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Raytheon Awarded FAA Contract Potentially Worth $185 Million to Modernize Long Range Radar Capabilities

WASHINGTON, Oct. 2, 2006 /PRNewswire/ -- Raytheon Company (NYSE: RTN) has been awarded a contract with an estimated potential value of $185 million for the Federal Aviation Administration Long Range Radar Service Life Extension program (SLEP).

Under the contract, Raytheon will manufacture, test and deploy up to 68 new solid-state transmitter systems to replace aging tube-based transmitters in long range surveillance radars. These radars provide continuous primary surveillance of aircraft in the National Airspace System.

The initial contract authorization for $32 million includes manufacturing, testing and delivering four low rate initial production, new solid-state transmitters and associated hardware, software and interfaces.

According to the FAA, Raytheon was selected as the offerer providing "the best value to the FAA by submitting the proposal that presented the most advantageous solution to the FAA based on the evaluation of technical, cost/price, past performance, small business utilization and other factors specified in the Request for Offer."

The program is being executed by a memorandum of understanding among the Department of Defense, Department of Homeland Security, and Department of Transportation to extend the life of the existing long range surveillance radars and provide improved reliability, maintainability and availability.

"This contract continues our long-standing relationship with the FAA by helping it find a solution to extend the life of its long range radars," said Andy Zogg, vice president of Raytheon's Airspace Management and Homeland Security business. "Raytheon is the largest supplier of all solid-state air traffic control radars in the world. Because of our years of leadership, our solutions stand out for their ability to maximize performance and reliability while minimizing life cycle costs."

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.

  Contact:
  Lynford Morton
  703.284.4446

SOURCE: Raytheon Company

CONTACT: Lynford Morton of Raytheon, +1-703-284-4446

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

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