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Tue, May 23, 2006

Lockheed Martin Receives Two Big MH-60R Production Contracts

Sensor Integration Deals Worth Combined $127 Million

Lockheed Martin announced Monday the company has received two production contracts from the US Navy to complete the integration of sensor and avionics systems on 12 MH-60R multi-mission helicopters and to begin integration work on 25 others.

"These production awards were based on a favorable review of the aircraft's acquisition strategy and a highly successful operational evaluation," said Jeff Bantle, vice president and general manager of Multi-Mission Solutions for Lockheed Martin Systems Integration - Owego. "During operational evaluation, this weapons system passed all of its performance requirements and demonstrated significant improvements over current helicopters to detect and track submarines and surface vessels."

The larger award, for $76.5 million, is to complete work on 12 MH-60R aircraft, to be delivered to the Navy by late 2008. Lockheed Martin received $31 million in 2005 to order major systems from suppliers. The 12 aircraft comprise the US Navy's Lot Four purchase of the next-generation anti-submarine and surface warfare aircraft.

The second award, worth $51 million, authorizes Lockheed Martin to order long-lead items to support the Navy's Lot Five purchase of 25 MH-60R aircraft. Additional funding to complete integration work on those aircraft is expected in 2007. Lockheed Martin will deliver all 25 fully-integrated aircraft to the Navy by mid-2009.

The Navy authorized this advance procurement to ensure Lockheed Martin can purchase major systems in time to integrate them onto each aircraft. Major systems procured in advance include the Telephonics AN/APS-147 Multi-Mode Radar, which finds and tracks ships, and the Lockheed Martin AN/ALQ-210 Electronic Support Measures system, which detects enemy radar targeting the aircraft.

Both awards are the first to occur within the MH-60R's full-rate production phase, which was authorized for MH-60R full-rate production March 31. The Navy is expected to purchase a total of 254 MH-60R aircraft through 2015.

Sikorsky Aircraft designs and manufactures the MH-60R aircraft. Lockheed Martin is the prime systems integrator and the cockpit provider.

FMI: www.lockheedmartin.com

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