ABU DHABI, United Arab Emirates, Feb. 20, 2013 /PRNewswire/ -- Raytheon Company (NYSE: RTN) received a U.S. Army fiscal year 2012 contract for the production of Excalibur Increment Ib precision-guided projectiles. The $56.6 million contract, awarded in December, marks the start of low-rate initial production (LRIP) of Excalibur Ib.

Excalibur is a 155mm precision-guided, extended-range projectile that uses GPS precision guidance to provide accurate, first round, fire-for-effect capability in any environment.

"The U.S. Army and Raytheon team worked tirelessly to take Excalibur Ib from design to production in just a few years. The Excalibur Increment Ib round was designed to improve reliability and lower unit costs while maintaining its world class precision for our warfighters," said Lt. Col. Josh Walsh, the U.S. Army Excalibur program manager. "With a radial miss distance of less than 4 meters at ranges in excess of 35 kilometers, Excalibur continues to provide maneuver commanders with an organic precision fires capability not seen before."

Future Excalibur Ib LRIP contract options through fiscal year 2016 include additional quantities to support U.S. forces' increased inventory requirements, training allocations and military sales.

"The threats are constantly changing, and the way we counter them must also evolve and change," said Michelle Lohmeier, vice president of Army programs at Raytheon Missile Systems. "Excalibur Ib's design flexibility will allow software changes and capability improvements in response to future warfighter needs."

About Excalibur

• Excalibur Ib deliveries to the Army are scheduled to begin in the last quarter of 2013.
• When compared with other artillery rounds, Excalibur's precision provides a major reduction in the mission time, cost, logistical burden and risk of collateral damage.
• Excalibur is a co-development program between Raytheon Company and BAE Systems/Bofors.

About Raytheon
Raytheon Company, with 2012 sales of $24 billion and 68,000 employees worldwide, is a technology and innovation leader specializing in defense, homeland security and other government markets throughout the world. With a history of innovation spanning 91 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. Raytheon is headquartered in Waltham, Mass. For more about Raytheon, visit us at www.raytheon.com and follow us on Twitter @raytheon.

Media Contact
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SOURCE Raytheon Company