy when weapons are released. These systems allow the Army to quickly and easily boresight the Apache and Apache Longbow helicopters with equipment that can be commonly used across other rotary- and fixed-wing aircraft platforms. In addition to its deployment on U.S. Army and British Apache and Apache Longbow helicopters, Army National Guard AH-1F Cobra and U.S. Marine Corps AH-1W Cobra helicopters, DRS's MPBE systems also are used on the Air Force's AC-130U gunship, the Cobra helicopters of Taiwan, and the Cobra and Apache helicopters of other allied countries through previously awarded U.S. foreign military sales programs. To date, DRS has delivered more than 250 MPBE systems to domestic and international customers.

DRS Technologies' chairman, president and chief executive officer Mark S. Newman stated, "This most recent award to supply and maintain CBHK systems demonstrates DRS's continuing leadership position in electro-optical alignment technology. These leading edge systems provide our customers with a portable, cost-effective, time saving bocal device that provides simultaneous and continuous measurement of sighting systems on three axes. The core technology of TMS is the foundation of DRS's strategy to develop boresight products with common application across multiple military air platforms. The unique technology of the MPBE is being considered for domestic and international fixed-wing aircraft, such as the F-16, F-15, F-14, AV-8B and F/A-18, as well as other rotary-wing aircraft.

The Apache is one of the most advanced helicopter gunships in service today and is considered the most versatile and reliable attack aircraft in existence.

DRS Technologies provides leading edge products and services to government and commercial markets worldwide. Focused on defense electronics, the company develops and manufactures a broad range of mission critical products, from rugged computers and peripherals to systems and components in the areas of communications, data storage, digital imaging, electro-optics, flight safety and space. The company offers a full complement of technical support and advanced manufacturing services.

Additional information is available on the company's web site at www.drs.com.