VSE Increases Quarterly Cash Dividend

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Board Authorizes 12.5% Increase in Payout Rate

ALEXANDRIA, Va.--

VSE Corporation (Nasdaq:VSEC) reported today that on June 3, 2008, the company's Board of Directors declared a quarterly dividend of $.045 per share, increasing the cash dividend by 12.5% to an annual payout rate of $.18 per share.

The $.045 per share dividend declared on June 3, 2008, will be paid on August 14, 2008, to stockholders of record as of July 31, 2008.

VSE has paid cash dividends since 1973 and has increased its dividend rate each year since 2004. The payment and amount of future dividends will depend on existing conditions, including the company's earnings, financial condition, working capital requirements, and other factors.

VSE CEO, President and COO Mo Gauthier said, "We appreciate the Board's vote of confidence in VSE operations. With the acquisition of G&B Solutions, Inc. in April 2008, and the favorable financial results reported for the first quarter of 2008, we're off to a good start in 2008. We are pleased to provide this dividend at the increased rate to VSE stockholders."

Established in 1959, VSE is a diversified professional services company providing engineering and consulting services, systems integration, infrastructure support, and information technology management and solutions, principally to agencies of the United States Government and other government prime contractors at locations across the United States and around the world. For the year December 31, 2007, VSE reported consolidated revenues of $653.2 million and earnings of $14.1 million ($2.82 per share diluted).

For more information on VSE services and products, please see the Company's web site at www.vsecorp.com or contact Len Goldstein, Director of Business and New Product Development at (703) 317-5202.

This news release contains statements which, to the extent they are not recitations of historical fact, constitute "forward looking statements" under federal securities laws. All such statements are intended to be subject to the safe harbor protection provided by applicable securities laws. For discussions identifying some important factors that could cause actual VSE results to differ materially from those anticipated in the forward looking statements in this news release, see VSE's public filings with the Securities and Exchange Commission.

Source: VSE Corporation

Released June 11, 2008