(BRUSSELS) - A team led by Science Applications International Corporation (SAIC), the NATO prime contractor for missile defence architecture and requirements analysis, announced today that it intends to pursue the NATO active layered theatre ballistic missile defence (ALTBMD) systems engineering and integration (SE&I) contract, scheduled for an invitation for bid in March of 2006.

SAIC's team is comprised of U.S. and European air and missile defence development companies as well as companies with large-scale systems integration capabilities. To complement these capabilities, SAIC has added defence research organisations who are leaders in distributed integration of missile defence weapon systems and command and control capabilities. If selected, the SAIC team will provide systems engineering support to NATO's ALTBMD program organisation in Brussels, Belgium, and will design, develop and operate a testbed in Europe that will help integrate and test missile defence capabilities from NATO and member nations.

SAIC's European teammates include France's Thales Group and European Aeronautics and Defence Space (EADS SPACE); Germany's Industrieanlagen-Betriebsgesellschaft mbH (IABG); Britain's QinetiQ; and the Netherlands Organisation for Applied Scientific Research (TNO), as well as SAIC's U.K. subsidiary, SAIC Ltd. The Raytheon Company (U.S.) and ThalesRaytheonSystems, a transatlantic joint venture between Thales and Raytheon, complete the team.

“SAIC is committed to bringing world-class systems engineering and integration to what is one of the most technically complex and militarily important programs NATO will ever undertake,” said George Singley, president of SAIC's Transformation, Training and Logistics Group. “Missile defence is one of the key capabilities that will transform the Alliance in the 21st century. Our multinational consortium is committed to effectively integrating TMD assets from individual NATO allies with NATO's command and control capabilities in an architectural solution tailored to the Alliance's unique needs."

In 2001 NATO awarded an ALTBMD feasibility study contract to SAIC and an international team to conduct performance evaluations at the system and architecture levels, which, in turn, formed the groundwork for the Alliance's new ALTBMD SE&I activity. In 2004, NATO awarded a second contract to SAIC and an international team to identify and thoroughly assess options to protect NATO territory, forces and population centres against the full range of missile threats. The core members of these past industrial teams have joined SAIC to pursue this new effort.

“As the indispensable security alliance of the transatlantic community of nations, NATO is focused on pursuing a transformational agenda, which at its core includes missile defence,” said Robert Bell, SAIC senior vice president and former NATO Assistant Secretary General (ASG). “The SAIC team's direct experience in missile defence systems analysis and large-scale systems integration, based objectively on platform-neutral, best-of-breed technologies can add significantly to accomplishing that agenda.”

SAIC is the largest employee-owned research and engineering company in the United States, with annual revenues of $7.2 billion and more than 42,000 employees in over 150 cities worldwide. SAIC engineers and scientists solve complex technical problems in national security, homeland security, energy, the environment, space, telecommunications, health care, and logistics. SAIC: FROM SCIENCE TO SOLUTIONS™

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 the Company's Annual Report on Form 10-K for the period ended January 31, 2005, and such other filings that the Company 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.

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