U.S. Department of Defense Awards Symbol Technologies Exclusive Five-Year Prime Contract for Up to $248 Million for Automatic Identification Technologies and Services

Symbol Technologies Inc. announced today that the U.S. Department of Defense (DoD) has awarded it a contract with an authorized maximum of $248 million over the five-year term. Symbol, as prime contractor, will supply a complete line of wireless mobile computing and scanning systems to meet demanding military applications.

The contract, the largest in Symbol's history, includes all related software, services, support and systems integration. Although the exact value of the contract cannot be determined at this time, it is expected that Symbol's business partners will supply approximately one-third of the contract's value. Volume shipments will begin in the second half of next year.

Under this major DoD contract, all branches of the military will purchase systems and services from Symbol to fulfill projects for the next five years. Symbol will provide customer service to support these projects for an additional five years. While Symbol has provided bar code laser scanning solutions to the DoD for more than 15 years, starting with the original LOGMARS contract to supply logistics solutions, it is the first time that Symbol has been chosen as the prime contractor.

Symbol and its subcontractor business partners will provide technology solutions for a number of projects which will enhance the effectiveness and productivity of the military. Symbol will support projects which may include the rapid and accurate deployment of materials and personnel throughout the world; tracking supplies through the military's global distribution centers and logistics network; and advanced identification of the military personnel.

Wireless and mobile computing technologies are becoming an increasingly important part of military applications. Handheld pen and keyboard-based computers and fixed-mount computers will support Windows CE™ and DOS operating systems and include integrated PDF417 bar code scanning. Wireless local area network solutions will include the 802.11 standards-based Spectrum24® infrastructure as well as Symbol's Spectrum One network. Included in this contract is a wide range of 1D and PDF417 bar code laser scanners, imagers and scanning-enabled computers. Other equipment includes printers, bar code verifiers, mag stripe encoders and readers, contact memory buttons, optical memory cards, smart cards, and ID card production systems.

"This is a breakthrough contract for Symbol because it is the largest contract in our history and the first time we have been selected as prime by the DoD." "This is a breakthrough contract for Symbol because it is the largest contract in our history and the first time we have been selected as prime by the DoD," said Dr. Jerome Swartz, chairman and chief executive officer, Symbol Technologies. "Symbol is pleased to support the military in its ongoing efforts to implement advanced mobile and wireless data transaction solutions."

"We're extremely proud that the Department of Defense has chosen Symbol as its provider of auto-id systems and services," said Tomo Razmilovic, president and chief operating officer, Symbol Technologies. "They conducted extensive evaluations and selected Symbol based on the superior breadth and technical performance of the product line, our global services and support capabilities, and the world-class expertise of our partners."

About Symbol Technologies

Symbol Technologies, Inc., The Enterprise Mobility Company™, is a recognized worldwide leader in enterprise mobility, delivering products and solutions that capture, move and manage information in real time to and from the point of business activity. Symbol enterprise mobility solutions integrate advanced data capture products, radio frequency identification technology, mobile computing platforms, wireless infrastructure, mobility software and world-class services programs. Symbol enterprise mobility products and solutions are proven to increase workforce productivity, reduce operating costs, drive operational efficiencies and realize competitive advantages for the world's leading companies.

For press information:

Symbol Technologies, Inc.

Erin Farrell: farreler@symbol.com
+1.631.738.4068

Bill Abelson: abelsonb@symbol.com
+1.631.738.4751

Patricia Hall: hallp@symbol.com
+1.631.738.5636

Joey Marquart: joey.marquart@edelman.com
212-704-8133

Elizabeth Blicharz: elizabeth.blicharz@edelman.com
212.704.4484

Symbol Technologies Europe, Middle East, Africa:

Helen Rigby: helen.rigby@symbol.com
+44 118 945 7527

Symbol Technologies Asia Pacific:

Tze Hui Low: Lowt@symbol.com
+65 6796 9621

For financial information:

Symbol Technologies, Inc.

Erin Farrell-Talbot
+1.631.738.4068

Lori Chaitman: chaitmal@symbol.com
631.738.5050

For industry analyst information:

Symbol Technologies, Inc.

Shirley Schroedl: schroeds@symbol.com
631.738.4388