Textron Marine & Land Awarded USCG Test Boat Contract Valued at $2.5M.

Business Editors

WILMINGTON, Mass.--(BUSINESS WIRE)--May 6, 2003

Textron Marine & Land, an operating unit of Textron Systems, announced today the receipt of a contract valued at approximately $2.5 million as part of the U.S. Coast Guard's Response Boat-Medium (RB-M) Program.

Under the terms of the contract, Textron will manufacture and deliver one test boat. Additionally, maintenance, logistics, operational support, warranty, crew training and a technical data package are included in the terms of the contract. Textron Marine & Land is one of three suppliers awarded a contract for this program.

During Phase I of the two-phased RB-M acquisition process, the Coast Guard called for industry to submit comprehensive proposals including a contractor's design. After intense review, the Coast Guard selected three contractors for award and build of a test boat. Upon delivery of these test boats, which are required 6 months from the date of the contract award, the Coast Guard will conduct extensive in-water testing and analysis. Under Phase II, only those Contractors that have successfully constructed and delivered a test boat will be considered to compete for a production contract to build approximately 180 boats at a rate of 30 boats per year. That award is expected in summer of 2004.

Textron's RB-M design is a highly versatile and rugged all-aluminum 45 ft. monohull design. Driven by twin waterjets, it will travel at speeds of up to 45 knots, while maintaining a high degree of maneuverability and the ability to operate in shallow environments. It is based upon the proven 47' Motor Lifeboat (MLB) of which Textron designed and manufactured 123 for the USCG. Textron's new RB-M employs significant commonality of equipment, suppliers and design features of that of the MLB. This will allow the USCG to maximize training, spares and processes already in place.

B. Clay Moise, vice president, marine and combat vehicles, Textron Marine & Land, said, "Because of our past experience in the development and manufacture of the world renowned 47' Motor Lifeboat, we are ideally suited to support this critical USCG program. It is a fast paced program that requires a high quality end product. We are extremely pleased that our boat was selected for consideration and we look forward to continuing our relationship with the men and women of the Coast Guard."

The USCG has plans to replace all of their aging fleet of 41' Utility Boats with the new and more modern RB-M. Because of the critical nature of the missions that the RB-M will be expected to perform, it is imperative that these vessels offer quality construction that will allow for robust operation, while remaining reliable, maintainable and logistically supportable. With a multi-mission charter, RB-M will be in high demand in roles such as Port Safety/Security and Defense Operations/Contingency Preparedness, Search and Rescue, Marine Environmental Protection, Enforcement of Laws and Treaties, and Recreational Boating and Safety. Additionally, as the Coast Guard's Role in Homeland Security becomes definitive, even more use for these vessels is expected.

All work associated with this program will be perfomed at Textron Marine & Land's New Orleans facility.

About Textron Systems www.systems.textron.com

Textron Systems Corporation, a wholly owned subsidiary of Textron Inc., provides innovative technology solutions to meet the needs of the global aerospace and defense industries. The company supports military precision engagement and dominant maneuver with strike weapons, mobility and surveillance systems. The Textron name is well known in the areas of advanced weapons, surveillance systems, aircraft control components, specialty marine craft and armored vehicles.

About Textron Inc.

Textron Inc. (NYSE: TXT) is an $11 billion multi-industry company with 49,000 employees in 40 countries. The company leverages its global network of businesses to provide customers with innovative solutions and services in industries such as aircraft, fastening systems, industrial products and components and finance. Textron is known around the world for its powerful brands such as Bell Helicopter, Cessna Aircraft, Kautex, Lycoming, E-Z-GO and Greenlee, among others. More information is available at www.textron.com.

(C) Copyright 2003 Textron Systems