SAN DIEGO, Calif., November 9, 2004 – Cubic Transportation Systems, Inc., a subsidiary of Cubic Corporation (AMEX:CUB), announced it has received an additional $3.4 million from the San Francisco Bay Area Rapid Transit (BART) District to expand the scope of work on its fare collection equipment contract. . The original contract, valued at roughly $44 million, provided for procurement and installation of new fare collection equipment throughout the BART system. Since then, $7 million has been added to link the fare collection system with the Bay Area regional smart card program called TransLink®. Translink will allow riders to travel across all public transit systems throughout the Bay Area using a single smart card for fare payment.

The latest addition to the contract will allow for Cubic to integrate its smart card technology into BART’s ticket vending machines (TVMs), which Cubic delivered as part of BART’s new fare collection system, now in operation. This new functionality will enable customers to load fare value onto a shared electronic purse, or “e-purse,” on their TransLink cards, which will be valid for use in any participating transit agency’s system, including BART. An e-purse securely stores cash value on the smart card chip and is particularly convenient in applications like transit where exact change is often required. Instead of carrying cash, patrons can use their smart card like an electronic wallet.

“BART serves four Bay Area counties and links to many other transit systems. Giving our customers the ability to add value to the shared TransLink e-purse on the TVMs in our rail stations is essential to customer convenience and access and provides a regional benefit,” said Chris Quinn, BART AFC Project Manager. Cubic will use its Tri-Reader®, a card reading device that is embedded in faregates or ticket vending machines, to integrate the TransLink system with BART. The Tri-Reader is the first smart card reader on the market that can “read” any type of ISO-14443 standardized contactless smart card. The Tri-Reader will read the TransLink regional card, with the capability to add other card services if desired.

Cubic designed, built and integrated BART’s new fare collection system, which was completed in 2003.

Every year, nearly 10 billion rides are taken worldwide using Cubic fare collection systems. Cubic has delivered over 400 projects in 40 major markets on five continents. Active projects include London, New York / New Jersey region, Washington, D.C. / Baltimore / Virginia region, Los Angeles region, San Diego region, San Francisco, Minneapolis/St. Paul, Chicago, Houston, Atlanta, South Florida, Vancouver and Edmonton, Canada, Brisbane, Australia, Singapore, Bangkok, Thailand, and Scandinavia.

The corporation’s other major segment, Cubic Defense Applications, provides realistic combat training systems for military forces as well as simulation, force modernization, educational services, operations & maintenance and manufacturing services. The group also supplies products and systems for C4ISR (Command, Control, Communications, Computers, Intelligence, Surveillance & Reconnaissance) applications, search and rescue avionics and radio communications for military and civil markets. For more information about Cubic, see the company's web site at www.cubic.com.