Air Force Awards Boeing $172.3 Million for Two GPS Satellite Contract<br />Options<br /><br />ST. LOUIS, January 24, 2005 - The U.S. Air Force awarded Boeing [BA: NYSE:]<br />two GPS IIF contract options valued at $172.3 million.<br /><br />"These award options indicate exceptional customer confidence in our work on<br />the GPS program, "said John Fuller, vice president for Boeing Air Force<br />Space Systems. "Last December one of our GPS II satellites completed its 15<br />th year on orbit, which is well beyond its 7.5 year design life. This is the<br />type of program execution and performance the customer wants and that we<br />plan to deliver."<br />The first award is a $143.9 million contract modification to the existing<br />Navstar Global Positioning System (GPS) Block IIF contract that exercises<br />the option to begin production of three satellites, Space Vehicles (SV) 07<br />through 09. These satellites will be completed by June 2008.<br /><br />A second contract for $28.4 million exercises an option for long-lead<br />hardware for the production of an additional three GPS IIF satellites, SV-10<br />through 12. The first three GPS IIF spacecraft currently are in various<br />stages of assembly, integration and test at Boeing Satellite Systems in El<br />Segundo , Calif.<br />The GPS IIF satellites are designed for flexibility and growth, have<br />improved anti-<br />jam capability and secure operational military codes. Additionally, the IIF<br />satellites built under this contract option will enable the Air Force to<br />sustain the overall GPS constellation at peak performance to support global<br />military needs. The first GPS IIF launch is scheduled for 2007.<br /><br />The Space and Missile Systems Center manages the GPS program through a joint<br />program office at Los Angeles Air Force Base, Calif.<br />A unit of The Boeing Company, Integrated Defense Systems is one of the<br />world's largest space and defense businesses. Headquartered in St. Louis ,<br />Boeing Integrated Defense Systems is a $27 billion business. It provides<br />network-centric systems solutions to its global military, government and<br />commercial customers. It is a leading provider of intelligence, surveillance<br />and reconnaissance systems; the world's largest military aircraft<br />manufacturer; the world's largest satellite manufacturer and a leading<br />provider of space-based communications; the primary systems integrator for<br />U.S. missile defense and Department of Homeland Security; NASA's largest<br />contractor; and a global leader in launch services.<br />###<br />Contacts:<br />Erik Simonsen<br />The Boeing Company<br />562-496-5692<br />erik.simonsen@boeing.com<br />Robert Villanueva<br />The Boeing Company<br />714-372-2089<br />robert.s.villanueva@boeing.com