General Dynamics NASSCO Lays Keel of Second Product Carrier

SAN DIEGO – General Dynamics NASSCO, a wholly-owned subsidiary of General Dynamics (NYSE: GD), today held a keel-laying ceremony for the second ship of its new series of product carriers (PC). The ship is being built for U.S. Shipping Partners (NYSE: USS) and is scheduled to be delivered in the third quarter of 2009.

NASSCO began construction of the ship in January. It will be 600 feet long and have a cargo capacity of 331,000 barrels. U.S. Shipping Partners previously announced that the ship will be named Pelican State, the state nickname of Louisiana. The ship will be used in coastal trade, carrying petroleum and chemical products.

General Dynamics NASSCO employs more than 4,700 people and is the only full-service ship construction and repair yard on the West Coast of the United States. In addition to the PC vessels, the San Diego shipyard has contracts to build 11 T-AKE class dry cargo-ammunition ships for the U.S. Navy, and an agreement to build up to three additional ships. More information about NASSCO can be found at www.nassco.com.

General Dynamics, headquartered in Falls Church, Va., employs approximately 84,000 people worldwide and reported 2007 revenues of $27.2 billion. The company is a market leader in business aviation; land and expeditionary combat systems, armaments and munitions; shipbuilding and marine systems; and information systems and technologies. More information about the company is available on the Internet at www.generaldynamics.com.

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