GARLAND, Texas, Dec. 3, 2001 (PRIMEZONE) -- Northrop Grumman Corporation's (NYSE:NOC) Electro-Optical Systems (EOS) business unit has received a new indefinite delivery/indefinite quantity contract from the U.S. Army to produce a combination of M22 and M24 laser-protected binoculars. The contract was awarded by the Army's Tank-automotive and Armaments Command (TACOM), Rock Island Arsenal, Ill.

With this award, EOS becomes the prime contractor for new production of the M24 (7x28) Miniature Binocular and M22 (7x50) Regular Binocular. The initial production award is valued at $1.3 million. If all production options are exercised, the contract value will total approximately $5.5 million over a five-year period.

The work will be performed at EOS's Applied Optics Center (AOC) in Dallas, which originally produced the laser-protected filter for the first M22 model. Since inception of the program in 1987, AOC has delivered over 200,000 filters for the M22/M24. The AOC has participated in almost every Army program requiring direct view and night vision goggle laser protection since 1980.

"This contract opens up a new business area for us as a prime contractor for these binoculars," said John Donehoo, EOS president. "It represents an exciting growth opportunity for our Applied Optics Center and supports a key Army customer, TACOM."

Northrop Grumman's Electro-Optical Systems unit is a strategic manufacturer of the latest generations of night vision image intensifiers and systems for military, law enforcement, and search and rescue operations serving all U.S. military services and many allied countries. In addition to laser-protection filters, the company designs and manufactures advanced infrared sensors, IR cameras and thin film coatings.

EOS is a component of Northrop Grumman's Electronic Systems sector. Headquartered in Baltimore, Md., Electronic Systems is a world leader in the design, development, and manufacture of defense electronics and systems including airborne radar systems, navigation systems, electronic warfare systems, precision weapons, air traffic control systems, air defense systems, communications systems, space systems, marine systems, oceanic and naval systems, logistics systems, and automation and information systems.

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  CONTACT:  Northrop Grumman Electronic Systems
          Doug Cantwell
          (410) 765-9332