United Defense Builds Non-Line-of-Sight Cannon Demonstrator
Technical Assessment Scheduled to Begin in Late-August

Contact:
Doug Coffey, Media
United Defense, VP, Corporate Communications
doug.coffey@udlp.com
(703) 312-6121

MINNEAPOLIS, MN, July 30, 2003 - United Defense Industries, Inc. (NYSE:UDI) successfully integrated a concept demonstrator that is the first look at the Army’s next generation Non-Line-of-Sight Cannon (NLOS-C).

After moving from the virtual drawing board to operating hardware in six months, the hybrid electric self-propelled, 155mm howitzer demonstrator will next undergo firing and a mobility assessment at Yuma Proving Ground near Yuma, Arizona.

The United Defense demonstrator will serve as a proof-of-principle test-bed for the Army and its industry partners as they develop a best technical approach for the Army’s future NLOS-C. In August 2002, Congress mandated a self-propelled NLOS-C be fielded by 2008 to help ensure the U.S. Army maintains its combat superiority. As the first part of that mandate, United Defense was awarded a contract to demonstrate the feasibility of a highly lethal and highly deployable self-propelled howitzer.

“Congress understood there was a gap in the Army’s artillery capabilities, and recognized United Defense as the expert in building artillery systems,” said Jim Unterseher, director of Army Programs at United Defense. “We were able to achieve such an aggressive timeline because of the work we did on the Crusader Program, and because of the highly skilled, dedicated workforce at United Defense and its partners.”

The concept technology demonstrator features a modified BAE XM777, 155mm towed howitzer mounted on a platform developed by United Defense’s Ground Systems Division in San Jose, Calif. United Defense transferred a number of Crusader’s advanced technologies into the demonstrator, and features a fully automated ammunition loading system, and a magazine capable of holding 24 artillery projectiles. It also uses an advanced band-track system propelled by a hybrid electric diesel engine and a propulsion system designed to improve mobility performance and reduce fuel consumption.

United Defense will begin firing assessments of the cannon at Yuma Proving Ground in late August to demonstrate stability of the platform.

United Defense will also assess the platform that is designed to offset the recoil of the 155mm cannon when firing. Later this year, testers will drive the demonstrator 500 miles over road and varied terrain to evaluate the performance of its integrated hybrid-electric drive and diesel propulsion system. Testers will also evaluate the performance of the demonstrator’s low-maintenance band track, which reduces weight and track noise. The demonstrator is a first look at what Army platforms of the future could be and provides a starting point for the design and development of NLOS-C prototypes during the System Development and Demonstration Phase.

About United Defense
United Defense designs, develops and produces combat vehicles, artillery, naval guns, missile launchers and precision munitions used by the U.S. Department of Defense and allies worldwide, and provides non-nuclear ship repair, modernization and conversion to the U.S. Navy and other U.S. Government agencies. To learn more about United Defense, visit http://www.uniteddefense.com..

Forward-Looking Statements
Information in this release may involve guidance, expectations, beliefs, plans, intentions or strategies regarding the future. These forward looking statements involve risks and uncertainties. All forward looking statements included in this release are based upon information available to United Defense Industries, Inc., as of the date of the release, and we assume no obligation to update any such forward looking statements. The statements in this release are not guarantees of future performance and actual results could differ materially from our current expectations. Numerous factors could cause or contribute to such differences. Please refer to the Company's Annual Report on form 10-K for the year ended December 31, 2002, the Quarterly Report on Form 10-Q for the quarter ended March 31, 2003, and our other reports filed from time to time with the Securities and Exchange Commission for a further discussion of the factors and risks associated with our business.