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 (http://www.ittind.com) 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
SOURCE ITT Industries
CONTACT: Tom Martin, 914-641-2157, or Millie Rogers,
703-790-6336, both of ITT Industries