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LOCKHEED MARTIN DOWN-SELECTED FOR B-52H SITUATIONAL AWARENESS DEFENSIVE IMPROVEMENT (SADI) CONTRACT

OWEGO, NY, December 9th, 1999 -- Lockheed Martin Federal Systems has been down-selected by Boeing Military and Missiles Systems Group, Wichita, Kansas, for the six-month Program Definition and Risk Reduction phase of the B-52H SADI contract. During this phase, valued at approximately $700,000, Lockheed Martin will compete as one of two potential suppliers to demonstrate an Electronic Support Measures (ESM) subsystem upgrade to replace the current ALR-20A Radar Warning Receiver aboard the B-52H Stratofortress. After a comprehensive demonstration of the two solutions in late March or early April 2000, Boeing will select one supplier to proceed with the Engineering, Manufacturing and Development phase. The total program potential for Lockheed Martin Federal Systems, including production, is a $65 million effort over eight years. The new system upgrade is expected to provide unparalleled precision-targeting, threat-location and jammer cueing for the B-52H aircrews.

"We are eager to have another opportunity to leverage our proven digital receiver technology to demonstrate that Lockheed Martin's ESM solution is the most effective, best-value system to identify, locate and counter threats in dense electromagnetic tactical environments," said Stephen D. Ramsey, vice president, Aerospace Systems. "We are ready to apply our skills and experience with the AN/ALQ-210 and AN/ALQ-217 technologies to help keep the Air Force's B-52H aircrews and aircraft out of harm's way and help them reach their full potential for mission success in the new millennium."

Due to its rapid reaction capability, long range and ability to employ accurate standoff weapons, the B-52H continues to be a major contributor in an initial response to an attack against deployed U.S. or coalition forces. In follow-on operations, it would continue to provide its large payload delivery capable of conventional ordnance on target to the theatre commander. These capabilities were demonstrated during Desert Storm and Bosnia Allied Force.

A leader in providing advanced-technology products, services and systems integration solutions, Lockheed Martin Federal Systems serves defense, civil and industrial customers worldwide. Lockheed Martin Federal Systems employs about 3,800 employees at facilities in Owego, N.Y., Springfield, Va. and Portsmouth, United Kingdom and is a unit of Lockheed Martin Corporation.

Michael Drake (607) 751-2598