PRESS RELEASE

For Immediate Release

Contact Information

Kevin McCarthy

Vice President of Marketing

Tel: 508-563-6565

E-mail: kmccarthy@hydroidinc.com

Hydroid receives a contract for a REMUS 100 system from the Heriot-Watt University Ocean Systems Laboratory in Edinburgh, Scotland

(August 2006 – Pocasset, MA) Hydroid LLC announced today that they have recently received a contract for a REMUS 100 system from the Ocean Systems Laboratory, theat Heriot-Watt University, in Edinburgh, Scotland.

Dr. David Lane, a professor at the university’s Engineering School of Engineering and Physical Science stated that "The Ocean Systems Laboratory at Heriot-Watt University aims to raise the technology readiness levels of its leading research portfolios in computer aided detection and classification, adaptive broadband sonar design, advanced navigation/motion control and onboard autonomy. As a reliable AUV platform with an established customer base, REMUS 100 will provide a first class demonstration platform in planned trials with military, offshore, and scientific and military partners across the world."

Kevin McCarthy, Hydroid’s vice president of marketing stated, “Hydroid has been working cooperatively with Heriot-Watt University over the past several years as they’ve continued to develop appropriate technologies for man portable UUVs. I’m confident that the acquisition of the REMUS system will assist the University with their research.”

Hydroid LLCInc. holds the exclusive license from the Woods Hole Oceanographic Institution for the manufacture and further development of the REMUS Autonomous Underwater Vehicle (AUV) technology.

For further information contact Kevin McCarthy, Vice President of Marketing at Hydroid at Tel 508-563-6565, e-mail kmccarthy@hydroidinc.com. To learn more about Hydroid, LLC, visit www.hydroidinc.com.