Raytheon, U.S. Navy Sign $259.9 Million Phalanx Close-In Weapon System Contract

LOUISVILLE, Ky., May 19, 2009 /PRNewswire-FirstCall/ -- Raytheon Company
(NYSE: RTN) is being awarded a $259.9 million U.S. Navy contract to overhaul
and upgrade 57 Phalanx Close-In Weapon Systems and to provide ancillary
equipment, spares, as well as additional technical support.

The agreement calls for 40 sea-based Phalanx systems and 17 Centurion
Land-Based Phalanx Weapon Systems.

"The capability of our world-class Ku-band radar coupled with Phalanx's
thermal imager provides unparalleled self-defense protection," said Todd
Callahan, Raytheon's Close-In Defense Solutions program director.
"Additionally, Phalanx gives commanders at sea and on the ground the ability
to interface with other systems to defeat targets, save lives and prevent
damage."

Phalanx is a rapid-fire, computer-controlled radar and 20 mm gun system that
automatically acquires, tracks, and destroys enemy threats that have
penetrated all other ship defense systems. More than 890 systems have been
built and deployed in the navies of 25 nations. Centurion LPWS defends ground
forces and high value sites against rocket, artillery and mortar attacks.
Twenty-two have been delivered to the U.S. Army and 10 to the United Kingdom's
Ministry of Defence.

"At sea, Phalanx Block 1B provides a reliable day and night passive search and
track capability in near-shore, littoral environments," said Callahan. "The
land-based system has proved to be very effective since it was first delivered
in mid-2005, defeating more than 110 launches against high value
Multi-National Corps-Iraq assets."

Raytheon Company, with 2008 sales of $23.2 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
87 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 73,000 people worldwide.

Note to Editors:

This contract was originally announced by the Defense Department May 15,
2009

Contact:
John Eagles
502.364.6768 - office
502.727.9391 - mobile
John_J_Eagles@Raytheon.com

SOURCE Raytheon Company

John Eagles, +1-502-364-6768, office, +1-502-727-9391, mobile,
John_J_Eagles@Raytheon.com