Raytheon Receives $43.5 Million in Navy Awards.

PORTSMOUTH, R.I--(BUSINESS WIRE)--Sept. 23, 1999--

Raytheon Company (NYSE:RTNA)(NYSE:RTNB) has been awarded $43.5 million in two separate U.S. Navy contracts.

The first contract, which amounts to $28.3 million, calls for the production of six OT-134A Continuous Wave Illuminators (CWI) for the Republic of Korea Navy, through the Foreign Military Sales program. The second contract, which is valued at $15.2 million, is for modification kits to upgrade the MK 48 torpedo inventory.

The OT-134A CWI provides the radio frequency energy required for proper operation of the STANDARD Missile-2. Work under this contract, which will be performed primarily at Raytheon facilities in Waterloo, Ontario-Canada, Sudbury, Mass., Portsmouth, RI., and Chula Vista, Calif., is expected to be complete by mid 2005.

"We're pleased to support the U.S. Navy and the Republic of Korea Navy in this important program," said Dan Smith, vice president, Naval and Maritime Systems business unit, Portsmouth, R.I. "Growing in the international business arena is key to our future success. This program demonstrates our ability to capture high potential growth international business."

The torpedo modification kits will upgrade 111 MK 48 torpedoes from Modification 5 to Modification 6, the latest fleet configuration. The upgrade includes the afterbody/tailcone assembly and a new guidance and control assembly.

Work under this contract, which will be performed primarily at Raytheon facilities in Keyport, Wash., is expected to be complete by February 2001.

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.