<PAGE> 1
EXHIBIT 99
General Dynamics Corporation (ticker: GD, exchange: NYSE)
News Release - Thursday, November 9, 2000
Press Contact: (703) 876-3190
General Dynamics to Acquire Primex Technologies, Inc.
FALLS CHURCH, Va. - General Dynamics (NYSE: GD) and Primex Technologies, Inc.
(NASDAQ: PRMX) announced today that they have entered into a definitive
agreement for General Dynamics to acquire the outstanding shares of Primex
Technologies for a cash purchase price of $32.10 per share. In addition, General
Dynamics would assume approximately $170 million of Primex's debt. The proposed
acquisition, approved by the boards of both companies, is subject to regulatory
review as well as Primex shareholder approval. Primex closed at $31 in
yesterday's trading. Goldman Sachs is representing Primex in the transaction,
which is expected to close in the first weeks of 2001.
The acquisition will enhance General Dynamics' position as a premier provider of
combat systems to the Army and Marine Corps as they meet the evolving threats of
this century. Primex's capabilities in propulsion as well as projectile and
warhead integration are well matched to the Army's transformation vision,
including the Medium Brigade Combat Team and Future Combat System. The
acquisition would also make General Dynamics a leader in large and medium
caliber munitions and provide entree into the missile and precision guided
missile businesses - two high-growth areas - through Primex's subcontract
relationships. Primex is a teammate on General Dynamics' highly successful Hydra
70 rocket program, and General Dynamics is a teammate on Primex's Objective Crew
Served Weapon, a next-generation infantry weapon.
"Primex Technologies is a solid, well-run company with growing revenues and
earnings as well as strong cash flow. It has a broad array of products and a
stable customer base. Our offer reflects Primex's inherent worth, and provides
its shareholders liquidity at an attractive price," said Nicholas D. Chabraja,
General Dynamics Chairman and CEO. "This acquisition would be immediately
accretive to General Dynamics' earnings, and is consistent with our strategy to
augment our core lines of business."
Primex Technologies, Inc. CEO James G. Hascall said, "For Primex to grow and
thrive, it needs to be part of a larger organization with strong financial
resources and broader market reach. As a wholly owned subsidiary of General
Dynamics, Primex will be better positioned to achieve its potential. We believe
this acquisition is in the best interests of our shareholders, our customers,
and our employees."
Primex Technologies, Inc., headquartered in St. Petersburg, Florida, provides a
variety of munitions, propellants, satellite propulsion systems and electronics
products to the U.S government and its allies, as well as domestic and
international industrial customers. The company has 2,850 employees.
Primex's 2000 revenues are estimated at $530 million, with net income estimated
at $24 million. More information about Primex is available at
www.primextech.com.
General Dynamics, headquartered in Falls Church, Virginia, employs approximately
44,000 people and has annualized sales of approximately $10 billion. The company
has leading market positions in business aviation, information systems,
shipbuilding and marine systems, and combat systems.
