Raytheon Reports Record First Quarter Earnings and Sales.LEXINGTON, Mass.--(BUSINESS WIRE)--April 23, 1998--Raytheon Company (NYSE NYSE See: New York Stock Exchange :RTNA RTNA Ring Tone No Answer )(NYSE:RTNB RTNB Radio Television Nationale du Burundi (Africa) RTNB Return the Next Bit (computers) ) today reported record first quarter earnings of $214.9 million on record sales of $4.6 billion. For the first quarter of 1997, earnings were $183.4 million on sales of $2.9 billion. First quarter 1998 earnings per share, on a diluted basis, were $0.63 based on 343.2 million average shares outstanding, which included the 102.6 million shares of Class A common stock the company issued in December 1997 in connection with the merger with Hughes defense. Earnings per share, on a diluted basis, for the first quarter of 1997 were $0.77 based on 238.7 million average shares outstanding. Raytheon's operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. was $525.8 million for the first quarter of 1998, an increase of 55 percent over $339.5 million for the same period last year. The increase was attributable to the financial performance of both Raytheon Systems Company (RSC RSC Royal Society of Chemistry (UK) RSC Royal Shakespeare Company RSC Responsabilidad Social Corporativa (Spanish: corporate social responsibility) RSC Royal Society of Canada ) and Raytheon Aircraft. RSC was created in December 1997 and includes the former Raytheon Electronic Systems, Raytheon E-Systems, Texas Instruments See TI. (company) Texas Instruments - (TI) A US electronics company. A TI engineer, Jack Kilby invented the integrated circuit in 1958. Three TI employees left the company in 1982 to start Compaq. (TI) defense, which was acquired in July of 1997, and Hughes defense, with which Raytheon merged in December of 1997. Dennis J. Picard, Raytheon's chairman and chief executive officer, said: "The segment income increases at Raytheon Aircraft, Commercial Electronics, and Raytheon Systems Company produced the record first quarter results for Raytheon Company. We remain focused and committed to leadership in all our business areas - general aviation, defense and commercial electronics, and engineering and construction." "The first quarter results demonstrate the benefits of moving forward quickly with the integration of the new Raytheon Systems Company, a leader in defense and government electronics," Picard continued. Raytheon's electronics businesses reported record first quarter 1998 sales of $3.6 billion, an increase of 81 percent compared with the same period a year ago, and record operating income of $459.1 million, a 72 percent increase compared with the same period a year ago. These increases were due primarily to the merger with Hughes defense and the acquisition of TI defense. "We are moving ahead with the integration of our defense businesses, consistent with our plan," said Picard. "Raytheon Systems Company moved quickly to restructure in January, creating a blueprint for its future. The company continues to work aggressively on implementing our integration plan." Raytheon Aircraft reported record first quarter 1998 sales of $459.5 million, an increase of 6 percent compared with the same period a year ago, and record operating income of $34.2 million, an 18 percent increase compared with the same period a year ago. The improvement reflects better-than-expected results in the aircraft group's new fractional share Fractional share Stocks amounting to less than one full share, usually resulting from splits, acquisitions, exchanges, or dividend reinvestment programs. fractional share Less than one share of stock, that is, one-third or one-half a share. program, Raytheon Travel Air, which is now serving 60 customers. Raytheon Aircraft also reported increased shipments of general aviation, regional, and international special mission aircraft, and support services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services . Raytheon Engineers & Constructors (RE&C) reported first quarter 1998 sales of $544.2 million, an increase of 10 percent compared with the same period a year ago. Operating income was $32.5 million, compared with $43.5 million for the same period a year ago. The engineering and construction industry climate continues to be difficult. Delays in international orders and slowdowns on several turnkey projects resulted in lower overall margins for the business. However, the market is showing some recent signs of improvement. RE&C has recently received awards totaling more than $700 million from the San Roque Most common meanings
Earlier this month, Raytheon announced the appointment of Shay shay n. Informal A chaise. [Back-formation from chaise (taken as pl. )] Noun 1. D. Assad as president and chief operating officer Chief Operating Officer (COO) The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. of RE&C, reporting to Charles Q. Miller, RE&C chairman and chief executive officer. In his new position, Assad will concentrate on operating matters, program management and contract performance within the segment. In addition to his solid track record in domestic and international business, and his program management experience, Assad was instrumental in the establishment of Raytheon's Modified Air Defense Program in Taiwan, and in the establishment of the SIVAM SIVAM Sistema de Vigilância da Amazônia (Portuguese: System for the Vigilance Surveillance of the Amazon") SIVAM Sri amritanandanatha Institute of Vedic and Alternative Medicines program in Brazil for the surveillance of the Amazon region. Raytheon Engineers & Constructors has made significant progress toward achieving its consolidation goals announced in January. Under the consolidation plan, RE&C expects to close or partially close 16 offices and reduce its workforce by about 10 percent, or more than 1,000 positions. Raytheon's total backlog at the end of the first quarter of 1998 was $21.1 billion, including a U.S. government backlog of $12.6 billion. Debt, net of cash and marketable securities Marketable Securities Very liquid securities that can be converted into cash quickly at a reasonable price. Notes: Marketable securities are very liquid as they tend to have maturities less than one year, and the rate at which these securities can be bought or sold has , was $10.6 billion at the end of the first quarter of 1998, compared with $9.8 billion at year-end 1997. The increase was due to increased working capital requirements Capital requirements Financing required for the operation of a business, composed of long-term and working capital plus fixed assets. in support of the electronics businesses and Raytheon Aircraft. During the quarter, the company issued $1.6 billion of long-term notes and debentures, reduced the company's short-term borrowings by $748 million, and essentially completed the company's previously announced plans to refinance the acquisition of TI defense and its merger with Hughes defense. Raytheon's debt will be reduced as the company continues its strategy of concentrating resources on the company's core businesses, and divesting non-core assets. During the quarter, Raytheon announced agreements to sell its Commercial Laundry business and its European-based electronic controls business. The pending sales of these operations will complete Raytheon's divestiture of its appliance business, which began in early 1997. In addition, Raytheon sold Seiscor Technologies, Inc., its telephone transmission equipment business, in March. Raytheon also completed a required divestiture related to its acquisition of TI defense. The Monolithic Microwave Integrated Circuit MMICs, or Monolithic Microwave Integrated Circuits, are a type of integrated circuit (IC) devices that operate at microwave frequencies (1 GHz to 300 GHz). They typically perform functions such as microwave mixing, power amplification, low noise amplification, and high (MMIC (Monolithic Microwave IC) An integrated circuit used in high-frequency applications such as mobile phones. Also known as "monolithic microwave/millimeter-wave IC," MMICs combine transistors and passive devices (resistors, capacitors, etc. ) operation of the former TI defense was sold in January for approximately $39 million. Raytheon continues to own a highly successful MMIC operation that is not affected by the TI divestiture requirement. Raytheon Company, based in Lexington, Mass., is a global technology leader. The company provides state-of-the-art 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 United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. and services customers in more than 80 countries around the world. More information about Raytheon can be found on the World Wide Web at http://www.raytheon.com. Statements which are not historical facts contained in this release, including certain statements in the quarterly business highlights, are forward-looking statements under the provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. All forward-looking statements involve risks and uncertainties. The company wishes to caution readers that several important factors could affect the company's actual results and could cause its actual results in fiscal 1998 and beyond to differ materially from those expressed in any forward-looking statements made by, or on behalf of, the company. Information regarding the important factors that could cause actual results to differ from projected results can be found in Raytheon's reports filed with the SEC, including our Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended December 31, 1997. Financial tables appear on the next pages, followed by Raytheon's highlights for the quarter. -0-
Raytheon Company
Selected Financial Information
First Quarter 1998
(In millions, except Three Months Ended
per share amounts) March 29, March 30, Change
1998 1997
Net sales $ 4,574.3 $ 2,899.1 57.8%
Cost of sales 3,558.4 2,220.5
Administrative and selling expenses 345.6 260.0
Research and development expenses 144.5 79.1
------- -------
Operating income 525.8 339.5 54.9%
Interest expense 179.2 68.9
Interest and dividend income (7.9) (5.7)
Other income, net (3.7) (2.1)
------- -------
Income before taxes 358.2 278.4
Federal and foreign
income taxes
(effective tax rate of 40.0% in
1998 and 34.1% in 1997) 143.3 95.0
-------- -------
Net income $ 214.9 $ 183.4 17.2%
======== =======
Earnings per common share
Basic $ 0.63 $ 0.78
Diluted $ 0.63 $ 0.77
Average common shares outstanding
Basic 338.5 235.7
Diluted 343.2 238.7
Total debt $ 10,898.3 $ 3,902.0
Cash and marketable securities 331.9 133.6
-------- -------
Net debt $ 10,566.4 $ 3,768.4
======== =======
Total employees 118,200 74,000
-0-
Raytheon Company
Segment Financial Information
First Quarter 1998
Sales
(In millions) Three Months Ended Backlog
March 29, March 30, March 29, March 30,
1998 1997 1998 1997
Defense Systems $ 1,167.3
Sensors and Electronic
Systems 644.8
Intelligence, Information
and Aircraft Integration
Systems 654.5
Command, Control and
Communication Systems,
Training, Services and
Other Electronics 1,104.0
Total Electronics 3,570.6 $ 1,968.7 $ 16,495.1 $ 7,932.8
Engineering and Construction 544.2 496.5 2,697.4 3,362.5
Aircraft 459.5 433.9 1,928.6 1,352.7
------- ------- -------- -------
Total $ 4,574.3 $ 2,899.1 $ 21,121.1 $ 12,648.0
======== ========
U.S. government funded
backlog, included above $ 12,565.6 $ 5,731.6
======== ========
Segment Income
Segment Income As a Percent of Sales
Three Months Ended Three Months Ended
March 29, March 30, March 29, March 30,
1998 1997 1998 1997
Defense Systems $ 177.3 15.2%
Sensors and Electronic
Systems 100.9 15.6%
Intelligence, Information
and Aircraft Integration
Systems 83.2 12.7%
Command, Control and
Communication Systems,
Training, Services and
Other Electronics 97.7 8.8%
-----
Total Electronics 459.1(1) $ 267.0 12.9% 13.6%
Engineering and
Construction 32.5 43.5 6.0% 8.8%
Aircraft 34.2 29.0 7.4% 6.7%
Total $ 525.8(2) $ 339.5 11.5% 11.7%
(1) Electronics segment income excluding the amortization of
goodwill was $543.1 million and 15.2% of sales in 1998; $282.4 million
and 14.3% of sales in 1997.
(2) Total segment income excluding the amortization of goodwill
was $616.0 million and 13.5% of sales in 1998; $361.0 million and
12.4% of sales in 1997.
Note: Certain prior year amounts have been reclassified to
conform to the current year presentation, including the
reclassification of Cedarapids, Inc., from Engineering and
Construction to Other Electronics.
-0- RAYTHEON'S FIRST QUARTER 1998 BUSINESS HIGHLIGHTS TOTAL ELECTRONICS - Raytheon's electronics businesses reported record first quarter 1998 sales of $3.6 billion, an increase of 81 percent compared with the same period a year ago, and record operating income of $459.1 million, a 72 percent increase compared with the same period a year ago. These increases were due primarily to the merger with Hughes defense and the acquisition of TI defense. Raytheon Systems Company: Defense Systems First Quarter Highlights - The U.S. Army Tank-Automotive and Armaments Command-Armament Research, Engineering and Development Center awarded Raytheon Systems Company's (RSC) Defense Systems segment a $30 million contract for design, development and initial manufacture of the XM982 Extended Range Artillery Projectile projectile something thrown forward. projectile syringe see blow dart. projectile vomiting forceful vomiting, usually without preceding retching, in which the vomitus is thrown well forward. , a guided artillery round. It is the newest generation of extended range "smart" rounds. The contract includes five options. Potential value, including production, could exceed $3 billion. - The Standard Missile The Standard Missile is a type of surface-to-air missile (SAM) originally developed for the United States Navy (USN). The SM-1 was developed as a replacement for the RIM-2 Terrier and RIM-24 Tartar systems deployed in the 1950s on a variety of USN ships. Company was awarded a three-year U.S. Navy contract valued at $371 million to complete the SM-3 Aegis Lightweight Exoatmospheric Projectile (LEAP) intercept flight demonstration program. The contract will add a new guidance system to the proven Standard Missile Block IV airframe for intercepting tactical ballistic missiles in space. - A contract was finalized in January for Stinger Reprogrammable Microprocessor missiles for Taiwan in the amount of $101 million. Raytheon also executed a contract for Dual Mount Stinger (DMS (1) (Document Management System) See document management. (2) (Defense Messaging System) An X.500-compliant messaging system developed by the U.S. Dept. of Defense. ) launchers for Taiwan. That order, including spares, is valued at $23 million. Dual Mount Stinger launchers incorporate a tripod that supports the gunner and a platform from which two Stinger missiles can be launched. Both the missiles and launchers were procured through the U.S. Foreign Military Sales That portion of United States security assistance authorized by the Foreign Assistance Act of 1961, as amended, and the Arms Export Control Act of 1976, as amended. This assistance differs from the Military Assistance Program and the International Military Education and Training Program program. - Raytheon Systems Company received funding of almost $21 million in the first quarter under a contract for the U.S. Army Space and Missile Defense Missile defence is an air defence system, weapon program, or technology involved in the detection, tracking, interception and destruction of attacking missiles. Originally conceived as a defence against nuclear-armed ICBMs, its application has broadened to include shorter-ranged Command's Joint Land Attack Cruise Missile cruise missile, low-flying, continuously powered offensive missile designed to evade defense systems. Although the German V-1 (1944) was a simple cruise missile, the cruise missile did not realize its potential until the 1970s, when the United States sought to Defense Elevated Netted Sensor System (JLENS JLENS Joint Land Attack Cruise Missile Defense Elevated Netted Sensor System ) advanced technology demonstration program. Raytheon was awarded the contract in January. Total program value, including options, is $292 million. JLENS is a theater-based, cruise missile defense system employing advanced sensors elevated by tethered Attached to a data or power source by wire or fiber. Contrast with untethered. aerostats to detect, identify and track low-flying land attack cruise missiles over-the-horizon and hidden-from-surface based sensors. - After the close of the quarter, Raytheon Systems Company received a contract from the U.S. Air Force for Lot 12 production of the Advanced Medium-Range Air-to-Air Missile Noun 1. air-to-air missile - a missile designed to be launched from one airplane at another missile - a rocket carrying a warhead of conventional or nuclear explosives; may be ballistic or directed by remote control (AMRAAM AMRAAM Advanced Medium-Range Air-to-Air Missile ), with a total value of $243 million. This is the fiscal 1998 production lot for AIM-120B and AIM-120C versions of the missile. This includes deliveries to the Department of Defense, Foreign Military Sales, and assisted direct contract sales. Raytheon Systems Company: Sensors and Electronic Systems First Quarter Highlights - On March 27, RSC's Sensors and Electronic Systems segment received initial funding from Boeing for engineering and manufacturing development of the Advanced Targeting Forward-Looking Infrared An airborne, electro-optical thermal imaging device that detects far-infrared energy, converts the energy into an electronic signal, and provides a visible image for day or night viewing. Also called FLIR. (ATFLIR ATFLIR Advanced Targeting Forward Looking Infrared ATFLIR Advanced Tactical Forward Looking Infra-Red ) system for the F/A-18 aircraft. - At the end of March, Northrop Grumman Northrop Grumman Corporation (NYSE: NOC) is an aerospace and defense conglomerate that is the result of the 1994 purchase of Grumman by Northrop. The company is the third largest defense contractor for the U.S. delivered the first F-22 AN/APG-77 radar hardware and software to Boeing for integration with the avionics suite for the U.S. Air Force's F-22 air dominance fighter. The F-22 radar includes an active electronically scanned array An Active Electronically Scanned Array (AESA), also known as active phased array radar is a type of radar whose transmitter and receiver functions are composed of numerous small transmit/receive (T/R) modules. antenna produced by a joint venture between RSC and Northrop Grumman. RSC also produces the common integrated processor that provides the processing power for the avionics systems of the F-22 under contract from Lockheed Martin For the former company, see . Lockheed Martin (NYSE: LMT) is a leading multinational aerospace manufacturer and advanced technology company formed in 1995 by the merger of Lockheed Corporation with Martin Marietta. . - Raytheon received a $49 million U.S. Army contract for the second phase of low rate initial production of the Improved Target Acquisition System (ITAS ITAS Improved Target Acquisition System (US Army) ITAS Indigenous Tutorial Assistance Scheme (Australia) ITAS Inside the Actor's Studio (TV program) ) for the Tube Launched Optically Tracked Wire Guided Missile (TOW) to defeat enemy armored vehicles and other hardened targets. - The U.S. Army exercised a contract option for additional AN/MPQ-64 Sentinel Air Defense Radars and related support, with a total value of more than $44 million. This follow-on order is the third full-rate production option exercised for the advanced air defense radar since the U.S. Army awarded the contract to Raytheon in 1992. Operational deployment of the system began in the summer of 1997. - Raytheon's Sea-Viewing Wide-Field-Of-View instrument began a five-year mission in 1997 on board the OrbView-2 satellite. The instrument has begun collecting full global images of the Earth's oceans every 48 hours and is expanding scientific knowledge of the oceans' biological and physical processes. Raytheon Systems Company: Intelligence, Information and Aircraft Integration Systems First Quarter Highlights - RSC's Intelligence, Information and Aircraft Integration Systems segment was awarded a contract option valued at more than $32 million for the U.S. Navy's Sustained Readiness Program for fabrication fabrication (fab´rikā´sh  n),n the construction or making of a restoration. and installation of P-3C aircraft refurbishment kits. Exercise of the option by the Navy extends the SRP SRP - A data link layer protocol. work to cover an additional 14 P-3C aircraft. If all future options are exercised, the total value of the contract is expected to exceed $200 million. This project represents the most extensive structural upgrade to the Navy's maritime patrol force since the aircraft were first acquired in the early 1960s. - Raytheon was awarded contract options valued at more than $10 million by the German Federal Office of Defense Technology and Procurement on an aircraft modification contract, for the Breguet 1150 "Atlantic" Maritime Patrol Aircraft flown by the German Navy. - Raytheon Systems Company has been awarded an $11 million contract to provide nine aircraft shipsets of wing panel kits for the U.S. Air Force Join Surveillance Target Attack Radar System (JSTARS JSTARS Joint Surveillance Target Attack Radar System ). - Raytheon Transportation Management Solutions (TMS TMS Transcranial Magnetic Stimulation (alternative medicine for depression) TMS Test Match Special (sports - cricket) TMS Texas Motor Speedway TMS Transportation Management System TMS Toyota Motor Sales ) signed a $16 million contract with Orange County (Calif.) Transportation Authority for the installation of the latest version of the TMS SmartTrack system for the authority's integrated transportation system. SmartTrack is an integrated, computer-aided dispatch and automatic vehicle location See mobile positioning. system. Raytheon Systems Company Command, Control and Communication Systems and Training and Services Segments and Other Electronics First Quarter Highlights Command, Control and Communication Systems - On April 1, shortly after the close of the quarter, the Airports Authority of India The Airports Authority of India (AAI) is an organization working under the Ministry of Civil Aviation that manages all the airports in India. The AAI manages and operates 126 airports including 11 international airports, 89 domestic airports and 26 civil enclaves. and Raytheon announced the acceptance of the Air Traffic Control System supplied by RSC's Command, Control and Communications Systems (C3) segment for the Delhi Flight Information Region. On March 26, 1998, the New Delhi Air Traffic Control system was taken over by the Airports Authority of India from Raytheon. This important event paves the way for commissioning of a brand new state-of-the-art air space management system at Delhi's Indira Gandhi International Airport Indira Gandhi International (IGI) Airport (IATA: DEL, ICAO: VIDP), located in the city of New Delhi, Delhi is one of India's main domestic and international gateways. , which includes en route and terminal navigational aids. - The Department of Defense, the Federal Aviation Administration Federal Aviation Administration (FAA), component of the U.S. Department of Transportation that sets standards for the air-worthiness of all civilian aircraft, inspects and licenses them, and regulates civilian and military air traffic through its air traffic control and Raytheon Systems Company joined together on March 26, 1998, to break ground for the nation's first ASR-11 Digital Airport Surveillance Radar Radar displaying range and azimuth that is normally employed in a terminal area as an aid to approach- and departure-control. (DASR DASR Digital Airport Surveillance Radar DASR Direct Access Service Request (deregulated utilities) DASR Direct Air-to-Satellite Relay DASR Directorate of Scientific Agricultural Research (Syria) ) at Eglin Air Force Base Eglin Air Force Base is the home of the United States Air Force 96th Air Base Wing of the Air Force Materiel Command, and is also headquarters for more than 45 associate units. , Florida. Raytheon Systems Company is responsible for the development, production and installation of these modern radars. The ASR-11 is a new solid-state, terminal area air traffic control radar providing primary surveillance radar coverage to 670 miles and monopulse secondary surveillance radar Secondary Surveillance Radar (SSR) is a radar system used in air traffic control (ATC), which not only detects and measures the position of aircraft but also requests additional information from the aircraft itself such as its identity and altitude. coverage to 120 miles. In the production phase, up to 213 DASR systems may be ordered over seven years. The potential total contract value is $620 million. - Raytheon Systems Company was awarded two separate U.S. Navy contracts for AN/SSQ-53E and AN/SSQ-62E sonobuoys. Sonobuoys are sensors that are launched from Navy aircraft and dropped into the ocean to detect the noise of submerged submarines and enable the aircraft to track them. These firm-fixed-price production contracts, valued at $41.5 million, were awarded by the Naval Surface Warfare Center Noun 1. Naval Surface Warfare Center - the agency that provides scientific and engineering and technical support for all aspects of surface warfare NSWC in Crane, Ind. Raytheon Systems Company will produce 57,137 AN/SSQ-53E sonobuoys and 22,751 AN/SSQ-62E sonobuoys. The production work is a follow-on to the engineering development contracts received last spring. - Raytheon Systems Company was awarded a contract from South Korea's Ministry of National Defense to deliver two action speed tactics trainers. The trainers will be built in Arlington, Texas. The shore-based action speed tactics trainers will be used to hone the skills of South Korea's naval command and control team members, enabling them to practice decision making and communication procedures in a realistically-simulated naval tactical environment. Raytheon is a leader in the tactical trainer business for naval, army and air force applications. - A consortium of Raytheon Systems Company and Hunting Engineering Ltd. of the United Kingdom has been awarded a firm-fixed-price contract by the United Kingdom Ministry of Defense to produce in excess of 1,000 Tactical Ground to Air (TacGA) radios for the British Armed Forces. The radio will be produced by Raytheon facilities in the United States and Scotland. Hunting Engineering will act as prime contractor, system installer and integrator. Training and Services - Near the end of the quarter, RSC's Training and Services segment was awarded a five-year, $148 million contract to provide information systems support under the Federal Information Processing Services contract at the National Aeronautics and Space Administration National Aeronautics and Space Administration (NASA), civilian agency of the U.S. federal government with the mission of conducting research and developing operational programs in the areas of space exploration, artificial satellites (see satellite, artificial), (NASA NASA: see National Aeronautics and Space Administration. NASA in full National Aeronautics and Space Administration Independent U.S. ) Ames Research Center in Mountain View, Calif. - The U.S. Air Force awarded RSC a four-year contract with potential value of $37 million to provide logistical support services at Wright-Patterson Air Force Base Wright-Patterson Air Force Base, U.S. military installation, 8,023 acres (3,247 hectares), W Ohio, NE of Dayton; est. 1917. One of the largest airport installations in the world, it is the air force's main research and development base, and the headquarters of the , Ohio. The contract calls for oversight of the base supply system operation and transportation and aircraft maintenance services. - The Training and Services segment was awarded a competitive contract for Portugal's M60A3 Integrated Fire Control System A system that performs the functions of target acquisition, tracking, data computation, and engagement control, primarily using electronic means and assisted by electromechanical devices. Upgrade Program. Issued by the NATO Maintenance and Supply Agency The NATO Maintenance and Supply Agency (French: Agence OTAN d'entretien et d'approvisionnement), abbreviated to , Capellen, Luxembourg, the award is valued at $31 million for upgrading the fire control system, installation, checkout, demonstration and training. Commercial Electronics - Raytheon's Microelectronics operation continued its success in supplying RF components based on gallium arsenide Monolithic Microwave Integrated (MMIC) circuit technology for satellite communication systems. Raytheon won the pre-production contract for transmit and receive modules for the IRIDIUM iridium (ĭrĭd`ēəm), metallic chemical element; symbol Ir; at. no. 77; at. wt. 192.22; m.p. about 2,410°C;; b.p. about 4,130°C;; sp. gr. 22.55 at 20°C;; valence +3 or +4. (R) individual subscriber unit, which is the handset that communicates with the IRIDIUM satellites. - Microelectronics introduced three new products in the first quarter that support the new digital cellular and PCS (1) (Personal Communications Services) Refers to wireless services that emerged after the U.S. government auctioned commercial licenses in 1994 and 1995. This radio spectrum in the 1. handset platforms currently under development by the cellular phone industry. - Shipments were strong of 12 GHz downconverter In digital communications signals can be transmitted in baseband or passband. On receiver side usually a downconverter is used to transform the signal from the passband back to the baseband for further processing. The local oszillator frequency is MMIC chips for Direct Broadcast Satellite receiver antenna dishes based on large orders in Japan, Taiwan and the United States. - Raytheon continued to develop distribution by signing two channel partner agreements for its Raylink(tm) wireless local area network (LAN (Local Area Network) A communications network that serves users within a confined geographical area. The "clients" are the user's workstations typically running Windows, although Mac and Linux clients are also used. ) product family consisting of a wireless LAN adapter, a PC card, and an access point, which is a wireless LAN-to-Ethernet bridge. The Raylink PC card extends the range of conventional networks by enabling PC users to have mobile access, without the need for a fixed wire. - In marine electronics, new recreational radars and fishfinders designed and manufactured by Raytheon are enjoying wide acceptance. Manufacturing capacity for the fishfinders and radars is being doubled. - In commercial marine electronics, Raytheon Marine received strong orders for its high seas high seas In maritime law, the waters lying outside the territorial waters of any and all states. In the Middle Ages, a number of maritime states asserted sovereignty over large portions of the high seas. integrated bridge systems. In addition, a record number of GMDSS GMDSS Global Maritime Distress & Safety System radio stations were ordered in the first quarter, while additional orders were received for gyro compass systems from the Indian Coast Guard The Indian Coast Guard is the fourth service created to guard Republic of India's vast coastline. It was created on 18 August, 1978 as an independent entity as per the Coast Guard Act. and the Singapore Maritime Police. RAYTHEON AIRCRAFT FIRST QUARTER HIGHLIGHTS - Raytheon Aircraft reported record first quarter 1998 sales of $459.5 million, an increase of 6 percent compared with the same period a year ago, and record operating income of $34.2 million, an 18 percent increase compared with the same period a year ago. The improvement reflects better-than-expected results in the aircraft group's new fractional share program, Raytheon Travel Air, which is now serving 60 customers. Raytheon Aircraft also reported increased shipments of general aviation, regional, and international special mission aircraft, and support services. - Raytheon is increasing aircraft production during 1998 as a result of growing backlog and anticipated continued strength in the general aviation marketplace. Production increases are planned for all commercial products: piston-powered aircraft, King Air turboprop turboprop: see turbine. turboprop Hybrid engine that provides jet thrust and also drives a propeller. It is similar to the turbojet except that an added turbine, behind the combustion chamber, works through a shaft and speed-reducing gears to turn a aircraft, 1900D Airliners, Beechjet 400A jet aircraft and Hawker 800XP jets. - During the first quarter, the U.S. Air Force and U.S. Navy exercised a $60 million option for 22 production Joint Primary Aircraft Training System Joint Primary Aircraft Training System, usually just called JPATS, was an aircraft procurement program of the United States in the 1990s by the USAF and USN, a merger of 1980s era training aircraft programs. (JPATS JPATS Joint Primary Aircraft Training System JPATS Justice Prisoner and Alien Transportation Service (US Department of Justice) ) aircraft. Total value of U.S. awards to date is $362 million. The program calls for more than 700 of the primary trainer aircraft to be built through the year 2017. With the latest option exercise, the joint services have ordered a total of 47 T-6A Texan II aircraft. With the 24 T-6A-1 aircraft ordered by Bombardier in 1997 for its NATO NATO: see North Atlantic Treaty Organization. NATO in full North Atlantic Treaty Organization International military alliance created to defend western Europe against a possible Soviet invasion. Flying Canada Training Program, total U.S. and international orders now stand at 71 aircraft. - Continuing progress was made during the first quarter on Raytheon Aircraft's two new business jets under development. The forward fuselage and aft fuselage of the first Raytheon Premier I entry level business jet have been joined together. The first Premier I jet is scheduled to be rolled out this spring, with first flight scheduled for this summer and customer deliveries in 1999. - Raytheon's new Hawker Horizon super mid-sized jet has successfully completed high-speed and low-speed wind tunnel testing. First flight for the aircraft is scheduled in 1999 with customer deliveries in 2001. - The new Raytheon Travel Air fractional ownership program continued ahead of schedule since its inauguration in August of last year. Raytheon Travel Air now has 130 employees serving 60 owners and a fleet that includes King Air B200s, Beechjet 400As and Hawker 800XPs. - Raytheon Aircraft was recognized during the quarter with a "Laurel" from Aviation Week & Space Technology for striving to advance composite and automated technologies through the design of the Premier I and Hawker Horizon business jets. These technologies are aimed at reducing costs as well as improving performance. - In addition, Raytheon Aircraft was selected during the first quarter of 1998 as the recipient of the 10th Annual Automation Forum Renewal Award. The award recognizes achievements of a North American-based manufacturer utilizing the latest automation technology, advanced manufacturing techniques and modern management practices. - Raytheon Aircraft and Jaguar Cars collaborated on a joint marketing agreement for a Jaguar Special Edition Series of Beech King Air C90B turboprops. The first aircraft was introduced in January at the North American North American named after North America. North American blastomycosis see North American blastomycosis. North American cattle tick see boophilusannulatus. International Auto Show in Detroit. Raytheon's aircraft interior specialists and the Jaguar styling team incorporated Jaguar's unique design elements into the airplane. - Raytheon Aircraft sold four Hawkers during the quarter -- one domestic and three international orders. Among the international sales, Jet Asia, a Macau-based executive charter service that provides flights throughout Southeast Asia and the People's Republic of China, ordered a Hawker 800XP mid-sized business jet, for delivery this fall. - Raytheon displayed its T-6A primary trainer at the 1998 international air show in Santiago, Chile, and held its first Latin American customer flight and evaluation tour. - Raytheon Aircraft received certification approval for the Hawker 800XP jet in Indonesia and Sweden. RAYTHEON ENGINEERING AND CONSTRUCTION FIRST QUARTER HIGHLIGHTS - Raytheon Engineers & Constructors (RE&C) reported first quarter 1998 sales of $544.2 million, an increase of 10 percent compared with the same period a year ago. Operating income was $32.5 million, compared with $43.5 million for the same period a year ago. The engineering and construction industry climate continues to be difficult. Delays in international orders and slowdowns on several turnkey projects resulted in lower overall margins for the business. - Raytheon Engineers & Constructors has made significant progress toward achieving its consolidation goals announced in January. Under the consolidation plan, RE&C expects to close or partially close 16 offices and reduce its workforce by about 10 percent, or more than 1,000 positions. In addition, earlier this month Raytheon announced the appointment of Shay D. Assad as president and chief operating officer of RE&C, reporting to Charles Q. Miller, RE&C chairman and chief executive officer. In his new position, Assad will concentrate on operating matters, program management and contract performance within the segment. In addition to his solid track record in domestic and international business, and his program management experience, Assad was instrumental in the establishment of Raytheon's modified Air Defense Program in Taiwan, and in the establishment of the SIVAM program in Brazil for the surveillance of the Amazon region. - Raytheon Engineers & Constructors was awarded contracts worth more than $700 million from San Roque Power Corporation, a joint venture of Marubeni Corporation and Sithe Energies, to design and build a dam and power plant on the Lower Agno River at San Roque, on the island of Luzon in the Philippines. The earth and rock-fill dam will be approximately 3,600 feet long and 650 feet high, which will make it the twelfth highest embankment dam in the world. The 345-megawatt rated hydroelectric power plant will consist of three 115-megawatt generating units. The project will provide residents of San Roque and surrounding communities with four benefits: flood control, irrigation irrigation, in agriculture, artificial watering of the land. Although used chiefly in regions with annual rainfall of less than 20 in. (51 cm), it is also used in wetter areas to grow certain crops, e.g., rice. , water quality improvements, and additional electric power. - Raytheon Engineers & Constructors was selected for a lump-sum, turnkey project valued at more than $300 million by the Atlantic Methanol Production Company for a grassroots methanol plant in Equatorial Guinea, Africa. - A Raytheon Engineers & Constructors unit is part of a consortium that was named the preferred developer by the Government of Queensland, Australia for two infrastructure projects potentially worth $1.2 billion. One project is for new rail and port facilities to transport coal; the other project is for a dam and reservoir to irrigate ir·ri·gate v. To wash out a cavity or wound with a fluid. farmland. The consortium now plans to conduct feasibility studies on the two projects. The value of Raytheon's scope could be in excess of $600 million. - Raytheon Engineers & Constructors has begun detailed design of a 250-megawatt power plant in St. Marks, Fla., for the City of Tallahassee. Raytheon will provide turnkey engineering, procurement and construction  The introduction to this article is vague. To comply with Wikipedia's guidelines, it should be improved. services for the project, which was awarded in 1996 and is
valued at approximately $100 million.- In conjunction with the restructuring, the Defense Services operation of Raytheon Engineers & Constructors was moved to the Training and Services segment of the newly-formed Raytheon Systems Company. IRIDIUM is a registered trademark and service mark of Iridium LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control . CONTACT: Raytheon Company Toni Simonetti 781/860-2539 |
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