General Dynamics Signs Exclusive Agreement with Tesat Offering Laser Communications Terminals to U.S. Customers

SCOTTSDALE, Ariz. — March 8, 2006 — General Dynamics C4 Systems, a business unit of General Dynamics (NYSE: GD), has signed an exclusive cooperation agreement with Tesat-Spacecom GmbH & Co. KG of Backnang, Germany to assemble and offer its laser communications terminals to U.S. customers. The space-qualified communication terminals use laser technology to provide broadband communication between satellites or satellites and ground stations.

Tesat’s laser-based communication terminals transmit pencil-wide beams of infrared light containing billions of bits of information across large distances in space. Like the beam from a laser pointer, laser communications are very bright, enabling high fidelity communications at rates up to ten times faster than achievable with traditional radio frequency (RF) links in space. General Dynamics will use the Tesat terminals on various military and commercial satellites currently in development.

“Our customers require a highly reliable, affordable means of transferring large amounts of data throughout space,” says Ron Taylor, vice president of Space and National Systems at General Dynamics C4 Systems. “Tesat’s laser communications terminals are an important addition to General Dynamics’ space electronics and communications portfolio.”

General Dynamics will manage laser communications terminals assembly, sales and engineering support from its Arizona facilities.

General Dynamics C4 Systems is a leading integrator of secure communication and information systems and technology. With more than 11,000 employees worldwide, the company specializes in command and control, communications networking, space systems, computing and information assurance for defense, government and select commercial customers in the United States and abroad.