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Raytheon Receives $93 Million U.S. Navy Logistics Support Award for F/A-18 Threat Protection Systems

GOLETA, Calif., Oct. 26, 2005 /PRNewswire-FirstCall/ -- Raytheon Company (NYSE: RTN) has been awarded a $93 million contract option for performance based logistics (PBL) support of its ALR-67(V)3 radar warning receiver system for the U.S. Navy. The ALR-67(V)3, which is the state-of-the-art radar warning receiver on U.S. Navy F/A-18E/F carrier-based tactical aircraft, continues to successfully support Navy troops in Middle East operations.

The award was received from the U.S. Navy's Naval Inventory Control Point (NAVICP), Philadelphia, Pa., and includes five annual PBL support periods. The contract scope includes total mission support of fielded ALR-67(V)3 systems, including repairs, spares, reliability and maintainability system improvements, obsolescence management, and field installation support. Contract performance is measured based on requirement metrics for availability and reliability and is managed with a comprehensive, web-based PBL information management system fully integrated with Navy supply systems.

The award includes provisions for additional spares, which are being ordered under a separate corresponding production contract with the U.S. Navy's Naval Air Systems Command, Patuxent River, Md. The option award follows six annual support periods ordered under the initial $58.5 million PBL contract, which began in 1999.

"Our PBL structure developed for the ALR-67(V)3 has been referred to as 'the gold standard'," stated Pat Hurley, vice president and general manager, Raytheon Electronic Warfare Systems. "It has resulted in our consistently exceeding availability and reliability requirements critical to providing mission support to the warfighter."

The ALR-67(V)3 system provides advanced techniques to detect and identify threat radar emitters, thereby enhancing the survivability of aircraft equipped with the system. A total of 284 radar warning receivers plus spares has now been ordered under the overall production program. Future international sales of the system are also possible. Work on the radar warning receiver system is being done at Raytheon's Space and Airborne Systems business by its Electronic Warfare Systems organization in Goleta, Calif., with support provided by facilities in El Segundo, Calif., Forest, Miss., and McKinney, Texas.

Raytheon Space and Airborne Systems (SAS) is the leading provider of sensor systems giving warfighters the most accurate and timely information available for the network-centric battlefield. With 2004 revenues of $4 billion and 13,000 employees, SAS is headquartered in El Segundo, Calif., with additional facilities in Goleta, Calif.; Forest, Miss.; Dallas, McKinney and Plano, Texas; and several international locations.

Raytheon Company, with 2004 sales of $20.2 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 80,000 people worldwide.

Rear Admiral Michael S. Roesner is the Commander of NAVICP, which is the largest field activity of the Naval Supply Systems Command (NAVSUP). NAVICP procures, manages, and supplies spare parts of Naval aircraft, submarines and ships worldwide. NAVICP is responsible for more than 400,000 items of supply, $21 billion of inventory and annual sales of $4.2 billion. It has two locations, one in the Lawncrest section of Northeast Philadelphia and the other in Mechanicsburg, just outside Harrisburg, PA.

   Ron Colman

SOURCE: Raytheon Company

CONTACT: Ron Colman for Raytheon Company, +1-805-879-2041

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

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