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Lockheed Martin Maritime Aircraft Development Continues

EAGAN, MN, July 31st, 2003 -- Lockheed Martin [NYSE: LMT] has completed an Integrated Technology Demonstration (ITD) under the $20 million U.S. Navy Component Advanced Development (CAD) Phase II contract of the Multi-mission Maritime Aircraft (MMA) program. The ITD was held at Lockheed Martin facilities in Colorado and Minnesota. The demonstrations focused on advanced systems for the aircraft, including risk reduction to the MMA program. Lockheed Martin demonstrated capabilities in open architecture and virtual prototyping, critical software and hardware, human-machine interface, multi-source integration and data fusion solutions.

MMA is the replacement program for the U.S. Navy P-3C aircraft. MMA will provide undersea and surface warfare capabilities and armed intelligence, surveillance and reconnaissance in deep water and littoral environments. Lockheed Martin's MMA solution includes a state-of-the-art mission system that satisfies network-centric warfare requirements, in addition to advanced anti-submarine and anti-surface warfare capabilities.

Led by Lockheed Martin Aeronautics, the Lockheed Martin team includes five business units, each contributing expertise in areas critical to the MMA program such as the aircraft design, development and integration of a state-of-the art mission system based on future technologies and advanced acoustic processors, integration of data fusion engines, and integration of training and logistics systems. Collectively, these initiatives form a "system of systems" concept for Lockheed Martin's MMA.

A competitive proposal is expected for later this year to down-select to a single MMA prime contractor. The winning contractor will then complete the System Design and Development phase of the program.

The U.S. Navy has been operating Lockheed Martin-built P-3 Orion aircraft for over 40 years. While the P-3 remains the premier maritime surveillance aircraft in use worldwide, many of these aircraft are approaching the end of their service life. P-3 mission system avionics have been continually updated through Lockheed Martin's Anti-Surface Warfare Improvement Program (AIP) and Block Modification Upgrade Program (BMUP).

Sheri Grone, 651-456-2210, e-mail: sheri.t.grone@lmco.com

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