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Raytheon Awarded Rolling Airframe Missile Contracts Valued at Nearly $146 Million

TUCSON, Ariz., June 27, 2007 /PRNewswire/ -- Raytheon Company (NYSE: RTN) has been awarded $145.4 million by the U.S. Navy for production and enhancement of its Rolling Airframe Missile program.

Nearly $105.5 million will go to the development of Rolling Airframe Missile Block 2, a kinematic and sensor upgrade to the company's Rolling Airframe Missile Block 1. Rolling Airframe Missile is one of the world's most modern ship self-defense weapons, designed to provide exceptional protection for ships of all sizes.

"Rolling Airframe Missile Block 2 significantly increases the effective range and maneuverability via a larger dual-thrust rocket motor and independent four-canard control actuator system," said Todd Callahan, Raytheon Missile Systems program director for Rolling Airframe Missile. "These enhancements extend Rolling Airframe Missile's capability against a wide variety of threats, including the evolving, highly maneuverable anti-ship cruise missiles.

"When coupled with our continuous efforts to improve Rolling Airframe Missile's performance and lethality," Callahan explained, "this Block upgrade program will yield a new level in ship self-protection for the U.S. warfighter as well as navies throughout the world."

Operating under a cooperative Memorandum of Understanding for the Block 2 system demonstration and development program, Raytheon's German industry partner, RAM-System GmbH, has been funded to develop an evolved missile radio frequency sensor that will provide increased sensitivity and discrimination in order to successfully defeat targets utilizing next generation guidance radars. The combined U.S.-German Rolling Airframe Missile Block 2 system demonstration and development program is scheduled to reach initial operating capability in 2011.

Rolling Airframe Missile is the U.S. Navy's premier supersonic, lightweight, quick-reaction, fire-and-forget missile. The system is ideally suited to counter the modern Anti-Ship Missile threat and has been in the U.S. fleet since the early '90s. Rolling Airframe Missile Block 1 incorporates a new image-scanning seeker with the added capability of autonomous infrared- all-the-way guidance, thus countering advanced anti-ship missiles that do not employ on-board radar seekers. This new seeker also enables increased capability against crossing targets and the ability to engage fixed- and rotary-wing aircraft as well as surface targets. Enhanced digital signal processing further provides increased resistance to countermeasures and superior performance in severe infrared background conditions.

Rolling Airframe Missile is a joint cooperative program between the United States and Germany. Rolling Airframe Missile is currently deployed on, or planned for, the LPD 17 class, LHA 1 and LHA 6 class, LHD 1 class, LSD 41 class, CV 63, CVN 68 class and the Littoral Combat Ship in the U.S. fleet and on nearly every German warship. Additional customers include Korea, Greece, Egypt and the United Arab Emirates. Rolling Airframe Missile Block 2 will be compatible with existing Rolling Airframe Missile launching systems and the SeaRAM Anti-Ship Missile Defense System.

Raytheon Company, with 2006 sales of $20.3 billion, is a technology leader specializing in defense, homeland security and other government markets throughout the world. With a history of innovation spanning 85 years, Raytheon provides state-of-the-art electronics, mission systems integration and other capabilities in the areas of sensing; effects; and command, control, communications and intelligence systems, as well as a broad range of mission support services. With headquarters in Waltham, Mass., Raytheon employs 73,000 people worldwide.

John Eagles

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