DRS Technologies Receives Contract to Support U.S. Army Long Range Advanced Surveillance Systems.

Business/Technology Editors

PARSIPPANY, N.J.--(BUSINESS WIRE)--July 16, 2001

DRS Technologies, Inc. (AMEX: DRS) announced today that it has received a contract to provide major subsystems for Long Range Advanced Scout Surveillance

Systems (LRAS3) to support the U.S. Army's Interim Brigade Combat Team (IBCT). IBCT is designed primarily for small-scale contingency operations in complex and urban terrain against low-end and mid-range threats.

The $7.4 million contract was awarded by Raytheon Systems Company's Electronic Systems unit located in McKinney, Texas. Work for this contract will be accomplished by the company's DRS Optronics unit in Palm Bay, Florida.

As the long-range sensor system for the U.S. Army's Scout vehicles, LRAS3 provides real-time detection, recognition, identification and far-target location capability. Bridging the gap between currently fielded systems and the Future Combat System (FCS), it enables heavy battalion and Light Cavalry Squadron and IBCT Scouts to conduct 24-hour reconnaissance and surveillance missions, while remaining outside the acquisition and engagement ranges of the threat.

"This award provides added scope to the LRAS3 program, further enhancing DRS's market position as a leading supplier of Second Generation infrared ground vehicle sighting, targeting and detection systems," said Mark S. Newman, chairman, president and chief executive officer of DRS Technologies. "As part of the Army's Horizontal Technology Integration initiative and its modernization strategy for the 21st century, LRAS3 is an important program for our customer and is key to DRS's strategy for growth in our electro-optical systems business segment."

LRAS3 replaces obsolete systems that require scouts to enter within the direct-fire range of the detected threat. Deployed on the Army's reconnaissance vehicles in their mounted configuration, it also can be used on tripods for dismounted missions. The system provides precise far-target location by incorporating advanced Second Generation Forward Looking Infrared (FLIR) technology, a global positioning interferometer, an eye-safe laser range finder and a day video camera.

Army scouts are forward deployed to provide commanders with battlefield reconnaissance and surveillance under difficult conditions and assist the missions of heavy battalions in remote areas of rough terrain under difficult conditions. LRAS3 increases scouts' lethality and survivability, enabling the closing of the information dominance gap that currently exists.

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 systems and components in the areas of communications, combat systems, rugged computers, electro-optics, data storage, digital imaging, electro-optics, flight safety and space.

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