DRS Technologies Signs Agreement to Provide High-speed Digital Cameras for New Industrial Market.

Business Editors

PARSIPPANY, N.J.--(BUSINESS WIRE)--Sept. 6, 2001

DRS Technologies, Inc. (AMEX: DRS) announced today that it has signed an agreement to produce high-speed digital cameras for industrial applications.

The milestone award represents the company's launch of its military digital imaging systems technology into the commercial sector.

The agreement, with initial funding of $3.5 million, was signed by DRS and a major domestic industrial market leader and international supplier of high-speed digital cameras. This contract provides DRS with the opportunity to leverage the technology developed for the Airborne Separation Video System (ASVS), a line of multi-camera high-speed digital imaging systems currently deployed on board military aircraft during test flights for the evaluation of weapons release. ASVS is the military's only high-speed digital imaging system specifically designed and qualified to replace film cameras for airborne weapons separation events. The cameras under this new agreement will be produced by the company's DRS Photronics unit in Oakland, New Jersey. Strategically positioned to capture and record automated assembly line activities and irregularities, the cameras will be used as a critical component for controlling costs and improving high-speed manufacturing processes. Product deliveries are expected to commence in September.

"DRS will be providing the industrial sector for the first time with access to our highly sophisticated, state-of-the-art, reliable high-speed digital imaging technology incorporated in systems that are backed by expertise already proven in demanding U.S. military environments," said Mark S. Newman, DRS Technologies' chairman, president and chief executive officer. "Well aligned with our core capabilities, this new extension of our digital camera product line has been positioned competitively for a variety of applications in the industrial marketplace. The signing of this agreement is affirmation of our ability to provide technically innovative products and successfully transition them to meet commercial customer requirements. We are confident that the versatility of these systems will increase their demand for additional applications in the future."

High-speed digital cameras have found wide appeal in diversified markets, such as automotive, scientific, manufacturing, space and other industrial and military applications. These digital cameras provide significant cost savings to users, the convenience of digitization and a reduction in environmentally harmful waste products associated with film processing.

The company's newly developed camera provides 1280- by 1024-pixel images at a maximum rate of 500 frames per second. Speed can be increased with image resolution reduction. The camera can be used with C- or F-mount lenses, providing compatibility with existing systems. The base system can store over 1,600 full frames with options for expansion.

The technology associated with this new commercial line is rooted in the ASVS program, which was awarded to DRS in 1995. Comprised of an electronically-shuttered, high-speed, high-resolution digital imaging camera, a high-density digital data storage device and electronics, ASVS has been used for airborne applications and for ground munitions testing. DRS incorporated a color capability in the system and miniaturized its high-speed camera to assure compatibility with most high-performance air platforms. For airborne applications, ASVS systems are mounted on the outside of the aircraft to record images and interface with an air-to-ground data transmission system, which allows camera settings to be previewed on the ground and adjusted by the pilot in flight - an important feature not offered by other systems. As a result, ASVS eliminates costly errors in exposure settings and the significant expense associated with re-testing on another flight. Captured images immediately can be downloaded, analyzed and archived.

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, flight safety and space.

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