Lockheed Martin

Abdalrahim Abudayya

Outlines

Introduction Job-segments Net earnings History Present situation Future vision Biggest project Lockheed Martin in Turkey

Introduction

Lockheed Martin : is an American global aerospace, defense, security and advanced technology company with worldwide interests. It was formed by the merger of Lockheed Corporation with Martin Marietta in March 1995. It is headquartered in Bethesda, Maryland, in the Washington DC area. Lockheed Martin employs 150,000 people worldwide. Marillyn Hewson is the current President and Chief Executive Officer.

Lockheed Martin is one of the world's largest defense contractors, in 2009, 74% of Lockheed Martin's revenues came from military sales. It received 7.1% of the funds paid out by the Pentagon.

Segments

Lockheed Martin operates in five business segments.1) Aeronautics2) Information Systems & Global Solutions3) Missile and Fire Control4) Mission Systems and Training5) Space Systems.

In 2009 US government contracts accounted for $38.4 billion (85%), foreign government contracts $5.8 billion (13%), and commercial and other contracts for $900 million (2%). In both 2009 and 2008 the company topped the list of US federal government contractors.

The company has received the Collier Trophy six times, including in 2001 for being part of developing the X-35/F-35B LiftFan Propulsion System, and most recently in 2006 for leading the team that developed the F-22 Raptor fighter jet. Lockheed Martin is currently developing the F-35 Lightning II.

Net earning “ 1995, 2008, 2013 ”

In 1995 the net earning was 682 In 2008 the net earning was 3,217 In 2013 the net earning was 2,981

Past… 1990s Merger talks between Lockheed Corporation and Martin Marietta began in March

1994, with the companies announcing their $10 billion planned merger on August 30, 1994.

Both companies contributed important products to the new portfolio. Lockheed products included the Trident missile, P-3 Orion, F-16 Fighting Falcon, F-22 Raptor, C-130 Hercules, A-4AR Fightinghawk and the DSCS-3 satellite. Martin Marietta products included Titan rockets, Sandia National Laboratories, Space Shuttle External Tank, Viking 1 and Viking 2 landers, the Transfer Orbit Stage and various satellite models.

On April 22, 1996, Lockheed Martin completed the acquisition of Loral Corporation's defense electronics and system integration businesses for $9.1 billion, the deal having been announced in January. The remainder of Loral became Loral Space & Communications.

Lockheed Martin abandoned plans for a $8.3 billion merger with Northrop Grumman on July 16, 1998, due to government concerns over the potential strength of the new group; Lockheed/Northrop would have had control of 25% of the Department of Defense's procurement budget.

Lockheed Martin provided NASA with measurements in US Customary force units when metric was expected, resulting in the loss of the Mars Climate Orbiter at a cost of $125 million. The cost for spacecraft development was $193.1 million.

2000s

In 2001, Lockheed Martin won the contract to build the F-35 Lightning II; this was the largest fighter aircraft procurement project since the F-16, with an initial order of 3,000 aircraft.

On May 12, 2006, The Washington Post reported that when Robert Stevens took control of Lockheed Martin in 2004, he faced the dilemma that within 10 years 100,000 of the about 130,000 Lockheed Martin employees – more than three-quarters – would be retiring.

On August 31, 2006, Lockheed Martin won a $3.9 billion contract from NASA to design and build the CEV capsule.

On August 13, 2008, Lockheed Martin acquired the government business unit of Nantero, Inc., a company that had developed methods and processes for incorporating carbon nanotubes in next-generation electronic devices .

Future

Lockheed Martin had the strongest portfolio, the best reputation, and the most promising prospects of any enterprise in the defense business.

Lockheed Martin isn’t just the biggest defense company in the world, it’s the biggest defense company in the history of the world.

Marillyn Hewson is a realist ready to make tough choices.  She knows that Lockheed Martin’s future success depends on keeping shareholders rewarded, customers satisfied, employees engaged and competitors at bay.

Robert J. StevensChairman, President and Chief Executive Officer, Lockheed Martin CorporationHelsinki, Finland - 10/02/2009

“The F-35 clearly serves as a model for future programs and we're committed to that vision.”

F-35Participant nations:• Primary customer: United

States

1. Level 1 partner: Israel2. Level 2 partner: United

Kingdom3. Level 3 partners: Italy

and the Netherlands4. Level 4 partners:

Australia, Canada, Denmark, Norway, and Turkey

Turkey A member of the international F-35 Joint Strike Fighter (JSF) team,

Turkey worked closely with Lockheed Martin on the System Development and Demonstration (SDD) phase of the JSF program, enabling Turkey to influence elements of the aircraft’s design.

Major programs in Turkey include: F-16 Fighting Falcons- Through a joint venture with Turkish Aircraft

Industries (TAI), Turkey coproduces F-16 Fighting Falcons, manufacturing up to 75 percent of its own F-16 order.

Fixed Wing Sensors - Sniper ATPs and LANTIRN ER navigation pods provide a significant capability upgrade to the Turkish Air Force’s F-16 fleet. LANTIRN ER's 3rd generation navigation FLIR and enhanced image processing allow aircrews to go far beyond their current capability, and Sniper ATP provides enhanced target detection and identification, expanding the F-16's ability to conduct non-traditional intelligence, surveillance and reconnaissance operations.