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FAA awards WAAS contract to Hughes.

ARLINGTON, Va.--(BUSINESS WIRE)--Oct. 29, 1996--Hughes Aircraft Co. (NYSE:GMH) Tuesday said it received a Federal Aviation Administration (FAA) contract in excess of $483 million for work on the Wide Area Augmentation System (WAAS).

The WAAS is designed to enhance the capabilities of the U.S.-developed Global Positioning System (GPS) navigation satellites. Initial operational capability, defined as "putting a signal in space," is scheduled for 1998.

"We are gratified by this award and the confidence the FAA has placed in us," said John C. Weaver, Hughes Aircraft president and chief operating officer. "We recognize the importance of the WAAS to the efficiency of our national airspace system, and we are committed to supporting the FAA by bringing in this program on time and within budget."

The FAA said, "Hughes has WAAS technical expertise, engineering skills, software development capability and the integration and test experience needed to integrate all of the required disciplines to design, develop, test and deliver the WAAS with minimum cost, schedule and technical risk."

Hughes WAAS program manager John Britigan said the company recently conducted System Design Review and delivered the first major WAAS system, the functional verification system, five weeks early, Britigan noted that the U.S. WAAS is only the first system of its type.

"Other countries are now developing less-capable WAAS-like systems," he said. "Eventually, I expect that the U.S. WAAS-type system, with full navigation and landing capabilities, will be in-place around the world to support the flying public."

The WAAS contract marks the third major FAA award to Hughes in 13 months. Hughes won a $140 million contract in September 1995 for the Oceanic System Development Support (OSDS) program to provide air traffic control systems over the ocean, and the company is sharing with Raytheon Electronic Systems a potential $1 billion contract to modernize and upgrade Terminal Automation Systems.

Hughes Aircraft Co. is a world leader in providing large-scale, software intensive systems. Hughes holds the SEI 3+ rating for software development and methodology and has produced millions of lines of advanced software code for more than three dozen airspace management systems used in 24 nations. Hughes is currently supplying air traffic control hardware and software to Canada, Switzerland, Belgium, Saudi Arabia, Indonesia and Russia.

Hughes Aircraft Co. is a unit of Hughes Electronics Corp. The earnings of Hughes Electronics are used to calculate the earnings per share attributable to GMH (NYSE symbol) common stock.

CONTACT: Hughes Aircraft Co., Arlington

Dave Shea, 703/284-4245
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Publication:Business Wire
Date:Oct 29, 1996
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