Raytheon Awarded Contract With Potential Value of $345 Million For Atmospheric Interceptor Technology Test Bed Program.

LEXINGTON, Mass.--(BUSINESS WIRE)--Oct. 27, 1998--Raytheon Company (NYSE:RTNA), (NYSE:RTNB) has been awarded an Army contract valued at a potential $345 million for the Atmospheric Interceptor Technology (AIT) Test Bed program.

The award includes a basic $45 million cost-plus fee contract to fund the program's principal objective of designing, developing and testing potential pre-planned product improvement efforts initially in support of five endoatmospheric Major Defense Acquisition Development Programs: Medium Extended Air Defense System (MEADS); Navy Area Defense System (NADS); Navy Theater Wide (NTW); Patriot Advanced Capabilities-3 (PAC-3); and, Theater High Altitude Air Defense (THAAD).

Endoatmospheric weapon systems defend against theater ballistic missiles and advanced air breathing missile threats in the earth's atmosphere at an altitude of 100 kilometers or lower.

The award also includes options for $299 million for next generation endoatmospheric and exoatmospheric system improvements as well as new technology efforts.

"Our customer depends on advanced technologies to infuse its defenses against increasingly sophisticated ballistic missile threats," says Jerry K. Lockard, Raytheon Systems Company vice president of the Missile Systems business unit. "The AIT test bed, capitalizing on Raytheon's missile systems expertise, will provide the advanced technology research and scientific innovation necessary to expand current endoatmospheric defense capabilities and develop new ones."

The work conducted under this U.S. Army Space and Missile Defense Command contract will be performed primarily in Tucson, Ariz. Raytheon business units across the country will provide ancillary support, leveraging various sensor technologies to develop the necessary improvements and solutions for the future atmospheric interceptor system.

Raytheon Company, based in Lexington, Mass., is a global technology leader that provides products and services in the areas of commercial and defense electronics, engineering and construction, and business and special mission aircraft. Raytheon has operations throughout the United States and serves customers in more than 80 countries around the world.