Lockheed Martin To Form Two New Business Areas Through Reorganization Of Electronic Systems

   Lockheed Martin To Form Two New Business Areas Through Reorganization Of
                              Electronic Systems

New Structure Streamlines Operations, Boosts Customer Alignment and
Affordability

PR Newswire

BETHESDA, Md., Oct. 8, 2012

BETHESDA, Md., Oct. 8, 2012 /PRNewswire/ -- With a continuing focus on lean
and efficient operations, Lockheed Martin Corporation (NYSE: LMT) today
announced it will reorganize its Electronic Systems business area into two new
business areas that position the company for growth by increasing customer
alignment and reducing costs.

Effective December 31, the creation of the Missiles and Fire Control (MFC) and
Mission Systems and Training (MST) business areas brings the company's total
to five including Aeronautics, Space Systems, and Information Systems & Global
Solutions. As previously announced, Marillyn Hewson, who currently leads the
Electronic Systems business area, will assume the role of president and chief
operating officer on January 1.

"Our customers are looking for affordable solutions to their toughest
challenges whether intercepting enemy missiles, conducting naval operations in
littoral waters, or securing information networks from attack," said Chris
Kubasik, Lockheed Martin Vice Chairman, President and Chief Operating
Officer. "This new structure will allow us to better support our customers
around the world and positions our company for sustained long-term growth."

The reorganization will streamline operations and save approximately $50
million a year by eliminating the executive management teams of the Electronic
Systems business area and the Global Training and Logistics (GTL) business
unit. The GTL portfolio will be split between the two resulting business
areas. Approximately 200 jobs will be affected.

"For the past three years, Chris has led an effort to examine all aspects of
our business in an environment where every dollar counts," said Bob Stevens,
Lockheed Martin Chairman and Chief Executive Officer. "This focus on
maximizing value for customers and shareholders has already identified
billions in savings for our customers and made us more competitive."

The new structure includes the following organizational changes:

  oThe MFC business area will have 16,000 employees and be headquartered in
    Dallas. Some of its high-profile programs will include the Terminal High
    Altitude Area Defense System, Joint Light Tactical Vehicle, PAC-3
    Missiles, as well as logistics and other technical services from GTL.
  oThe MST business area will have 19,000 employees and be headquartered in
    Washington, DC. Some of its high-profile programs will include the Aegis
    Combat System, Littoral Combat Ship, MH-60 helicopter avionics, as well as
    military and commercial training systems from GTL including F-35 support.

To lead these new business areas, Rick Edwards and Dale Bennett have been
elected executive vice presidents, effective December 31, of MFC and MST,
respectively. Both executives have been with Lockheed Martin for about three
decades and served in roles of increasing responsibility.

Edwards, 56, began managing MFC's program and technology execution in June
after leading its Tactical Missiles and Combat Maneuver Systems line of
business for seven years. He received a bachelor's degree in business
administration from Gettysburg College in 1978. He will succeed Jim Berry,
the current president of the MFC business who plans to retire.
(Photo: http://photos.prnewswire.com/prnh/20121008/PH88409-a )

Bennett, 55, is the president of the Mission Systems & Sensors business, a
role he assumed in August 2011 after serving as president of GTL for six
years. He received a bachelor's degree in mechanical engineering from the
University of South Carolina-Columbia in 1981, a master's degree in
engineering from the Johns Hopkins University, and a master's in business
administration from the Sloan Fellows Program at Massachusetts Institute of
Technology. He also served in the Air Force.
(Photo: http://photos.prnewswire.com/prnh/20121008/PH88409-b )

Headquartered in Bethesda, Md., Lockheed Martin is a global security and
aerospace company that employs about 120,000 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.

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

Lockheed Martin Forward-Looking Statements: Statements in this release
concerning future actions or consequences of actions including statements
about anticipated cost savings and efficiencies are "forward-looking
statements" and are based on current expectations and assumptions.
Forward-looking statements are subject to risks, uncertainties and other
factors that could cause actual results to differ materially from future
results expressed or implied by the forward-looking statements. These risks
and uncertainties include our ability to implement the reorganization and cost
reduction strategies consistent with our current plans as well as other risks
and uncertainties described from time to time in Lockheed Martin's Form 10-K
(including under the caption "Risk Factors") and other filings with the
Securities and Exchange Commission. All information in this release is as of
October 2, 2012. Lockheed Martin disclaims any duty to update forward-looking
statements to reflect subsequent events, actual results or changes in
expectations. For further information regarding risks and uncertainties
associated with Lockheed Martin's business, please refer to the Corporation's
SEC filings, which may be obtained at the Corporation's website:
http://www.lockheedmartin.com



SOURCE Lockheed Martin Corporation

Website: http://www.lockheedmartin.com
Contact: Jennifer Whitlow, +1-301-897-6352, jennifer.m.whitlow@lmco.com
 
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