Boeing pursues an aggressive international strategy to expand its global footprint and compensate for declining US defense spending. It establishes research centers, partnerships and joint ventures around the world. Boeing leverages its large commercial airplane division to offer competitive pricing for defense contracts. Key regions of focus include Asia-Pacific, Europe, Middle East, Brazil and Australia where Boeing has major presences and strategic partnerships.

1. Boeing International Strategy
Builds strong international relationships prior to critical competitions, referred
to as “One Boeing Approach”
• Partners with in-country companies/suppliers to boost local jobs and industry
• Includes technology/knowledge transfer in bids, not necessarily from Boeing
1
Defense, Space and Security (BDS) division
• Establishes Research & Technology centers in regions/countries with long-term
significant market potential –Europe, Australia, India, China, Russia, and Brazil
• Maintains 11 consortia, 14 joint research centers, and more than 50 international
research centers in approximately 35 nations for research in areas such as
biofuels, manufacturing processes, and aerostructures
• “We have been increasingly active in the communities in which we live and work.
In 2012, Boeing—along with its employees, retirees and charitable trust—
invested $179 million in communities around the world.”- “2013 Address to
Shareholders”, Jim McNerney, Chairman, President and CEO of Boeing, April 29,
2013
Utilizes strength, size, and goodwill associated with Boeing Commercial
Airlines
• Boeing leverages Commercial Airplane division’s huge financial backlog in order
to offer more competitive pricing for BDS contracts than the rest of the Big 5
A&D companies are able to
• Leading US exporter for over a decade
Source: Boeing website

2. 2
Boeing General Facts
• $81.7B in revenue (up $12.963B, or 19% from 2011)
• $44.1B in International revenue, 54% of total revenue
(Commercial + Defense, up 4% from 2011)
• $7.8B in International BDS revenue, 24% of total BDS
revenue (up 7% from 2011)
• $390B total backlog (Commercial + Defense, up $34.8B, or
10% from 2011)
• $71B total BDS backlog (up $11B, or 18% from 2011)
• 42% of BDS division’s backlog from International customers
• $70B in new orders for Commercial Airlines, $44B in new
orders for BDS (combined, 36% of total backlog)
• 70% of Boeing Commercial Airplanes division’s total
backlog from International customers
• $3.9B in net income (down $.12B, or 3% from 2011)
Source: Boeing website

3. 3
Boeing Sales by Division (2012)
Total Sales
$81.7B
$32,607
40%
$49,127
60% $16,384
20%
$7,584
9%
$8,639
11%
Boeing
Defense,
Space and
Security
Commercial Airplanes
Boeing Military Aircraft
Network & Space Systems
Global Services & Support
“2013 BDS priorities are:
extend and grow our core
business by bringing improved
capability and affordability to
our customers; expand global
sales and operations;
successfully execute our
development programs,
including the KC-46A Tanker;
and use our market-based
affordability efforts to fund
investment in tomorrow’s
capabilities and programs”
Source: Boeing Annual Report 2012, Website
Sales (in Millions)

4. 4
Boeing Global Footprint
Canada
U.S.
UK
France
Hungary
Italy
Saudi
Arabia
Qatar
UAE India
Korea
Singapore
Australia
China
Japan
Russia
Countries with the Largest
Boeing Presence
Commercial + Defense – 174,400
employees in 70 Countries
Defense – 59,000 employees
• 28,000 suppliers and partners worldwide (Commercial + Defense)
• Customers in 150 countries (Commercial + Defense)
• Outside the US, Australia is Boeing’s largest operational footprint, with
more than 3,000 employees; operates seven wholly owned subsidiaries
under Boeing Australia Holdings Pty Ltd
Source: Boeing website

5. 5
Boeing International Leadership
President, Boeing
International
Senior Vice President, BD
Shepard W. “Shep” Hill
President, Boeing Australia &
South Pacific
Ian Thomas
President, Boeing Brazil
Donna Hrinak
General Manager, Boeing
Canada Operations
Kevin Bartelson
President, Boeing United
Kingdom
Sir Roger Bone
President, Boeing Central &
Eastern Europe
Henryka Bochniarz
President, Boeing China
Bertrand-Marc Allen
President, Boeing EU &
NATO
Antonio De Palmas
President, Boeing France
Yves Galland
President, Boeing Germany
& Northern Europe
Matthew Ganz
President, Boeing India
Pratyush Kumar
President, Boeing Israel
David Ivry
President, Boeing Italy
Rinaldo Petrignani
President, Boeing Japan
George Maffeo
President, Boeing Korea
Patrick W. Gaines
President, Boeing
Southeast Asia
Ralph (Skip) Boyce
President, Boeing Middle
East
Jeff Johnson
President, Boeing Saudi
Arabia
Ahmed Jazzar
President, Boeing Turkey
Bernard Dunn
President, Boeing Russia/CIS
Sergey Kravchenko
Boeing Consultant, Latin
America
Source: Boeing Website Alexander F. Watson

6. 6
Boeing International
• Boeing International is composed of country and regional executives in 20 offices worldwide,
whose focus is to:
– “Provide strategic council on political, economic, and industrial developments around the
world”
– “Collaborate with Government Operations to create an integrated view of domestic and global
government issues and developments”
– “Ensure good corporate citizenship around the globe by developing policies and procedures
that comply with the diverse laws, customs, and business”
• Looking to international business to compensate for declines in DoD spending, ultimate goal is
30% by the end of 2013, 35% by 2021
• Especially looking toward the Asia-Pacific region, specifically South Korea, India, and Japan; they
expect this region to account for 50% of International BDS revenue in the next 10 years
“I shared that our goal was to reach a sustained level of 30% of Boeing’s defense revenues coming
from international sales over the next several years. Progress in this area is evident in that Boeing
reported 24% international revenues in 2012 and an increase to 28% in the first quarter of 2013. This
is up from 7% just five years ago. Perhaps most significant is the fact that 42% of Boeing's defense
backlog of $70 billion is outside the U.S. One of the most important drivers behind our progress has
been a true One-Boeing global approach, and we shared many real examples of how this is a unique
advantage for us.” –Dennis Muilenburg, President and CEO Boeing Defense, Space & Security/ June
14, 2013
“Leveraging the international strengths of our company has been a high priority for several years,
and the return on that investment in our people and resources has improved our results and
expanded future opportunities… we are aggressively pursuing–and expanding–our share of growing
international markets.” –Jim McNerney, Chairman, President and CEO of Boeing, April 29, 2013
Source: Boeing website

7. Australia
In 2007, Boeing opened the Office of Australian Industry Capability (OAIC) in Seattle, WA “to match Australian-developed technology
with global partners, leading to sales and collaboration opportunities. In order to identify where these opportunities lay, the OAIC
along with Boeing Research and Technology have conducted technology assessments in Australia visiting a wide range of companies,
universities, and government facilities.” Furthermore, Boeing Defense Australia (BDA) is an entirely separate BDS division focusing
entirely on Australia, is now the country’s leading defense aerospace enterprise, with 1,300 employees in 16 locations throughout
Australia.
India
In February 2009, Boeing opened the Boeing Analysis & Experimentation Center (A&E Centre) in partnership with Bharat Electronics
Unlimited. In March 2009, Boeing opened its Boeing Research & Technology-India center, which is the focal point for all Boeing
technology initiatives in the country, collaborating with Indian R&D organizations, government agencies, private defense agencies, and
universities.
South Korea
Boeing currently has a strong working relationship with KAI Ltd., the Republic of Korea’s national aerospace company and sole source
for all of the government’s military logistics and aerospace projects. KAI builds wings and forward fuselages for the F-15K program,
and two years ago, KAI signed an agreement to develop a weapons bay for the Silent Eagle. Perhaps most importantly, however, is the
significant goodwill they have established through partnerships with other Korean Commercial Airplane companies, such as Korean
Air, a key supplier of composite structures and components for 787 and 747-8 airplane programs. In September 2012, Boeing opened
its Avionics Maintenance, Repair, and Overhaul Center in Korea… Boeing works with ~20 companies in Korea, spending more than
$250M annually. “Over the past half century of working in partnership with the Republic of Korea, Boeing has come to know Korea’s
strong infrastructure and the excellent knowledge and talent base of the its people and industry. We can tap into that as we expand
our presence locally and grow our operations while supporting Korea’s development objectives.” – Joe Song, VP of IBD for Asia-
Pacific region of BDS.
Brazil
June 18, 2013/ “Embraer and Boeing sign an agreement to market Embraer’s KC-390 medium airlifter in limited international
venues…Boeing will be the lead for KC-390 sales, sustainment and training opportunities in the USA, UK, and ‘select Middle East
markets.’ ” Furthermore, in April, Boeing and Embraer signed an agreement to “cooperate in commercial airplane efficiency and
safety, research and technology, and sustainable aviation biofuels.” These factors place Boeing in a far better position than either
Dassault or Saab, especially considering the fact that Brazil is very focused on finally becoming the country of the future and
dispelling the old joke about it’s continuous but unfulfilled hopes of technological equivalence with other economic world powers
(Brazil does have the 6th largest economy in the world). Brazil insists on technology transfer for all defense agreements, and Boeing
responded indirectly to this April 3, 2012, when it opened a new Aerospace Research and Technology Center in Brazil. Finally, Boeing
selected Elbit systems on June 14, 2012, to produce the low-profile head-up display (LPHUD) that will be part of the Advanced Cockpit
System for Boeing fighter jets, presenting “additional opportunities for Elbit Systems to develop advanced cockpit avionics
capabilities at its Brazilian subsidiary, AEL Sistemas.”
7
Boeing International Relationships
Source: Boeing website

8. 8
Recent Boeing Contracts
(2012-2013)
Saudi Arabia
• June 20, 2013/ Boeing and Sikorsky Aircraft Corp. form equal-share joint venture to compete for sustainment for
Saudi Arabia’s rotorcraft fleet
• Nov. 2, 2012/ Boeing receives $3.5B contract for 68 F-15S to F-15SA conversion kits, and 4 base stand-up kits
• Received LOA for 84 new Boeing F-15 fighters, 70 new AH-64E Apache helicopters, 36 AH-6i Apache helicopters, all
together approx. $21B in sales
India
• Mid 2012 finalized order for 10 C-17 airlifters in a $4.1B deal for Indian Air Force (Largest deal between India and
the US in history)
South Korea
• April 17, 2013/ S. Korea’s Defense Acquisition Program Administration (DAPA) announces $1.6B contract awarded
to Boeing for 36 AH-64E Apache helicopters
• Potential $7.3B program replacing South Korea’s fleet of 60 F-4 Phantoms, but in 30+ rounds of bidding by DAPA,
neither Boeing nor LM meet price requirements, same situation with $.9B program replacing 20 maritime aircraft
Australia
• 24 F/A-18E/F Super Hornets, looking to purchase more than 10 P-8 Poseidon maritime aircraft
General International Sales
• 32 C-17s to Australia, Canada, India, Qatar, UAE, UK, and the Strategic Airlift Capability initiative of NATO and
Partnership for Peace nations
• “International F/A-18 demand remains promising and management spoke of "dozens and dozens" of potential
sales (Brazil, Qatar, Malaysia cited but there are others). Management mentioned a per hour flight cost of $16,000
for the F/A-18E/F, which is substantially below that of the F-35” ($24,000/hour) – Capital Alpha Partners LLC Notes
on Boeing’s Investor Conference from DC Defense Perspective, May 2012
Source: Boeing website, IHS Jane’s, Defense Industry Daily, DoD, Capital Alpha Partners LLC

9. 9
Raytheon International Strategy
Emphasize accessibility, diversity of employees, “mid-range, high-value solutions”
• “Raytheon has facilities, businesses and customers in nearly every corner of the globe. Day in and
day out, members of our team interact with people from an extremely diverse range of
backgrounds. Thus, diversity of talent and thought is the cornerstone of our ability to provide
solutions to the global market…We continue to strive to build a culture around recognizing,
respecting and leveraging individual and cultural differences. Yet, as the global environment
rapidly changes and becomes even more competitive, the next steps in our companywide journey
to inclusiveness will be critical.”
• Seek to employ as many people from different countries and socio-economic backgrounds as
possible, in order to better formulate (and market) their “Customer Focused” solutions to target
international markets
• Readily admit that “We compete worldwide with a number of U.S. and international companies in
[defense] markets, some of which may have more extensive or more specialized engineering,
manufacturing and marketing capabilities than we do in some areas.”
• Instead of trying to sell “101%” solutions, they focus on “99%” solutions, going for the lower end
of both product/service requirements and price, as a result they are quite successful
internationally with countries operating with much smaller defense budgets than the US
Utilize training services to build brand recognition internationally
• Using Raytheon Professional Services LLC, they seek to get a foot in the door with training
services for a very wide variety of industries, which are always well received, as they often are
replacing outdated second or third-world business models with highly analyzed US business
practices
• Follow up with Air Traffic Management systems, radars, sensors, surveillance & targeting
solutions, then move on to Integrated Air & Missile Defense systems, like the Patriot program
Source: Raytheon Annual Report 2012, Website

10. 10
Raytheon General Facts
• $24.4B in revenue (down $.38B, or 2% from 2011)
• $6.2B in International revenue, 26% of total revenue, (highest in the A&D
industry, but up only 1% from 2011, 3% from 2010)
• $36.2B in total backlog (up $.9B, or 2.5% from 2011)
• $12.7B in International backlog, 35% of total backlog (down $.3B, or 2%
from 2011)
• $1.9B in net income (up $.004B, or .2% from 2011)
As of April 1, 2013: “The Raytheon Company structure will consist of four
businesses: Intelligence, Information and Services, resulting from the
combination of the Intelligence and Information Systems and Raytheon
Technical Services businesses; and the Integrated Defense Systems,
Missile Systems, and Space and Airborne Systems businesses, each of
which will be expanded by the realignment of the former Network Centric
Systems business operations.”
Source: Raytheon Annual Report 2012, Website

11. 11
Raytheon Sales by Region and
Division (2012)
International Sales ($6.2B)
$2,470
$1,252
Sales (in Millions) Sales (in Millions)
$2,510 $18,182
United States
Asia/Pacific
Middle East/N. Africa
Europe
Total Sales
$24.4B
$5,037
19%
$5,693
22%
$5,333
20%
$6,251
24%
$4,058
15%
Integrated Defense Systems
Missile Systems
Space & Airborne Systems
Intelligence & Information Systems, Technical Services
Network Centric Systems
Source: Raytheon Annual Report 2012, Website

12. 12
Raytheon Global Footprint
68,000 employees in 19 countries
Providing products and technical
services to more than 100 countries
Key Raytheon Locations
Global companies established in the UK (Raytheon Systems Limited),
Australia (Raytheon Australia), France (ThalesRaytheonSystems), Germany
(Raytheon Anschütz), Spain (Raytheon Spain), and Canada (Raytheon
Canada Limited), and maintains offices in 12 other countries
Source: Raytheon Website
Close-up of
Raytheon locations
in Europe & MENA
Canada
U.S.
UK
France
Saudi Arabia
UAE
India
Australia
Spain
Germany
Oman
Qatar

13. 13
Raytheon Leadership
Raytheon Chairman & CEO
William H. Swanson
Exec. VP & COO
Thomas A. Kennedy
Senior Vice President
Business Development
CEO, Raytheon International
Thomas M. Culligan
Senior Vice President
HR & Security
Keith J. Peden
Senior Vice President
General Counsel & Secretary
Jay B. Stephens
Senior Vice President
CFO
David C. Wajsgras
VP
President, Integrated
Defense Systems
Daniel Crowley
VP
President, Intelligence,
Information & Services
Lynn Dugle
VP
President, Missile
Systems
Taylor Lawrence
VP
President, Space &
Airborne Systems
Richard Yuse
VP
Gen. Manager,
Intelligence, Information
& Services
John Harris II
VP & CIO
Rebecca Rhoads
VP
Controller & CAO
Mike Wood
VP & Treasurer
Richard Goglia
VP
Engineering, Tech.&
Mission Assurance
Mark Russell
VP
Contracts & Supply
Chain
David Wilkins
VP
Corporate Affairs &
Communications
Pamela Wickham
VP
Raytheon Company
Evaluation Team
Edward Miyashiro
VP
Internal Audit
Lawrence Harrington
VP
Michael Hoeffler
Source: Raytheon Website

14. 14
Raytheon International
As US Defense market tightens its collective belt, Raytheon increasingly looks overseas for customers for its “mid-range,
high value” defense solutions
Raytheon Company Strategy: (points 2-5)
• Leverage our domain knowledge in air, land, sea, space, and cyber for all markets.
• Expand international business by building on our relationships and deep market expertise.
• Build upon our Customer Focused mindset, further strengthening our company based on performance, relationships and
solutions.
• Deliver innovative supply chain solutions to accelerate growth, create competitive advantage and bring value to our global
customers
“Raytheon International, Inc. leads the company’s efforts to capture new overseas business, and coordinates the operations of its
international locations. Recent bookings with civilian and military customers in Europe, Asia and the Middle East demonstrate
Raytheon International’s successful strategy of pursuing a worldwide customer base.”
“International sales were principally in the areas of air and missile defense systems, missile systems, airborne radars, naval
systems, air traffic control systems, electronic equipment, computer software and systems, personnel training, equipment
maintenance and microwave communications technology.”
“International sales rose 10 percent in the quarter from a year earlier, and overseas sales will account for 28 percent of revenue
this year, up from 26 percent in 2012” – Dave Wajsgras, CFO of Raytheon, 7/25/13
International Growth:
“Because of the breadth of our offerings, our systems integration capability, the value of our solutions and our strong legacy in
the international marketplace, we believe that we are well positioned to continue to grow our international business... We believe
demand continues to grow for solutions in air and missile defense, air traffic management, precision engagement, homeland
security, naval systems integration and ISR [Intelligence, Surveillance & Reconnaissance]. In addition, as coalition forces
increasingly integrate military operations worldwide, we believe that our capabilities in network-enabled operations will continue
to be a key discriminator in these markets.”
“International sales of air and missile defense offerings helped the contractor boost [operating income] by 21% at its Integrated
Defense Systems unit in the quarter from a year earlier, according to the statement. While the company’s profits and sales rose,
order backlog declined 4.4 percent to $32.4 billion in the quarter, compared with $33.9 billion a year earlier.” (9% increase in actual
sales)
Source: Raytheon Annual Report 2012, Website, Bloomberg News

15. 15
Recent Raytheon Contracts
(2012-2013)
Middle East
• Oman: Approx. $1.5B contract for ground-based air defense system currently in final negotiation stage
• “Raytheon Chief Executive Bill Swanson said on the company's earnings call that Raytheon is also making
good progress on several other large international sales, including missile defense systems to Qatar and
Kuwait”
• Oman: Raytheon Anschütz awarded contract for four Integrated Bridge & Navigation Systems for Royal Navy of
Oman
• UAE: AutoTrac III air traffic management system installed for undisclosed amount
• Saudi Arabia: $600M+ contract for Command, Control, Communications, Computers & Intelligence system (C4I)
• Saudi Arabia: $55M contract for TOW 2A Radio Frequency missiles (2010)
Europe
• Germany: $155.6M contract for Block 2 Rolling Airframe Missiles for delivery to the German navy, largest single
RAM award by Germany
• UK: Approx. $120M contact for Paveway IV precision-guided bombs
Asia/Pacific
• Australia/India: $45.3M contract to provide MK 54 lightweight torpedo hardware, test equipment, spares and
related engineering and repair services for both Navies
• India: Building ground stations for the GPS-Aided Geosynchronous Augmented Navigation system (GAGAN) in
partnership with the Indian Space Research Organization (ISRO) & Airports Authority of India (AAI)
Patriot Missile Program
• Installed in 12 countries: US, Netherlands, Germany, Japan, Israel, Saudi Arabia, Kuwait, Taiwan, Greece, Spain,
South Korea and UAE
• Turkey in talks for ~$500M installation, Qatar in talks for ~$2B contract to install 11 fire units
Source: Raytheon Website, Reuters

16. General Dynamics Int’l Strategy
General Dynamics has no actual division devoted to pursuing International sales, or
overarching International strategy, however, the Combat Systems and Information
Systems & Technology Business Groups “continue to pursue opportunities presented by
international demand for military equipment and information technologies from our
indigenous international operations and through exports from our U.S. businesses.”
Aerospace (Gulfstream and Jet Aviation)
• Solely commercial business, zero integration with defense businesses
• Though 60% of backlog is with international customers, both companies operate as separate entities from GD, not
16
leveraging either brand name or goodwill (new International service centers say “Gulfstream” over front door)
Marine Systems (Bath Iron Works, Electric Boat, and NASSCO)
• Solely domestic market, almost entirely for the US Navy
Combat Systems (Land Systems, Armament & Technical Products, and Ordnance & Tactical Systems)
• Land Systems and its subsidiaries, Land Systems - Canada, Land Systems - Australia, & European Land Systems
do the largest chunk of Combat Systems’ international business, utilize the “demonstrated success of [General
Dynamic’s] US military vehicles” in promoting sales, but also design vehicles especially for those markets
• Armament & Technical Products has two international branches manufacturing heavy-duty axles, suspension,
planetary axles, etc. for commercial vehicles, but only as a result of buying AxleTech International
• Have a specialized branch of OTS, Ordnance & Tactical Systems – Canada, which is the Prime Contractor &
Ammunition System Integrator to the Canadian Government
Information Systems & Technology (IS&T) (Advanced Information Systems, Information Technology,
and C4 Systems)
• C4 systems provides a number of command, control, communications, and computer services “to non-U.S.
customers, including the Canadian Department of National Defence, the U.K. Ministry of Defence and public
agencies and private companies in Europe and the Middle East”
Source: General Dynamics Annual Report 2012, website

17. 17
General Dynamics General Facts
• $31.5B in revenue (down $1.18B, or 4% from 2011)
• $6.5B in International revenue, 21% of total revenue (up $.2B, 3%
from 2011)
• $51.3B in total backlog (down $6.1B, or 11% from 2011)
• $35.6B in defense backlog (down $3.9B, or 10% from 2011)
– “The decrease occurred in our Combat Systems and Marine
Systems groups as work continued on large, multi-year contracts
awarded in prior periods.”
• $(332)M in net income (down $2.86B, or 113% from 2011)
Only commonality between four Business Groups is the tendency to
make acquisitions of companies poised to seize a key or niche market,
instead of competing. This fails if they misread the long-term market
value of their acquisitions, as was the case in 2012 with IS&T, which
resulted in an operating loss of $1.37B for that Business Group.
Source: General Dynamics Annual Report 2012, website

18. 18
General Dynamics Sales by Region
and Division (2012)
International Sales ($6.5B)
Sales (in Millions) Sales (in Millions)
$878
$165
$1,027
$679
$548
$541 $713
$534
$288
$876
$260
Canada Other N. America
UK Switzerland
Russia Spain
Other EU China
Other Asia/Pacific Africa/ME
S. America
Total Sales
$31.5B
$6,912
22%
6,592
$10,017
32%
$7,992 21%
25%
Aerospace
Marine Systems
Combat Systems
Information Systems & Technology
Source: General Dynamics Annual Report 2012

19. 19
General Dynamics Global Footprint
Countries with General Dynamics Subsidiary Operations
Commercial + Defense – 92,000 employees
Canada
U.S.
Australia
Brazil
UK
France
Spain
Germany
Switzerland
Italy
Mexico
“In 2012, 66 percent of our revenues were from the U.S. government, 13 percent
were from U.S. commercial customers, 8 percent were from international defense
customers, and the remaining 13 percent were from international commercial
customers.”
Source: General Dynamics Annual Report 2012, website

20. 20
General Dynamics Leadership
General Dynamics, Chairman &
CEO
Phebe N. Novakovic
Exec. Vice President
Marine Systems
John P. Casey
Exec. Vice President
Information Systems &
Technology
David K. Heebner
Exec. Vice President
Aerospace
Joseph T. Lombardo
Exec. Vice President
Combat Systems
Mark C. Roualet
Senior Vice President
General Counsel &
Secretary
Gregory Gallopoulos
Senior Vice President
Planning & Development
Robert W. Helm
Senior Vice President
HR & Administration
Walter M. Oliver
Senior Vice President
CFO
L. Hugh Redd
Vice Presidents
President, CFO, Administration & General Counsel, Gulfstream Aerospace; President , Jet Aviation; President, Bath Iron Works;
President, NASSCO; President, Electric Boat; President, Advanced Information Systems; President, Information Technology;
President, C4 Systems; President, Armament & Technical Products; President, Ordnance & Tactical Systems; President, Land
Systems; President, European Land Systems; GD Tax; GD Controller; GD HR & Shared Services
Source: General Dynamics website

21. General Dynamics Combat
Systems International Subsidiaries
“As a result of the demonstrated success of our U.S. military vehicles, we have cultivated continued international
demand. The group’s U.S. exports include Abrams tanks and Light Armored Vehicles (LAVs) for U.S. allies around the
world. The international operations of our U.S. military vehicles business also have generated significant indigenous
opportunities. We are modernizing approximately 600 LAV III combat vehicles for the Canadian government, as well as
providing long-term support to all Canadian LAV vehicles. For the U.K. Ministry of Defence, we are producing the
Foxhound armored vehicle and will co-produce the Specialist Vehicle with the U.K. operations of our Information
Systems and Technology group.”
General Dynamics Land Systems – Canada
• Formerly GM Defense, acquired in 2003 and are the preferred provider to the Canadian Gov’t of LAVs, sub-system
21
integration; presence in Canada for 35 years
General Dynamics Land Systems – Australia
• Provides Australian Defence Force with ASLAV/LAV (light armored-vehicles) and M1A1 tanks
General Dynamics European Land Systems
• Through its offices in Madrid, Spain, Kaiserslautern, Germany, Kreuzlingen, Switzerland, and Vienna, Austria it
sells Wheeled Vehicles (PIRANHA, EAGLE, PANDUR), Tracked Vehicles (Pizarro, ASCOD), Mobile Military Bridge
Systems, and Artillery & Ammunition to various allied governments
• Recently awarded contract by Germany for 100 EAGLE V 4x4 Vehicles
General Dynamics – United Kingdom Limited
• Provides Armoured Fighting Vehicles (AFV) to the British Army
General Dynamics – Ordnance & Tactical Systems Canada
• Prime Contractor & Ammunition System Integrator to the Canadian Gov’t
General Dynamics Armament & Technical Products (two international locations)
• Saint Etienne, France: “This facility houses the company’s European product development team & aftermarket
support & manufactures high-speed planetary axles, independent suspension axle systems & transfer cases”
• Osasco, Brazil: “This location manufactures axles and provides engineering & quality support for the local
Brazilian market”
Source: General Dynamics Annual Report 2012, website

22. networking…computing and information assurance” as well as “land, airborne, and underwater ISR systems” for
the DoD, federal and civilian agencies and also “to non-U.S. customers, including the Canadian Department of
National Defence, the U.K. Ministry of Defence and public agencies and private companies in Europe and the
Middle East. For example, we designed, procured, integrated and installed the telecommunications, security and
control systems for the newly operating Khalifa Port in the United Arab Emirates.”
• Responsible for a multitude of other smaller systems for Canadian military, including either design and production
or support services for integrated mission sensors and systems for ground vehicles, helos, ships and submarines
22
General Dynamics IS&T
International Subsidiaries
“Our Information Systems & Technology group provides critical technologies, products and services that support a
wide range of government and commercial communication and information sharing and security needs. The group
consists of a three-part portfolio centered on secure mobile communication systems, information technology
solutions and mission support services, and intelligence, surveillance and reconnaissance systems.”
• Also self-defined as C4 Systems, Information Technology, and Advanced Information Systems, respectively
• Information Technology’s only international clients are large commercial companies like AT&T, Verizon, and T-Mobile,
which are based out of the US, and a small handful of logistical contracts for the UK Dept. of Health, and
systems engineering for two London boroughs
• Advanced Information Systems is made up of a number of smaller companies GD bought for the purpose of
satisfying certain customer needs, but revolves around cybersecurity, mission systems, and ISR, and serves the
US Gov’t almost exclusively
• C4 Systems operates in 13 countries and “specializes in command and control, communications,
General Dynamics – Canada
• “System architect, system design authority, and system integrator” for BOWMAN system for the UK MoD,
replacing outdated Clansman radio with secure integrated voice, data, and multimedia mobile communications
system
General Dynamics – United Kingdom Limited
• “Prime Contractor and Systems Integrator” for BOWMAN system for the UK MoD
• Supplying Royal Netherlands Navy with the New Integrated Marines Communications and Information System
Source: General Dynamics Annual Report 2012, website
(NIMCIS)

23. 23
Recent General Dynamics Contracts
(2012-2013)
Australia
• Received five year, $40M Through Life Support contract for Armored Vehicles
Middle East
• Egypt: $225M for production of M1A1 tank kits for the Egyptian Land Forces under an Egyptian
tank co-production program
• Saudi Arabia: $160M for the production of an M1A2 variant for the Kingdom of Saudi Arabia.
• Israel: $315M for Merkava Armored Personnel Carrier hulls and material kits for the Israeli Ministry
of Defense
Europe
• UK: $115M for 151 Foxhound armored vehicles for the U.K. Ministry of Defence
• UK: $110M for the design, integration and production of seven prototypes under the U.K.’s SV
program, in addition to the integration work being performed by the Information Systems and
Technology group
• Spain: $150M for Pizarro Advanced Infantry Fighting Vehicles scheduled for delivery to the
Spanish Army through 2016
Canada
• “$870M for the upgrade and modernization of LAV III combat vehicles for the Canadian Army,
including a $135M contract modification awarded in 2012 to upgrade an additional 66 vehicles
bringing the total to approximately 600 vehicles “
South Africa
• $75M contract awarded to GD SATCOM Technologies and partner Stratosat Datacom Ltd. To
supply 64 radio-telescope antennas, ancillary electronic components and support for S. Africa’s
MeerKAT radio telescope program
Source: General Dynamics Annual Report 2012, website

24. Northrop Grumman Int’l Strategy
International markets not a key piece of overall strategy
“As part of our business and operational strategies and priorities, we continue to seek effective ways to help build and strengthen
the communities where we work and live. As we grow our presence in international markets, we will be expanding our community
support in those regions as well.” – Annual Report 2012, “Letter to Shareholders”
24
“Our corporate citizenship team developed an international engagement strategy that we began to implement in 2013.” –
Corporate Responsibility Report 2012 (only mention of International involvement other than in Costa Rica)
• No mention of “worldwide”, “world-class”, “global”, or “International” in Corporate “Vision, Values, and Behavior”
• But, because “Revenue from the U.S. Government… accounted for 90 percent or more of total revenues in each of the years
ended December 31, 2012, 2011 and 2010” they have been well aware for some time that “We face continued uncertainty in our
business environment due to the substantial fiscal and economic challenges facing the U.S. Government, our primary
customer, including the potential for sequestration and issues surrounding the national debt ceiling.”
• As a result, pursuing more and more business through their UK office, which explains why all descriptions of foreign business
are written with UK spelling, with a heavy emphasis on modernization & logistics:
“A full 70% of the lifecycle cost of a military weapons system, or a piece of military hardware or capability is post-production. It’s
in logistics, sustainment and modernization. So we feel that’s a very good business for us. What we’re focused on is that part of
logistics where we can apply the decades of experience Northrop Grumman has in designing, developing, building, maintaining
and upgrading military equipment. So we feel we have the level of expertise and capability required to provide the solutions that
our customers need. You know, given the global security environment, we feel there will be operations ongoing throughout the
world.” – Christopher Jones, CVP and President, Technical Services, June 25, 2013
Narrowing and Strengthening Focus Through Divestitures, Utilizing UK as Point of Sale
• Sold Shipbuilding Business Sector, and some non-core businesses, concentrating on what they believe are biggest potential
growth markets: Cybersecurity, C4I, Unmanned Systems, Airport Systems, and Logistics & Sustainment
• Primarily selling to European markets through UK, have redone most European Postal Centers, and a handful of Air Traffic
Management systems, commercially, provide Radar and Sensing Systems, Navigation Systems for defense
Emphasizing Trustworthiness, Ethical Behavior
• Only A&D Company with clearly promoted versions of their “Vision, Values, and Behavior” and “Standards of Business
Conduct” written for “our associates employed overseas” in Belgium, Holland/The Netherlands, Norway, Germany, Italy,
France, Spain, Japan, Malaysia, Taiwan, and China
• Also have separate OpenLine channel to report Ethics & Business Conduct 24/7 for Europe, Taiwan, Japan, China, and Korea
Source: Northrop Grumman Annual Report 2012, Northrop Grumman Corporate Responsibility Report 2012, Website

25. 25
Northrop Grumman General
Facts
• $25.2B in revenue (down $1.2B, or 5% from 2011)
• $2.5B in International revenue, 10% of total revenue (up $.003M, or .5%
from 2011)
• $40.8B in total backlog (up $1.3B, or 3% from 2011)
• $4.9B in International backlog, 12% of total backlog (up $2.13B, or 43%
from 2011)
• $1.98B in net income (down $.14B, or 7% from 2011)
Stated Vision:
“Our vision is to be the most trusted provider of systems and technologies that ensure
the security and freedom of our nation and its allies. As the technology leader, we will
define the future of defense—from undersea to outer space, and in cyberspace.”
#1 “Key Behavior”:
“We all have the company values listed on the back of our badges—Quality, Customer
Satisfaction, Leadership, Integrity, People, Suppliers. Integrity must characterize
everything we do. We want everyone who comes in contact with us to know that we do
things the right way at Northrop Grumman. We don't take short cuts.”
Source: Northrop Grumman Annual Report 2012, Website

26. 26
Northrop Grumman Sales by
Division (2012)
Aerospace Systems:
“Aerospace Systems is a premier developer, integrator, producer
and supporter of manned and unmanned aircraft, spacecraft, high-energy
laser systems and microelectronics critical to maintaining the
nation's security.”
Electronic Systems:
“Electronic Systems… is a leader in the design, development,
manufacture, and support of solutions for sensing, understanding,
anticipating, and controlling the operating environment for our
global military, civil, and commercial customers.”
Information Systems:
“Information Systems… is a leading global provider of advanced
solutions for the DoD, national intelligence, federal civilian, state and
local agencies, and international allies, as well as certain commercial
customers. Focus areas are in cybersecurity; C4ISR; intelligence
processing; air and missile defense; decision support systems;
information technology; and systems engineering and integration.”
Technical Services:
“Technical Services… is a premier supplier of life cycle solutions
and innovative technical support and services for customers
globally. Key capabilities include platform sustainment and
modernization, [as well as] innovative and affordable logistics, and
also provides an array of other advanced technology and
engineering services, including space, missile defense, nuclear
security, training and simulation.”
Total Sales
$3,019
11%
Source: Northrop Grumman Annual Report 2012
Sales (in Millions)
$9,977
37%
$6,950
25%
$7,356
27%
$25.2B
Aerospace Systems
Electronic Systems
Information Systems
Technical Services

27. 27
Northrop Grumman Global
Footprint
S. Korea
Taiwan
Japan
Australia
Singapore
U.S.
UK
Germany
France Italy
India
Belgium Switzerland
Saudi
Arabia
UAE
68,100 Employees in 25 Countries (Commercial + Defense)
Offices in 15 Countries
Most Significant Foreign Offices are in UK, France, Germany, and
Italy
Source: Northrop Grumman Annual Report 2012, Website

28. 28
Northrop Grumman Leadership
Chairman, CEO, and President,
Northrop Grumman Corporation
Wes Bush
Corporate Vice President
Government Relations
Sid Ashworth
Corporate Vice President
President, Enterprise Shared Services
Mark Caylor
Corporate Vice President
General Counsel
Sheila Cheston
Corporate Vice President
President, Electronic Systems
Gloria Flach
Corporate Vice President
President, Technical Services
Christopher Jones
Corporate Vice President
Communications
Darryl Fraser
Corporate Vice President
Operations
Linda Mills
Corporate Vice President
CFO
James Palmer
Corporate Vice President
President, Aerospace Systems
Thomas Vice
Corporate Vice President
President, Aerospace Systems
Kathy Warden
Corporate Vice President
Chief HR Officer
Denise Peppard
Corporate Vice President
Chief Global BD Officer
David Perry
Source: Northrop Grumman Website

29. 29
Northrop Grumman Global
Subsidiaries
“A key element of Northrop Grumman’s growth is its commitment to the international
marketplace…Northrop Grumman has a well-established international presence outside the United
States and maintains a network of more than 30 regional business development offices and local
businesses serving customers in key international markets in Europe, the Middle East and Asia
Pacific regions.”
• 3 of 4 Business Sectors drive International sales: Electronic Systems (encompasses most
International Offices), Information Systems, and Technical Services
• Seven key International Subsidiaries:
– Park Air Systems: UK Office, provides both commercial and defense oriented ground-to-air
communication systems
– Remotec: UK Office, provides Airport Realtime Collaboration (ARC) and other Airport Systems
to commercial clients
– Northrop Grumman Mission Systems Europe: UK Office, provides C4I services, both “Civil &
Security” and Defense, especially focusing in Command & Control (C2) capabilities, and
integrated sensor systems for Situational Awareness (SA)
– Solystic: French office, “supplier to the largest international postal operators” of postal
automation systems
– Northrop Grumman LITEF Gmhb: German office, specializing in intertial sensors, intertial
reference and navigation systems
– Sperry Marine: German office, specializing in Commercial Navigation Systems & Integrated
Navigation & Bridge Systems
– Northrop Grumman Italia: Italian office, specializing in Integrated Navigation Systems (INS),
including GPS, Air Data Sensors (ADS), and Magnetic Sensor Units (MSU)
Source: NG AR 2012, northropgrummaninternational.com, Solystic Website, LITEF Website, Sperry Marine Website, NG Italia Website

30. United Kingdom:
“The UK is Northrop Grumman’s largest international customer and remains a critically important market for the company as a
supplier base and a source for technology partners. The company has a heritage of operating in the UK that spans 100 years…
sales into overseas markets from Northrop Grumman’s UK entities accounting for some 70% of our UK businesses.”
• 10 Locations across the UK, sustains employment for 5,000 people in supply chain
• Developed a series of unmanned ground systems to deal with bomb threats in the 1970’s and has shifted to meet modern
threats, integral cybersecurity and technology partner for a number of British Government offices
Australia:
“Northrop Grumman has a strong customer base and has been supporting a variety of both defence and civil programmes for
more than 20 years. It is a key supplier in the defence, security, information systems, and public safety communications markets
providing a range of capabilities and technologies including as a key subcontractor for the Wedgetail AEW&C, F-35 Lightning II,
and the FA/18 Super Hornet programmes. The company was recently awarded a contract to build a cyber-test range for the
University of New South Wales and Canberra campus at the Australian Defence Force Academy. Further expanding and
solidifying the company’s presence in Australia, particularly in cyber security, Northrop Grumman recently acquired M5 Network
Security, a Canberra-based provider of cyber-security and secure mobile communications to Australian military and intelligence
organizations.”
India:
“Northrop Grumman has been working with the Indian armed forces and Indian industry for more than 25-years. We support
India in a variety of defence and civil applications including air traffic control communications systems and radars, unmanned
ground vehicles for the Indian Army and marine navigation systems for the Indian Navy and bring significant capabilities for
homeland defence modernization and command & control, intelligence, surveillance and reconnaissance (C2ISR). We continue
to develop our presence in India through strategic industrial partnerships and in 2007 opened offices in New Delhi which has
been expanded to include representatives from several Northrop Grumman businesses.”
Middle East & Africa:
“Northrop Grumman has had an active presence in the Middle East for more than a decade with its regional headquarters in Abu
Dhabi, UAE and has well established partnerships with Dubai, the UAE and other countries in the region, where it supports a
variety of defence and civil programmes. The company opened an office in Riyadh, Saudi Arabia in 2008.”
30
Other Northrop Grumman Global
Offices
Source: Northrop Grumman Website (NOTE: UK SPELLING)

31. 31
Recent Northrop Grumman
Contracts (2012-2013)
• $1.7B contract for NATO unmanned Alliance Ground Surveillance System (AGS)
based on Global Hawk
• $66.3B JV contract w/ Finmeccanica for NATO cybersecurity
• $1.0B in contracts for “International Air Defense Programs”
• Contract to provide London’s Metropolitan Police Services’ new Command & Control
system
• (Park Air Systems) Contract for Air Traffic Communication System in North Sea,
offshore England
• (Park Air Systems) Contract for Ground-to-Air Communication System in Curacao for
Dutch Caribbean Air Navigation Service Provider
• (Park Air Systems) Contract for Integrated nationwide IP-based VHF System for all
aircraft operating in Uruguay
• (Park Air Systems) Contract for NATO to add Air Traffic Communications for
Kandahar Air Base, to existing Park Air T6 Radio Series in Afghanistan
• (Park Air Systems) Contract for Ground-to-Air Communication Systems across Chile
• (Remotec) Contract for Airport Realtime Collaboration (ARC) System to UK’s East
Midlands Airport
Source: Northrop Grumman Annual Report 2012, Website