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General Dynamics Awarded Fox Upgrade Contract Modification

STERLING HEIGHTS, Mich. -- General Dynamics Land Systems has been awarded a $17.3 million contract modification by the U.S. Army Soldier and Biological Chemical Command (SBCCOM), Edgewood, Maryland, to upgrade 24 Fox Nuclear, Biological, Chemical Reconnaissance System (NBCRS) vehicles to the M93A1 configuration.

The Fox NBCRS vehicle protects personnel on the battlefield by detecting potentially lethal or hazardous chemical contamination areas. The M93A1 upgraded Fox NBCRS adds significant improvements to the basic M93 vehicle for enhanced automated operation and improved chemical agent detection. Automated sensor suite integration allows a reduction of the crew size from four to three people. The addition of a stand-off detector allows early warning detection of airborne chemical agent contamination of up to three miles from the vehicle. The addition of a Global Positioning System (GPS) and the Autonomous Navigation (ANAV) system improves route reconnaissance.

This is the fourth contract modification to the base contract that SBCCOM awarded to Land Systems in May 1996 for the upgrade of 62 Fox NBCRS vehicles. The original base contract contained three options, all of which were executed.

This award, coupled with negotiated options expected in fiscal years 2001 and 2002, will add 24 M93A1 Fox NBCRS vehicles to the 62 upgrade Fox systems now being completed by Land Systems at the U.S. Army Depot in Anniston, Alabama. It also will allow an additional two years of uninterrupted Fox NBCRS upgrades from the M93 to the M93A1 configuration for the U.S. Army and help retain the experienced Land Systems and Anniston Army Depot work force. A total of 120 Fox NBCRS vehicles are owned between the U.S. Army and the U.S. Marine Corps.

The U.S. Army plans to use the M93A1 Fox NBCRS as its surrogate NBC Reconnaissance Vehicle in the upcoming Brigade Combat Team (BCT) vehicle trials at Fort Lewis, Washington, and as the initial fielded BCT NBC Reconnaissance vehicle.

General Dynamics Land Systems is a wholly owned subsidiary of General Dynamics (NYSE: GD). General Dynamics, headquartered in Falls Church, Virginia, employs approximately 43,000 people worldwide and has annualized sales of approximately $10 billion. The company has leading market positions in shipbuilding and marine systems, land and amphibious combat systems, information systems, and business aviation.

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Any "forward-looking statements" contained in this press release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.

General Dynamics Corporation (ticker: GD, exchange: NYSE)
News Release - Wednesday, May 17, 2000
Press Contact: (703) 876-3190