Cray/Media:      Mardi Larson, 612/683-3538 
Cray/Financial:  Brad Allen, 612/683-7395

CRAY RESEARCH SYSTEM CHOSEN FOR DOD
MODERNIZATION PROGRAM AT NAVAL OCEANOGRAPHIC
OFFICE

EAGAN, Minn., Jan. 25, 1994 -- Cray Research (NYSE:CYR)
announced today that a CRAY C916 supercomputer system was
selected for a Department of Defense Modernization Program
installation at the Naval Oceanographic Office, Stennis Space
Center, Bay St. Louis, Miss.  The system was ordered by
Northrop Grumman Data Systems and Services Division, prime
contractor for this Department of Defense site.  The contract
value of the accepted Cray system and related Cray equipment
exceeds $45 million. 

This is the second installation of a CRAY C916 supercomputer
at a Department of Defense Major Shared Resource Center
(MSRC), Cray said.  In 1993, Cray Research installed a CRAY
C916 system at the first MSRC at the U.S. Army Engineer
Waterways Experiment Station, Vicksburg, Miss.  Both
facilities are part of the Department of Defense High
Performance Computing Modernization Program.   According to
Cray officials the Department of Defense now has two of seven
CRAY C916 systems fully loaded with 16 processors and 1024
million words of central memory installed in the world.  

According to Department of Defense officials, high
performance computing centers and communications are
essential base technologies that will drive or limit the conduct
of virtually all science and engineering in the future.  The
Naval Oceanographic Office's new 16-processor CRAY C916
system will be linked via high-speed communications networks
to serve Army, Navy, Air Force, and other defense agency
researchers throughout the U.S. 

"Cray Research is pleased to see this second system dedicated
to the Department of Defense modernization effort," said
Robert H. Ewald, Cray Research president and chief operating
officer.  "This is one of the most powerful computers we
manufacture today.  We look forward to continuing our
relationship with the DOD and Grumman Data Systems."

U.S. list pricing for the CRAY C916 system ranges from $20
million to more than $40 million. 

Cray Research provides the leading supercomputing tools and
services to help solve customers' most challenging problems.

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