DRS Technologies Awarded $30 Million Order to Provide Infrared Assemblies for U.S. Army Apache Helicopter Arrowhead System

DRS Technologies, Inc. (NYSE:DRS) announced today that it has received a $30 million order to manufacture the pilotage and targeting receiver assemblies for the Arrowhead® Forward Looking Infrared (FLIR) System for U.S. Army AH-64 Apache attack helicopters. The orders represent Lot 3 production of the Arrowhead, the Army’s Modernized Target Acquisition and Designation Sight/Pilot Night Vision Sensor (M-TADS/PNVS) system. The contract was awarded to DRS by Lockheed Martin Corporation (NYSE: LMT). Work will be performed by the company’s DRS Sensors & Targeting Systems – Optronics Division in Palm Bay, Florida. Product deliveries are expected to commence in June 2007 and continue through July 2008. Additional awards on this program are anticipated by the company. "The Arrowhead, called the ‘eyes of the Apache helicopter,’ represents a new era of advanced target acquisition, designation and night vision capabilities for Army aviation,” said James M. Baird, president of DRS’s Reconnaissance, Surveillance & Target Acquisition (RSTA) Segment. "The design of these receivers is based on the success of the Army’s Horizontal Technology Integration B-Kit, produced by DRS for a number of ground vehicles and is optimized for this new airborne application. Our leading edge FLIR technology is providing a significant benefit to the Apache fleet. With over 1,000 helicopters currently targeted for this upgrade, we consider the Arrowhead a key program for DRS.” Lockheed Martin is delivering Arrowhead systems to meet the U.S. Army and foreign military sales requirements. Arrowhead provides a new electro-optical targeting and pilotage system to Apache helicopter crews that will maximize safe flight in day, night and adverse-weather environments. The Arrowhead system improves performance and reliability, and reduces maintenance, which will save the Army nearly $1 billion in operation and support costs over the life of the system, when compared to the legacy system, according to Lockheed Martin. The high-resolution imagery from the pilotage FLIR sensor will be displayed on the cockpit display and the pilot’s helmet-mounted display. Its advanced processing techniques will provide pilots with the best possible resolution to avoid such obstacles as wires and trees during low-level flight. 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. DRS is exhibiting this week in Booth 1103 at the 2006 Association of the U.S. Army (AUSA) Annual Meeting at the Washington Convention Center in Washington, D.C. For more information about DRS Technologies, please visit the company’s web site at www.drs.com.