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U.S. Marine Corps Awards General Dynamics $43 Million Expeditionary Fighting Vehicle Contract

STERLING HEIGHTS, Mich. – The U.S. Marine Corps Systems Command in Quantico, Va., has awarded General Dynamics Land Systems, a business unit of General Dynamics (NYSE: GD), a $43 million contract to continue the systems development and demonstration (SDD) phase and full-up system live-fire testing of the Expeditionary Fighting Vehicle (EFV).

The EFV is the Marine Corps’ highest priority expeditionary modernization program. The EFV is an amphibious vehicle that allows Marines to implement operational maneuvers from the sea doctrine. It can launch forces from 20 to 25 nautical miles at sea and transport its crew of three and 17 combat-ready Marines to shore at speeds in excess of 20 knots, three times faster than the current platform’s speed. The EFV is capable of speeds up to 45 mph on land and is replacing the 30-year-old, less capable AAV7s.

General Dynamics will provide all required materials, services, personnel and facilities to complete EFV design and development, perform studies and analyses, manufacture and test all SDD prototypes, prepare for production, initiate EFV logistics support, and successfully complete the SDD phase.

The majority of work will be performed by General Dynamics Amphibious Systems, an operating unit of General Dynamics Land Systems, Woodbridge, Va., and is expected to be completed by September 2009.

The Marine Corps awarded General Dynamics the EFV contract in 1996. The vehicle entered the SDD phase in 2001. Production of 1,013 vehicles begins in fiscal year 2007 and continues into 2020.

The EFV’s breakthrough expeditionary design provides outstanding cross-country mobility, lethal firepower, high water speed and optimum crew protection and survivability. EFV provides the elements of flexibility and tactical surprise critical to establishing battlefield dominance.

General Dynamics, headquartered in Falls Church, Va., employs approximately 70,800 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 - Wednesday, July 27, 2005
Press Contact: (586) 825-7980

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