LOS ANGELES, March 5, 2003 (PRIMEZONE) -- Northrop Grumman Corporation (NYSE:NOC) announced today that, having completed the sale of TRW Automotive on March 3, 2003, it is finalizing plans to repay certain public debt. The company will retire debt in phases, the first phase of which will be announced shortly. The debt reduction plan is expected to be complete by the end of the second quarter.

As a result of the anticipated timing and the composition of the debt to be retired, the company stated that it expects net interest expense for 2003 to be approximately $100 million higher than its previous guidance of $370 million. As a result the company now expects its 2003 earnings per share to range between $3.65 and $4.15 per share, versus previous guidance of $4.00 to $4.50 per share.

The company stated that there is no change to its previous guidance for 2003 and 2004 sales and segment operating performance. Segment operating margin for 2003 is expected to be in the mid-7 percent range on estimated sales of $25 billion to $26 billion, with cash from operations between $1.1 billion and $1.3 billion before the B-2 related tax payment. The company still expects its net debt-to-capital ratio at year-end 2003 to be below 30 percent. For 2004, sales are expected to range between $28 billion and $29 billion, with segment operating margin expected to continue in the mid-7 percent range.

Northrop Grumman Corporation is a $25 billion global defense company, headquartered in Los Angeles, Calif. Northrop Grumman provides technologically advanced, innovative products, services and solutions in systems integration, defense electronics, information technology, advanced aircraft, shipbuilding and space technology. With approximately 120,000 employees and operations in all 50 states and 25 countries, Northrop Grumman serves U.S. and international military, government and commercial customers.

Note: Certain statements and assumptions in this release contain or are based on "forward-looking" information (that Northrop Grumman believes to be within the definition in the Private Securities Litigation Reform Act of 1995) and involve risks and uncertainties, and include, among others, statements in the future tense, and all statements accompanied by terms such as "project," "expect," "estimate," "assume," or variations thereof. This information reflects the company's best estimates when made, but the company expressly disclaims any duty to update this information if new data becomes available or estimates change after the date of this release.

These estimates are based on preliminary estimates of the fair market value of the assets acquired and liabilities assumed and the related allocations of the purchase price related to the TRW acquisition. Final valuations and allocations, which are expected to be completed by Dec. 31, 2003, may differ from the estimates included herein. Various risk factors are set out in Northrop Grumman's filings from time to time with the Securities and Exchange Commission, including, without limitation, Northrop Grumman reports on Form 10-K and Form 10-Q and the company's most recently filed amendment to Form S-4.

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  CONTACT:  Frank Moore (Media)
          (310) 201-3335

          Gaston Kent (Investors)
          (310) 201-3423