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VT Halter Wins Contract

Maritime Activity Reports, Inc.

February 25, 2004

VT Halter Marine Inc., a subsidiary of Vision Technologies Systems Inc., signed a $5.2 million contract with Tide Leasing Company, L.L.C., of Birmingham, AL to build a stevedoring crane barge. The 200 x 75 x 14.5-ft. foreign flagged vessel will be classed by Lloyd’s Registry Class Designation + 100AN deck barge. Hydralift AmClyde Inc., (AmClyde) will supply the crane for the project.

VT Halter Marine plans to complete the barge construction at its Mississippi-based Pascagoula Operations. The scope of work includes installation of the deck winches and crane pedestal and will take about 12 months to comp lete. In the four months that follow, VT Halter Marine will assist AmClyde with the installation and operational testing of the crane. Delivery of the 16 - month project is scheduled to take place during the second quarter of 2005. Tide Leasing will supply the stevedoring crane barge for use by Drummond, Ltd. to load coal mined from their South American operations for international delivery to 13 countries. The crane barge is a complete self-contained diesel electric unit powered by 4,000-kilowatt generators supplying power to the barge and crane. Four deck winches and one anchor winch, supplied by AmClyde and installed by VT Halter Marine, will moor the barge during loading periods.

A VT Halter Marine facility delivered a similar crane barge to Tide Leasing/Drummond Ltd. in 2000 and the new vessel is an indication of the continuing relationship between our companies. Boyd King, CEO said, "VT Halter Marine is built on a powerful combination of experience and strategically located facilities. The barge project contains all of the elements that are necessary to produce a solid, high-quality product: a proven design, experienced craftsmen and a history of delivering vessels that are tailored to meet the requirements of each customer.” VT Halter Marine Inc., based in Gulfport, Miss., is a leader in the design and construction of small- to medium-sized ships in the United States. VT Halter Marine designs, builds and repairs a wide variety of ocean-going vessels such as patrol vessels, oil recovery vessels, oil cargo vessels, ferries, logistic support vessels and research ships. It is a subsidiary of Vision Technologies Systems Inc. (VTS), a provider of integrated engineering solutions, specializing in the fields of marine, aerospace, electronics and land systems. Headquartered in Alexandria, VA, VTS is located throughout North America. VTS offers a broad range of proven innovative services to both the commercial and government sectors. VTS is a wholly owned subsidiary of Singapore Technologies Engineering.

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