News Release

GULFSTREAM REDUCES PRICES ON GII AND GIII BUSINESS-JET PARTS INVENTORY
Price Reductions on 6,000 Parts Represent a Potential Collective $16M Savings

SAVANNAH, Ga., May 5, 2005 – Gulfstream Aerospace, a wholly owned subsidiary of General Dynamics (NYSE: GD), has reduced the price on 6,000 parts used on Gulfstream GII and GIII business-jet aircraft, representing a potential collective cost-savings to customers of $15.8 million. These recent price reductions are in addition to previous price reductions Gulfstream has implemented during the past 18 months on more than 10,000 parts.

"This recent round of price reductions is a result of our ongoing commitment to offer the most reliable parts at extremely competitive prices," said Larry Flynn, president, Gulfstream Product Support.

Gulfstream’s new price reductions apply to a variety of GII and GIII parts – from auxiliary power units and converters to O-rings and gaskets. With every part sold, Gulfstream includes a one-year or 1,000-hour warranty, whichever comes first.

"We look forward to offering these substantially reduced parts to both our established customers and new customers," added Flynn.

This recent price-reduction program is in addition to Gulfstream’s price-matching program called Meet the Quote™, and its Competitive Parts program.

Under the terms of Meet the Quote, a customer submits to Gulfstream a current competitive quote on an exchange part. If that part is priced lower than Gulfstream’s price for the same part comparable in condition, age and warranty terms, Gulfstream matches the price of the part.

The Competitive Parts program, announced in March 2004 and expanded six months later, featured parts price reductions on the most popular new parts used on Gulfstream G550, G500, G400, G300, GV and GIV/GIV-SP models.

Available 24 hours a day, 365 days a year, Gulfstream spare-parts sales representatives ensure parts are shipped in the most expeditious manner.

NOTE TO EDITORS

Gulfstream Aerospace Corporation, a wholly owned subsidiary of General Dynamics (NYSE: GD), designs, develops, manufactures, markets, services and supports the world’s most technologically advanced business jet aircraft. Gulfstream has produced more than 1,500 aircraft for customers around the world since 1958. To meet the diverse transportation needs of the future, Gulfstream offers a comprehensive fleet of aircraft, comprising the mid-cabin, high-speed Gulfstream G100™; the wide-cabin, high-speed Gulfstream G150™; the large-cabin, mid-range Gulfstream G200™; the large-cabin, mid-range Gulfstream G350™; the large-cabin, long-range G450™; the large-cabin, ultra-long-range Gulfstream G500™ and the large-cabin, ultra-long-range Gulfstream G550™.  Gulfstream also offers aircraft ownership services via Gulfstream Financial Services Division and Gulfstream Pre-Owned Aircraft Sales®. The company employs more than 6,750 people at seven major locations. We invite you to visit our Web site for more information and photos of Gulfstream aircraft at www.gulfstream.com.

General Dynamics, headquartered in Falls Church, Virginia, employs approximately 70,100 people worldwide and had 2004 revenue of $19.2 billion.  The company is a market leader in mission-critical information systems and technologies; land and expeditionary combat systems, armaments and munitions; shipbuilding and marine systems; and business aviation.  More information about the company can be found at www.generaldynamics.com.