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Cubic Receives $5 Million in Orders from U.S. Navy for Next-Generation Combat Training System.

Business Editors

SAN DIEGO--(BUSINESS WIRE)--March 3, 2004

Cubic Defense Applications, the defense segment of San Diego-based Cubic Corporation (AMEX:CUB), has received its first delivery orders from the U.S. Navy to provide its advanced rangeless air combat training system for use aboard aircraft carriers. Two delivery orders, totaling nearly $5 million, were placed under the P5 CTS/TCTS contract for the Navy's Tactical Combat Training System program.

The P5 CTS/TCTS contract, potentially valued at $525 million over 10 years, calls for the development of the next-generation, common air combat training system for the Air Force, Navy, Air National Guard and the Marine Corps. Cubic and its principal subcontractor, DRS Training and Control Systems, are providing P5 CTS/TCTS to approximately 27 sites under an Indefinite Delivery, Indefinite Quantity (ID/IQ) contract awarded in 2003.

The Navy orders include the development of the Airborne Subsystem which meets carrier qualification requirements, Internal Subsystems for the F/A 18A-F and AV-8B aircraft as well as integration of Transportable Ground Subsystems for live monitoring, exercise control and debriefing.

"The orders represent a significant milestone in the P5 CTS/TCTS program and signify the beginning of the development of advanced features that support current and emerging operational training requirements for the Navy," said Dianna Granum, Business Development director for Cubic's Training Systems. "These new technologies will significantly increase U.S. training effectiveness and allow Navy aircrews to train in a rangeless environment for the first time."

Rangeless training allows tactical aircrews to train in any available airspace without the need for a fixed range using global positioning satellites and easily transportable components.

The development of the Navy Airborne Subsystem will result in providing instrumentation that meets the rigorous requirements of the carrier environment.

The development of the airborne Internal Subsystems will provide increased capability to collect aircraft data and provide missile simulation capabilities on F/A-18 and AV-8B aircraft.

Cubic's advanced ICADS is also a key component of the P5 CTS/TCTS Transportable Ground Subsystems. The ground stations enable exercise controllers to communicate with pilots in real time, control simulated threats and record flight data on PCs or laptops.

Under the ID/IQ contract, Cubic and DRS expect to produce more than 1,300 participant instrumentation packages and hundreds of ground-based display systems.

P5 CTS/TCTS is a cooperative program between the Air Force and the Navy. The program is being managed by the Naval Air Systems Command, Tactical Training Ranges Program Office (PMA-248), with the P5 CTS/TCTS contracting activity located at the Air Armament Center at Eglin AFB.

The Cubic Defense Applications group, one of Cubic's two major segments, provides realistic combat training systems for military forces as well as simulation training, force transformation assistance, educational services, operations & maintenance, and manufacturing services. The group also supplies products and systems for C4ISR (Command, Control, Communications, Computers, Intelligence, Surveillance & Reconnaissance) applications, search and rescue avionics and radio communications for military and civil markets. The corporation's other major segment, Cubic Transportation Systems, designs and manufactures automatic fare collection systems for public mass transit authorities. For more information about Cubic, see the company's website at www.cubic.com.
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Publication:Business Wire
Geographic Code:1USA
Date:Mar 3, 2004
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