Through its Surface Electronic Warfare Improvement Program (SEWIP) Block 3 upgrade, the Navy seeks to cost effectively enhance the electronic attack (EA) capability of its AN/SLQ-32 V(3) and V(4) electronic warfare (EW) systems to counter threat technology advances. All U.S. aircraft carriers, cruisers, destroyers and other warships use the AN/SLQ-32 EW system.

SEWIP Block 3 is the latest upgrade in an evolutionary succession the Navy is pursuing for its EW system. Each upgrade incrementally adds new defensive technologies and functional capabilities. The Lockheed Martin-Raytheon team intends to offer a SEWIP Block 3 solution derived from more than 80 years of combined, proven experience in developing systems to defend the fleet. A formal Navy request for proposals is anticipated later this year.

Under a $167 million contract awarded by the Navy in November 2009, Lockheed Martin is developing SEWIP Block 2, which includes passive detection capabilities for advanced threats and establishes a framework to easily integrate future upgrades. The Navy approved the Block 2 solution during a Critical Design Review in February 2011, and two engineering development models are undergoing integration and testing at Lockheed Martin's new EW systems test facility in Syracuse, N.Y.

"Technology is rapidly advancing around the world and we understand the threats our Navy faces are not simplified by today's fiscal challenges," said Carl Bannar, vice president of Lockheed Martin's Integrated Warfare and Surveillance Systems business. "By teaming with Raytheon, the original developer of the legacy AN/SLQ-32 program, we will provide the Navy with a solution for SEWIP Block 3 that addresses today's and tomorrow's evolving threats."

Developed by Raytheon in the 1970s, the original AN/SLQ-32 systems employed passive radar technology for early warning, identification and tracking of enemy threats. Subsequent upgrades provided an additional active capability for simultaneous jamming of multiple threats.

"Lockheed Martin's experience on the current SEWIP Block 2 system combined with Raytheon's expertise in shipboard EW will give U.S. Navy fleet commanders a critical advantage on the seas," said Mark Kula, vice president, Tactical Airborne Systems, for Raytheon Space and Airborne Systems. "The Lockheed Martin-Raytheon partnership provides the low-cost, high-reliability solution the Navy needs to meet current and future sea-surface threat environment."

Headquartered in Bethesda, Md., Lockheed Martin is a global security company that employs about 123,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The Corporation's net sales for 2011 were $46.5 billion.

Raytheon Company, with 2011 sales of $25 billion, is a technology and innovation leader specializing in defense, homeland security and other government markets throughout the world. With a history of innovation spanning 90 years, Raytheon provides state-of-the-art electronics, mission systems integration and other capabilities in the areas of sensing; effects; and command, control, communications and intelligence systems, as well as a broad range of mission support services. With headquarters in Waltham, Mass., Raytheon employs 71,000 people worldwide.

The delivery of this aircraft follows a record year for C-130J production at the company's facility in Marietta, Ga. In 2011, 33 C-130J Super Hercules were delivered − a new production record for the C-130J model. Aircraft were delivered in six different configurations for six operators: the U.S. Air Force Air Mobility Command, U.S. Air Force Special Operations Command, U.S. Marine Corps, Canada, India and Qatar.

The C‑130 production line in Marietta is the longest continuously operating military aircraft production line in history.

"As we start a new year it is only fitting that the C-130 breaks yet another record and sets a new milestone," said Lorraine Martin, Lockheed Martin vice president for C-130 programs. "The C-130 is the benchmark for airlift around the world and we look forward to this year being another year of excellence for our world-wide customers."

C-130J aircraft are currently in production for the U.S. Air Force and Marine Corps, Iraq, Israel, Republic of Korea, Kuwait, Oman and Tunisia. C-130Js are also flown by Australia, Canada, Denmark, India, Italy, Norway, Qatar, the United Kingdom and the U.S. Coast Guard.

Headquartered in Bethesda, Md., Lockheed Martin is a global security company that employs about 123,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The Corporation's net sales for 2011 were $46.5 billion.

Earnings from continuing operations for the quarter ended Dec. 31, 2011 reflect an increase in the FAS/CAS pension expense adjustment, which reduced earnings by $66 million, or $0.20 per diluted share compared to 2010, a decrease in Research and Development (R&D) tax credits, which reduced earnings by $36 million, or $0.11 per diluted share compared to 2010, and premiums on the early extinguishments of debt, which reduced earnings by $28 million, or $0.09 per diluted share. During the quarter ended Dec. 31, 2010, earnings from continuing operations also included a charge related to facilities consolidation within the Electronic Systems business segment, which reduced earnings by $27 million, or $0.08 per diluted share.

Cash from operations during the quarter ended Dec. 31, 2011 was $1.1 billion, after making accelerated contributions of $1.0 billion to the pension trust. Cash from operations during the quarter ended Dec. 31, 2010 was $210 million, after making accelerated contributions of $840 million to the pension trust.

"Our continued focus on executing our customers' programs domestically and internationally resulted in a strong year with a record backlog," said Bob Stevens, chairman and chief executive officer. "We will need to remain agile in 2012 given the uncertainties ahead, but I am confident that our workforce and diversified portfolio will enable us to continue to deliver value to our customers and shareholders."

• Net sales of $12.2 billion
• Earnings from continuing operations of $698 million and per diluted share of $2.14
• Cash from operations of $1.1 billion after accelerating pension contributions of $1.0 billion
• Fourth quarter orders of $19.8 billion increase year-end backlog to a record $80.7 billion
• Achieves record annual net sales, segment operating profit, and earnings per diluted share from continuing operations
• Provides 2012 outlook

Read Full Report, detailed with tables, etc.,  at Lockheed Martin's Website

The MLU installation and phase depot maintenance (PDM) were accomplished in record time of 11 months at Lockheed Martin's Greenville facility.

"I am very proud of the Lockheed Martin team in Greenville for demonstrating that we can provide significant value with our OEM knowledge, high quality work and our commitment to meeting our customer's delivery schedule," said Ray Burick, vice president for P-3 Programs and Greenville Operations.

This is the fourth MLU P-3 delivery to CBP in 18 months. It joins the CBP P-3 MLU fleet that supports homeland security and drug interdiction missions. In FY 2011, CBP Office of Air and Marine (OAM) P-3 aircraft provided more than 34 percent of total Joint Interagency Task Force South air mission on-station hours.

CBP P-3 aircraft were directly involved in the interdiction of more than 153,000 pounds of drugs seized or disrupted, representing 62 percent of JIATF-S seizures.

The total estimated street value of this contraband is over $1.8 billion. OAM P-3 aircrews participated in the majority of self-propelled, semi-submersible intercepts by JIATF-S.

"U.S. Customs and Border Protection missions are vital in protecting and strengthening our nation's security," said John Norris, Lockheed Martin P-3 CBP program manager.

"Through a strategic partnership, Lockheed Martin provides the U.S. Customs and Border Protection team with affordable enhancements to keep its P-3 Orion fleet operating at optimal performance levels for decades to come."

The MLU replaces all fatigue life-limiting structures with enhanced-design components and incorporates a new metal alloy that is five times more corrosion resistant than the original material, greatly reducing the cost of ownership for P-3 operators.

The MLU solution removes current aircraft flight restrictions and extends the structural service life of the P-3 up to 15,000 hours, adding more than 20 years of operational use.

The P-3 Orion is the standard for maritime patrol and reconnaissance, and is used for homeland security, hurricane reconnaissance, anti-piracy operations, humanitarian relief, search and rescue, intelligence gathering, antisubmarine warfare and, recently, to assist in air traffic control and natural disaster relief support.

Piloted by Lockheed Martin Test Pilot Mark Ward, AF-6, an F-35A conventional takeoff and landing (CTOL) variant, launched at 5:05 p.m. PST and landed after sunset at 6:22 p.m.

The mission consisted of a series of straight in approaches in twilight and darkness. The pilot also performed an evaluation of the F-35's cockpit lighting which Ward called, "the best he's ever seen."

The testing will clear the way for night refueling and formation testing later this year.

"This acquisition is consistent with our focus on acquiring capabilities that enhance our product portfolio and align with our customers' strategic priorities," said Bob Stevens, Lockheed Martin Chairman and CEO.

"Small unmanned aerial vehicles are low-cost, highly effective tools for our military, and the expertise Procerus brings will enhance the value we offer to our customers."

Founded in 2004 and based in Orem, Utah, Procerus is a privately held company that provides autopilot, targeting and payload technologies for micro UAS to domestic and international governments, as well as industry and academic institutions.

Among its key technologies is the Kestrel autopilot system, the smallest and lightest full-featured micro autopilot system on the market - ideal for surveillance and reconnaissance applications.

"Our purpose is to bring innovative and meaningful technologies to this critical capability for the military and future customers," said Todd Titensor, chief executive officer, Procerus Technologies.

"Becoming a part of Lockheed Martin will allow us to advance these goals and accelerate our ability to reach them more quickly."

Lockheed Martin Mission Systems and Sensors (MS2) will manage the Procerus business.

MS2, based in Washington, D.C., is part of the Corporation's Electronic Systems business area and has experience within this area with its Desert Hawk, Persistent Threat Detection System aerostats, K-MAX unmanned helicopter system, and high altitude airship programs.

"The team is providing in-depth technical knowledge to achieve the newest, most evolved capabilities for the Ballistic Missile Defense System," said John Osborn, director of Missile Defense Systems for Lockheed Martin IS&GS-Defense. "The historical knowledge of the mission, along with our proven implementation of creative solutions, as developed on C2BMC since 2002, will result in continuity of operations for the fielded C2BMC capabilities located worldwide and evolving challenges to come."

The C2BMC program is the "integrating element" for the Ballistic Missile Defense System and links the various sensors and weapon systems. The system is the force multiplier providing capabilities to integrate and globally synchronize missile defense systems and operations, providing an optimized, layered defense against all ranges of threats and in all phases of flight. The majority of the work is conducted in Arlington, Va., Huntsville, Ala., and Colorado Springs, Colo.

Headquartered in Bethesda, Md., Lockheed Martin is a global security company that employs about 126,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The Corporation's 2010 sales from continuing operations were $45.8 billion.

The 2011 flight test plan called for the accumulation of 872 flights and 6,622 test points by Dec. 31. For the year, the SDD program flew 972 flights and tallied 7,823 test points. The F-35A Conventional Takeoff and Landing (CTOL) variant flew 474 flights and accomplished 3,600 test points. The F-35B Short Takeoff/Vertical Landing (STOVL) variant accomplished 333 flights and 2,636 test points. The F-35C Carrier Variant (CV) flew 165 flights and tallied 1,587 test points. Along with this, the STOVL executed 268 vertical landings. The cumulative 2011 milestones were achieved through a combination of planned test flights and test points along with test flights and test points added throughout the year.

“The success of the flight test program is the result of a team of dedicated government and contractor professionals,” said Larry Lawson, Lockheed Martin’s F-35 program executive vice president and general manager. “The test team continues to gain momentum and they will build upon this success for an even better 2012. I couldn’t be prouder of the team.”

The overall F-35 SDD flight test program plan calls for the verification of 59,585 test points through developmental test flights by Dec. 31, 2016. Through 2011, the flight test team has accomplished 12,728 test points or 21.4 percent of overall testing requirements.

“These achievements speak to the rapid maturation of the F-35 program and to our team’s commitment to performing with excellence,” said J.D. McFarlan, vice president of F-35 Test and Verification. “We will now turn towards 2012, expanding the flight envelope as we continue to demonstrate the F-35’s excellent flight characteristics for all three variants.”

Major flight test achievements in 2011 include:

• A major highlight for October was the completion of F-35B short takeoff/vertical landing (STOVL) ship suitability testing aboard the USS WASP (LHD-1) off the coast of Virginia. The test began when BF-2 executed the first shipboard vertical landing on Oct. 3. The next day, BF-2 executed the first short takeoff from the WASP. During the third week of sea trials, BF-2 and BF-4 operated simultaneously on the ship. Combined, they accomplished 72 short takeoffs and 72 vertical landings during the three-week testing period.
• The mission systems test aircraft performed Block 1A and Block 1B software testing including demonstrating Communication Navigation and Identification (CNI) range and accuracy and integrated Electro-Optical Targeting System testing that included Tactical FLIR (Forward Looking Infra-Red) and combat laser firing. The software also displayed imagery from the Distributed Aperture System on the Helmet Mounted Display. Further testing accomplished radar search and target tracking, Synthetic Aperture Radar Mapping, Electronic Warfare testing, and multi-sensor fusion of four sensors. In addition, baseline Radar Cross Section signature testing was accomplished on three mission system aircraft.
• On Nov. 18, CF-3, an F-35C test aircraft, conducted the first F-35 launch from the Navy’s new Electromagnetic Aircraft Launch System (EMALS). Testing the F-35C on EMALS marked the beginning of the process to integrate the carrier variant with the future carrier fleet aircraft launching system.
• The F-35B STOVL jets conducted 268 vertical landings (VLs) in 2011 compared to 10 VLs in 2010. F-35B aircraft also completed 395 short takeoffs (STOs) this year.
• AF-1 achieved the F-35’s maximum design limit speed of Mach 1.6 for the first time on Oct. 25.
• Jet Blast Deflector (JBD) testing was performed by F-35C Lightning II carrier variant (CV) aircraft CF-2 at Joint Base McGuire-Dix-Lakehurst, N.J. from June 25-July 8. CF-2 successfully completed this portion of tests required to ensure the F-35C is compatible aboard an aircraft carrier.
• AF-6 and AF-7 completed Maturity Flight testing of the training syllabus software at Edwards Air Force Base, Calif., designed to simulate operating an F-35 without a mission control room.
• The F-35 program successfully performed aerial refueling testing with KC-135 and KC-10 aircraft.

The F-35 Lightning II is a 5th Generation fighter, combining advanced stealth with fighter speed and agility, fully fused sensor information, network-enabled operations and advanced sustainment. Lockheed Martin is developing the F-35 with its principal industrial partners, Northrop Grumman and BAE Systems.

The C-130 ATS II program provides a comprehensive academic and simulation training program for C-130 aircrews worldwide. The visual system and imagery databases in the weapons systems simulators will be updated to provide the most advanced and realistic training. The improvements are scheduled to take place through 2014.

"The C-130 training effort continuously evolves with advancements in technology to effectively prepare aircrews for their high precision tactical airlift missions. C-130 aircrews participate in critical military, civilian and humanitarian aid operations, and our goal is to keep aircrews mission ready," said Stephen Grotjan, C-130 ATS program manager for the U.S. Air Force Materiel Command.

The new visual system will provide enhanced illumination in the cockpit, advanced visual scenes and the latest infrared-enabled night vision training. The visual databases will also be upgraded to the same used by the new C-130J Maintenance and Aircrew Training System, furthering interoperability across aircrew training.

"Lockheed Martin is focused on affordable yet innovative and effective training for the men and women who operate the C-130," said Jim Weitzel, vice president for training and engineering services in Lockheed Martin's Global Training and Logistics business. "This effort will extend the training systems' lifecycle while adding new capabilities."

Located at Little Rock Air Force Base, Ark., the C-130 training center of excellence serves the U.S. Air Force, Coast Guard, Marine Corps and Navy. More than 25 international partner countries also train aircrews through the C-130 ATS II program.

With extensive experience in the development and delivery of advanced training systems to support C-130, F-15, F-16, F-22 and F-35 aircraft, Lockheed Martin teams with service partners to hone the mission skills of military aviators and maintenance professionals across the globe.

The contract is the first Foreign Military Sale (FMS) of the THAAD Weapon System and includes the production of two THAAD Weapon Systems and additional maintenance and support equipment.

"Lockheed Martin is pleased the U.S. Government and the United Arab Emirates have reached an agreement on a path forward for the first Foreign Military Sale of the THAAD Weapon System," said Tom McGrath , vice president and program manager for THAAD at Lockheed Martin. "We look forward to working with our customers to deliver this important capability."

THAAD interceptors are produced at Lockheed Martin's Pike County Facility in Troy, Ala. The launchers and fire control units are produced at the company's Camden, Ark. , facility.

Lockheed Martin is currently under contract for four THAAD batteries for the U.S. Army. A contract for the delivery of the first two U.S. Army batteries was awarded to Lockheed Martin in late 2006. Contracts for batteries three and four were awarded in 2010 and early 2011 respectively.

Since 2005, the THAAD development program has completed 12 flight tests, with nine intercepts in nine attempts. THAAD is the only missile defense system with the operational flexibility to intercept in both the endo- and exo-atmospheres to provide versatile capability to the warfighter.

A key element of the nation's Ballistic Missile Defense System (BMDS), THAAD is a Missile Defense Agency program, with the program office located in Huntsville , Ala. The agency is developing the BMDS to defend the United States , its deployed forces, friends and allies against ballistic missiles of all ranges and in all phases of flight.

Lockheed Martin is a world leader in systems integration and the development of air and missile defense systems and technologies, including the first operational hit-to-kill interceptor. It also has considerable experience in interceptor design and production, infrared seekers, command and control/battle management, and communications, precision pointing and tracking optics, as well as radar and signal processing. The company makes significant contributions to all major U.S. missile defense systems and participates in several global missile defense partnerships.

Headquartered in Bethesda, Md., Lockheed Martin is a global security company that employs about 132,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The Corporation's 2010 sales from continuing operations were $45.8 billion.