Lockheed Martin Receives $1.06 Billion to Provide Combat-Proven PAC-3 Missile to U.S., International Customers

DALLAS, TX, 04/21/2011 --

Lockheed Martin [NYSE: LMT] received contracts totaling $1.06 billion from the U.S. Army Aviation and Missile Command for hardware and services associated with the combat-proven Patriot Advanced Capability-3 (PAC-3) Missile program. These contracts include Fiscal Year 2011 missile production for the U.S. Army as well as follow-on sales to international partners.

The FY11 contracts include production of hit-to-kill PAC-3 Missiles, launcher modification kits, spares and other equipment, as well as program management and engineering services. Production of all equipment will take place at Lockheed Martin manufacturing facilities in Dallas and Lufkin, TX; Chelmsford, MA; Ocala, FL; and the PAC-3 All-Up Round facility in Camden, AR.

"The PAC-3 Missile provides the best defense against tactical ballistic missiles carrying weapons of mass destruction," said Mike Trotsky, vice president of Air & Missile Defense Programs at Lockheed Martin Missiles and Fire Control. "We continue to see strong interest in the PAC-3 Missile around the globe, and Lockheed Martin remains focused on delivering this proven solution to our customers."

"The PAC-3 Missile offers our international partners unprecedented hit-to-kill lethality to protect critical capabilities and national assets," said Stan Green, vice president of International Air & Missile Defense at Lockheed Martin Missiles and Fire Control. "The PAC-3 Missile is the only battle-proven hit-to-kill missile in production and fielded internationally today."

Lockheed Martin is the prime contractor on the PAC-3 Missile Segment upgrade to the Patriot air defense system. The PAC-3 Missile Segment upgrade consists of the PAC-3 Missile, a highly agile hit-to-kill interceptor, the PAC-3 Missile canisters (which each hold four PAC-3 Missiles) with four canisters per launcher, a fire solution computer and an enhanced launcher electronics system.

The PAC-3 Missile is the world's most advanced, capable and powerful theater air defense missile, and is the only fielded pure kinetic energy air defense missile. It defends against the Patriot Air Defense System threat -- tactical ballistic missiles, cruise missiles and fixed and rotary winged aircraft -- and significantly increases the Patriot system's firepower, with 16 PAC-3s loading out on a single Patriot launcher.

Lockheed Martin achieved the first-ever hit-to-kill intercept in 1984 with the Homing Overlay Experiment, using force of impact alone to destroy a mock warhead outside of the Earth's atmosphere. Further development and testing produced today's PAC-3 Missile, which won a competition in 1993 to become the first hit-to-kill interceptor produced by the U.S. government.

Lockheed Martin is a world leader in systems integration and the development of air and missile defense systems and technologies, including the first operational hit-to-kill missile. It also has considerable experience in missile design and production, infrared seekers, command and control/battle management, and communications, precision pointing and tracking optics, as well as radar and signal processing. The company makes significant contributions to all major U.S. missile defense systems and participates in several global missile defense partnerships.

Headquartered in Bethesda, Md., Lockheed Martin is a global security company that employs about 133,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The Corporation's 2009 sales from continuing operations were $44.0 billion.