ITT Corporation

ITT Industries' Defense Unit and Partners Launch Joint Venture to Develop $2.4 Billion Bowman Program


        WHITE PLAINS, N.Y., Aug. 28 /PRNewswire/ -- ITT Defence, Ltd., a unit
    of ITT Industries' (NYSE: IIN) Defense & Electronics group, Racal Electronics
    and Siemens Plessey Systems announced today they have formed a joint venture
    to develop the Bowman Program, a $2.4 billion tactical communications system
    for the British Armed Forces.
        The joint venture, Archer Communications Systems Ltd., is responsible for
    the design and production of the Bowman system, the largest military
    communications project undertaken by the British government in the past
    25 years.  Archer will additionally market products developed under the Bowman
    contract on a worldwide basis.  ITT Defence is Archer's largest shareholder
    with 40% of the shares.  Racal and Siemens Plessey each hold 30% of the shares
        "The joint venture assures our participation in the world's largest, most
    comprehensive tactical communications opportunity," said Lou Giuliano,
    President and CEO of ITT Defense & Electronics.  "ITT Defense & Electronics is
    a leader in the U.S. tactical communications market, and this venture further
    strengthens our global position and supports our goal of double-digit
    international business growth."
        Upon formation of the joint venture,  the United Kingdom's Ministry of
    Defence (MOD) awarded Archer a $32 million contract for Bowman development
    work.  The MOD expects to have the system in service by 2002, with production
    extending to at least 2007.  The total value of the contract could reach
    $6 billion over the life of the program.
        As its first act of business, Archer selected the core sub-system for the
    Bowman Program consisting of the network data system, VHF radios, security
    system and management information system.  ITT Defense & Electronics' advanced
    digital radio (ADR+) was selected for vehicle airborne and selected manpack
    applications, and its baseband modules and software will form the heart of the
    portable radio.  ITT Defense & Electronics was also selected to provide the
    core technology for developing a network data system for wireless networking
    of the radios.
        "This selection underscores ITT Defense & Electronics' leadership position
    in tactical communications and networking systems.  That position comes from
    our unique participation in the U.S. Army Digitization and UK Bowman programs.
    Our significant contributions to both allow us to share lessons learned and
    leverage investments to produce world class systems and products for the
    worldwide market,"  Giuliano said.
        The completed Bowman system will include several different types of
    radios, computers, data terminals, navigation and position location equipment;
    security equipment, and a management information system to ensure optimum
    performance.  All members of the British armed forces, including infantry
    soldiers, sailors and airmen, will use elements of the Bowman system.
        ITT Industries ( is a leading worldwide diversified
    manufacturing company, with 1996 sales of $8.4 billion from its three primary
    business segments:  Automotive, Defense & Electronics and Fluid Technology.
    ITT Automotive is one of the world's largest independent suppliers of systems
    and components to automotive manufacturers.  ITT Defense & Electronics is a
    leader in the design, manufacture and support of high technology electronic
    systems and components for defense and commercial markets.  ITT Fluid
    Technology is one of the world's leading manufacturers of products, systems
    and services for the movement, measurement and control of fluids.
        In addition to the New York Stock Exchange, ITT Industries' stock is
    traded under the symbol (IIN) on the Midwest, Pacific, London, Frankfurt and
    Paris exchanges.
    SOURCE  ITT Industries

    CONTACT: Tom Martin, 914-641-2157, or Millie Rogers,
    703-790-6336, both of ITT Industries

About ITT

ITT is a diversified leading manufacturer of highly engineered critical components and customized technology solutions for the transportation, industrial, and oil and gas markets. Building on its heritage of innovation, ITT partners with its customers to deliver enduring solutions to the key industries that underpin our modern way of life. ITT is headquartered in White Plains, N.Y., with employees in more than 35 countries and sales in a total of approximately 125 countries. The company generated 2016 revenues of $2.4 billion.


Jason Moss
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