L-3 Communications Completes Acquisition of Northrop Grumman's Canadi

    Business Editors

    NEW YORK--(BUSINESS WIRE)--Jan. 5, 2005--L-3 Communications (NYSE: LLL) announced today that on December 30, 2004 it completed the acquisition of Northrop Grumman's Canadian navigation systems and space sensors system business.
    The new company, renamed L-3 Communications Electronic Systems Inc., is expected to contribute approximately $80 million to L-3's sales in 2005 and be slightly accretive to L-3's earnings.
    With facilities in Toronto and Halifax, Canada, the acquired business is a leader in the design, development and integration of electronic products and systems for aviation and ground vehicles, primarily in Canada and the United States. The business specializes in aircraft navigation systems and products, military grade displays, vehicle electronics and systems support services for a variety of defense electronics and weapons programs. The business' client base includes the Canadian Armed Forces, commercial airlines and military and scientific agencies. The new subsidiary will be part of the L-3 Communications Canada Group and will report to Anthony Caputo, corporate vice president and president, L-3 Communications Canada Inc.
    Headquartered in New York City, L-3 Communications is a leading provider of Intelligence, Surveillance and Reconnaissance (ISR) systems, secure communications systems, aircraft modernization, training and government services and is a merchant supplier of a broad array of high technology products. Its customers include the Department of Defense, Department of Homeland Security, selected U.S. Government intelligence agencies and aerospace prime contractors.
    To learn more about L-3 Communications, please visit the company's web site at www.L-3Com.com.

    SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

    Except for historical information contained herein, the matters set forth in this news release are forward-looking statements. The forward-looking statements set forth above involve a number of risks and uncertainties that could cause actual results to differ materially from any such statement, including the risks and uncertainties discussed in the company's Safe Harbor Compliance Statement for Forward-looking Statements included in the company's recent filings, including Forms 10-K and 10-Q, with the Securities and Exchange Commission. The forward-looking statements speak only as of the date made, and the company undertakes no obligation to update these forward-looking statements.

--30--KL/ny*

CONTACT: L-3 Communications Cynthia Swain, 212-697-1111 or Financial Dynamics Investors: Eric Boyriven/Olivia Pirovano, 212-850-5600 or Media: Evan Goetz, 212-850-5600

KEYWORD: NEW YORK INTERNATIONAL CANADA INDUSTRY KEYWORD: SOFTWARE AEROSPACE/DEFENSE GOVERNMENT TELECOMMUNICATIONS MERGERS/ACQ SOURCE: L-3 Communications

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