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Lockheed Martin Awards $6.8 Million VH-71 Presidential Helicopter Subcontract to Esterline's Palomar Products

OWEGO, NY, October 13th, 2005 -- Lockheed Martin [NYSE: LMT] has awarded Esterline Technologies’ Palomar Products subsidiary a $6.8 million contract to provide aircraft intercommunication systems for the new VH-71 Presidential Helicopter program. Work conducted under this contract will begin immediately and continue through December 2007 at Palomar’s facility in Rancho Santa Margarita, CA.

“Having Esterline Palomar on our team serves to strengthen this program, and Palomar specifically will allow us to provide the highest level of communications,” said Patrick M. Dewar, VH-71 Presidential Helicopter program vice president at Lockheed Martin Systems Integration - Owego. “The Palomar team will provide Marine One with the highest quality aircraft intercommunication systems appropriate for the unique demands of the White House support mission.”

Palomar is one of America’s leading companies providing communication products to U.S. military customers through the design, manufacture, marketing, and integration of high quality audio and data distribution systems. The company currently provides voice communications for the existing Marine One helicopters. Palomar was recently acquired by Bellevue, WA-based Esterline [NYSE: ESL], a leading manufacturer of specialized avionics, sensors and advanced materials for aerospace/defense markets.

Lockheed Martin Systems Integration – Owego is the prime contractor and systems integrator for the U.S. Navy’s VH-71 Presidential Helicopter program with overall responsibility for the program and aircraft system. The VH-71 is based on the US101 helicopter, the American variant of AgustaWestland’s successful EH-101 multimission helicopter. AgustaWestlandBell, the U.S. principal subcontractor to Lockheed Martin, has responsibility for the air vehicle design, configuration management and support. More than 200 suppliers in 41 states support the VH-71 program.

Greg Caires, US101 Communications, (607) 751-3200; e-mail, greg.a.caires@lmco.com

Robert Lawson, Palomar Marketing Director, (949) 766-5434; e-mail, rlawson@palpro.com



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