Lockheed Martin 2005 Annual Report Download - page 74

   
Lockheed฀Martin฀Corporation
NOTES฀TO฀CONSOLIDATED฀FINANCIAL฀STATEMENTS
December฀31,฀2005

(In฀millions)  2004 2003

Aeronautics   $฀ 7,876 $฀ 6,613
Electronic฀Systems  7,909 7,363
Space฀Systems  5,180 4,928
Integrated฀Systems฀&฀Solutions  3,742 3,252
Information฀&฀Technology฀Services  3,589 2,799
 $฀28,296 $฀24,955

Aeronautics   $฀ 3,896 $฀ 3,580
Electronic฀Systems  1,731 1,526
Space฀Systems 4 —
Integrated฀Systems฀&฀Solutions  29 16
Information฀&฀Technology฀Services  94 79
  $฀ 5,754 $฀ 5,201

Aeronautics   $฀ 13 $฀ 13
Electronic฀Systems  89 107
Space฀Systems  1,175 1,096
Integrated฀Systems฀&฀Solutions  80 154
Information฀&฀Technology฀Services  119 298
  $฀ 1,476 $฀ 1,668
 $฀35,526 $฀31,824
(a)฀ ฀Sales฀ made฀ to฀ foreign฀ governments฀ through฀ the฀ U.S.฀ Government฀ are฀ included฀ in฀
the฀foreign฀governments฀category฀above.
(b)฀ ฀International฀sales,฀including฀export฀sales฀reflected฀in฀the฀foreign฀governments฀and฀
commercial฀ categories฀ above,฀ were฀ approximately฀ $5.1฀ billion,฀ $6.0฀ billion฀ and฀
$5.6฀billion฀in฀2005,฀2004฀and฀2003,฀respectively.



(In฀millions,฀except฀฀
per฀share฀data)    
Net฀sales    
Operating฀profit    
Net฀earnings    
Basic฀earnings฀per฀share    
Diluted฀earnings฀฀
฀ per฀share฀    
2004฀Quarters
(In฀millions,฀except฀฀
per฀share฀data) First Second Third Fourth(d)
Net฀sales $8,347 $8,776 $8,438 $฀ 9,965
Operating฀profit 536 544 561 448
Net฀earnings 291 296 307 372
Basic฀earnings฀per฀share 0.66 0.67 0.69 0.84
Diluted฀earnings฀฀
฀ per฀share฀ 0.65 0.66 0.69 0.83
(a)฀ ฀Net฀ earnings฀ for฀ the฀ first฀ quarter฀ of฀ 2005฀ included฀ the฀ following฀ items:฀ a฀ gain฀
related฀to฀the฀sale฀of฀our฀25%฀interest฀in฀Intelsat,฀Ltd.฀which฀increased฀net฀earnings฀
by฀$31฀million฀($0.07฀per฀share);฀and฀a฀charge฀related฀to฀impairment฀in฀the฀value฀
of฀a฀single฀telecommunications฀satellite฀operated฀by฀one฀of฀our฀wholly-owned฀sub-
sidiaries฀which฀reduced฀net฀earnings฀by฀$19฀million฀($ 0.04฀per฀share).
(b)฀ ฀Net฀earnings฀for฀the฀second฀quarter฀of฀2005฀included฀the฀following฀items:฀recogni-
tion฀of฀a฀deferred฀gain฀related฀to฀the฀June฀2005฀initial฀public฀offering฀of฀shares฀of฀
Inmarsat฀which฀increased฀net฀earnings฀by฀$27฀million฀($ 0.06฀per฀share).
(c)฀ ฀Net฀ earnings฀ for฀ the฀ fourth฀ quarter฀ of฀ 20 05฀ included฀ the฀ following฀ items:฀ a฀ gain฀
related฀to฀the฀sale฀of฀Inmarsat฀shares฀in฀a฀private฀transaction฀which฀increased฀net฀
earnings฀ by฀ $55฀ million฀ ($ 0.13฀ per฀ share);฀ a฀ gain฀ related฀ to฀ the฀ sale฀ of฀ the฀
Corporation’s฀ interest฀ in฀ NeuStar฀ which฀ increased฀ net฀ earnings฀ by฀ $19฀ million฀
($ 0.04฀per฀share).฀
(d)฀฀Net฀earnings฀for฀the฀fourth฀quarter฀of฀2004฀included฀the฀following฀items:฀a฀charge฀
related฀to฀Pit฀9฀litigation฀which฀decreased฀net฀earnings฀by฀$117฀million฀($0.26฀per฀
share);฀a฀charge฀related฀to฀the฀early฀repayment฀of฀debt฀which฀decreased฀net฀earn-
ings฀by฀$100฀million฀($ 0.22฀per฀share);฀the฀ closure฀of฀an฀IRS฀examination฀which฀
increased฀ net฀ earnings฀ by฀ $144฀ million฀ ($ 0.32฀ per฀ share);฀ a฀ gain฀ on฀ the฀ sale฀ of฀
interest฀ in฀New฀Skies฀Satellites,฀N.V.฀which฀increased฀net฀earnings฀by฀$59฀million฀
($ 0.13฀ per฀ share);฀ and฀ a฀ gain฀ on฀ the฀ sale฀ of฀ COMSAT฀ General฀ business฀ which฀
increased฀net฀earnings฀by฀$4฀million฀($0.01฀per฀share).