Lockheed Martin Corporation today announced the name and top level organizational structure for its new Mission Systems & Sensors business, one of three primary operating companies within the Electronic Systems Business Area.

Abbreviated as "MS2," Mission Systems & Sensors represents the realignment of two prior standalone businesses in Electronic Systems, the former Maritime Systems & Sensors and Systems Integration - Owego.

While the new MS2 still retains a unique breadth and depth of support for maritime forces, with the integration of the former Systems Integration - Owego, it now has a significantly expanded portfolio of capabilities in products, processors, and integration expertise.

As announced in mid-November, the two businesses officially combined on January 1. As a result of the anticipated synergies and efficiencies the combination will bring, the company expects to eliminate approximately 1,200 U.S. positions from the MS2 business. Affected employees will be notified by early April.

"The new MS2 reflects our goal to drive performance excellence with a keen focus on affordability in everything we do," said Orlando P. Carvalho, president of MS2. "We recognize the challenges our customers face and are making every effort to improve efficiencies that enable unparalleled service at the right price."

The following represents the top level structure of the new MS2, along with the executive leaders. MS2 will establish five lines of business as follows:

  --  Ship & Aviation Systems:  Led by Daniel Schultz, this new business
      will include much of the former Integrated Defense Technologies line
      of business, the former Systems Integration - Owego and elements of
      the former Tactical Systems line of business.  It also will include
      Lockheed Martin UK - Integrated Systems.

  --  Undersea Systems:  Led by Denise Saiki, will expand to include the
      Command and Control and Communications & Networking Systems elements
      of the former Tactical Systems business.

  --  New Ventures:  Led by Jeff Napoliello, will be expanded to include
      medical; cargo security; chemical, biological, radiological, nuclear
      and explosives sensor systems; optical communications, and fuel cells
      from the former Integrated Defense Technologies line of business, as
      well as renewable energy efforts underway across both the former
      Systems Integration-Owego and MS2 businesses including solar, wave and
      ocean thermal initiatives.

  --  Surface Sea-based Missile Defense Systems:  Led by Jeff Bantle, will
      continue to focus on current and future surface combatants including
      Aegis-equipped destroyers. As before, it will include Lockheed Martin
      Canada.

  --  Radar Systems:  Led by Carl Bannar, remains focused on radar systems
      and surface electronic warfare. It will continue to include Lockheed
      Martin Australia.

"This new structure, under these leaders, will position our business for growth while demonstrating our enhanced value proposition for our customers," said Carvalho.

In addition to the new MS2 organization design announced today, the ground vehicles line of business from the former Systems Integration - Owego, which includes the Joint Light Tactical Vehicle program, has been realigned to Lockheed Martin Missiles and Fire Control. Aligning the JLTV effort with resident expertise and experience in ground vehicles associated with Army and Marine Corps missile launcher programs, and high volume manufacturing, will only strengthen Lockheed Martin's JLTV solution.

Headquartered in Bethesda, Md., Lockheed Martin is a global security company that employs about 140,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The corporation reported 2008 sales of $42.7 billion.

For additional information, visit our web site: http://www.lockheedmartin.com/

First Call Analyst:
FCMN Contact: frans.jurgens@lmco.com

SOURCE: Lockheed Martin Corporation