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Lockheed Martin and Aeptec in Development of U.S. Navy Surface Fleet Maintenance Solution

MOORESTOWN, April 18th, 2001 -- Lockheed Martin (NYSE: LMT) and Aeptec Microsystems Inc. announced today they have entered into a contract to demonstrate an automated maintenance environment solution that will enable the U.S Navy to dramatically reduce the cost of operating and maintaining its surface combatant fleet. The project, known as Automated Maintenance Environment (AME), focuses on connecting U.S. Navy ships with other ships within a battle group, and connecting the battle group with the shore-based facility, located in Blairsville, Pa, for routing to support services. This effort involves an initial two-year contract with three, one-year options.

The shore-based facility contains a help desk arrangement, known as a Telematics center, connected to an aircraft carrier, which is the battle group's center. The carrier transmits the maintenance data via a low-orbiting satellite to land-based transmission lines for real-time voice, video and data streaming. The Telematics Center will demonstrate the ability to isolate equipment failures on-line that usually require shipboard engineering support. In addition, the AME project will support critical supply chain management for the location of parts. The AME process can conceptually move maintenance from the ship to a command center that can control the requisition, response, replacement, spares replenishment and tracking activity, as well as the demand forecasting essential to condition based maintenance.

Aeptec, as the prime contractor, is responsible for overall concept and system development of the AME project. Their innovative, cutting edge technologies provide the basis for monitoring shipboard sensors and displaying their status. Aeptec is also developing and manning the Telematrix Center located in Blairsville, Pa.

The Aegis Weapon System and the SPY-1 family of radar systems are designed, built and integrated by Lockheed Martin NE&SS-Surface Systems. NE&SS provides surface ship and submarine combat, antisubmarine warfare and ocean surveillance systems, missile launching systems, radar and sensor systems, ship systems integration and system engineering services, and other advanced systems and services to customers worldwide. NE&SS is the largest business organization in the Lockheed Martin Systems Integration business area.

Andrea Lawrence, (856)-722-4922; andrea.j.lawrence@lmco.com
Christine Irving, (856)-722-4063; christine.irving@lmco.com