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SAIC to Work With Michelin to Supply Ground Tires to the U.S. Military

SAN DIEGO and McLEAN, Va., Feb. 8 /PRNewswire-FirstCall/ -- Science Applications International Corporation (NYSE: SAI) today announced it won a single award, firm-fixed-price contract from Michelin North America to help supply ground tires to the U.S. military through the Defense Supply Center -- Columbus, Ohio (DSCC).

The contract has a five-year base term and one five-year option, and a total value of over $300 million if all options are exercised. Michelin North America will contract with SAIC for the wholesale supply, storage and distribution functions, contributing supply chain management expertise in the area of forecasting, inventory management and worldwide distribution.

"We are proud to work with Michelin to operate the supply chain to execute this important program," said Jim Cuff, SAIC's senior vice president and general manager of the Logistics and Engineering Solutions Business Unit. "This contract is a strategic win for SAIC and gives us the opportunity to increase our support to the Defense Logistics Agency, DSCC and the warfighter."

SAIC is a leading provider of scientific, engineering, systems integration and technical services and solutions to all branches of the U.S. military, agencies of the Department of Defense, the intelligence community, the U.S. Department of Homeland Security and other U.S. Government civil agencies, as well as to customers in selected commercial markets. With more than 44,000 employees in over 150 cities worldwide, SAIC engineers and scientists solve complex technical challenges requiring innovative solutions for customers' mission-critical functions. SAIC had annual revenues of $7.8 billion for its fiscal year ended January 31, 2006.


Statements in this announcement other than historical data and information constitute forward-looking statements that involve risks and uncertainties. A number of factors could cause our actual results, performance, achievements or industry results to be very different from the results, performance or achievements expressed or implied by such forward-looking statements. Some of these factors include, but are not limited to, the risk factors set forth in SAIC's final prospectus relating to its initial public offering, and such other filings that SAIC makes with the SEC from time to time. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof.

CONTACT: Ron Zollars, San Diego, +1-858-826-7896, zollarsr@saic.com, or
Melissa Koskovich, McLean, +1-703-676-6762, koskovichm@saic.com, both of SAIC

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