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Northrop Grumman Announces $107.1 Million Award for LPD 23 Advance Procurement

NEW ORLEANS - Aug. 17, 2004 -- The U.S. Navy today awarded a $107.1 million advance procurement contract to Northrop Grumman Corporation (NYSE:NOC) that will provide funding for long-lead materials for the USS Anchorage (LPD 23), the seventh amphibious transport dock ship of the San Antonio class. The funds will be used to purchase major equipment such as the ship's main engines, diesel generators and other long-lead material like steel plates and shapes, pipe, cable and other major equipment.

"The advance procurement contract allows us to purchase equipment at the best possible price before we begin ship construction," said Dr. Philip A. Dur, corporate vice president and president of the company's Ship Systems sector, the builder of LPD ships for the U.S. Navy. "The LPD program is critical to our Navy/Marine customer and we are determined to ensure these warships are delivered to the Fleet as efficiently and productively as possible."

To date, the first five ships awarded in the Navy's anticipated 12-ship LPD 17 program are under contract to Northrop Grumman. San Antonio (LPD 17), New Orleans (LPD 18), Mesa Verde (LPD 19), Green Bay (LPD 20) and New York (LPD 21) are each in various stages of construction at three Northrop Grumman locations: New Orleans, and Pascagoula and Gulfport, Miss.

The LPD 17 ship class is 208.4 meters (684 feet) long, 31.9 meters (105 feet) wide, and will replace the functions of the LPD 4, LSD 36, LKA 113, and LST 1179 classes of amphibious ships. This new ship class affords the Navy's Expeditionary Strike Group with the technology and flexibility to launch and recover amphibious landing craft such as the Landing Craft, Air Cushion (LCAC), operate an array of rotary-wing aircraft, as well as the ability to carry and launch the U.S. Marine Corps' Expeditionary Fighting Vehicle.

Technological and design advances provide enhanced survivability, state- of-the-art command and control capability, modernized weapons stations and enhanced ergonomics, which greatly improve the quality of life at sea for the sailors and marines. With these advances, the LPD 17 class is becoming the most sophisticated and survivable amphibious ship ever produced, and as such, offers unparalleled amphibious warfighting capabilities.

Northrop Grumman Ship Systems includes primary operations in Pascagoula and Gulfport, Miss.; and in New Orleans and Tallulah, La., as well as in a network of fleet support offices in the U.S. and Japan. Ship Systems is one of the nation's leading full-service systems companies for the design, engineering, construction and life-cycle support of major surface ships for the U.S. Navy, U.S. Coast Guard and international navies, and for commercial vessels of all types.

Contacts:
Bill Glenn
(228) 935-3972
william.glenn@ngc.com