Cubic To Provide Next-Generation Air Combat Training System to Luke AFB as Part of U.S. Upgrade Effort

Business Wire, Feb 19, 2003

Business Editors

SAN DIEGO--(BUSINESS WIRE)--Feb. 19, 2003

Cubic Corp. (AMEX:CUB) will provide next-generation air combat training capabilities to Luke Air Force Base, Arizona, as part of a multimillion dollar effort to upgrade 10 U.S. Air Force and Air National Guard bases with mobile training systems.

The "rangeless" training system will be provided by Cubic Defense Applications in partnership with Metric Systems Corp. of Ft. Walton Beach, Fla. The system allows fighter pilots to prepare for combat -- in any available airspace -- using global positioning satellites and portable components.

With the recent $3.9 million order, Luke AFB will be the tenth military base to receive the advanced technology under the "P4RC" Indefinite Delivery/Indefinite Quantity (IDIQ) contract. The contract, awarded to Cubic in 2001, initially called for refurbishments at nine military bases. This order raises the total value of the IDIQ contract to $42.6 million.

"The new technology will significantly enhance training capabilities for U.S. fighter pilots and increase their chance of survival during actual combat missions," said Gerald Dinkel, president and CEO of Cubic Defense Applications. "Our 'rangeless' system allows aircrews to sharpen their skills in a realistic environment using advanced simulation and cost-effective, easily transportable equipment."

Cubic met its first program milestone in December at Eglin AFB, Florida, after delivering the first batch of equipment there. Langley AFB, Virginia will be the next to receive the equipment. Final deliveries are scheduled in 2003.

"Our customers are pleased with the system's performance and are very eager to incorporate the equipment into their training exercises," said Phil Fisch, CDA director of Training Systems. "We are working very hard to meet program requirements and delivery dates. Within a 12-month period, the equipment should be delivered, accepted and operational at all 10 bases."

The bases will receive Deployable Ground Stations for PC-based debriefing stations and airborne instrumentation GPS-based "pods." The Deployable Ground Stations will include Cubic's new Individual Combat Aircrew Display System (ICADS), which allows pilots to debrief training missions on commercially available PCs or laptop computers in a user-friendly Windows environment.

The instrumentation pods, typically mounted on a wingtip weapon station, are mobile monitoring devices that collect in-flight data for post-mission debriefs. The new pods will support training for F-15 and F-16 aircraft.

Cubic Defense Applications, one of Cubic Corp.'s two major segments, provides realistic combat training systems for military forces, as well simulation, force modernization, 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 Web site at www.cubic.com.