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  5. The ATLAS Consortium welcomed the announcement today by Lord Bach, Minister for Defence Procurement, that it has been selected as Preferred Bidder for the UK Ministry of Defence's (MoD) Defence Information Infrastructure (Future) project.

ATLAS Consortium proud to be chosen as preferred bidder by the Ministry of Defence for the Defence Information Infrastructure (Future) project

The ATLAS Consortium welcomed the announcement today by Lord Bach, Minister for Defence Procurement, that it has been selected as Preferred Bidder for the UK Ministry of Defence's (MoD) Defence Information Infrastructure (Future) project.

March 02, 2005

The ATLAS Consortium welcomed the announcement today by Lord Bach, Minister for Defence Procurement, that it has been selected as Preferred Bidder for the UK Ministry of Defence's (MoD) Defence Information Infrastructure (Future) project.

The ATLAS Consortium comprises EDS as lead contractor, tier 1 partner Fujitsu Services and key sub-contractors General Dynamics, EADS Defence and Security Systems and LogicaCMG.

The announcement of preferred bidder is for Increment 1 of the DII (F) project, which has a total contract value in the region of £2.3 billion. Further increments of work are expected to follow in due course, following MoD evaluation of Increment 1.

Graham Lay, Managing Director of EDS Defence and the Senior Responsible Industry Executive for the ATLAS Consortium, said: "We are proud to have been selected as preferred bidder for DII (F), which is one of the most demanding and exciting single IT infrastructure projects ever undertaken anywhere in the world, and look forward to working with the MoD to make DII a success.

"The MoD's decision to select the EDS-led ATLAS Consortium vindicates our decision to bring together a team that offers low risk, cashable benefits and assured delivery. The breadth and depth of our resources, capability and our commitment to the UK industrial base has enabled us to develop the best solution on challenging issues such as security, system performance, enabling Network Enabled Capability and deployed systems.

"The ATLAS Consortium would like to thank the MoD's DII Integrated Project Team (IPT), and all those involved in the project, for the enormous amount of effort which has gone into conducting a fair, rigorous, and professional procurement."

The DII (F) project will replace numerous individual information systems throughout the MoD with a single, more efficient information infrastructure. It will also enable many of the defence efficiency measures under the Defence Change Programme to be achieved. These include Network Enabled Capability - the ability to improve the capability of the armed forces through a single network of information - announced in the Defence White Paper.

DII (F) will achieve this by extending into the operational arena, interfacing with battlespace systems and improving shared information between headquarters, battlefield support and the front line. DII (F) will allow greater interoperability between the MoD and its allies, allowing significantly more effective operational support than currently available.

About Fujitsu Services

Fujitsu Services is one of the leading IT services companies in Europe, Middle East and Africa . It has an annual turnover of £1.74 billion, (€2.58 billion) employs 14,500 people and operates in over 20 countries. It designs, builds and operates IT systems and services for customers in the financial services, telecom, retail, utilities and government markets. Its core strength is the delivery of IT infrastructure management and outsourcing across desktop, networking and data centre environments, together with a full range of related services, from consulting through integration and deployment. Headquartered in London , Fujitsu Services is the European-centred IT services arm of the Fujitsu Group. The Fujitsu Group is a US$45 billion (€37 billion) leader in customer-focused IT systems and services for the global marketplace.

About EDS

EDS provides a broad portfolio of business and technology solutions to help its clients worldwide improve their business performance. EDS' core portfolio comprises information-technology, applications and business process services, as well as information-technology transformation services. EDS' A.T. Kearney subsidiary is one of the world's leading high-value management consultancies. With more than $20 billion in annual revenue, EDS is ranked 87th on the Fortune 500. The company's stock is traded on the New York (NYSE: EDS) and London stock exchanges.

About EDS Defence

EDS Defence is a subsidiary of EDS, specialising in the global Defence and Secure Government markets. From its base in Hampshire, England, EDS Defence employs more than 2,300 staff across 15 UK locations with revenues of around £200million. We have customers across the UK MoD, Defence and Intelligence agencies and NATO. From ISTAR to the Armed Forces Personnel Administration Agency (AFPAA), EDS Defence is engaged with customers to deliver superior solutions on a sustained basis.

About EADS Defence and Security Systems

EADS Defence and Security Systems is a leading integrator of secure, end-to-end communications solutions and services across the defence environment, providing fixed, transportable and mobile LAN and WAN services from the business space to the battle space. Employing 700 people and headquartered in South Wales, UK, EADS DS is the systems house for EADS in the UK. Key programmes include LDCN (Local Data Communications Network) providing secret and restricted data to over 40 000 users on over 70 sites; Hourglass, the service management system for the DCSA; and Cormorant, transportable communications for the UK Joint Rapid Reaction Force; EADS DS will also provide communications security and ground based communications for the Skynet V programme.

About General Dynamics

General Dynamics, headquartered in Falls Church, Virginia, employs approximately 70,200 people worldwide and had 2004 revenue of $19.2 billion. The company is a market leader in mission-critical information systems and technologies; land and expeditionary combat systems, armaments and munitions; shipbuilding and marine systems; and business aviation. General Dynamics UK Ltd is the Prime Contractor and Systems Integrator for the BOWMAN, secure digital voice and data communication system for the UK armed forces. In parallel with BOWMAN, the company is taking a leading role in the growing UK market for Digitization and Network Enabled Capability programmes. The company's Network and Communications expertise is being supplied by General Dynamics Network Systems. GDNS is a world-class IT architect and systems integrator of converged voice, video and data networks that are secure, scalable, survivable and interoperable. Their 6,000 dedicated professionals design, build, integrate and operate enterprise and wireless networks for government and commercial customers worldwide.

About LogicaCMG

LogicaCMG is a major international force in IT services and wireless telecoms. It provides management and IT consultancy, systems integration and outsourcing services to clients across diverse markets including telecoms, financial services, energy and utilities, industry, distribution and transport and the public sector. Formed in December 2002, through the merger of Logica and CMG, the company employs around 20,000 staff in offices across 34 countries and has nearly 40 years of experience in IT services. Headquartered in Europe, LogicaCMG is listed on both the London and Amsterdam stock exchanges (LSE: LOG; Euronext: LOG). LogicaCMG has been a key partner of the UK Ministry of Defence (MOD) for over 35 years. LogicaCMG is a leader in Command and Battlespace Management systems, involved in Soothsayer, Watchkeeper and PBSMS and is the prime contractor for Fire Control systems. LogicaCMG is at the forefront of Information and System Integration delivering Network Enabled Capability. LogicaCMG is working at the heart of the MOD Integration Authority delivering procurement of integrated systems. LogicaCMG is a key partner in the Paradigm Secure Communications led Skynet 5 team, responsible for the ground management segment and security architecture. LogicaCMG is the provider of managed training services to MOD and on-line learning to their staff worldwide. The statements in this news release that are not historical statements, including statements regarding the amount of new contract values, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond EDS' control, which could cause actual results to differ materially from such statements. For information concerning these risks and uncertainties, see EDS' most recent Form 10-Q. EDS disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Malcolm George

Phone: Phone: +44(0)20 7569 4678 +44(0)7790 492999
Company:Malcolm George

Date: 02 March, 2005