United Defense Awarded Tech Development Contract to Demonstrate Combat Vehicle Integrated Survivability Applications

Contact:
Joan Semeria
Ground Systems Division
joan.semeria@udlp.com
(408) 289-2498

Herb Muktarian
Ground Systems Division
herb.muktarian@udlp.com
(717) 225-8004

SANTA CLARA, CA, June 28, 2004 - United Defense Industries, Inc. (NYSE:UDI) has been awarded a $6.2 million contract modification from the U.S. Army’s Tank and Automotive Research, Development and Engineering Center (TARDEC) for fabrication of an Integrated Survivability Advanced Technology Demonstrator.

This technical effort is a continuation of a previous Composite Armored Vehicle – Advanced Technology Demonstrator application to Integrated Hybrid Structures contract and is part of TARDEC’s ongoing effort to mature advanced vehicle structural approaches and integrate survivability technologies that can be applied to future and current vehicle systems.

The award calls for structure concept development and analysis, concept selection, and fabrication and testing of structural test sections to demonstrate producibility and validate performance. The final stage in this technology development effort includes fabricating a full-scale vehicle hull that will be used to integrate and validate the latest advancements in survivability technologies from advanced armors to survivability suites.

The work will be performed in Santa Clara through December 2005.

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, 2003 as well as its Quarterly Report on Form 10 Q for the quarter ended March 31, 2004, and in 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.