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United Kingdom Increases Order for Raytheon-Lockheed Martin Javelin for Light Forces Anti-Tank Guided Weapon system

    TUCSON, Ariz., Oct. 14, 2004  /PRNewswire/ -- The United Kingdom's Ministry
of Defence has placed a follow-on order, valued at approximately $180 million,
for the Raytheon-Lockheed Martin Javelin weapon system.  This purchase of
Javelin will provide a medium-range anti-tank missile for the British Army's
Armored Ground Component (AGC) requirement.

    The selection of Javelin for AGC follows a competitive win by the Javelin
Joint Venture and its U.K. partners for the U.K. Light Forces Anti-tank Guided
Weapon program in 2003.

    This follow-on order increases the number of rounds and command launch
units that will be procured through a hybrid foreign military sale/ direct
commercial sale.

    Minister for Defence Procurement Lord Bach said: "Javelin is already in
service with the U.S. Army and has proved its worth in recent operations in
Iraq.  It is manoeuvrable enough to move quickly around the battlefield but
also has enough power to take out the most heavily protected tanks and
armoured vehicles.

    "We agreed a contract to provide the weapon to 16 Air Assault Brigade, 3
Commando Brigade and the Mechanised Infantry last year and have now agreed an
additional purchase for other infantry and reconnaissance units, ensuring they
are equipped with the very best weaponry available.

    "It took less than a year to go from formulating the requirement to
signing the contract -- a contract which promises to deliver an exceptional
combination of capability and value-for-money.  This is a prime example of the
benefits that SMART acquisition can bring.

    "I am delighted the purchase will help to sustain some 200 jobs around the
U.K.," concluded Lord Bach.

    "Continued Javelin procurement will provide the U.K. forces with one of
the most precise and lethal weapons on the battlefield for many years in the
future," said Col. Lloyd E. McDaniels, the U.S. Army's project manager at U.S.
Army Close Combat Weapon Systems.  "Also, the Javelin's integrated day and
thermal night sights provide the soldier with the ability to perform
surveillance missions and increases situational awareness to the commander and
Javelin gunners and ensures both operational and logistic interoperability
with U.S. Army, Marine and Special Operation Forces."

    With this award, Javelin becomes the U.K.'s premier anti-armor/assault
weapon and will be fielded with light rapid reaction forces, mechanized forces
and now the armored forces.  Javelin will provide the latest man-portable,
anti-tank weapon capability that can be used day or night.  With a range of up
to 2,500 metres, using long-wave imaging infrared technology, it will allow
for deployment by a single soldier and can be fired from within a confined
space.  The Light Forces component of the Javelin program will enter service
in 2005.  The AGC Javelin program will enter service in 2007.

    Javelin is in service with the U.S. Army and Marine Corps and has been
used extensively on operations including Operation Iraqi Freedom.  Along with
the U.K. selection of Javelin, other commonwealth nations that have already
procured Javelin include Australia and New Zealand.  Javelin is also on order
for the armed forces of several other countries and is being evaluated for
integration onto ground and naval platforms.

    "Javelin and our U.K. team members are very pleased that the U.K. has put
its trust in us to deliver such an important capability to the British Army
and Royal Marines," said Michael Crisp, Javelin Joint Venture president.  "The
Javelin system is the world's only combat-proven medium range fire-and-forget
anti-armor system.  I look forward to continuing our relationship with world-
class U.K. teammates to bring a combat proven, highly effective, low risk,
value for money solution to the British armed forces."

    "Lockheed Martin chose BAE Systems Basildon to continue to produce the
Javelin seeker, a high-technology item," said Howard Weaver, Javelin Joint
Venture vice president.  "BAES' excellent performance was a key factor in
winning this follow-on contract.  This lays the foundation for continuing
trans-Atlantic cooperation."

    The Javelin JV is working on a number of technology spirals with both the
U.S. and U.K. in support of future requirements including extended range.
Future applications such as U.S. Future Combat Systems and the U.K. Future
Rapid Effects Systems-Guided Weapon are considered potential future technology

    The Raytheon-Lockheed Martin Javelin Joint Venture has a large U.K.
partnership base and this procurement will further enhance their position
within the wider Javelin community.  Currently 15 companies throughout the
country are supplying components up to sub-assembly level for the Javelin

    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.

    Headquartered in Bethesda, Md., Lockheed Martin (NYSE: LMT) employees
about 130,000 people worldwide and is principally engaged in the research,
design, development, manufacture and integration of advanced technology
systems, products and services.

   Raytheon                       Lockheed Martin
   Ange Jaskiewicz                Jennifer Allen
   520.794.8580                   407.356.5351

SOURCE: Raytheon Company

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

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