SAN DIEGO, Calif – Sept. 28, 2004 -- Cubic (AMEX: CUB) will continue to provide first-class educational and training services to the U.S. Army under a contract Northrop Grumman Information Technology (NGIT) received from the Army to support the Army’s Battle Command Training Program.

The new contract has a ceiling of close to $408 million over a 10-year period. Cubic will receive 20 percent of the contract funding. The Army will determine the actual amount the NGIT/Cubic team will receive. All work will be administered from Fort Leavenworth, Kansas, home of the Battle Command Training Program (BCTP) since its inception.

Created in 1986 to improve the decision-making, planning and execution of Army Corps and Division commanders and their staffs, the BCTP expanded recently to include selected Brigade-level commanders and staffs, primarily the Enhanced brigades of the National Guard.

“For the past eight years, Cubic and NGIT have provided high-quality educational and training services to the Battle Command Training Program, a cornerstone event in a unit’s training year,” said Stan Cherrie, vice president and general manager of Cubic’s Training and Education Division based in Leavenworth, Kansas. “This new contract ensures that the Cubic/NGIT team can continue to help improve the BCTP, and also help address the urgent national requirement for more rigorous and realistic training for National Guard commanders and staffs,” Cherrie said.

Cubic will be in charge of providing education and training support to Operations Group Charlie, the Ops Group that trains the National Guard brigades exclusively. Cubic will also assist the BCTP support team that works out of the National Simulation Center at Fort Leavenworth.

Cubic expects to hire additional employees under the new contract, including exercise observer-controllers, database administrators, after-action review builders and facilitators.

Thousands of unit commanders and their staffs participate annually in the BCTP training program. The two-week training begins with a weeklong seminar developed jointly by BCTP and unit staffs that reflects the unit’s specific mission. It culminates in a weeklong computer-driven Warfighter simulation exercise designed to exert intense pressure and stress on the commander and their staffs.

“It’s 24/7 pressure and as close to combat as you can get,” Cherrie said.

Cubic’s Training & Education Division is part of Cubic Defense Applications (CDA). CDA provides realistic combat training systems for military forces, as well as mission support services for training and exercises, modeling and simulation, force modernization, educational services, curriculum design and development, web-based learning solutions, operations and maintenance and manufacturing services. The group also supplies products and systems for C4ISR (Command, Control, Communications, Computers, Intelligence, Surveillance and Reconnaissance) applications, search and rescue avionics and radio communications for military and civil markets. The corporation's other major segment, Cubic Transportation Systems, designs and manufactures automatic fare collection systems for public mass transit authorities. For more information about Cubic, see the company's Web site at www.cubic.com.