PORTSMOUTH, R.I., and SOPHIA ANTIPOLIS, France, (April 3, 2002) - Raytheon Company and Thales have agreed to cooperate for potential further upgrades to the AN/SQQ-32 Minehunting Sonars currently in service on the United States Navy Avenger and Osprey Class Surface Mine Countermeasure (SMCM) ships. Raytheon's Naval & Maritime Integrated Systems (N&MIS) and Thales Underwater Systems (TUS) expect to sign a teaming agreement by June 1, 2002.

By leveraging ongoing high-frequency, wide-band programs at the two companies, the Raytheon-Thales team is uniquely qualified to improve and enhance shallow- and deep-water search performance against evolving new threats.

The Raytheon AN/SQQ-32 independently displays search and classification information, using separate classification transducers in a stabilized variable depth body. Thales supplies the Classification Arrays to Raytheon for these sonars. With photo-quality resolution, AN/SQQ-32 can discriminate between actual mines and mine-like contacts. This capability greatly decreases false target reporting, and increases classification capability.

Proposed enhancements to the AN/SQQ-32 include incorporating the latest high-frequency, wide-band sonar technology to enhance the sonar's effectiveness against increasingly stealthy mines in shallow waters."

"This is an excellent example of a partnership that leverages the strengths of two leading technology companies for the benefit of our customers," said Dan Smith, vice president and general manager of N&MIS.

"This enlargement of the cooperation between our two companies builds on the synergies gained from our previous successful partnership," said Mel Purvis, Minewarfare director for Thales Underwater Systems.

Thales Underwater Systems (part of the Thales group) is a world leader in the design and development of sonars and allied technologies for Anti-Submarine Warfare and Mine

Countermeasures. The mission of Raytheon's Naval & Maritime Integrated Systems is to be globally acknowledged as a premier supplier of Naval and Maritime integrated systems through partnership with customers and teammates. Under the teaming agreement, Raytheon will serve as system prime and Thales will act as subcontractor to Raytheon for all shallow water AN/SQQ-32 Minehunting Sonar improvements and related business opportunities.

With headquarters in Lexington, Mass., Raytheon Company (NYSE: RTN) is a global technology leader in defense, government and commercial electronics, and business and special mission aircraft.

Thales is a European leader and global front-runner in professional electronics in three key markets: Aerospace, Defense, and Information Technology and Services. The Group employs 65,000 people worldwide of whom 50 percent are based outside of France.

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