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Northrop Grumman and Raytheon Team to Compete for MDA's Kinetic Energy Interceptor Program

RESTON, Va., and TUCSON, Ariz., March 5, 2003 (PRIMEZONE) -- Northrop Grumman Corporation (NYSE:NOC) and Raytheon Company (NYSE:RTN) have formed a team to compete for the Missile Defense Agency's (MDA) Kinetic Energy Interceptor (KEI) program. Part of the layered missile defense architecture envisioned by MDA, the program is designed to produce interceptors capable of shooting down enemy ballistic missiles during their boost and ascent phases of flight.

Responding to a request for proposals released by MDA in February for the KEI concept development study, Northrop Grumman will lead the team and serve as systems integrator. Raytheon will serve as the principal subcontractor responsible for developing and integrating the interceptor and a significant portion of weapon system engineering. Up to three teams are expected to be selected in early April, each being awarded an eight-month, $10 million, firm fixed priced contract. The development and testing phase of the program is planned to be awarded to one contractor team in early 2004.

"The Northrop Grumman/Raytheon team offers MDA an unparalleled set of capabilities in missile defense that will be critical to solving this extremely complex challenge," said Donald C. Winter, Northrop Grumman corporate vice president and president of the company's Mission Systems sector. "From battle management to weapon systems integration to interceptor development and command and control, our team has the rich background and technical experience needed to take this program forward on time, on budget and with mission success assured."

Both Northrop Grumman and Raytheon are recognized leaders in missile defense development and testing, playing a major role in virtually every aspect of MDA's missile defense program.

Northrop Grumman's key missile defense programs include building the Defense Support Program satellite, the first component in the Ground-based Midcourse Defense (GMD) system to detect a hostile launch; serving as prime contractor developing the Space Tracking and Surveillance System (STSS); providing payloads and associated mission processing for SBIRS-High and STSS; providing STSS payloads and associated mission processing; developing and fielding the GMD fire control/communications system (formerly known as BMC3) and the command launch equipment command and control (GMD CLE C2) system; and serving as the prime contractor for the Joint National Integration Center (JNIC) where ballistic missile defense war games are conducted. Northrop Grumman is also providing engineering support services and active/passive sensor technology expertise directly to MDA.

Northrop Grumman is developing the high-power chemical laser component of the MDA's Airborne Laser program. The company is the U.S. Army's contractor for the Mobile Tactical High Energy Laser, and it also is playing a leading role developing and fielding the Aegis weapon system, the major sea-based element of missile defense. Targets and countermeasures work includes serving as prime contractor for the Liquid Booster program, and providing systems engineering and technical assistance to the Rocket Systems Launch Program, which supports the assembly and launch of target vehicles from Vandenberg Air Force Base for each GMD test.

Northrop Grumman Corporation is a $25 billion global defense company, headquartered in Los Angeles, Calif. Northrop Grumman provides technologically advanced, innovative products, services and solutions in systems integration, defense electronics, information technology, advanced aircraft, shipbuilding and space technology. With approximately 120,000 employees and operations in all 50 states and 25 countries, Northrop Grumman serves U.S. and international military, government and commercial customers. For more information, visit http://www.northropgrumman.com.

Raytheon is a leader in missile defense systems, from surveillance, to BMC3, to interceptors and kill vehicles. Raytheon produces the Exoatmospheric Kill Vehicle (EKV) for MDA's GMD program and the Standard Missile-3 (SM-3) including the kinetic warhead for the sea-based Aegis Ballistic Missile Defense program. Raytheon interceptors have scored a total of eight successful intercepts. Raytheon is a major player in the GMD element providing a family of radars including the Upgraded Early Warning Radar (UEWR), Upgraded Cobra Dane Radar, Sea Based Test X-Band Radar, the Ground Based Radar-Prototype (GBR-P) and the TPS-X Radar. Additionally, Raytheon is the sensor provider for the STSS Block 06 program and supplies the tracking and illumination laser on the ABL and the JNIC. Raytheon is the prime contractor for the Patriot Weapon System and is a key contractor on the THAAD program, responsible for the THAAD radar, a significant portion of the THAAD BMC2 and a significant portion of weapon systems engineering and test.

Raytheon Company, with 2002 sales of $16.8 billion, is an industry leader in defense, government and commercial electronics, space, information technology, technical services, and business and special mission aircraft. With headquarters in Lexington, Mass., Raytheon employs more than 76,000 people worldwide. For more information, visit http://www.raytheon.com.

LEARN MORE ABOUT US: Northrop Grumman news releases, product information, photos and video clips are available on the Internet at: http://www.northropgrumman.com

CONTACT: Marynoele Benson
Northrop Grumman Corporation
(703) 276-5037

Sara Hammond
Raytheon Company
(520) 794-7810



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