Textron Systems Achieves Success in U.S. Army Tests of Future Combat Systems Technologies

March 27, 2007

Experimentation and soldier evaluation activities validate readiness of early Spin-out capabilities

Wilmington, MA – March 27, 2007 – Textron Systems, a Textron Inc. (NYSE:TXT) company, announced today that it has successfully demonstrated the performance of its Future Combat Systems technologies in military exercises conducted by the U.S. Army in February 2007. The Future Combat Systems (FCS) Experiment 1.1 exercises featured a mock raid on a fictitious village and demonstrations of high-technology equipment designed to improve the situational awareness and engagement effectiveness of current and future warfighters.

Among the products tested were the Tactical and Urban Unattended Ground Sensor Systems (T-UGS and U-UGS) and Intelligent Munitions System (IMS), produced by the company's Textron Defense Systems operating unit, and Situational Understanding (SU) Analysis software developed by the recently acquired operating unit, Overwatch, Tactical Operations. Textron Defense Systems' UGS provided real-time images to battle commanders, allowing real-time situational understanding and actionable intelligence. The IMS achieved autonomous detection and successful elimination of enemy vehicles, while Overwatch, Tactical Operations integrated software from FCS partners, provided awareness of enemy threats and battlefield damage assessment over the FCS network.

According to Dennis Muilenburg, vice president and general manager of Boeing Combat Systems and FCS program manager, “Textron Defense Systems' Tactical and Urban Unattended Ground Sensors and Situation Understanding software performed flawlessly and received positive feedback during the Soldier's After Action Review. This sets a great foundation for Spin-Out 1 to the current force.”

Often described as a true force multiplier, the T-UGS, U-UGS and IMS systems provide frontline soldiers with actionable information to minimize their risk while enhancing their overall effectiveness. According to Ellen Lord, Textron Defense Systems' vice president of Intelligent Battlefield Systems, “This test marks a significant milestone for the U.S. Army and the warfighter and clearly establishes Textron Defense Systems as a leader in the development of next generation sensors and precision munitions. Our UGS and IMS solutions illustrate how invaluable these fieldable, proven systems are when it comes to providing security to our warfighters, friendly forces and non-combatants.”

Textron Defense Systems was named a Future Combat Systems Tier 1 contractor and the UGS provider to the FCS program in 2003. Overwatch, Tactical Operations, also a Tier 1 FCS One Team Partner, is the lead contractor for the development of the Situational Understanding (SU) component of the Battle Command family of systems.

About Textron Systems
Textron Systems Corporation (“Textron Systems”) provides innovative technology solutions to meet the needs of the defense, homeland security and aerospace communities. The company is known for its precision smart weapons, surveillance systems, complex intelligence and communications systems, aircraft control systems, piston engines, specialty marine craft and armored vehicles. Textron Systems is a wholly-owned subsidiary of Avco Corporation. Avco Corporation is wholly-owned subsidiary of Textron Inc. More information is available at www.systems.textron.com

About Textron, Inc.
Textron Inc. is an $11 billion multi-industry company operating in 32 countries with approximately 40,000 employees. The company leverages its global network of aircraft, industrial and finance businesses to provide customers with innovative solutions and services. Textron is known around the world for its powerful brands such as Bell Helicopter, Cessna Aircraft Company, Jacobsen, Kautex, Lycoming, E-Z-GO, Greenlee, Fluid & Power, Textron Systems and Textron Financial Corporation. More information is available at www.textron.com.

Connect with Textron IR

Eric Salander, Vice President, Investor Relations
(401) 457-2288
Cameron Vollmuth, Manager,
Investor Relations (401) 457-2288

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