DRS Technologies Receives $9.3 Million Contract to Provide Electro-Optical Upgrade Kits for Infrared Weapon Sights.

Business Editors

PARSIPPANY, N.J.--(BUSINESS WIRE)--Nov. 10, 2003

DRS Technologies, Inc. (NYSE: DRS) announced today that it has been awarded a $9.3 million contract, including options, to produce, qualify and test upgrade kits for night vision targeting sights on the Tube-launched, Optically-tracked, Wire-guided (TOW) Weapons System. The AN/TAS-4(X) TOW Sight to be produced is a low-cost solution that will upgrade first generation infrared weapon sights already in use, providing enhanced performance, increased reliability and extended service life.

The initial $6.8 million contract was awarded to DRS by the Applied Research Laboratory at the Pennsylvania State University Center for Electro-Optics Research in West Kittanning, Pennsylvania, for the Office of Naval Research Manufacturing Technology Program. Work for this contract will be performed by the company's DRS Infrared Technologies unit in Dallas, Texas. Deliveries are expected to begin in September 2004 and continue for four months. Contract options associated with these systems include engineering field support, production of additional units and research for third generation sighting systems.

"The result of this contract will provide a key second generation sighting system for the AN/TAS-4 family of night sights, further enhancing DRS's leadership position in advanced infrared sighting systems and continuing our penetration into the first generation weapons upgrade market," said Fred L. Marion, president of DRS's Electro-Optical Systems Group. "We are pleased to continue our work with the Center for Electro-Optics Research, recognized as a center of excellence for advanced electro-optical products for combat applications."

The AN/TAS-4(X) Second Generation upgrade kit allows for broader fields-of-view, as well as increased operating range performance, target detection and identification during day or night, or in adverse weather conditions. The kit is designed with a convenient plug-and-play feature, advanced focal plane array components and a quiet, highly reliable cryogenic cooler assembly. These sighting systems will be used as a replacement for AN/TAS-4 observation sights currently in use and will be capable of being installed on all TOW Anti-Tank platforms that use the original AN/TAS-4 observation sights. DRS's product re-uses many of the current system components, while providing compatibility with all system interfaces, effectively retaining existing housing, optics and current weapons systems.

The leading edge technology DRS incorporates in the AN/TAS-4 family of night sights contributes to the strategic responsiveness, forward engagement and force projection capabilities of military units and supports U.S. defense modernization strategies to dominate the expanded battle space.

The TOW missile is a crew-portable, heavy anti-armor weapon system that consists of a launcher and one of five versions of the TOW missile. It is commonly mounted on the Army's High-Mobility Multipurpose Wheeled Vehicles (HMMWV), M151 jeeps, armored personnel carriers, Bradley Fighting Vehicles, Improved TOW Vehicles and Marine Corps' Cobra helicopters and Light Armored Vehicles. The TOW missile system is widely used by the U.S. Army, U.S. Marine Corps and the military forces of approximately 43 allied nations.

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 5,700 people worldwide.

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