(SAN DIEGO AND MCLEAN, VA) - SAIC National Security and Space (NS&S) Business Unit achieved Carnegie Mellon University's Software Engineering Institute's (SEI) Capability Maturity Model® Integration (CMMI SM) Maturity Level 5 rating. The appraisal assessed systems engineering, software engineering, and supplier sourcing disciplines across the organizational processes. The SAIC NS&S Business Unit is one of a few organizations worldwide to achieve this significant milestone.

Specializing in systems engineering and integration, SAIC's NS&S Business Unit provides solutions to national security, federal government and Defense Department customers to help them meet challenges in all aspects of systems engineering and integration, IT infrastructure support, advisory and assistance services.

The appraisal, led by an authorized SCAMPI (Standard CMMI Appraisal Method for Process Improvement) lead appraiser, encompassed a thorough review of engineering, support, process management, and project management practices. The Class A SCAMPI appraisal evaluated multiple projects supporting various systems and engineering development lifecycles. These projects were distributed across several geographic locations to include California, Colorado and Virginia.

"This milestone represents a culmination of many years of planned improvements supporting our business objectives to provide superior products and services to our customers,” said Joe Broadwater, general manager for SAIC's NS&S Business Unit.

"We learned a lot from this experience and look forward to applying more quantitative management techniques to other processes in our business unit and deploying process innovations to reach our business goals. This is one step in a continuous effort along our process improvement journey."

The NS&S Business Unit completed a level 3 Software CMM assessment in June 2002 and more recently a CMMI Maturity Level 3 appraisal in September 2003.

Additional Information:

Visit SAIC's Software Development section to learn more about our capabilities in this area.

SAIC is the largest employee-owned research and engineering company in the United States, providing information technology, systems integration and eSolutions to commercial and government customers. From science to solutions, SAIC engineers and scientists work to solve complex technical problems in national and homeland security, energy, the environment, space, telecommunications, health care and logistics. More information about SAIC can be found at www.saic.com.

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, 2003, 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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