BILOXI, Miss. - Dec. 13, 2004 - Northrop Grumman Corporation (NYSE: NOC) presented six shipbuilding suppliers with awards recognizing their consistency in delivering top quality products to the company's Newport News and Ship Systems sectors. The top recipients were selected from more than 2,000 suppliers that provide shipbuilding commodities utilized on U.S. Navy and U.S. Coast Guard ships.

"These selected suppliers cover a wide range of products and services, but they share a common thread in demonstrating excellence in delivery, quality, cost and other value-added services," said Richard Schenk, vice president, Ship Systems supply chain management.

The suppliers receive quarterly grades on various parameters including quality, on-time delivery and participation in affordability initiatives. The suppliers that demonstrated consistent superior performance in these areas qualified for the shipbuilding "supplier of the year" awards initiated last year. The awards further the company's strategic sourcing initiatives set to build stronger long-term relationships with viable suppliers.

"We depend on over 2,000 suppliers nationwide to help build sophisticated warships in support of our U.S. Navy customer," said Veasey Wilson, vice president, Newport News supply chain management. "These six are great examples of partners meeting, and at times exceeding, our expectations."

The six suppliers receiving awards had previously attained preferred quality and delivery performance ratings. Additionally, many have adopted value-added initiatives such as LEAN manufacturing and other state-of-the-art processes implemented to improve cross-sector savings for both Newport News and Ship Systems. These include investments in machine tools, software and new manufacturing processes utilized to raise quality, increase efficiency and lower the overall cost of doing business.

Northrop Grumman's 2004 shipbuilding "suppliers of the year" include:

- Bestweld, Inc.: manufactures fittings; located in Pottstown, Pa.

- Metals USA: distributes steel shapes; located in Waggaman, La.

- Pima Valve, Inc.: manufactures bronze, stainless gate and globe angle valves; located in Chandler, Ariz.

- Revcar Fasteners, Inc.: distributes commercial and engineered fasteners; located in Roanoke, Va.

- The L.C. Doane Company: manufactures shipboard lighting systems; located in Essex, Conn.

- Welding Engineering Supply Company, Inc.: distributes welding supplies and consumables; located in Prichard, Ala.

Northrop Grumman Ship Systems includes primary operations in Pascagoula and Gulfport, Miss.; and in New Orleans and Tallulah, La., as well as in a network of fleet support offices in the U.S. and Japan. Ship Systems is one of the nation's leading full-service systems companies for the design, engineering, construction and life-cycle support of major surface ships for the U.S. Navy, U.S. Coast Guard and international navies.

Northrop Grumman Newport News, headquartered in Newport News Va., is the nation’s sole designer, builder, and refueler of nuclear-powered aircraft carriers and one of only two companies capable of designing and building nuclear powered submarines. Newport News also provides after-market services for a wide array of naval and commercial vessels. The Newport News sector employs about 19,000 people.