a08-24792 aeronautics 1 · a08-24792_aeronautics_1. a08-24792_aeronautics_2 agenda ... adp/ adp/...

71
A08-24792_Aeronautics_1 A08-24792_Aeronautics_1

Upload: vuongdiep

Post on 17-Jun-2018

225 views

Category:

Documents


0 download

TRANSCRIPT

A08-24792_Aeronautics_1A08-24792_Aeronautics_1

A08-24792_Aeronautics_2

AgendaAgenda

8:108:10 Opening Comments and IntroductionOpening Comments and Introduction8:208:20 Company and Program OverviewsCompany and Program Overviews

–– FF--1616–– FF--2222–– CC--130130–– Global SustainmentGlobal Sustainment–– CC--55–– PP--3 3

9:459:45 Q&AQ&A10:0010:00 BREAK and Move to Technical Support CenterBREAK and Move to Technical Support Center10:2010:20 FF--22 Sustainment Overview22 Sustainment Overview

A08-24792_Aeronautics_3

AgendaAgenda

10:3510:35 Board Buses for Transfer to BBoard Buses for Transfer to B--2 2 11:1011:10 FF--35 Program Overview 35 Program Overview 11:3011:30 Q&AQ&A11:3511:35 LUNCHLUNCH12:3012:30 FOD Briefing and Tour InstructionsFOD Briefing and Tour Instructions12:3512:35 BREAKBREAK12:4012:40 Factory TourFactory Tour2:402:40 Closing CommentsClosing Comments2:45 2:45 Board BusesBoard Buses3:003:00 Depart for Atlanta Airport Depart for Atlanta Airport

A08-24792_Aeronautics_4

Our presentation contains Our presentation contains ““forwardforward--lookinglooking”” statements or projections statements or projections based on current expectations. These statements are not guarantebased on current expectations. These statements are not guarantees of es of future performance and are subject to risks and uncertainties. Afuture performance and are subject to risks and uncertainties. Actual ctual results may differ materially due to: the availability of governresults may differ materially due to: the availability of government funding ment funding and budgetary constraints; changes in customer priorities; the iand budgetary constraints; changes in customer priorities; the impact of mpact of continued hostilities in Iraq and Afghanistan on funding for defcontinued hostilities in Iraq and Afghanistan on funding for defense ense programs; program and contract performance; return on pension plprograms; program and contract performance; return on pension plan an assets, interest and discount rates, and other changes that may assets, interest and discount rates, and other changes that may impact impact pension plan assumptions; the timing and availability of future pension plan assumptions; the timing and availability of future government government awards; the outcome of legal proceedings; awards; the outcome of legal proceedings; the future impact of the future impact of acquisitions, divestitures or joint ventures;acquisitions, divestitures or joint ventures; economic, business and economic, business and regulatory conditions and other factors. We disclaim any duty toregulatory conditions and other factors. We disclaim any duty to update update forwardforward--looking statements to reflect new developments.looking statements to reflect new developments.Our SEC filings (found at Our SEC filings (found at www.lockheedmartin.comwww.lockheedmartin.com or at or at www.sec.www.sec.govgov), ), including our 2007 Form 10including our 2007 Form 10--K and 2008 Form 10K and 2008 Form 10--Qs contain more Qs contain more information on the types of risks and other factors that could ainformation on the types of risks and other factors that could adversely dversely affect these statements.affect these statements.2008 Financial Results are Unaudited.2008 Financial Results are Unaudited.

Forward Looking StatementsForward Looking Statements

A08-24792_Aeronautics_6

Ralph HeathRalph HeathExecutive Vice PresidentExecutive Vice President

A08-24792_Aeronautics_6

Differentiation Through Differentiation Through Innovation and PerformanceInnovation and Performance

A08-24792_Aeronautics_7

Aeronautics . . . Aeronautics . . .

AeronauticsAeronautics $12.3B$12.3B

29%29%

Space Space SystemsSystems

20%20% ElectronicElectronicSystemsSystems

27%27%

IS&GSIS&GS 24%24%

Combat AirCombat Air 77%77%

AirAirMobilityMobility

13%13%

LM Sales $41.9BLM Sales $41.9B

By Line of By Line of BusinessBusiness

By CustomerBy CustomerU.S. U.S.

Government Government 78%78%

InternationalInternational(Includes FMS)(Includes FMS)

22%22%

ADP/ADP/ OtherOther 10%10%

DoubleDouble--Digit Margin Digit Margin Strong Cash FlowStrong Cash FlowLeading ROICLeading ROICFuture TopFuture Top--Line GrowthLine Growth

A08-24792_Aeronautics_7

A08-24792_Aeronautics_8

Reaching New HeightsReaching New Heights

Positioned for the FuturePositioned for the Future

A08-24792_Aeronautics_8

A08-24792_Aeronautics_9

WorldWorld--Class PerformanceClass Performance

A08-24792_Aeronautics_9

DevelopmentDevelopment

32 Aircraft32 Aircraft23 ZD23 ZD

ProductionProduction3 World3 World--Class LinesClass Lines

A08-24792_Aeronautics_10

Prepare for the FuturePrepare for the Future

UnmannedUnmanned

Long Range StrikeLong Range Strike

Advanced AirliftAdvanced Airlift

A08-24792_Aeronautics_10

A08-24792_F-16_12

John LarsonJohn LarsonVice President, FVice President, F--16 Program16 Program

A08-24792_F-16_12

FF--16: The Worldwide Choice 16: The Worldwide Choice

A08-24792_F-16_13

Setting The World StandardSetting The World Standard

•• Over 4,500 Ordered; 4,400+ Aircraft DeliveredOver 4,500 Ordered; 4,400+ Aircraft Delivered•• Worldwide Customer BaseWorldwide Customer Base

–– First Choice of 25 NationsFirst Choice of 25 Nations–– 52 Follow52 Follow--On Buys by 14 CustomersOn Buys by 14 Customers

•• Global Supply / Support SystemGlobal Supply / Support System

The WorldThe World’’s Most Successfuls Most Successful Multirole Fighter ProgramMultirole Fighter Program

A08-24792_F-16_13

A08-24792_F-16_14

Production Opportunities Driven byProduction Opportunities Driven by Affordability and Capability GrowthAffordability and Capability Growth

WorldWorld’’s Most Sought After Fighters Most Sought After Fighter

FutureFuture20002000--PresentPresent

4,5204,520

19701970--7979

998998InitialInitial

19801980--8989

3,4463,446

19901990--9999

4,0514,051

Cumulative Aircraft OrdersCumulative Aircraft Orders

A08-24792_F-16_14

SignificantSignificantInternational International

OpportunitiesOpportunities

A08-24792_F-16_15

FF--16 Capability Growth Through16 Capability Growth Through Continuous Technology InsertionContinuous Technology Insertion

Fighter Evolution at Its Best . . . Fighter Evolution at Its Best . . .

1980 1980 -- 20002000 2000 2000 -- 20102010 2010 2010 -- 20452045

•• Highest Aerodynamic Highest Aerodynamic PerformancePerformance

•• Stealth TreatmentsStealth Treatments•• Precision WeaponsPrecision Weapons

•• Sensor IntegrationSensor Integration•• Active Electronically Active Electronically

Scanned Array Radar / Scanned Array Radar / Synthetic Aperture RadarSynthetic Aperture Radar

•• NetworkNetwork--Centric Centric CommunicationCommunication

•• Enhanced Communication Enhanced Communication and Data Transfer With and Data Transfer With 55THTH Gen AircraftGen Aircraft

•• Increased Data Increased Data Processing / FusionProcessing / Fusion

•• Increased Sensor CapabilityIncreased Sensor Capability

InteroperabilityInteroperabilityWith 5With 5THTH GenGen

AllAll--Weather StrikeWeather Strike

Lethal Suppression of Enemy Air DefenseLethal Suppression of Enemy Air Defense

Multirole FighterMultirole Fighter

A08-24792_F-16_15

Synergy With Synergy With FF--22 and F22 and F--3535

A08-24792_F-16_16

•• 2008 Deliveries2008 Deliveries

The WorldThe World’’s Premier Multirole Fighters Premier Multirole Fighter

FF--16 Current Production Activity16 Current Production Activity

A08-24792_F-16_16

•• Deliveries Through 2012Deliveries Through 2012

PolandPoland IsraelIsrael

•• Significant International PotentialSignificant International Potential

GreeceGreece PakistanPakistan

TurkeyTurkey MoroccoMorocco

A08-24792_F-16_17

Redefining the Future of FRedefining the Future of F--16 Aircraft Logistics and Support16 Aircraft Logistics and Support

Sustainment Potential EnhancedSustainment Potential Enhanced by Global Customer and Supplier Baseby Global Customer and Supplier Base

A08-24792_F-16_17

ComprehensiveComprehensiveSustainmentSustainment

OfferingsOfferings

Upgrades Upgrades –– Structural, Structural, Operational Flight Operational Flight Program, AvionicsProgram, Avionics

Spares /Spares /RepairsRepairs

SupplySupplyChain MgmtChain Mgmt

TechnicalTechnicalPublicationsPublications

Training /Training /SimulationSimulation

Engineering / Engineering / Field ServicesField Services

A08-24792_F-16_18

FF--16 . . . The Worldwide Choice16 . . . The Worldwide Choice

•• Strong Competitor in the Strong Competitor in the International Marketplace International Marketplace

•• Continuous Integration Continuous Integration of New Technologiesof New Technologies

•• LongLong--Term Sustainment Term Sustainment FutureFuture

•• Bridge to FBridge to F--3535

A08-24792_F-16_18

A08-24792_F-22_20

Larry LawsonLarry LawsonExecutive Vice President and General Manager Executive Vice President and General Manager FF--22 Program22 Program

Delivering Air Dominance

A08-24792_F-22_20

A08-24792_F-22_21

Setting the StandardSetting the Standard

•• Overwhelming CapabilityOverwhelming Capability•• Fully Operational Fully Operational •• Defining 5Defining 5THTH Gen Manufacturing TechnologyGen Manufacturing Technology•• PerformancePerformance--Based Logistics Paying OffBased Logistics Paying Off

A08-24792_F-22_21

A08-24792_F-22_22

Attributes of FAttributes of F--22 Air Dominance22 Air Dominance

A08-24792_F-22_22

A08-24792_F-22_23

Production Production –– Integrated and LeanIntegrated and Lean

•• 120 Aircraft Delivered to USAF120 Aircraft Delivered to USAF

•• Unmatched Quality Unmatched Quality

•• Integrated and Lean Manufacturing TeamIntegrated and Lean Manufacturing Team

A08-24792_F-22_23

A08-24792_F-22_24

Operational BasingOperational Basing

Elmendorf AFB, AKElmendorf AFB, AK

Hickam AFB, HIHickam AFB, HI

Holloman AFB, NMHolloman AFB, NM

Langley AFB, VALangley AFB, VA

A08-24792_F-22_24

A08-24792_F-22_25

1st Fighter Wing, Langley AFB, VA1st Fighter Wing, Langley AFB, VA

•• Declared Full Operational CapabilityDeclared Full Operational Capability•• 100% Successful Live Weapon Deliveries100% Successful Live Weapon Deliveries•• 80:1 Exchange Ratios at Operation Northern Edge I80:1 Exchange Ratios at Operation Northern Edge I•• Dominance at Red Flag IDominance at Red Flag I•• Sustainment Maturity Demonstrated at KadenaSustainment Maturity Demonstrated at Kadena

A08-24792_F-22_25

A08-24792_F-22_26

3rd Fighter Wing, Elmendorf AFB, AK3rd Fighter Wing, Elmendorf AFB, AK

•• Deliveries Complete 2008Deliveries Complete 2008•• Outstanding Cold Weather PerformanceOutstanding Cold Weather Performance•• Integrated With Coalition Forces at Red Flag IIIntegrated With Coalition Forces at Red Flag II•• Raptors Critical to the Fight at Northern Edge IIRaptors Critical to the Fight at Northern Edge II•• 100% Successful Live Weapon Deliveries 100% Successful Live Weapon Deliveries •• Deployed to GuamDeployed to Guam

A08-24792_F-22_26

A08-24792_F-22_27

49th Fighter Wing, Holloman AFB, NM49th Fighter Wing, Holloman AFB, NM

•• Accelerated StandAccelerated Stand--Up Up •• 2 Aircraft in Place2 Aircraft in Place•• Deliveries Complete in 2010Deliveries Complete in 2010

A08-24792_F-22_27

A08-24792_F-22_28

Delivering Integrated Aircraft OperationsDelivering Integrated Aircraft Operations

Innovative Sustainment ConceptInnovative Sustainment Concept

•• Partnerships With USAFPartnerships With USAF•• Performance Based ContractsPerformance Based Contracts•• Automated and Integrated MaintenanceAutomated and Integrated Maintenance•• Depot ManagementDepot Management•• Base StandBase Stand--UpUp

Yields Outstanding ResultsYields Outstanding ResultsTotal Operational Flight HoursTotal Operational Flight Hours 39,12639,1262008 Operational Flight Hours 2008 Operational Flight Hours 21,95121,951Cost per Flying Hour -25% (Last 18 Months)

Pilots TrainedPilots Trained 196196Successful Base, Depots and Training StandSuccessful Base, Depots and Training Stand--UpsUps

A08-24792_F-22_28

A08-24792_F-22_29

Paving the WayPaving the Way

•• Outstanding Financial PerformanceOutstanding Financial Performance•• Revenues in Production, Sustainment and ModernizationRevenues in Production, Sustainment and Modernization•• New Lean Manufacturing Standard New Lean Manufacturing Standard •• Comprehensive Logistics Comprehensive Logistics •• Unprecedented CapabilityUnprecedented Capability•• A Technology LeaderA Technology Leader

A08-24792_F-22_29

A08-24792_C-130J_31

Ross Reynolds Ross Reynolds Vice President, CVice President, C--130 Programs130 Programs

A08-24792_C-130_31

CC--130 130 –– The Need Is NowThe Need Is Now

A08-24792_C-130J_32

CC--130J 130J –– Steadily Building BacklogSteadily Building Backlog

Dec 2007Dec 2007 Mar 2008Mar 2008 Jun 2008Jun 2008

Dec 2006Dec 2006 Jun 2007Jun 2007 Aug 2007Aug 2007 Sep 2007Sep 2007

Strong Demand and New OrdersStrong Demand and New Orders

00202040406060

8080100100120120

4Q064Q06 4Q074Q07 2Q082Q08

Airc

raft

in B

ackl

ogA

ircra

ft in

Bac

klog

39395454 6262

A08-24792_C-130_32

A08-24792_C-130J_33

HCHC--130J King / MC130J King / MC--130J Combat Talon 130J Combat Talon

EO/IR Imaging System (HCEO/IR Imaging System (HC--130H)130H)

ECHS (CECHS (C--130J)130J)Armor (C/KCArmor (C/KC--130J)130J)UARRSI (ECUARRSI (EC--130J)130J)

DualDual--Display CSO Station (ECDisplay CSO Station (EC--130J)130J)

ESL (MCESL (MC--130H)130H)

Leverages Leverages Proven SystemsProven Systems

BattleBattle--Tested KCTested KC--130J 130J (> 11,000 Combat Sorties) (> 11,000 Combat Sorties)

Expanding the Market To Meet Our CustomersExpanding the Market To Meet Our Customers’’ NeedsNeeds

A08-24792_C-130_33

A08-24792_C-130J_34

Strong, Diverse OutlookStrong, Diverse Outlook

Over 2,300 COver 2,300 C--130s Delivered With Operators in 70 Nations130s Delivered With Operators in 70 Nations. . . Strong World Wide Interest. . . Strong World Wide Interest

•• U.S. GovernmentU.S. Government–– USMC / USN KCsUSMC / USN KCs–– USAF JUSAF J--3030–– HC/MC RecapitalizationHC/MC Recapitalization

•• InternationalInternational–– Middle EastMiddle East–– AfricaAfrica–– Pacific RimPacific Rim

A08-24792_C-130_34

A08-24792_C-130J_35

Proven Production CapabilityProven Production Capability

Positioned To Increase Production RatePositioned To Increase Production Rate

•• Delivering on ScheduleDelivering on Schedule

•• Driving Quality ImprovementsDriving Quality Improvements

•• Achieving Production EfficiencyAchieving Production Efficiency

On OrderOn Order227227

A08-24792_C-130_35

Delivery Status Delivery Status as of June 2008as of June 2008

00

1212

2424

3636

4848

20072007 20082008

CC--130J Production Capacity130J Production Capacity With Existing ToolingWith Existing Tooling

No.

of A

ircra

ftN

o. o

f Airc

raft

DeliveredDelivered165165Annual Production Rate at 12 Aircraft

A08-24792_C-130J_36

Mature and Expanding Mature and Expanding Sustainment FootprintSustainment Footprint

•• Providing OEM ThroughProviding OEM Through--Life SupportLife Support•• Partnering To Create Strategic AlliancesPartnering To Create Strategic Alliances•• Offering Comprehensive Sustainment SolutionsOffering Comprehensive Sustainment Solutions•• Executing Development Roadmap for CExecuting Development Roadmap for C--130J Enhancements130J Enhancements

A08-24792_C-130_36

A08-24792_C-130J_37

SummarySummary

•• Outstanding Operational Outstanding Operational PerformancePerformance

•• Delivering Quality Delivering Quality Products on ScheduleProducts on Schedule

•• Sustainment Sustainment Opportunities ExpandingOpportunities Expanding

•• Exceptional Financial Exceptional Financial Performance Performance

CC--130 Future Is Solid130 Future Is Solid

A08-24792_C-130_37

A08-24792_Global Sustainment_39

Marillyn HewsonMarillyn HewsonExecutive Vice PresidentExecutive Vice PresidentGlobal SustainmentGlobal Sustainment

A08-24792_Global Sustainment_39

Keep Them Flying . . .Keep Them Flying . . .. . . To Perform at the Next Level. . . To Perform at the Next Level

A08-24792_Global Sustainment_40

EnvironmentEnvironment

Increased Opportunities for Increased Opportunities for GovernmentGovernment--Industry PartnershipsIndustry Partnerships

•• High Op Tempo, Budget Constraints, Aging FleetsHigh Op Tempo, Budget Constraints, Aging Fleets

•• Need To Recapitalize and Reduce Support Costs Need To Recapitalize and Reduce Support Costs

•• Receptive To Expanding Role of ContractorReceptive To Expanding Role of Contractor

A08-24792_Global Sustainment_40

•• LM WellLM Well--Positioned To Expand BusinessPositioned To Expand Business–– Strong Portfolio of Aircraft Strong Portfolio of Aircraft –– OEM KnowOEM Know--How, Intellectual Property, How, Intellectual Property,

Innovation, Logistics Infrastructure Innovation, Logistics Infrastructure

A08-24792_Global Sustainment_41

Global Sustainment ServicesGlobal Sustainment Services

Adaptable Business Model With Global ReachAdaptable Business Model With Global Reach

Supply Chain Supply Chain ManagementManagement

TechnicalTechnical PublicationsPublications

SupportSupport EquipmentEquipment

TrainingTraining

Depot Maintenance Depot Maintenance and Repairsand Repairs Engine Maintenance, Engine Maintenance,

Repair and OverhaulRepair and Overhaul

MaintenanceMaintenance ManagementManagement

SparesSpares RepairsRepairs RetrofitRetrofit

Field SupportField Support

Support CentersSupport Centers

Sustainment Sustainment IntegrationIntegration

ModificationsModifications and Upgradesand Upgrades

Site ActivationSite Activation

A08-24792_Global Sustainment_41

A08-24792_Global Sustainment_42

Performance Based LogisticsPerformance Based Logistics

PBL Drives 30+ Year Value StreamPBL Drives 30+ Year Value StreamA08-24792_Global Sustainment_42

•• Performance ContractingPerformance Contracting•• Design for SustainmentDesign for Sustainment•• Supply Chain ManagementSupply Chain Management

MRO SupportMRO Support

Guaranteed AvailabilityGuaranteed AvailabilityReduced Operations and Support CostsReduced Operations and Support Costs

Parts and RepairsParts and RepairsGlobal Delivery System

USG and IntUSG and Int’’l Depotsl Depots

Operational UserOperational User

Supplier BaseSupplier Base

LockheedLockheed MartinMartin

A08-24792_Global Sustainment_43

Integrated Business ModelIntegrated Business Model

Committed To Providing Committed To Providing Capabilities Throughout Life CycleCapabilities Throughout Life Cycle

Research & Research & DevelopmentDevelopment

SustainmentSustainment ServicesServices

ProductionProductionProgramProgram

ManagementManagement

A08-24792_Global Sustainment_43

A08-24792_Global Sustainment_44

Global Sustainment . . .Global Sustainment . . . Managing Globally Managing Globally –– Delivering LocallyDelivering Locally

. . . We Keep Them Flying. . . We Keep Them FlyingA08-24792_Global Sustainment_44

A08-24792_C-5_46

George ShultzGeorge ShultzVice President, CVice President, C--5 Modernization Program5 Modernization Program

A08-24792_C-5_46

CC--5M Super Galaxy5M Super GalaxyWorldWorld’’s Most Capable Strategic Airlifters Most Capable Strategic Airlifter

A08-24792_C-5_47

Why Modernize the CWhy Modernize the C--5?5?

Fleet Production HistoryFleet Production History19691969 19731973 19861986 19891989

81 C81 C--5A5A’’ss19811981ReRe--wing Awing A’’ss 50 C50 C--5B5B’’ss

19991999

CC--5M5M20162016

A08-24792_C-5_47

•• Improves Availability / Reduces Total Ownership CostImproves Availability / Reduces Total Ownership Cost

•• Multiple Studies Validate Value of CMultiple Studies Validate Value of C--5 Modernization5 Modernization

•• The CThe C--5 Has 70% Structural Life Remaining5 Has 70% Structural Life Remaining

•• CC--5 Sized Aircraft Critical for National Defense5 Sized Aircraft Critical for National Defense

•• No Current USAF Plans for CNo Current USAF Plans for C--5 Replacement 5 Replacement CapabilityCapability

Fleet InventoryFleet Inventory 62 C62 C--5A5A’’ss 49 C49 C--5B5B’’ss

A08-24792_C-5_48

Phase I Phase I –– Avionics Modernization Program (AMP)Avionics Modernization Program (AMP)

42 C42 C--5 AMP Aircraft Delivered to Date5 AMP Aircraft Delivered to Date

A08-24792_C-5_48

A08-24792_C-5_49

Fuel SystemFuel SystemFuel System Flight ControlsFlight ControlsFlight Controls

Structural Mods

Structural Structural ModsMods

Electrical SystemElectrical SystemElectrical System

Hydraulic SystemHydraulic SystemHydraulic System

Pneumatic SystemPneumatic SystemPneumatic System

Phase II Phase II –– Reliability Enhancement Reliability Enhancement and Reand Re--engining Program (RERP)engining Program (RERP)

Power PlantPower PlantPower Plant

GE CF6GE CF6GE CF6

A08-24792_C-5_49

•• Three Airplanes ModifiedThree Airplanes Modified

•• Test Nearing CompletionTest Nearing Completion

A08-24792_C-5_50

CC--5M Acquisition Decision 5M Acquisition Decision Memorandum SummaryMemorandum Summary

•• Avionics Modernization of Total Fleet (111 Aircraft)Avionics Modernization of Total Fleet (111 Aircraft)

•• Restructured CRestructured C--5 RERP Program Consists 5 RERP Program Consists of 49 Cof 49 C--5s5s

•• USAF To Pursue Fleet Performance Based USAF To Pursue Fleet Performance Based Logistics (PBL) Logistics (PBL)

•• Lot 1 Production Contract Awarded April 2008Lot 1 Production Contract Awarded April 2008

““I certify with respect to the restructured CI certify with respect to the restructured C--5 RERP program that 5 RERP program that such acquisition program is essential to national security . . .such acquisition program is essential to national security . . .””

John Young Jr., 14 Feb 2008John Young Jr., 14 Feb 2008

A08-24792_C-5_50

A08-24792_C-5_51

CC--5 Modernization Schedule5 Modernization Schedule

• AMP Production Contract Award Mar 2003• RERP Developmental Test Completes Aug 2008• AMP Sustainment Contract Award Nov 2005, RERP in 2009

•• AMP Production Contract Award Mar 2003AMP Production Contract Award Mar 2003•• RERP Developmental Test Completes Aug 2008RERP Developmental Test Completes Aug 2008•• AMP Sustainment Contract Award Nov 2005, RERP in 2009AMP Sustainment Contract Award Nov 2005, RERP in 2009

RERPRERP RERP IOCRERP IOC

Milestone C Milestone C Operational Test & Evaluation (OT&E)Operational Test & Evaluation (OT&E)

01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17

SustainmentSustainment

AMPAMP

Revitalizing Strategic Airlift Through 2040Revitalizing Strategic Airlift Through 2040

A08-24792_C-5_51

Thru 2040Thru 2040

ProductionProduction

Test/TrainingTest/TrainingDevelopmentDevelopment

ProductionProduction

DevelopmentDevelopment

AMPAMP RERPRERP

A08-24792_C-5_52

•• Most Cost Effective Most Cost Effective Airlift SolutionAirlift Solution

•• RERP Recertification RERP Recertification Solidifies USAF Solidifies USAF SupportSupport

•• Provides Sustainment Provides Sustainment Opportunities Opportunities Through 2040Through 2040

Modernizing Today, Modernizing Today, Sustaining for the FutureSustaining for the Future

A08-24792_C-5_52

A08-24792_P-3_54

Ray BurickRay BurickVice President, PVice President, P--3 / S3 / S--3 Programs3 Programs

A08-24792_P-3_54

The PThe P--3 Orion Forces3 Orion ForcesEnabling Operational Effectiveness for Decades to ComeEnabling Operational Effectiveness for Decades to Come

A08-24792_P-3_55

Continuing and Growing Demand After 45+ YearsContinuing and Growing Demand After 45+ Years

•• Vital To Maintaining CapabilityVital To Maintaining Capability–– Submarine Detection and ProsecutionSubmarine Detection and Prosecution–– Oil and Natural Gas ResourcesOil and Natural Gas Resources–– Homeland Security / Drug InterdictionHomeland Security / Drug Interdiction

•• Critical Role in GWOTCritical Role in GWOT–– Littoral / Overland SurveillanceLittoral / Overland Surveillance–– Signals IntelligenceSignals Intelligence

•• 400+ P400+ P--3s in Active Service 3s in Active Service With 21 CustomersWith 21 Customers

World Standard in Maritime PatrolWorld Standard in Maritime Patrol

A08-24792_P-3_55

A08-24792_P-3_56

Leading the Way To Continued OperationsLeading the Way To Continued Operations

Life Cycle Commitment To Our CustomersLife Cycle Commitment To Our Customers

Total RangeTotal Range--ofof--Life Life Extension Programs Extension Programs for Aircraft Structure for Aircraft Structure and Systemsand Systems

LifeLife--Cycle Support Such asCycle Support Such asPerformancePerformance--Based Based

Solutions, Engineering Solutions, Engineering Services, MRO and Services, MRO and

Field ServiceField Service

Mission System and Sensor Mission System and Sensor Upgrades and Continuous Upgrades and Continuous Technology InsertionsTechnology Insertions

A08-24792_P-3_56

A08-24792_P-3_57

Our Unique Reachback Ensures AffordableOur Unique Reachback Ensures AffordableValue Added EnhancementsValue Added Enhancements

OEM Life Extension ProgramOEM Life Extension Program

•• Replacement of Critical Replacement of Critical Components for Components for Additional 15,000 FltAdditional 15,000 Flt--Hrs Hrs Structural LifeStructural Life

•• Significantly Reduces Significantly Reduces Maintenance BurdenMaintenance Burden

•• Tailored to Near and Tailored to Near and Long Term Customer Long Term Customer NeedsNeeds

PP--3 LEP Core Kit3 LEP Core Kit

Conditional ReplacementsConditional Replacements

A08-24792_P-3_57

A08-24792_P-3_58

2008 2009 2010 2011 2012

The Wing Is In ProductionThe Wing Is In Production

•• Norway Assembly InitiatedNorway Assembly Initiated

•• 10 Wings on Order10 Wings on Order

•• 44 Near44 Near--Term OpportunitiesTerm Opportunities

•• Leverage Synergy WithLeverage Synergy With CC--130 Production Line130 Production Line

A08-24792_P-3_58

Wing Customers Continue To ExpandWing Customers Continue To ExpandOn On

ContractContractOrder OpportunitiesOrder OpportunitiesNear TermNear Term OtherOther

NorwayNorway 66U.S. CustomsU.S. Customs 44 1010 22U.S. NavyU.S. Navy 1212 3232TaiwanTaiwan 1212CanadaCanada 1010

TotalTotal 1010 4444 3434

A08-24792_P-3_59

Uniquely Qualified to Long Term Uniquely Qualified to Long Term Sustainment of a World Class CapabilitySustainment of a World Class Capability

A08-24792_P-3_59

•• Capability Pull Continues From Our CustomersCapability Pull Continues From Our Customers

•• Tangible Commitment to Long Term PTangible Commitment to Long Term P--3 Sustainment3 Sustainment

•• Sustainment Opportunities for the Next 20+ YearsSustainment Opportunities for the Next 20+ Years

A08-24792_F-35_61A08-24792_F-35_61

Tom BurbageTom BurbageExecutive Vice PresidentExecutive Vice PresidentGeneral Manager FGeneral Manager F--35 Program Integration35 Program Integration

FF--35 Lightning II35 Lightning II Delivering the PromiseDelivering the Promise

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

A08-24792_F-35_62

•• Revolutionary Capability Revolutionary Capability –– Restores Restores Airpower AdvantageAirpower Advantage

•• Affordable Recapitalization Affordable Recapitalization –– WorldwideWorldwide

•• True Security Cooperation True Security Cooperation –– Enduring RelationshipsEnduring Relationships

FF--35 . . . Delivering the Promise35 . . . Delivering the Promise

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

F-35 – An Unprecedented Value PropositionFF--35 35 –– An Unprecedented Value PropositionAn Unprecedented Value Proposition

A08-24792_F-35_62

A08-24792_F-35_63DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

Fighter Recapitalization Fighter Recapitalization Fighter Recapitalization

FF--35 Is the Future35 Is the Future

A08-24792_F-35_64

FF--35 Program Schedule35 Program Schedule

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

System Development

and Demonstration

(SDD)

System Development

and Demonstration

(SDD) DevelopmentalDevelopmentalOperational Operational

Low-Rate Initial

Production (LRIP)

Low-Rate Initial

Production (LRIP)

20152014

USMCUSMC USAF USNUSNUSAF / USMC USAF / USMC USNUSN

EOQ

USNUSN

USAFUSAF

AAAA--1 (15 Dec)1 (15 Dec)USMCUSMC

LRIP 1 (2)LRIP 1 (2)LRIP 2 (12)LRIP 2 (12)

LRIP 3 (19)LRIP 3 (19)LRIP 4LRIP 4

LRIP 5LRIP 5

LRIP 7LRIP 7LRIP 6LRIP 6

Multiyear 1

Initial Operational Capability

Initial Operational Capability

Planned U.S. Production•

Air Force 1,763 A/C•

Dept of Navy 680 A/CPlanned International Production > 800

Critical Design ReviewsCritical Design Reviews

First FlightsFirst Flights

Test CompletionsTest Completions

CATB (23 Jan)CATB (23 Jan)

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

BFBF--1 (11 Jun)1 (11 Jun)

A08-24792_F-35_65DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited A08-24792_F-35_65

First FFirst F--35B STOVL in Test35B STOVL in Test

A08-24792_F-35_66

ObjectivesObjectives•• Mission Systems Risk Mission Systems Risk

Reduction / ConfirmationReduction / Confirmation•• Mission Systems FusionMission Systems Fusion

200920092009200911 June 11 June ‘‘080823 Jan 23 Jan ‘‘0707

CVCVCTOLCTOLSTOVLSTOVLCATBCATB

AAAA--1 Objectives1 Objectives•• Risk ReductionRisk Reduction•• Basic Envelope ExpansionBasic Envelope Expansion•• Systems IntegrationSystems Integration

BFBF--1 Objectives1 Objectives•• Risk Reduction / STOVLRisk Reduction / STOVL•• Envelope ExpansionEnvelope Expansion•• Systems IntegrationSystems Integration

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

Flight Test AccomplishmentsFlight Test Accomplishments

A08-24792_F-35_66

A08-24792_F-35_67

FF--35 Production Profile35 Production Profile

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

Buy YearsBuy YearsApproximately 24 Months From Buy Year to First Delivery Approximately 24 Months From Buy Year to First Delivery

00

5050

100100

150150

200200

250250

20072007 20082008 20092009 20102010 20112011 20122012 20132013 20142014 20152015 20162016 20172017

Num

ber o

f Airc

raft

Num

ber o

f Airc

raft U.S. Buy U.S. Buy

International Buy International Buy

A08-24792_F-35_67

A08-24792_F-35_68

Global DeliveryGlobal DeliverySystemSystem

Global Delivery System Enables ALGS and Production SuccessGlobal Delivery System Enables ALGS and Production Success

Autonomic Logistics Autonomic Logistics and Global Sustainment and Global Sustainment

(ALGS)(ALGS)

Fighter Production Fighter Production SystemSystem

Integrated Supply Chain Management Integrated Supply Chain Management

DISTRIBUTION STATEMENT A. Approved for public release; distribution is unlimited. A08-24792_F-35_68

A08-24792_F-35_69

The Future Is FlyingThe Future Is Flying

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

Delivering on the PromiseDelivering on the Promise

•• Unprecedented Unprecedented CapabilitiesCapabilities

•• Joint / Coalition Joint / Coalition InteroperabilityInteroperability

•• Worldwide PartnershipsWorldwide Partnerships

•• Revolutionary Revolutionary ManufacturingManufacturing

A08-24792_F-35_69

A08-24792_F-35_70

55THTH Generation ManufacturingGeneration Manufacturing

All SDD and 4 LRIP Aircraft All SDD and 4 LRIP Aircraft Now in Production FlowNow in Production Flow

A08-24792_F-35_70DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited