2008-03-31 18:24:58 -

- URS Corporation (NYSE: URS) today announced that an international consortium led by the Company's Washington Division (formerly Washington Group International) has reached agreement with the UK Nuclear Decommissioning Authority (NDA) to operate the United Kingdom's national low-level-nuclear-waste repository in West Cumbria in northern England.

The consortium - UK Nuclear Waste Management Ltd. - comprises URS' Washington Division, Studsvik

UK, AREVA and Serco Assurance and brings together a unique capability to achieve the NDA's low-level-waste-management objectives. URS and its partners will manage a scope of work with an estimated value of $250 million (GBP 125 million) for the first five years of the cost-reimbursable contract. There is also potential for further extension periods up to a total of 17 years, which the NDA has valued at between $400 million to $1 billion (GBP 200-500 million).

The first element of the contract focuses on managing the repository and maintaining the future capacity of existing storage vaults. It also includes gaining regulatory approval for continued operation and planning for the long-term future of the site. The second element calls for URS and its partners to develop a UK-wide low-level-waste strategy to manage the increased levels of waste expected to be generated by the NDA's planned decommissioning of obsolete nuclear facilities across the country.

Martin M. Koffel, Chairman and Chief Executive Officer of URS commented: "We are very pleased to have entered into a contract with the NDA. This is a significant win for the Washington Division, and one which underscores one of the primary strategic reasons for URS' acquisition of Washington Group last year. URS now employs one of the largest teams of nuclear scientists in the industry, and we are looking forward to utilizing our industry-leading capabilities, depth and expertise to lead the consortium that will work with the NDA."

Dr. Ian Roxburgh, NDA Chief Executive Officer, said: "This is a landmark occasion that will bring innovation and new expertise to the program to decommission and clean-up the UK's nuclear legacy. The NDA has now delivered the first in a series of multi-million pound competitions. This contract will not only provide for the management and operation of the LLWR, but it will also cover the implementation of a National Strategy for Low Level Waste."

"We are delighted with the award, which reflects the strength of the consortium and the leading positions of its members in the nuclear decommissioning and waste management industries in the United Kingdom, the United States, Sweden and France," said Tom Zarges, President of URS' Washington Division. "This agreement is an exciting opportunity for us and our partners to help the NDA meet the challenges managing its low-level-waste operations."

The low-level-waste contract is the first of several contracts the NDA will award to manage ongoing operations and to decommission obsolete facilities that are part of the UK's nuclear complex.

URS Corporation (NYSE: URS) is a leading provider of engineering, construction and technical services for public agencies and private sector companies around the world. The Company offers a broad range of planning, engineering and architectural design, environmental, construction, program and construction management, systems integration, operations and maintenance, management and a wide range of specialized technical services for the U.S. federal government, state and local government agencies, Fortune 500 companies and other multinational corporations. URS provides services for transportation, hazardous waste, industrial infrastructure and process, petrochemical, general building, water/wastewater, military facilities and equipment platforms, and defense and security programs. Headquartered in San Francisco, the Company operates through three divisions: the URS Division, the EG&G Division and the Washington Division. URS Corporation has approximately 56,000 employees in a network of offices in more than 30 countries (www.urscorp.com).

Forward-Looking Statements

Statements contained in this press release that are not historical facts may constitute forward-looking statements, including statements relating to the future value and performance of the contract as well as future economic and industry conditions. The Company believes that its expectations are reasonable and are based on reasonable assumptions. However, such forward-looking statements by their nature involve risks and uncertainties. We caution that a variety of factors could cause the Company's business and financial results to differ materially from those expressed or implied in the Company's forward-looking statements. These factors include, but are not limited to: an economic downturn; changes in the Company's book of business; the Company's compliance with government contract procurement regulations; the Company's leveraged position and ability to service its debt; restrictive covenants in the Company's Credit Facility; the Company's integration of the Washington Group International, Inc.; the Company's ability to procure government contracts; the Company's reliance on government appropriations; the ability of the government to unilaterally terminate the Company's contracts; the Company's ability to make accurate estimates and control costs; the Company's and its partners' ability to bid on, win, perform and renew contracts and projects; the Company's dependence on subcontractors and suppliers; customer payment defaults; availability of bonding and insurance; environmental liabilities; liabilities for pending and future litigation; the impact of changes in regulations and laws; a decline in defense spending; industry competition; the Company's ability to attract and retain key individuals; employee, agent and partner misconduct; risks associated with international operations; business activities in high security risk countries; third party software risks; terrorist and natural disaster risks; the Company's relationships with its labor unions; the Company's ability to protect its intellectual property rights; anti-takeover risks and other factors discussed more fully in the Company's Form 10-K for the year ended December 28, 2007, as well as in other reports filed from time to time with the Securities and Exchange Commission. These forward-looking statements represent only the Company's current intentions, beliefs or expectations, and any forward-looking statement speaks only as of the date on which it was made. The Company assumes no obligation to revise or update any forward-looking statements.

URS Corporation
H. Thomas Hicks, Vice President & Chief Financial Officer
415-774-2700
or
Sard Verbinnen & Co
Hugh Burns/Jamie Tully/Jane Simmons
212-687-8080