U.S. Army Extends Lockheed Martin’s M299 Launcher Contract

February 4, 2009, Orlando, Florida -- Lockheed Martin [NYSE: LMT] has received a $31.3 million contract modification to provide additional M299 Launchers and related equipment to the U.S. Army. The M299 is used aboard a variety of platforms to launch all variants of the HELLFIRE missile.

Under the modification to the $51.3 million Launcher Bridge 3 contract awarded in 2007, Lockheed Martin will supply an additional 298 M299 helicopter-mounted four-rail missile launchers, 134 launcher electronic assemblies (LEAs) and multiple spares. The original contract called for delivery of 430 launchers and 376 LEAs to U.S. and international forces, and it also included multiple spares, engineering services and depot support.

Deliveries under the original Bridge 3 contract are currently underway. Lockheed Martin is increasing the rate of production to accommodate the additional launchers, LEAs and spares. With the additional orders, deliveries are scheduled to be completed in 2011.

“The M299’s versatility supports multiple missions in a single sortie by any of several platforms,” said Ken Musculus, program director for Air-to-Ground Missile Systems at Lockheed Martin Missiles and Fire Control. “Both the M299 and its modernized lightweight successor will accommodate the new JAGM [Joint Air-to-Ground Missile]. This will ensure seamless integration of JAGM into the tri-services arsenal.”

Lockheed Martin produces the electronics for the M299 launcher at its facility in Ocala, FL. Marvin Engineering in Inglewood, CA, performs final assembly and test. This contract update will extend M299 production activity in Ocala and Inglewood until 2011.

The all-digital M299 “smart” launcher supports HELLFIRE II or LONGBOW HELLFIRE missiles. Its ability to fire multiple missile variants in any sequence provides maximum operational flexibility on the battlefield. The M299 is integrated on the AH 64D Apache LONGBOW, AH-1Z Cobra, Eurocopter Tiger, SH-60-B Seahawk and UK AH MK1 Apache helicopters.

More than 2,000 M299 launchers have been produced for the U.S. Armed Forces as well as international forces equipped with HELLFIRE weapon systems.

Lockheed Martin was awarded a $30 million contract last year to lead the U.S. Army’s modernization of the M299 launcher family. Building on experience gained on producing and supporting the fielded and combat-proven M299, this next-generation lightweight launcher will carry HELLFIRE II and JAGM on attack and reconnaissance helicopters, with a growth path for the DAGR™ system and other manned and unmanned platforms. The modernized M299 launcher production is scheduled to begin in 2011. (lockheedmartin.com)

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