LEXINGTON, Mass., April 27, 1999 - Raytheon Systems Company, a unit of Raytheon Company (NYSE: RTNA, RTNB), today announced it has been awarded a multi-million dollar contract from Boeing Company to deliver both a T-45C operational flight trainer and instrument flight trainer.

This contract marks the sixth production award Raytheon has received from Boeing since the inception of the T-45 training system program in 1986. Under this contract, Raytheon will be delivering its fourth T-45C operational flight trainer and third T-45C instrument flight trainer. In addition, under previous production contracts Raytheon has delivered six T-45A operational flight trainers and two T-45A instrument flight trainers to support program training requirements.

Both T-45A and T-45C training devices are used by the Navy to qualify new pilots for transition to the F/A-18E/F Super Hornet, F-14 Tomcat or AV-8B Harrier jump jet.

The T-45C operational flight trainer is used by student pilots to practice airfield and carrier takeoffs and landings, formation flight, weapons delivery and low-level flying. This training regimen enables pilots to practice a designated mission prior to flying the aircraft.

The T-45C instrument flight trainer is used by the Navy to teach student pilots in the intermediate and advanced strike fighter training curriculum. The instrument flight trainer offers the same high degree of cockpit fidelity that student pilots experience in the operational flight trainer, but is configured without a visual system or functional head-up display.

"At Raytheon we're proud of the contributions we've made to the T-45 training system program for over a decade," said Gary Nesta, director of Flight Simulation at Raytheon Systems Company. "Raytheon-built T-45 training devices are producing significant cost savings today, enabling pilots to receive a comprehensive level of training while reducing total student pilot training time by 15 percent."

Three previously-delivered T-45C trainers, located at Naval Air Station Meridian in Meridian, Miss., are being used today to train new pilots on the service's modern T-45 "glass cockpit" jet trainer. Currently Raytheon also is in the process of completing the final assembly and hardware and software integration process on two additional T-45C simulators that will be ready for training at NAS Meridian later in 1999.

The T-45A operational flight trainers and instrument flight trainers, all which are being used for training at Naval Air Station Kingsville in Kingsville, Tex., use analog cockpit gauges and the Navy currently plans to update these trainers to the T-45C glass cockpit configuration.

Raytheon Company, based in Lexington, Mass., is a global technology leader that provides products and services in the areas of commercial and defense electronics, engineering and construction, and business and special mission aircraft. Raytheon has operations throughout the United States and serves customers in more than 80 countries around the world.