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U.S. Army Selects Northrop Grumman Team for Battlefield Logistics System Worth $600 Million

RESTON, Va. - Dec. 10, 2007 - Northrop Grumman Corporation (NYSE:NOC) has been awarded a cornerstone U.S. Army logistics program that will help ensure soldiers receive the right equipment and repair parts at the right time.

Under the Global Combat Support System-Army (Field/Tactical) program (GCSS-Army) contract, Northrop Grumman's Mission System sector will implement an enterprise system capable of providing the current status of all Army equipment and assets so that soldiers can best anticipate, allocate and manage the flow of available resources.

The company received initial funding of $10 million on this cost plus fixed fee task order, which is valued at up to $600 million over seven years. The task order was issued via the Information Technology Enterprise Solutions-2 Services indefinite delivery/indefinite quantity contract.

Northrop Grumman will lead its team as prime contractor to develop GCSS-Army, which will reengineer the current tactical logistics Standard Army Management Information Systems (STAMIS) and, when fully fielded, support active Army, National Guard and reserve component warfighters around the globe. A key element of the Army's larger vision for the integration of its major logistics systems and processes, GCSS-Army will also be important in the management of logistical assets of future programs, including the Joint Light Tactical Vehicle.

Northrop Grumman is teamed with IBM Global Services, Bethesda, Md.; Computer Sciences Corporation, El Segundo, Calif.; Joint Logistics Managers, Inc., Prince George, Va.; and SAP America, Newton Square, Pa.

"This team is looking forward to providing the Army with a seamless, interactive information management and operations system that is flexible and responsive to the needs of a dynamic and rapidly evolving expeditionary force," said Kelley G. Zelickson, vice president and general manager of the Tactical Systems Division, a business unit in the company's Mission Systems sector.

Northrop Grumman is a leader in providing logistics solutions to the U.S. Department of Defense and is the prime contractor for the Army's Property Book Unit Supply Enhanced (PBUSE) and Battle Command Sustainment Support System (BCS3). PBUSE is responsible for the physical and financial accountability of all Army assets and equipment on the battlefield. BCS3 fuses sustainment, in-transit visibility and force-level information to provide a visual logistics picture of the battlefield that helps commanders make decisions at all levels. The company also leads the development of the Logistics Decision Support System for the Army's Future Combat System.

Northrop Grumman Corporation is a $30 billion global defense and technology company whose 120,000 employees provide innovative systems, products, and solutions in information and services, electronics, aerospace and shipbuilding to government and commercial customers worldwide.

CONTACT:  Janis Lamar
          (703) 345-7046

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