Mercury Computer Systems Selected by ITT Industries' Systems Division for Advanced Precision Approach Radar.

Business/Technology Editors

CHELMSFORD, Mass.--(BUSINESS WIRE)--Oct. 2, 2001

U.K. to Modernize Military Air Traffic Control System with Radar

Equipped with RACE Multicomputer Systems

Mercury Computer Systems, Inc. (NASDAQ: MRCY), a leading provider of embedded real-time digital signal and image processing systems, announced today it has been selected by the Gilfillan Group of ITT Industries' System Division to provide its RACE(R) signal processing systems for the ITT PAR-2000 precision approach radar. The PAR-2000 radar will be deployed to the United Kingdom's Ministry of Defence to modernize military air traffic control radar systems. The contract is valued at approximately $1.7 million.

"As commercial and military aircraft operations are becoming increasingly more sophisticated and complex, air traffic guidance radar systems will require leading-edge technological advances," said Tom Kennedy, Director of Air Traffic Control, ITT Industries, Gilfillan Group. "We selected Mercury for this program because they have consistently exceeded our embedded computing requirements. Mercury's systems provide the results we need today with a reliable upgrade path into the future."

The PAR-2000 radar was designed for demanding environments where extreme weather conditions may affect the ability of an airplane to complete a safe landing. By incorporating Mercury's systems, vast amounts of data are processed instantaneously, enabling air traffic controllers to provide precision approach coverage out to a range of 20 nautical miles in severe environments including heavy winds and other adverse weather conditions.

"Gilfillan has taken advantage of Mercury's compatibility across generations of hardware to maintain its position at the leading edge of air traffic control and defense radar systems worldwide," said Vince Mancuso, vice president and general manager of Mercury's Government Electronics Group. "This significant customer selection underscores Mercury's history of providing solutions for world-class applications. We are proud to be a current contributor to Gilfillan's long history of success in radar."

Mercury's corporate purchase agreement with ITT Industries, Gilfillan Group covers Mercury's entire line of RACE Series PCI and VME high-performance multicomputer systems.

Additional information about Gilfillan is available at http://www.gilfillan.itt.com/. Photographs of the PAR-2000 radar are available at http://www.gilfillan.itt.com/products/PAR2000.htm.

About ITT Industries, Gilfillan Group

Gilfillan, a unit of ITT Industries, provides state-of-the-art air defense, surveillance, multifunction and air traffic control radar systems for U.S. and international land and maritime applications. Gilfillan (http://www.gilfillan.itt.com) is also a leader in the development of miniaturized active array antenna modules and subsystems for sensor and communications applications.

ITT Industries, Inc. (http://www.itt.com) is a global engineering and manufacturing company with leading positions in the markets it serves including: Connectors and Switches, Defense Products & Services, Pumps & Complementary Products, and Specialty Products.

Headquartered in White Plains, New York, the company employs approximately 38,000 people around the world. In addition to the New York Stock Exchange, ITT Industries is traded on the Midwest, Pacific, London, Paris and Frankfurt exchanges.

About Mercury Computer Systems, Inc.

Mercury Computer Systems, Inc. (NASDAQ: MRCY) is the leading producer of high-performance embedded, real-time digital signal and image processing computer systems. Mercury's products play a critical role in a wide range of applications, transforming sensor data to information for analysis and interpretation. In military reconnaissance and surveillance platforms, the company's systems process real-time radar, sonar, and signals intelligence data. Mercury's systems are also used in state-of-the-art medical diagnostic imaging devices including MRI, CT, PET, and digital X-ray, and in semiconductor imaging applications including photomask generation and wafer inspection.

Based in Chelmsford, Massachusetts, Mercury serves customers in North America, Europe and Asia through its direct sales force and a network of subsidiaries and distributors.

Visit Mercury on the Web: www.mc.com

RACE is a registered trademark of Mercury Computer Systems, Inc. Product and company names mentioned may be trademarks and/or registered trademarks of their respective holders.