DRS Technologies Awarded $36 Million Contract, Including Options, to Provide Refrigerated Container Systems for the U.S. Army

Business Wire, July 13, 2006

PARSIPPANY, N.J. -- DRS Technologies, Inc. (NYSE: DRS) announced today that it recently received a $36 million contract, including options, to produce Refrigerated Container Systems (RCS) for the transport and storage of perishable food and other items, including temperature-sensitive cargo products and medical supplies, for U.S. Army troops worldwide.

Initial funding of approximately $4.6 million was received by DRS from the U.S. Army Research, Development and Engineering Command (RDECOM) Acquisition Center, Soldier Systems Center, in Natick, Massachusetts. For this award, DRS will produce and integrate an 8- by 8- by 20-foot insulated refrigerated container. An electrically-driven 9,000 BTU refrigeration unit, 10 kW tactical quiet generator and other ancillary equipment will be integrated into each Refrigerated Container System. Manufacture of the RCS will be accomplished by the company's DRS Sustainment Systems units in Florence, Kentucky, and Bridgeport, Connecticut. Product deliveries will commence in September and continue for approximately one year.

"The container systems produced under this contract ensure the continued sustainment of our troops in Iraq and other locations around the world by providing safe transport and storage of vital food, medical supplies and other perishable cargo," said Daniel A. Rodrigues, president of DRS's Sustainment Systems & Services Group. "Receipt of this order builds on our reputation as a leading producer of military support equipment for the U.S. Army."

Providing complete and efficient ration distribution and storage requirements across all military operations, the RCS is designed for both military and commercial transportability requirements, including air, rail and tactical truck transportation. The system meets all International Organization for Standardization (ISO) freight requirements related to cargo containers, including air transportability by C-130 Hercules and other large aircraft, and also can be sling-loaded from a helicopter or transported by military vehicles that are designed to safely lift and transport freight containers. Each RCS unit is designed to carry at least 41,000 pounds of sensitive cargo in extreme environments. The system is designed for loading, unloading and storing product at temperatures ranging from -40-degree F to 125-degree F.

The company's DRS Sustainment Systems unit currently is under contract with the U.S. Army to develop the next-generation of 8- by 8- by 20-foot refrigerated container systems, as well, and has produced three prototypes of this new Multi-Temperature Refrigerated Container System (MTRCS).

DRS Technologies, headquartered in Parsippany, New Jersey, is a leading supplier of integrated products, services and support to military forces, intelligence agencies and prime contractors worldwide. The company employs approximately 10,000 people.

For more information about DRS Technologies, please visit the company's web site at www.drs.com.