U.S. Air Force Selects Ball Aerospace as Prime Contractor for LEOSS

September 14, 2006

Ball Aerospace & Technologies Corp. has been selected for phase A of the Lightweight Electro-Optical Space Sensor (LEOSS) program as prime contractor by the United States Air Force Research Laboratory, Kirtland Air Force Base, Albuquerque, N.M.

Ball Aerospace will study the utility of lightweight electro-optical technology and data products for search, acquisition, tracking, and characterization of resident space objects. The LEOSS program will serve as a pathfinder for future Department of Defense geosynchronous space situational awareness sensors. Subsequent phases of the program may include a flight demonstration. Broad Reach Engineering will provide Ball Aerospace with the electronics for the LEOSS program.

"Ball Aerospace maintains an active research and development capability in the application of advanced lightweight materials," said Fred Doyle, vice president and general manager of Ball Aerospace, National Defense Solutions. "We will also apply our space situational awareness experience from the Space-Based Space Surveillance program, and space electro-optical payload experience to this critical technology demonstration program."

The development of systems to collect resident space object information ensures safe operations in space. The LEOSS demonstration program represents Ball Aerospace's commitment to provide advanced technology systems that include precision optics and electro-optical systems for aerospace and defense applications.

Ball Aerospace is celebrating its 50th year in business in 2006. The company began building pointing controls for military rockets in 1956, and later won a contract to build one of NASA's first spacecraft, the Orbiting Solar Observatory. Over the years, the company has been responsible for numerous technological and scientific 'firsts' and now acts as a technology innovator for important national missions.

Ball Corporation is a supplier of high-quality metal and plastic packaging products and owns Ball Aerospace & Technologies Corp. Ball reported 2005 sales of $5.8 billion and employs 15,600 people.

Forward-Looking Statements

This news release contains "forward-looking" statements concerning future events and financial performance. Words such as "expects," "anticipates," "estimates" and similar expressions are intended to identify forward-looking statements. Such statements are subject to risks and uncertainties which could cause actual results to differ materially from those expressed or implied. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Key risks and uncertainties are summarized in filings with the Securities and Exchange Commission, including in Exhibit 99.2 in our Form 10-K. These filings are available at our Web site and at www.sec.gov. Factors that might affect our packaging segments include fluctuation in consumer and customer demand and preferences; availability and cost of raw materials, including recent significant increases in resin, steel, aluminum and energy costs, and the ability to pass such increases on to customers; competitive packaging availability, pricing and substitution; changes in climate and weather; fruit, vegetable and fishing yields; industry productive capacity and competitive activity; failure to achieve anticipated productivity improvements or production cost reductions, including those associated with our beverage can end project; the German mandatory deposit or other restrictive packaging laws; changes in major customer or supplier contracts or loss of a major customer or supplier; changes in foreign exchange rates, tax rates and activities of foreign subsidiaries; and the effect of LIFO accounting. Factors that might affect our aerospace segment include: funding, authorization, availability and returns of government contracts; and delays, extensions and technical uncertainties affecting segment contracts. Factors that might affect the company as a whole include those listed plus: acquisitions, joint ventures or divestitures; integration of recently acquired businesses; regulatory action or laws including tax, environmental and workplace safety; governmental investigations; technological developments and innovations; goodwill impairment; antitrust, patent and other litigation; strikes; labor cost changes; rates of return projected and earned on assets of the company's defined benefit retirement plans; changes to the company's pension plans; reduced cash flow; interest rates affecting our debt; and changes to unaudited results due to statutory audits or other effects.

SOURCE: Ball Aerospace & Technologies Corp.

CONTACT: Roz Brown of Ball Aerospace & Technologies Corp.,
+1-303-939-6146, rbrown@ball.com