We encourage all 80,000 of our employees to take responsibility for conserving energy at work and at home, and to help our company become a role model for energy conservation and efficiency.

During 2005, Raytheon achieved more than $3.8 million in energy cost savings due to a wide variety of initiatives at facilities across the United States. This saved approximately 37 million kilowatt hours of electrical consumption — the equivalent of providing power for 3,700 homes for one year or removing the emissions from 4,672 vehicles from U.S. roads.

Once again, Raytheon was very active as an Energy Star® partner in 2005. We helped the EPA develop the Energy Star guide titled “Teaming Up to Save Energy,” a how-to guide to building an energy management team.

Raytheon’s contribution to Energy Star is part of a broader national effort in which more than 7,000 organizations participate. In 2004, Americans, with the help of Energy Star, saved about $10 billion on their energy bills and helped avoid 24,000 megawatts of peak power — enough energy to power 24 million homes while reducing the greenhouse gas emissions equivalent to those of 20 million cars. The Energy Star label has become the national symbol of energy efficiency and is recognized by more than 60 percent of the American public. Raytheon has been an Energy Star partner since 1999 and continues to be recognized by the EPA as a strong leader in energy management.

In September 2005, Raytheon was recognized as the Blue Star Corporate Leader at the annual World Energy Engineering Congress (WEEC) in Austin, Texas. The 15 Raytheon employees who attended the WEEC event were able to gather knowledge and best practices from the conference proceedings. The attendees also participated in a preconference Enterprise Energy Team meeting, which allowed team members to share best practices and develop companywide energy-reduction strategies and objectives.