INDIANAPOLIS, Jan. 13, 2005  /PRNewswire-FirstCall/ -- Raytheon Company
(NYSE: RTN) has been awarded a U.S. Navy contract to acquire time-critical
parts for the F/A-18 Shared Reconnaissance Pod (SHARP) systems.

    Under the contract, which has a not-to-exceed value of $8 million,
Raytheon Technical Services Company LLC (RTSC) will acquire and integrate key
subsystems and components in the production of six SHARP systems to be
delivered to the Navy in 2006. System production will be performed in
Indianapolis. The Naval Air Systems Command (NAVAIR) is the contracting
agency.

    In September 2004, RTSC was awarded a $12.5 million contract by the U.S.
Navy to provide spares for fielded SHARP systems.

    SHARP provides U.S. Navy carrier-based air wings with high-resolution,
digital tactical air reconnaissance that features advanced day/night and all-
weather capability. RTSC is the sole-source producer of the SHARP pod and the
integrator of the SHARP system.

    "Deployment of the first systems to the fleet in April 2003 provided the
U.S. Navy's F/A-18F Super Hornet with unmatched tactical reconnaissance
capability, which is key to mission assurance for the warfighter," said John
Balaguer, RTSC vice president and general manager of RTSC's Indianapolis-based
business unit. "Raytheon has participated as part of the SHARP
government/industry team from early in the system's design and development,
providing mission support throughout the system's life cycle.  We are pleased
to continue working closely with the Navy to provide our fighting forces with
the best possible technology to complete their missions successfully."

    Mission support--Raytheon's integrated approach to predicting customer
needs, sensing problems and preemptively applying solutions--enables Raytheon
to maintain readiness and deliver operational capability on demand, allowing
our customers to focus on their mission.

    Raytheon Intelligence, Surveillance and Reconnaissance programs cover the
full spectrum of information management, providing the ability to task,
collect, process, exploit and disseminate national and tactical target data.
These abilities are crucial for warfighters to achieve information dominance
throughout the entire battlespace.

    Having obtained a Capability Maturity Model Integration (CMMI) Maturity
Level 4 rating for software engineering as defined by the Software Engineering
Institute's Capability Maturity Model Integration, Raytheon's Indianapolis
operation is one of an elite group of only 50 companies worldwide that have
obtained a CMMI Level 4 or 5 rating. CMMI maturity levels are increasingly
used by government agencies and contractors to evaluate the potential for
organizations to produce quality products on time and within budget.

    Raytheon Technical Services Company LLC provides technology solutions for
defense, federal and commercial customers worldwide. It specializes in mission
support, customized engineering and on-site engineering solutions.

    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.

    Note to Editors: Additional Information

    SHARP replaces the current Carrier Air Wing tactical reconnaissance
capability provided by the film-based F-14 Tactical Air Reconnaissance Pod
System (TARPS). Fleet introduction of the SHARP system on the F/A-18F Super
Hornet commenced with early operational capability on the USS Nimitz (CVN 68)
in 2003 and the USS Kitty Hawk (CV-63) in 2004.

    The Raytheon-designed pod incorporates a rotating mid-section to optimize
coverage, to protect the window by allowing stowage under the strongback, and
to reduce the size and life-cycle expense of large fixed windows. The pod's
design also provides mobility - it mounts on a bomb rack like a smart weapon -
allowing for more flexibility in reconnaissance mission planning. While the
initial systems employ electro-optical/infrared sensors for use on the F/A-
18E/F aircraft, the pod design is readily adaptable to many sensor payloads on
a wide range of aircraft.

  Contact:
   Kristen Giddens Pinto-Coelho
   703.295.2535


SOURCE: Raytheon Company



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