FARNBOROUGH, England and TUCSON, Ariz., July 19  /PRNewswire/ -- Raytheon
Company (NYSE: RTN) has received a contract to produce Enhanced Paveway(TM) II
bomb guidance kits for Denmark.

    The Royal Danish Air Force has U.S. State Department approval to purchase
the Paveways under a direct commercial sale. The guidance kits will be
manufactured in Tucson, Ariz. at Raytheon's Missile Systems business with
deliveries beginning in April 2005.

    The deal marks the first acquisition of the Enhanced Paveway II by the
Danish military. The Royal Danish Air Force currently operates both standard
Paveway II and Paveway III guided bombs. The value of the contract was not
disclosed.

    "The Enhanced Paveway II, with its dual-mode GPS and laser guidance
systems, improves our precision guided bomb position," said Bjarke Heiberg-
Iurgensen, assistant chief of staff purchase, Air Material Command, Royal
Danish Air Force. "The low-cost, all-weather, precision strike weapon is a
welcome addition."

    The Paveway bomb kits turn "dumb" bombs into precision guided weapons. The
Enhanced Paveway II, the next generation of the successful product line,
features a Global Positioning System aided Inertial Navigation System as well
as a laser guidance systems. The resulting dual-mode capability offers true
operational flexibility not found in other weapons systems: GPS guidance for
poor weather conditions and precise laser guidance when required for mobile
targets of opportunity.

    "The Enhanced Paveway II, or EP2, was combat proven in Afghanistan and
Operation Iraqi Freedom," said Ben Ford, the Paveway program director for
Raytheon Missile Systems. "Almost half of all weapons used by the United
Kingdom's Royal Air Force were EP2s. It quickly became the 'weapon of choice'
because of accuracy and flexibility."

    The Enhanced Paveway II builds on a legacy of 25 years of experience that
have seen more than 225,000 Paveway IIs delivered to the U.S. Air Force and
Navy and more than 35 allied nations for use on 25 different aircraft.
Raytheon continues to add new capabilities to meet our customers'
requirements.

    Raytheon Company, with 2003 sales of $18.1 billion, is an industry leader
in defense and government electronics, space, information technology,
technical services, and business and special mission aircraft.  With
headquarters in Waltham, Mass., Raytheon employs 78,000 people worldwide.


  Contact:
   Alan D. Fischer
   520.794.1211

   Colleen Niccum
   07795397049


SOURCE: Raytheon Company

Web site:  http://www.raytheon.com/