DRS Technologies Expands International Presence in Military Infrared Sighting Systems Technology.

Business Editors and Technology Writers

PARSIPPANY, N.J.--(BUSINESS WIRE)--March 30, 2000

DRS Technologies, Inc. (ASE:DRS) announced today that it has expanded its international presence in the ground vehicle infrared sighting systems market with a $3.5 million contract from Raytheon Systems Company, a unit of Raytheon Company (NYSE:RTN/A, RTN/B), in McKinney, Texas.

The award includes contract options that, if exercised, will bring its total value to approximately $7 million.

The company will produce integrated Second Generation Forward Looking Infrared (FLIR) assemblies that combine infrared detector, Dewar and cryogenic cooler components in a single package for an international armored vehicle sighting systems program. Work for this contract will be accomplished by the company's DRS Infrared Technologies unit in Dallas, Texas. Product deliveries are expected to begin this year and continue through 2002.

Mark S. Newman, DRS Technologies' chairman, president and chief executive officer, remarked, "As a leading U.S. defense industry supplier of advanced military ground vehicle sighting and weapons systems, DRS is uniquely qualified to expand the application of our advanced focal plane array technology to support international programs. The complete package to be provided for this contract simplifies systems integration for our international customer and inserts our leading edge focal plane array technology on a new ground vehicle platform. DRS remains focused on enhancing our leadership position in military ground night vision sighting systems technology for the digitization of the 21st century's battlefield."

The 240 x 4 family of Dewar assemblies and cryogenic coolers to be produced for this contract are already used in the AN/AAS-44(V) Infrared Tracking Set on the U.S. Navy's SH-60B/R Seahawk helicopter and the AN/AAQ-26 Infrared Detecting Set on the U.S. Air Force's AC-130H/U Spectre gunship. For this new international armored vehicle application, the Second Generation FLIR technology produced by DRS will provide enhanced night vision capability, resulting in target detection at increased ranges with improved sight resolution. The company's cryogenic linear cooler technology will improve the reliability of the system's thermal imagers.

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.