TUCSON, Ariz., July 22  /PRNewswire/ -- Raytheon Company (NYSE: RTN) has
received a $123 million contract for production of more than 2,700 Tube-
launched Optically tracked, Wire-Guided (TOW) missiles including TOW 2B Aero,
TOW 2B, and TOW practice rounds for the U.S. Army, U.S. Marine Corps and
international customers.

    The contract was awarded June 4 by the Acquisition Center of the U.S. Army
Aviation and Missile Command and the Close Combat Weapons Systems project
office, Program Executive Office for Tactical Missiles at Redstone Arsenal,
Huntsville, Ala.

    "We are pleased with the Army's continued commitment to TOW-based long
range assault weapons," said Paul Walker, vice president of Raytheon Missile
Systems' Land Combat product line. "This contract provides a third generation
long range, precision attack anti-armor/assault capability to current and
future TOW weapon systems.  Raytheon is committed to the continued success and
evolution of the TOW weapon."

    TOW 2B Aero is the latest version of the TOW missile system in service
with the Army, Marine Corps and more than 40 friendly nations. Other current
production versions of TOW are the direct fire TOW 2A, top attack TOW 2B and
the Army's new TOW Bunker Buster.

    TOW 2B Aero is an extended-range variant of the TOW 2B with a more
aerodynamic airframe and maximum range of 4.5 kilometers. The Army has also
fielded the TOW Bunker Buster, an urban warfare missile with a warhead
modification capable of breeching more than eight inches of reinforced
concrete.  Both these missile variants can be fired from digital TOW launchers
and have been fully tested at Redstone Arsenal over the past year. Raytheon
has near term plans to modify the TOW 2B Aero missile with an advanced
wireless guidance link providing additional range benefits and eliminating the
guidance wire.

    TOW remains the Army and Marine Corps primary heavy anti-tank/precision
assault weapon deployed on more than 7,000 Improved TOW Acquisition System
(ITAS) crew served platforms including the Army "Stryker," Bradley Fighting
Vehicle System, HMMWV (High Mobility Multipurpose Wheeled Vehicle), the Marine
Corps' LAV-AT and AH-1W Cobra helicopter. TOW 2B Aero with ITAS has been
selected for the Marine Corps' next-generation AAWS-H (Anti-Armor Weapon
System-Heavy) program.

    Raytheon Company (NYSE: RTN), 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:
   Sara Hammond
   520.794.7810


SOURCE: Raytheon Company

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