DRS Technologies Receives Contract to Produce Unit for Submarine Acoustic Warfare Control System.

Business Editors

PARSIPPANY, N.J.--(BUSINESS WIRE)--Aug. 7, 2000

DRS Technologies, Inc. (ASE: DRS) announced today that it has been awarded a contract to design, test and manufacture the enclosure for a system processing unit for the Submarine Acoustic Warfare Control System, a next-generation international torpedo defense system being developed by Alenia Marconi Systems.

The $1.1 million order was received from the Electronic Sensors and Systems Sector of Northrop Grumman Corporation (NYSE: NOC) in Baltimore, Maryland. Work on this contract will be performed by the company's DRS Laurel Technologies unit in Johnstown, Pennsylvania. Qualification testing will be accomplished to U.K. standards. Product deliveries are expected to begin this summer and continue through 2001.

DRS Technologies' chairman, president and chief executive officer Mark S. Newman commented, "The receipt of this award is a milestone for our DRS Laurel Technologies unit, providing the opportunity to apply our engineering design capabilities to an important military electronics system, in combination with our advanced manufacturing services already demonstrated on previously received production and system s integration contracts from this customer. Our participation on this program, coupled with our experience in repackaging international sonar equipment for Northrop Grumman, enhances our reputation as a leading, value-added design and manufacturing source for international defense systems."

DRS Technologies recently opened a new 130,000 square-foot manufacturing center of excellence for its DRS Laurel Technologies unit in Johnstown, Pennsylvania to achieve operating efficiencies, increase production capacity and provide capacity for new program growth. DRS Laurel Technologies has a long standing reputation for reliable, cost-efficient contract manufacturing for major defense and industrial companies. The new facility enhances the company's competitive position for producing electronic systems on a global scale.

Certified to ISO-9002 and AS-9000 Quality System Standards, which includes ISO-9001, DRS Laurel Technologies ensures that its procedures and work processes consistently provide high-quality electronic manufacturing services for its customers.

DRS Technologies provides leading edge products and services to government and commercial customers 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.

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