United Defense Declares Quarterly Dividend

Contact:
Jayne Schmitt, Investor Relations
United Defense
jayne.schmitt@baesystems.com
(703) 312-6122

Doug Coffey, Media
United Defense Industries, Inc.
doug.coffey@baesystems.com
(703) 312-6121

ARLINGTON, VA, May 11, 2005 - United Defense Industries, Inc. (NYSE:UDI) today announced that its Board of Directors had authorized the company's second quarterly dividend payout for the year. The payment will be made on June 1, 2005 to stockholders of record as of May 15, 2005.

About United Defense Industries
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, 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.