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GAO Upholds U.S. Army's JCA Decision

NEW YORK--(BUSINESS WIRE)--Sept. 27, 2007--L-3 Communications (NYSE: LLL) announced today that the Government Accountability Office (GAO) denied the protest filed by Raytheon Company, Space and Airborne Systems, challenging the Department of the Army's award of a contract to provide the Joint Cargo Aircraft (JCA) to the Government.

"We are very pleased with today's developments, which affirm our confidence that the C-27J is the best value solution for the Government," said Michael T. Strianese, President and Chief Executive Officer of L-3 Communications. The President of L-3's Integrated Systems Group, Robert W. Drewes, added, "We are anxious to get started so that we can promptly deliver this capability to our warfighters. The C-27J is the most rugged, versatile, and survivable aircraft in its class and unquestionably provides the highest degree of tactical utility."

The U.S. Army awarded the JCA contract to L-3 in June 2007. It is a Joint Service program designed to fill a critical gap that exists today in intra-theater airlift support for U.S. troops on the ground. Experience in overseas combat operations demonstrates America's need for an improved capability for medium airlift inside combat theaters and in support of the Global War on Terrorism. The C-27J is a multi-mission cargo aircraft that will fill the current capability gap in joint aerial delivery based on its ability to transport critical cargo and personnel, self-deploy over strategic distances, land in austere locations, operate autonomously, and provide routine and combat aerial sustainment to the joint force. The C-27J will replace the U.S. Army's C-23 Sherpas, C-26 and various C-12 aircraft, and will augment the U.S. Air Force's existing fleet of intra-theater airlifters. The aircraft will play a key role in providing responsive aerial sustainment, critical re-supply, MEDEVAC, troop transport, airdrop operations, humanitarian assistance and missions in support of Homeland Security.

L-3 leads the C-27J team which includes Alenia North America (a Finmeccanica Company), Boeing Integrated Defense Systems (NYSE: BA) and Global Military Aircraft Systems (GMAS).

Headquartered in New York City, L-3 Communications employs over 63,000 people worldwide and is a prime system contractor in aircraft modernization and maintenance, C3ISR (Command, Control, Communications, Intelligence, Surveillance and Reconnaissance) systems and government services. L-3 is also a leading provider of high technology products, systems and subsystems. The company reported 2006 sales of $12.5 billion.

To learn more about L-3, please visit the company's web site at www.L-3Com.com.

L-3 Integrated Systems (L-3 IS) develops and integrates defense and commercial technology for U.S. and allied customers worldwide. Headquartered in Greenville, Texas, L-3 IS has more than five decades of experience in the development of complex intelligence, surveillance and reconnaissance systems; command and control; and secure communications. It is recognized internationally as a systems integration organization specializing in the modernization and maintenance of aircraft of all sizes. It is a leader in advanced technologies for signal processing, electronic countermeasures, sensor development and aircraft self-protection. Systems provided or maintained by L-3 IS help protect military and civilian personnel, bases, assets and national borders throughout the world.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

Except for historical information contained herein, the matters set forth in this news release are forward-looking statements. Statements that are predictive in nature, that depend upon or refer to events or conditions or that include words such as "expects," "anticipates," "intends," "plans," "believes," "estimates," "could" and similar expressions are forward-looking statements. The forward-looking statements set forth above involve a number of risks and uncertainties that could cause actual results to differ materially from any such statement, including the risks and uncertainties discussed in the company's Safe Harbor Compliance Statement for Forward-looking Statements included in the company's recent filings, including Forms 10-K and 10-Q, with the Securities and Exchange Commission. The forward-looking statements speak only as of the date made, and the company undertakes no obligation to update these forward-looking statements.

    CONTACT: L-3 Communications
             Cynthia Swain, 212-697-1111
             OR
             L-3 Integrated Systems
             Jason Decker, 903-457-4604
             OR
             FD
             Investors:
             Eric Boyriven/Alexandra Tramont, 212-850-5600
             OR
             Media:
             Evan Goetz, 212-850-5600