Lockheed Martin 2013 Annual Report Download - page 5

2013 AnnuAl RepoRt
III
Our continued focus on affordability is helping us
adapt to our customers’ budget constraints. Costs of
the airframe have declined 55 percent from initial
production ghters to those rolling off the production
line today. And we’re continuing our efforts to decrease
costs across the entire program.
Littoral Combat Ship (LCS): It’s “full speed ahead” for
the LCS program as the eet continues to grow. A fast,
maneuverable surface combatant, the LCS is a exible,
versatile platform built for today’s dynamic global
security environment. This operational exibility means
it can take on missions ranging from mine-clearing
to anti-submarine and anti-surface warfare, as well as
security and humanitarian missions in both coastal and
open waters. This year the USS Freedom deployed to
Southeast Asia and participated in its rst Cooperation
Aoat Readiness Training exercise. And USS Freedom
delivered humanitarian assistance and disaster relief
supplies to the Philippines in response to the devastation
caused by Typhoon Haiyan. The USS Fort Worth
completed nal contractor trials in San Diego, and in
December we launched the Milwaukee. Construction of
the Detroit, Little Rock, and Sioux City is under way.
Missile Defense: Our air and missile defense systems
demonstrated an unmatched ability to protect against
the full spectrum of 21st century threats — from hostile
aircraft to cruise and ballistic missiles. Years ago we
pioneered the combat-proven “hit-to-kill” technology
that defeats incoming targets and their payloads through
force of impact alone. Three of our business segments
participated in a ground-breaking Missile Defense
Agency test that proved the value of an integrated,
layered missile shield. Aegis Ballistic Missile Defense;
the Terminal High Altitude Area Defense (THAAD);
and the Command, Control, Battle Management and
Communications systems worked together to intercept
two ballistic missile targets that were launched nearly
simultaneously. In addition, the Medium Extended Air
Defense System (MEADS), ring PAC-3 Missiles,
intercepted and destroyed two targets attacking
simultaneously from opposite directions — an
unprecedented feat. These tests proved yet again that
the capability and maturity of our portfolio of missile
defense systems are unequaled.
We continue to see strong demand for our missile
defense systems. In 2013 we signed a $3.9 billion
THAAD production contract that includes systems for
both the U.S. Army and the United Arab Emirates, and
Kuwait became the sixth international customer for the
PAC-3 Missile.
Information Technology: On the IT front, we marked
major deliveries and strategic international growth in
2013. We delivered new crime-solving capabilities via
the FBI’s Next Generation Identication system that
improve latent ngerprint search accuracy to help solve
cold cases and advance crime-solving capabilities. We
were also awarded a contract to provide the United
Kingdom’s Ministry of Justice with Service Integration
and Management support to deliver consolidated IT
services across the organization’s complex, multi-
supplier IT environment. And we were selected to
design and secure the Active Network Infrastructure for
NATO’s new headquarters in Brussels, Belgium.
As industry and government face growing threats
from persistent cyber attackers, we have been equally
determined in defending against them. For our cyber
security customers — and for our own internal networks
— we have developed robust threat detection and
mitigation processes for safeguarding IT resources and
securing vital assets.
Satellites and Space Systems: Our space portfolio
marked a number of milestone launches in 2013.
In March, the U.S. Air Force’s second Space Based
Infrared System (SBIRS) Geosynchronous Earth Orbit
(GEO-2) satellite also launched successfully. SBIRS
delivers critical missile warning information that helps
protect the U.S. and its allies. The second Mobile User
Objective System (MUOS) satellite was launched
in July. The MUOS constellation delivers secure,
prioritized voice and data communications, a rst for
mobile warghters who need high-speed mission data
on the move. NASA’s Mars Atmosphere and Volatile
EvolutioN (MAVEN) spacecraft launched in November
from Cape Canaveral Air Force Station, Florida. As
pictured on the cover of this annual report, MAVEN will
perform the rst dedicated mission to survey the upper
atmosphere of Mars.
Positioning for the Future
With U.S. federal budgets under pressure and long-term
scal challenges on the horizon, we’re taking proactive
measures to position Lockheed Martin for growth
and continued success. Our major areas of focus are
growing internationally, improving our affordability and
innovating for growth.
Growing Internationally: Lockheed Martin is a global
company. We do business in 70 nations around the
world and have more than 1,000 global partnerships.