Nichols Research Wins $4.6 Million Hardware Integration Services Contract.

HUNTSVILLE, Ala.--(BUSINESS WIRE)--Oct. 31, 1997--Nichols Research Corp. (NASDAQ: NRES) announced today the award of a contract with Wang Laboratories, Inc. to support the Redstone Technical Test Center (RTTC). The value of the contract is for $4,615,563 for integration services and computer equipment to be installed and supported over the next year. Under this contract, Nichols will provide the Army's Test and Evaluation Command's RTTC with Silicon Graphics visualization and computation systems. These systems will form the Distributed Center in the DoD HPC Modernization Program to support RTTC's Virtual Proving Ground.

Nichols Research is a leader in the integration and support of high performance computer centers. In addition to managing many of the nations premier high performance computing centers, the company also manages information system centers for many Federal and State clients. Additional information may be found at Nichols Web site: www.nichols.com .

Nichols Research Corp., headquartered in Huntsville, Ala., provides information technology (IT) and technical services for the Department of Defense, Federal civilian agencies, state government clients, and commercial clients. The company has 28 locations throughout the United States with approximately 2,400 employees. The Company's stock is traded under the Nasdaq market symbol: NRES.

Except for historical information contained herein, this release contains forward-looking statements as defined in Section 21E of the Securities Exchange Act of 1934. These forward-looking statements can be generally identified as such because the content of the statement will usually contain words such as the company or management "believes," "anticipates," "expects," "estimates," "hopes," and words of similar import. Similarly, statements that describe the company's future plans, objectives, goals or strategies are forward-looking statements. Such forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from those projected in the forward-looking statements. These risks and uncertainties are discussed in more detail in the company's Annual Report on Form 10-K for the fiscal year ended Aug. 31, 1996, including the Management's Discussion and Analysis of Financial Conditions and Results of Operations section of that Annual Report.

CONTACT: Nichols Research, Huntsville

Patsy L. Hattox, 205/883-1170, Ext. 1447

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