Lockheed Martin (NYSE: LMT) and Advanced Electronics Company (AEC) recently celebrated the opening of the Sniper® Advanced Targeting Pod (ATP) Expanded Repair Capability center in the Kingdom of Saudi Arabia. This marks the start of operations at the first Sniper ATP support center located outside the United States. The Sniper ATP Expanded Repair Capability center provides sustainment support for Sniper ATPs, which perform different defense operations. Due to its in-Kingdom location, the center helps expedite repair times, improving readiness. It also generates in-Kingdom employment opportunities and expands the local manufacturing base. “We are proud to partner with AEC to enhance in-Kingdom technical capabilities through work performed at this center,” said Alan Chinoda, Chief Executive for Lockheed Martin in the Kingdom of Saudi Arabia. “As the sustainment hub for targeting systems in the Kingdom, the Sniper ATP Expanded Repair Capability will also help ensure fleet readiness.” “This Expanded Repair Capability center at AEC is a result of Lockheed Martin’s recognition of the AEC’s capabilities in products and services according to the highest international quality standards,” said Mohammed Al-Khalifah, Senior VP at AEC. “By working with technology leaders like Lockheed Martin, AEC can expand its manufacturing and repair base and service the needs of customers in our region. This center reaffirms and demonstrates our commitment and outstanding capabilities of our workforce, the majority of whom are Saudi Nationals.” Lockheed Martin and AEC established the Sniper ATP Expanded Repair Capability in cooperation with the Kingdom of Saudi Arabia Economic Offset Program. The center is part of an existing offset agreement between the Saudi Arabia Economic Offset Committee and Lockheed Martin. Lockheed Martin and AEC have previously collaborated on various defence products and systems which led to transfer hi-tech to Kingdom of Saudi Arabia. About AEC AEC was created under the Saudi Economic Offset Program and is the leading company in the region capable of providing sophisticated systems exceeding the most demanding international standards. AEC is involved in a number of important national defense, telecom and industrial projects. Currently more than 74 percent of AEC employees are Saudi nationals working in a variety of challenging technical and professional positions. AEC’s Charter includes the full value chain of services for advanced Electronic Products and Systems for a variety of customers. About Lockheed Martin Headquartered in Bethesda, Maryland, Lockheed Martin is a global security and aerospace company that – with the addition of Sikorsky – employs approximately 126,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. For additional information, visit our website: www.lockheedmartin.com.

• Supplier of the Year demonstrates focus on value creation, exceeding customer expectations • Strong supplier partnerships help Boeing achieve record year Boeing has awarded Saudi Arabia’s Advanced Electronics Company (AEC) a 2015 Supplier of the Year Award. Across the world, Boeing recognized 12 suppliers for the high quality of their product or service and the value they create for Boeing and its global airline and government customers. Mr. Khalid AlKhowaiter AEC President and CEO, said: “AEC is proud to receive this award from Boeing. The award reflects the substantial technical capabilities and the high quality standards exist at AEC.” He added: “AEC is also proud to work with Boeing and I highly appreciate the major role that Boeing is playing in the transfer of technology to the Kingdom of Saudi Arabia”. Mr. AlKhowaiter also expressed his profound thanks and gratitude to AEC employees for their efforts in the achievement of the award. Strong performance and close collaboration with these award-winning suppliers helped Boeing exceed customers’ expectations while contributing to Boeing’s record $96.1 billion in revenue in 2015. “I’ve witnessed firsthand the critical role that suppliers—and especially the best ones—play in Boeing’s success,” said Dennis Muilenburg, Boeing chairman, president and CEO. “Our supply chain partners help us provide our customers with more capability for less cost in today’s tough and dynamic business environment. We have ambitious goals for the future, and I know we will achieve them, in part, by working closely with our exceptional extended team.” In 2015, Boeing spent $62 billion with more than 13,000 suppliers from 47 countries. Supplier-provided components and assemblies make up approximately 65 percent of the cost of Boeing products. “We are extremely proud to be collaborating with remarkable suppliers that play a key role in the enduring relationship between Boeing and the Kingdom,” said Ahmed Jazzar, President of Boeing Saudi Arabia. “The Supplier of the Year Award is evidence of AEC’s dedication and contribution to Boeing’s success.” To view videos of the 2015 award-winning suppliers, please visit http://www.boeing.com/media/boeing-supplier-of-the-year-2015.page

In the award 3rd cycle. AEC has won King Abdul Aziz Quality Award for the second time on the category of large production organizations, since its first winning back in 2008. As usual, AEC is a pioneer in applying world class quality standards, and best practices across all its functions. We are committed toward quality, and embedded it in all our business areas. KAQA is the highest quality award in the kingdom. It is prestigious and apply very strict measurements. KAQA is the local equivalent quality award for the European Foundation for Quality Management (EFQM), and the Malcolm Baldrige American national quality award. It has substantial role in elevating local manufacturing capabilities, stimulating productivity and enrich market competitiveness. There is no doubt that wining KAQA will give us more confidence in continuing the path of excellence which will reflect on our products and service. Also, will encourage us to acquire more awards and certifications both on local and international levels.

AEC has participated at GITEX Dubai 2017 held at Dubai World Trade Center 8-12 October 2017. AEC’s showcase in this exhibition included many ICT systems and solutions designed and developed by our highly skilled engineers and technicians. AEC’s stand attracted many IT professionals and specialists and they expressed their high remarks of AEC’s substantial ICT capabilities. During GITEX Dubai 2017, AEC has signed many technical agreement and cooperation with many leading IT companies such as, Accenture, Life Ray, LTI and IKUSI. All these agreements will definitely increase the existing AEC’s technical capabilities and will lead to more business opportunities and cooperation.

Advanced Electronics Company (AEC) has been working closely with GE Aviation to localize manufacture and support of GE’s Multi-Function Display (MFD) and Pilot Display Unit (PDU) for the Saudi Hawk. Under contract from BAE Systems for the RSAF Hawk platform, AEC have been accredited by GE Aviation to build critical and highly complex aircraft modules for the GE Aviation Multi-Function Display (MFD). The delivery of these modules for the RSAF Hawk Batch II aircraft order has recently been completed to GE Aviation in Cheltenham UK. Delivery of the MFD’s, including AEC modules, is proceeding to schedule with the initial completed displays now shipped to Saudi Arabia. In addition, and in recognition of the growing relationship between BAE Systems, GE Aviation and AEC work is also well advanced to accredit AEC to manufacture and assemble the GE Aviation Head Up Display for the aircraft. This significant equipment on the Hawk will be fully manufactured and built in Riyadh and will demonstrate AECs capability in electro mechanical and optical aerospace manufacture. Initial deliveries are planned before the end of 2017. These programs demonstrate a strong commitment by BAE Systems and GE Aviation to the continued growth of AEC’s Industrialized capabilities and the local economy, and see this achievement as an important and continued step forward in developing innovative solutions as part of the Saudi Arabian Government’s 2030 Vision. This positive development is the result of great teamwork and collaboration by all parties and is very much in line with GE Aviation’s clear commitment to support the aims of Saudi Vision 2030 by transferring skills and know-how. Looking to the future, GE will continue collaborate with AEC for further ‘Through Life’ opportunities across the Hawk program.

CEO Mr. Abdulaziz Alduailej and the executive team visited BAE Systems SDT and experience the company latest training aids.