VSE Leads Key Industry Team in Naval Ship Transfer and Repair (N*STAR)

Exclusive Global Maritime Partnership Team Prepares for Future

ALEXANDRIA, Va.-- VSE Corporation's (Nasdaq GS: VSEC) GLOBAL Division (formerly BAV) announces a new, exclusive, and dynamic Naval Ship Transfer and Repair (N*STAR) team to expedite the transfer of former U.S. Navy ships and systems to foreign allies and provide comprehensive in-country follow-on technical support, including training, engineering services, industrial services, construction and logistics support.

N*STAR team members include some of the top industry leaders, such as Raytheon, Science Applications International Corporation (SAIC), Thales Naval, Inc., General Dynamics, Lockheed Martin, Computer Sciences Corporation (CSC), BAE SYSTEMS and American Systems Corporation.

Other members of the VSE team include: Propulsion Controls Engineering; George G. Sharp, Inc.; Gibbs & Cox, Inc.; Colonna's Shipyard, Inc.; McKean Defense Group, LLC; Phoenix Group of VA; Sullivan & Associates, Inc.; Atlantic Marine Florida, LLC; 3Phoenix, Inc.; The Columbia Group; Logistics Support, Incorporated; CDI Marine Co.; The GBS Group; The McHenry Management Group; and Orion Solutions, LLC.

VSE has been the lead firm performing ship transfer work for the Naval Sea Systems Command under the Foreign Military Sales ("FMS") Program since this function was initially outsourced in 1995. During that time, VSE has managed the successful transfer of 42 ships to 34 nations on six continents. The transfer services have included a large variety of ships/systems, from guided missile destroyers to floating dry docks. VSE is currently supporting the transfer of the ex-USNS Andrew J. Higgins to Chile at the Atlantic Marine shipyard in Mobile, Ala.

The extensive VSE-led support work includes complex follow-on technical support to host nations from construction/establishment of state-of-the-art, multimedia training facilities; coastal surveillance systems; industrial upgrade programs, including building facilities and procedures capable of supporting former U.S. Navy ships and systems; and engineering support for mission capability enhancements, including complex systems integration projects such as installation of modern combat systems upgrades (SM2 Block IIIA).

"By partnering with the most respected names in the defense business, we've built a powerful team for the future on a foundation of almost 15 years of proven past performance, positive client feedback and outstanding award fee scores," said VSE CEO/President/COO Maurice "Mo" Gauthier. "VSE's N*STAR team of exclusive tier one industry partners is testimony to our strength and reputation in the demanding FMS market. Each of our teammates chose the VSE N*STAR team because of strong ongoing working relationships with VSE and a clear-eyed assessment of VSE's performance and value to this market going forward."

Michael Hamerly, President of VSE's International Group, commented, "VSE has developed many unique and proprietary tools for FMS work including the automated condition report system, automated industrial project financial tracking, and Foreign Military Sales Lessons Learned database. This is an outstanding opportunity for every team member to take ship and system transfers to the next level of service excellence and we are now poised to enrich the program even further."

VSE International Group

International Group provides global engineering, industrial and logistics services for foreign military sales. GLOBAL Division provides assistance to the U.S. Navy in executing its Foreign Military Sales Program for surface ships sold, leased or granted to foreign countries by providing program management, engineering, technical support, and logistics services for ship reactivations, transfers, and follow-on support. For more information about International Group's services please see the VSE Corporation website at www.vsecorp.com or contact Donald Babcock at (703) 329-4683.

About VSE

VSE is Federal Services Company of choice for solving issues of global significance with integrity, agility and value. VSE marked its 50th year as a government contractor in January 2009 and is dedicated to making our clients successful by delivering talented people and innovative solutions for program management, logistics, engineering, IT services, construction program management and consulting. For additional information on VSE services and products, please see our web site at www.vsecorp.com or contact Randy Hollstein, Corporate Vice President of Sales and Marketing, at (703) 329-3206.

VSE encourages investors and others to review the detailed reporting and disclosures contained in VSE public filings with the Securities and Exchange Commission for further information and analysis of VSE's financial condition and results of operations. The public filings include additional discussion about the status of specific customer programs and contract awards, risks, revenue sources and funding, dependence on material customers, and management's discussion of short and long term business challenges and opportunities.

    Source: VSE Corporation

Released November 11, 2009