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Lockheed Martin Selects Northrop Grumman Inertial Unit for Mobile User Objective System Satellite

Lockheed Martin Corporation (NYSE:LMT) has selected Northrop Grumman Corporation (NYSE:NOC) to provide the critical navigation systems for a next generation military satellite communications system.

The U.S. Navy's Mobile User Objective System Satellite (MUOS) is a next-generation narrowband military satellite communications system that is designed to significantly improve communications for U.S. forces on the move. Developed and operated by the Navy for the Department of Defense, it will provide worldwide support for multi-service troops using mobile or fixed-site terminals.

Northrop Grumman's Navigation Systems Division will provide its Scalable SIRU(tm) inertial navigation unit for the first two MUOS satellites, under an initial contract worth more than $4 million with prime contractor and systems integrator Lockheed Martin Space Systems of Sunnyvale, Calif.

"The worldwide users of military communications satellites require a high-performance, highly reliable, long-life navigation system such as our Scalable SIRU," said Gorik Hossepian, vice president of Situational Awareness Systems for Northrop Grumman's Navigation System Division. "None of the 62 hemispherical gyro technology systems launched to date by our customers have suffered an operational failure."

The Lockheed Martin-led team was awarded a $2.1 billion contract to build the first two satellites and associated ground-control elements for the MUOS system. The first MUOS satellite is scheduled for on-orbit hand over to the Navy in 2010.

Northrop Grumman Corporation is a global defense company headquartered in Los Angeles, Calif. Northrop Grumman provides technologically advanced, innovative products, services and solutions in systems integration, defense electronics, information technology, advanced aircraft, shipbuilding and space technology. With more than 120,000 employees and operates in all 50 states and 25 countries, Northrop Grumman serves U.S. and international military, government and commercial customers.

CONTACT: Don Barteld

Northrop Grumman Electronic Systems

(818) 712-6179

don.barteld@ngc.com

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