General Dynamics NASSCO and Totem Ocean Trailer Express Finalize Design Contract for LNG Conversion of Orca Class

   General Dynamics NASSCO and Totem Ocean Trailer Express Finalize Design
                  Contract for LNG Conversion of Orca Class

PR Newswire

SAN DIEGO, Jan. 28, 2013

SAN DIEGO, Jan. 28, 2013 /PRNewswire/ --General Dynamics NASSCO, a wholly
owned subsidiary of General Dynamics (NYSE: GD), announced today that it has
finalized a contract with Totem Ocean Trailer Express (TOTE) to design the
conversion of the company's two existing Orca Class, diesel-electric
trailerships to liquefied natural gas (LNG) propulsion. This design contract
is in addition to the new-construction order that TOTE Shipholdings placed
with NASSCO last month for the construction of two new LNG-powered
containerships.

"We are very excited to be engaged in another LNG project with TOTE," said
Fred Harris, president of General Dynamics NASSCO. "This project provides yet
another sign that we are in the dawn of a new era of LNG propulsion. NASSCO
will be a leader in the design, construction and conversion of ships to take
advantage of the economic and environmental benefits of LNG."

The TOTE conversion and new-construction projects validate NASSCO's reputation
as one of the nation's leading shipyards for commercial and government new
construction. The projects add to the engineering and construction
capabilities the shipbuilder offers customers and leverages its
design/procurement partnership with Daewoo Ship Engineering Company (DSEC), as
well as its recent investments in people, facilities and equipment.

Conversion of these ships to LNG propulsion will significantly reduce or
nearly eliminate the sulfur oxides, nitrogen oxides, carbon dioxide (SOx, NOx,
and CO2) and particulate matter from ship emissions when compared to
traditional diesel fuel. In recent years, there have been large increases in
the cost of diesel fuel as well as stricter emission regulations. These
factors, along with the incredible environmental benefits made possible by
this new technology, make LNG propulsion desirable for many new shipbuilding
and conversion projects.

The 839 ft Orca Class ships, which operate between Tacoma, Wash., and
Anchorage, Alaska, were designed and built by NASSCO. Both ships were
delivered in 2003.

For more information about General Dynamics NASSCO, please visit
www.nassco.com.

More information about General Dynamics is available online at
www.generaldynamics.com.

SOURCE General Dynamics NASSCO

Website: http://www.nassco.com
Contact: Media: Jim Gill, General Dynamics NASSCO, +1-619-544-8860, or
Investors: Erin Linnihan, General Dynamics, +1-703-876-3583
 
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