General Dynamics NASSCO and Totem Ocean Trailer Express Finalize Design Contract for LNG Conversion of Orca Class

Artist-Rendering-TOTE

Artist’s rendering of new TOTE

SAN DIEGO – General Dynamics NASSCO, a wholly owned subsidiary of General Dynamics (NYSE:
GD), announced today that it has finalized a contract with Totem Ocean Trailer Express (TOTE) to design
the conversion of the company’s two existing Orca Class, diesel-electric trailerships to liquefied natural gas
(LNG) propulsion. This design contract is in addition to the new-construction order that TOTE
Shipholdings placed with NASSCO last month for the construction of two new LNG-powered
containerships.

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“We are very excited to be engaged in another LNG project with TOTE,” said Fred Harris, president of
General Dynamics NASSCO. “This project provides yet another sign that we are in the dawn of a new era
of LNG propulsion. NASSCO will be a leader in the design, construction and conversion of ships to take
advantage of the economic and environmental benefits of LNG.”
The TOTE conversion and new-construction projects validate NASSCO’s reputation as one of the nation’s
leading shipyards for commercial and government new construction. The projects add to the engineering
and construction capabilities the shipbuilder offers customers and leverages its design/procurement
partnership with Daewoo Ship Engineering Company (DSEC), as well as its recent investments in people,
facilities and equipment.
Conversion of these ships to LNG propulsion will significantly reduce or nearly eliminate the sulfur oxides,
nitrogen oxides, carbon dioxide (SOx, NOx, and CO2) and particulate matter from ship emissions when
compared to traditional diesel fuel. In recent years, there have been large increases in the cost of diesel fuel
as well as stricter emission regulations. These factors, along with the incredible environmental benefits
made possible by this new technology, make LNG propulsion desirable for many new shipbuilding and
conversion projects.
The 839 ft Orca Class ships, which operate between Tacoma, Wash., and Anchorage, Alaska, were
designed and built by NASSCO. Both ships were delivered in 2003.

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