AAI Awarded $11.9 Million Contract for Training Systems to Support National Guard Shadow Tactical Unmanned Aircraft System Units

August 26, 2008

Hunt Valley, MD - August 26, 2008 - AAI Corporation, an operating unit of Textron Systems, a Textron Inc. (NYSE: TXT) company, announced today that its family of Training Aids, Devices, Simulators, and Simulations (TADSS) has been selected to support training for Army National Guard units operating the RQ-7B Shadow Tactical Unmanned Aircraft Systems (TUAS).

Awarded by the U.S. Army's Program Executive Office for Simulation, Training, and Instrumentation in Orlando, Fla., the initial order, valued at $11.9 million, includes 25 high fidelity Shadow Crew Trainers (SCT) and interactive multimedia instruction. Including four option years, the contract has a total potential value of $31.1 million.

AAI produces and supports a complete family of advanced tactical unmanned aircraft systems, including Shadow systems flown by the U.S. Army, National Guard, and Marine Corps.

Each Shadow Crew Trainer features two simulated One System Ground Control Stations, a role player, and a ground crew launch and recovery station controlled by an integrated instructor/operator station.

The Shadow TADSS suite provides training capabilities for Shadow Warfighters regardless of the availability of airspace or equipment and delivers collective training for entire Shadow crews, including aircraft and payload operators, launch and recovery crews, mission commanders, and the brigade battle staff that rely on Shadow systems for critical battlefield intelligence.

"Our Shadow TADSS training suites will help National Guard Warfighters increase readiness by enabling them to train without dedicated airspace and operational equipment at armories and Regional Flight Training Centers," said AAI Vice President of Training Bob Peters. "The capability to sustain readiness is critical to the Army National Guard's mission, whether in support of the global war on terror, border security, or response to natural disasters here at home."

"The award represents an investment of more than three years of research and development combined with more than 300,000 hours of Shadow TUAS flight operations performed by U.S. Army and Marine Corps units in Iraq and Afghanistan," Peters added.

AAI leads an experienced TADSS team that includes L-3 Link Simulation and Training of Arlington, Texas; Engineering and Computer Simulations of Orlando, Fla.; MTS Technologies, Inc. of Arlington, Va.; and CAE USA of Tampa, Fla.

About AAI
AAI Corporation designs, produces, and supports aerospace and defense systems through its direct and indirect wholly owned subsidiaries, AAI Services Corporation, Aerosonde Pty Ltd, ESL Defence Limited, and Symtx, Inc. Its high-technology products and services include unmanned aircraft systems, training and simulation systems, automated aerospace test and maintenance equipment, armament systems, aviation ground support equipment, and logistical, engineering, and supply chain services. AAI Corporation is an indirect wholly owned subsidiary of Textron Inc. More information is available at www.aaicorp.com.

About Textron Systems
Textron Systems Corporation has been providing innovative solutions to the defense, homeland security and aerospace communities for over 50 years. Known for its precision smart weapons, intelligent battlefield systems, surveillance systems, intelligence software solutions, aircraft control components, piston engines, armored vehicles and unmanned aircraft systems, Textron Systems includes AAI, HR Textron, Lycoming Engines, Overwatch Tactical Operations, Overwatch Geospatial Operations, Textron Defense Systems, and Textron Marine & Land Systems. Textron Systems Corporation is an indirect wholly owned subsidiary of Textron Inc. More information is available at www.textronsystems.com.

About Textron Inc.
Textron Inc. is a $13.2 billion multi-industry company operating in 34 countries with approximately 44,000 employees. The company leverages its global network of aircraft, defense and intelligence, 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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