Cubic Wins Recompete to Provide Support to U.S. Army's National Simulation Center; New Contract Expands Services to Include LVC Integration and JNTC Experiments

Business Wire, Nov 1, 2004

SAN DIEGO -- The defense segment of Cubic Corporation (AMEX:CUB) will stay in the forefront of development of the U.S. Army's next-generation of computer-based simulations under a follow-on Indefinite Delivery/Indefinite Quantity (ID/IQ) firm fixed-price contract. The contract, which has a ceiling value of $95 million over five years, is for support to the U.S. Army's National Simulation Center (NSC) at Fort Leavenworth, Kansas.

With Cubic's continuing support, the NSC provides the Army with state-of-the-art simulations and simulators to support training events and military operations worldwide. The NSC is the Army proponent for the joint forces community on behalf of simulations, and has overall responsibility for combat development, testing and fielding, new equipment training, maintenance, sustainment and post deployment software support of simulations.

Tom Coleman, NSC program manager for Cubic's Training and Education Division, said this new five-year contract increases the scope of Cubic's two previous NSC contracts with the Army's Training and Doctrine Command (TRADOC). Under those contracts, awarded in 1995 and 2000, Cubic's team helped the Army develop requirements for the latest constructive computer-based training simulations.

The new contract expands those efforts to include helping to develop virtual training simulators and developing requirements for Live, Virtual, Constructive (LVC) training systems for the Army and the Joint community. This process will include interacting with soldiers in the field, including those deployed to Iraq and Afghanistan, to determine their training needs. Cubic and the NSC will also assist in defining Joint National Training Capability (JNTC) requirements, conducting JNTC exercise experiments, and integrating LVC training systems into Army and joint combat training.

"Cubic will play a prominent role in the current U.S. Army initiative to integrate live, virtual and constructive training systems," said Jim Balentine, senior vice president of the Mission Support Business Unit of the Cubic Defense Application group (CDA).

Cubic is already in the vanguard of LVC integration. During a training exercise this summer at Fort Lewis, the Army instrumented one unit of soldiers with Cubic's MILES 2000 laser-combat training system while other units participated in constructive computer-based simulations or virtual training environments. The soldiers were successfully tracked using a new Cubic mobile training command and control system similar to the system now being installed at the Army's Alaska Training Range.

The Cubic Defense Applications group (CDA), the defense segment of Cubic Corporation, provides realistic combat training systems for military forces, as well as mission support services for training and exercises, modeling and simulation, force modernization, leadership development, curriculum design and development, web-based learning solutions and operations and maintenance services. The group also supplies products and systems for C4ISR (Command, Control, Communications, Computers, Intelligence, Surveillance and Reconnaissance) applications, search and rescue avionics and radio communications for military and civil markets. Cubic 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.