OSI Defense Systems Announces Contract Win For Weapons Simulation Products

OSI Systems, Inc. today announced that its wholly owned subsidiary, OSI Defense Systems, has received a contract from Science Applications International Corporation (SAIC). The contract is for a suite of its Advanced MILES Plus military training products and is expected to be completed by March 2007.

The OSI Defense Systems product line is used worldwide in military combat training environments for force-on-force training exercises utilizing eye-safe laser technology.  Under the contract OSI Defense will manufacture a large number of vehicle and anti-tank combat training systems and develop an advanced aviation combat training solution for delivery to the Egyptian Armed Forces.  

Wayne Magill, President of OSI Defense Systems stated, "We are pleased to announce this significant order for the Defense Systems business unit.  This follow on award reinforces the satisfaction of our customer base with fielded products and expresses confidence in our ability to extend our aviation product line to meet the requirements of the Egyptian Armed Forces.

The OSI Defense Systems product line is used by armed forces and first responder security personnel to improve operational readiness through objective performance measurement.  These proprietary products enable users to engage in force-on-force mock combat training exercises to improve threat response tactics and operational readiness and threat response tactics.

About OSI Defense Systems:

OSI Defense Systems, a wholly owned subsidiary of OSI Systems, Inc., is a leading supplier of high quality eye safe combat training systems utilizing Multiple Integrated Laser Engagement Systems technology. The company's products are sold worldwide into the armed forces and protective force services market segments.  The OSI Defense Systems product line is manufactured and serviced in Orlando, Florida, USA. For more information on OSI Defense Systems, please visit

www.osi-ds.com .

About OSI Systems, Inc.

OSI Systems Inc. is a Hawthorne, Calif.-based diversified global developer, manufacturer and seller of security and inspection systems, medical monitoring products, and optoelectronic-based components, as well as a provider of engineering and manufacturing services. The company has more than 30 years of experience in electronics engineering and manufacturing, and maintains offices and production facilities located in more than a dozen countries. OSI Systems implements a strategy of expansion by leveraging its electronics and contract manufacturing capabilities into selective end product markets through organic growth and acquisitions. For more information on OSI Systems Inc. or any of its subsidiary companies, visit www.osi-systems.com.

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include information regarding our expectations, goals or intentions about the future, including, but not limited to, statements regarding the performance or market acceptance of our security products. The actual results may differ materially from those described in or implied by any forward-looking statement. In particular, there can be no assurance that such growth will occur either at their expected rates or at all. Other important factors are set forth in our Securities and Exchange Commission filings. All forward-looking statements speak only as of the date made, and we undertake no obligation to update these forward-looking statements.

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OSI Defense Systems


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