LOCKHEED MARTIN UK TO PROVIDE EUROPEAN HUB FOR WORLD’S LARGEST DEFENCE PROGRAMME

31 March 2003

Havant, United Kingdom – 31 March 2003 - Lockheed Martin UK Ltd Integrated Systems announced today that it had been selected as the European hub to provide a secure computer network infrastructure to support the Joint Strike Fighter (JSF) programme.

It will allow companies across UK and Europe to share detailed information simultaneously – especially sophisticated design blue-prints – in real-time, across a secure network and with complete accuracy.   The hub – also known as JSF EuroNet - allows rapid transmission of design data to and from the main Lockheed Martin JSF project office at Fort Worth in Texas.  The service will reduce the costs of information supply and transfer to individual contractors whilst providing quicker access and improved levels of support.

The JSF EuroNet deal is worth about £2 million over three years and could lead to savings of upto £1 million over the same period.  If, as projected, further British and European companies participate in the service greater economies of scale will generate even bigger savings.

Whilst the UK is the major international partner on the overall programme, other European nations involved in the current F-35 JSF System Development and Demonstration (SDD) Phase are Denmark, Italy, Norway, The Netherlands and Turkey.   Companies from the UK who are participating in JSF EuroNet include BAE SYSTEMS at Warton and Farnborough as initial signatories, with FR-Hitemp in Bournemouth, Goodrich in Wolverhampton, Honeywell in Yeovil, Rolls Royce in Bristol, Martin Baker in Uxbridge and Smiths Aerospace in Cheltenham all expressing keen interest.

Pete MacDonald, Chief Information Officer of Lockheed Martin UK Ltd Integrated Systems said: “The JSF Euronet will provide an essential shared service to our partner companies in six nations.  The system can be scaled up to accommodate more companies and will provide essential cost and time savings, which will benefit the programme over many years.

“We want to become the European information centre for Lockheed Martin.  It will assist our future business growth in this country and abroad.”

The $19 billion JSF SDD phase contract was awarded to Lockheed Martin in October 2001 and is the largest defence contract in history, aiming to provide around 3000 aircraft to the US Air Force, US Navy, US Marine Corps, Royal Navy and Royal Air Force.  In addition, there is the prospect of sales to the other partner nations and other interested countries.

Lockheed Martin UK, a unit of Lockheed Martin Corporation, is a leader in systems integration working on major programmes spanning the aerospace, defence, civil and commercial sectors with significant capabilities in the transport infrastructure market.  In the UK, Lockheed Martin has annual sales in the range of £400-600 million working with more than 75 business partners.  Lockheed Martin employs approximately 1,000 people at over 10 UK facilities including London, Havant, Southampton, Yeovil, Swindon, Hertford, Bristol and Cornwall.

Headquartered in Bethesda, Maryland, Lockheed Martin employs about 125,000 people worldwide and is principally engaged in the research, design, development, manufacture and integration of advanced technology systems, products and services.  The Corporation reported 2002 sales of $26.6 billion.

Notes to Editors:

It is estimated that more than 300 companies will be acting as sub-contractors on the JSF programme, providing everything from sophisticated avionics and computing devices through to screws, nuts and washers.

The JSF project will provide approximately 150 aircraft to the RN and RAF, and replace the existing Harrier fleet.

In the United Kingdom alone, the Lockheed Martin JSF team will create approximately 3,400 jobs during System Development and Demonstration (SDD); and during the 30 year production and support phase 8,400 direct, and many thousands more indirect, long term, highly skilled, highly paid jobs will be created.

The production of 3,000 aircraft will generate approximately £27 billion for UK companies during System Development and Demonstration; and Production and Support.

Current international export projections for an additional 3,000 aircraft could mean an extra £24 billion for UK companies over the life of the programme.

Additional long-term UK business opportunities exist through major roles in spares production, design evolutions and upgrade programmes.

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Lockheed Martin Media Contact:

Chris Trippick
Landline: +44 (0) 207 798 2888
Mobile: +44 7905 356646
Email: chris.trippick@lmco.com

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