12.07.2006 13:15:00

L-3 Communications' BT Fuze Products Awarded Multi-Year Grenade Contract by U.S. Army

L-3 Communications (NYSE: LLL) announced today that itsBT Fuze Products (BT Fuze) division has been selected by the U.S.Army's Field Support Command to serve as Systems Manager for thehighly competitive M67 Hand Grenade program. This contract includes afirst phase award of $8.86 million, with a total expected value of $68million over 4 years.

As Systems Manager, BT Fuze will oversee the production andassembly of the M67 grenade components and ensure the quality andperformance of this product, which will be utilized by warfighters ineach branch of the United States armed forces. BT Fuze has been amajor provider of fuzing for howitzer, mortar, and tank projectiles.In 2003, the business received its first systems contract, and it nowprovides tank ammunition for the U.S. Army's Stryker armored vehicleinventory.

"This is the first time the Army has awarded a systems managementcontract for the M67 grenade and we are extremely pleased to have beencompetitively selected for this critical military program," said JoeHomko, president of BT Fuze. "This win allows us to further diversifyour business portfolio and we are grateful that the Army, in selectingus for this essential initiative, acknowledges our past goodperformance and its confidence in BT Fuze by expanding our role insupporting our troops."

BT Fuze is an ordnance systems manager, a premier designer andmanufacturer of fuzing for the U.S. and its allies - providing a broadarray of electronic time, point detonating and self-destruct fuzes.Additionally, BT Fuze assists our international allies with plantdesign for their in-country armament infrastructure.

To learn more about BT Fuze Products, please visit the company'sweb site at www.L-3Com.com/btfuze.com.

Headquartered in New York City, L-3 Communications is a leadingprovider of Intelligence, Surveillance and Reconnaissance (ISR)systems, secure communications systems, aircraft modernization,training and government services. The company is a leading merchantsupplier of a broad array of high technology products, includingguidance and navigation, sensors, scanners, fuzes, data links,propulsion systems, simulators, avionics, electro optics, satellitecommunications, electrical power equipment, encryption, signalintelligence, antennas and microwave components. L-3 also supports avariety of Homeland Security initiatives with products and services.Its customers include the Department of Defense, Department ofHomeland Security, selected U.S. Government intelligence agencies andaerospace prime contractors.

To learn more about L-3 Communications, please visit the company'sweb site at www.L-3com.com.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATIONREFORM ACT OF 1995

Except for historical information contained herein, the mattersset forth in this news release are forward-looking statements.Statements that are predictive in nature, that depend upon or refer toevents or conditions or that include words such as "expects,""anticipates," "intends," "plans," "believes," "estimates" and similarexpressions are forward-looking statements. The forward-lookingstatements set forth above involve a number of risks and uncertaintiesthat could cause actual results to differ materially from any suchstatement, including the risks and uncertainties discussed in thecompany's Safe Harbor Compliance Statement for Forward-lookingStatements included in the company's recent filings, including Forms10-K and 10-Q, with the Securities and Exchange Commission. Theforward-looking statements speak only as of the date made, and thecompany undertakes no obligation to update these forward-lookingstatements.

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