U.S. Navy Awards General Dynamics $38 Million for Work on USS Hawaii

GROTON, Conn. – The U.S. Navy has awarded General Dynamics Electric Boat a $38 million contract modification to perform a range of work on USS Hawaii (SSN-776) during its post-shakedown availability (PSA). Electric Boat is a wholly owned subsidiary of General Dynamics (NYSE: GD).

The contract calls for Electric Boat to conduct maintenance, repairs, alterations, testing and other activities on the submarine. The work is scheduled for completion in March 2009 and will involve more than 500 current employees. The initial contract was awarded in December 2006. It now has a potential value of $62 million if all options are exercised.

USS Hawaii is the third Virginia-class submarine, the first class of the Navy’s major combatants to be designed specifically for post-Cold War missions. Electric Boat and its construction teammate, Northrop Grumman Shipbuilding, have been awarded contracts to produce 10 of the submarines.

General Dynamics, headquartered in Falls Church, Virginia, employs approximately 84,000 people worldwide and reported 2007 revenues of $27.2 billion. The company is a market leader in business aviation; land and expeditionary combat systems, armaments and munitions; shipbuilding and marine systems; and information systems and technologies. More information about the company is available on the Internet at www.generaldynamics.com.