CHARLOTTESVILLE, Va. - Oct. 26, 2006 - Northrop Grumman Corporation (NYSE:NOC) has been selected to supply simplified voyage data recorders (S-VDR) for 59 Teekay Shipping vessels.

Northrop Grumman's Sperry Marine business unit is supplying the S-VDR hardware, as well as technical support, installation kits, interface devices, commissioning and training, through its worldwide service network. The systems will be installed on the ships during drydock overhauls or, when possible, at pierside at a variety of ports around the world.

Similar to an aircraft's "black box" cockpit recorder, the S-VDR downloads data from the ship's navigation instruments and voice recordings from the bridge and radio communications, which can be retrieved and analyzed following an accident at sea.

The Sperry Marine S-VDR system has been type-approved by major classification societies and national authorities to comply with International Maritime Organization (IMO) and International Electrotechnical Commission specifications. The IMO carriage requirements state that all existing ocean-going ships over 3,000 gross tonnage must be fitted with an approved S-VDR at the first scheduled drydocking after July 1, 2007, but no later than July 1, 2010.

"The S-VDR order is part of a long-standing excellent working relationship between Teekay Shipping and Sperry Marine," said J. Nolasco DaCunha, director of Sperry Marine Systems. "Sperry Marine currently provides worldwide service management for the navigation and communication systems installed on Teekay's tanker fleet under a comprehensive ongoing service agreement."

With a fleet of more than 140 tankers, offices in 17 countries and 5,100 seagoing and shore-based employees, Teekay Shipping (NYSE: TK) provides a comprehensive set of services to the world's leading oil and gas companies. The company transports more than 10 percent of the world's seaborne oil and also has a significant presence in the liquefied natural gas shipping sector.

Sperry Marine, headquartered in Charlottesville, Va., and with major engineering and support offices in New Malden, United Kingdom and Hamburg, Germany, provides smart navigation and ship control solutions for the international marine industry with customer service and support through offices in 16 countries, sales representatives in 47 countries and authorized service depots in more than 250 locations worldwide.

Northrop Grumman Corporation is a 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 more than 120,000 employees and operations in all 50 states and 25 countries, Northrop Grumman serves U.S. and international military, government and commercial customers.

For commercial sales inquiries, contact Northrop Grumman Sperry Marine by phone, +1 (434) 974-2656 or by e-mail, sales_commercial@sperry.ngc.com. For military sales inquiries, call +1 (434) 974-2134 or e-mail sales_military@sperry.ngc.com. Visit our Web site at www.sperrymarine.northropgrumman.com .

  Contacts:  Jim Rhodes 
           (757) 451-0602
           jrhodes@rhodescomm.com     

           Tom Delaney 
           (410) 993-6454 
           Thomas.delaney@ngc.com