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U.S. Army Awards Raytheon $65 Million Patriot Engineering Services Contract

TEWKSBURY, Mass., Feb. 16, 2006 /PRNewswire/ -- Raytheon Company (NYSE: RTN) has been awarded a $65 million contract from the U.S. Army Aviation and Missile Command to provide engineering services support to the Patriot Air and Missile Defense program.

The award provides funding for the second of four, one-year options to the fiscal year 2004 base award for Raytheon Integrated Defense Systems (IDS) to provide engineering services in support of Patriot air and missile defense systems.

"As the prime contractor for Patriot air and missile defense, IDS works to assure that both the U.S. and its international customers possess a reliable, scaleable air and missile defense capability against all threats well into this century," said Rick Yuse, vice president of Integrated Air Defense for IDS. "Patriot is the cornerstone of the U.S. Army's integrated air defense systems, providing affordable, capable, long-range, all-weather air defense capability to counter tactical ballistic missiles, cruise missiles and aircraft."

Engineering support includes system and software engineering, hardware engineering, system testing, quality assurance, configuration management, logistic support and program management. In particular, the contract funds specific tasks, including the implementation of the architecture for the first phase of the Combined Aggregate Program (CAP), CAP phase 2 studies, system of system architecture studies, Patriot Advanced Capability 3 (PAC-3) missile integration and missile segment enhancement, and conducting annual service practice missile firings.

The contract also calls for engineering services tasks to be performed specifically for Germany, Israel, Japan, Kuwait, the Netherlands, the Kingdom of Saudi Arabia, Spain, Greece and Taiwan. Work will be performed at Raytheon IDS's headquarters in Tewksbury, Mass.; Integrated Air Defense Center in Andover, Mass.; Missile Defense Center in Woburn, Mass.; Integrated Force Protection and Security Center in Huntsville, Ala.; Mission Capability Verification Center at White Sands Missile Range, N.M.; and additional Raytheon facilities in Burlington, Mass.; El Paso, Texas; and Saudi Arabia.

Raytheon Company is the prime contractor for the Patriot system and the system integrator for the Configuration 3 system. As the system integrator, Raytheon ensures that all Patriot system components provide the warfighter a reliable and highly lethal capability to defeat the threats in current and future combat environments.

Based in Tewksbury, Mass., Integrated Defense Systems is Raytheon's leader in Joint Battlespace Integration. With a strong international and domestic customer base, including the U.S. Missile Defense Agency and the U.S. armed forces, Integrated Defense Systems provides a wide spectrum of integrated air and missile defense and naval and maritime warfighting solutions.

Raytheon Company, with 2005 sales of $21.9 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.

Notes to Editors:

This contract award was originally announced by the Department of Defense Feb. 2, 2006.

The CAP program aligns the Patriot system to incorporate and field Medium Extended Air Defense System (MEADS) Major End Items (MEIs) as they become available. CAP increment 2 introduces the MEADS MEIs for fielding.

   Guy Shields

First Call Analyst:
FCMN Contact:

SOURCE: Raytheon Company

CONTACT: Guy Shields of Raytheon Company, +1-978-858-5246

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

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