BAESYSTEMS.com

SANTA CLARA, Calif. – BAE Systems has received a $29.7 million contract from the Norwegian Defence Procurement Division for the development and delivery of M113 upgrade kits.

The contract calls for the development and production of 72 power pack kits, air conditioning system kits, suspension kits, and track system kits for Norwegian M113 vehicles, plus the provision of logistics support and spare parts.

“We are pleased to be selected to work with the Norwegian Army to upgrade their M113 vehicles,” said Ann Hoholick, director of M113/AAV Programs for BAE Systems. “We will be working closely with the customer to field a modern, low cost, commercial power train upgrade and other vehicle improvements.”

Work will be performed at BAE Systems’ facility Santa Clara, Calif., and will continue through November 2008. The contract also includes options for 34 additional sets of kits, storage cases and additional spares. The kits will be installed at the customer’s facility in Norway.

About BAE SYSTEMS
BAE Systems is the premier transatlantic defence and aerospace company delivering a full range of products and services for air, land and naval forces, as well as advanced electronics, information technology solutions and customer support services. With 88,000 employees worldwide, BAE Systems' sales exceeded 12 billion pounds (US22 billion dollars) in 2005, excluding the Group's former interest in Airbus.

For further information, please contact:
Herb Muktarian, BAE Systems
Tel: 717-225-8004
Pgr: 800-797-1593
herb.muktarian@baesystems.com

Shannon Smith, BAE Systems
Tel: 703-907-8257
Cell: 703-967-3854
shannon.n.smith@baesystems.com

www.na.baesystems.com

Ref: 001/2006

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