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General Dynamics Awarded $141 Million to Upgrade Abrams Tanks

STERLING HEIGHTS, Mich. – The U.S. Army TACOM Lifecycle Management Command has awarded General Dynamics Land Systems, a business unit of General Dynamics (NYSE: GD), a $141 million contract to upgrade 60 M1A2 Abrams tanks to the latest System Enhancement Package (SEP) configuration (M1A2 SEP).

The M1A2 SEP fully digitized platform is the latest, most technologically advanced Abrams tank. It has the latest command and control system, second-generation thermal sights and improved armor. This retrofit is part of an overall M1A2 tank upgrade program that integrates new information technologies to improve soldier warfighting capability with enhanced command and control features like color maps and displays, high-density computer memory, increased microprocessing speed and networked communications. These 60 M1A2 tanks have been in service for the past 15 years.

Work is slated to begin in July 2005 and will be performed in Lima, Ohio; Anniston, Ala.; Sterling Heights, Mich.; Tallahassee, Fla.; Scranton, Pa.; and Fort Hood, Texas, by existing General Dynamics employees. Vehicle deliveries to General Dynamics are scheduled for January through October 2007, with vehicle hand-off to the U.S. Army expected in January 2008.

General Dynamics, headquartered in Falls Church, Virginia, employs approximately 70,100 people worldwide and had 2004 revenue of $19.2 billion. The company is a market leader in mission-critical information systems and technologies; land and expeditionary combat systems, armaments and munitions; shipbuilding and marine 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 - Monday, June 20, 2005
Press Contact: (586) 825-4610



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