1Lockheed Martin Aeronautics Company

F-35 Lightning II: Connecting to the Global Supply Chain

Tom BurbageExecutive Vice-President and General ManagerF-35 Joint Strike Fighter Program

26 October 2010

2Lockheed Martin Aeronautics Company

F-35 Value PropositionF-35 Value Proposition

Airframe70-90% Commonor Cousin Parts

Avionics System~100% Common

Global Delivery System

2 Interchangeable Engines

F135

F136Lift Fan

Economies of Scale

Commonality Key To

Affordability

International Industrial Participation

Tri-Variant Design

CTOLCV

STOVL

International Partners

Sustainment Toolset

Results In:

5TH Gen Fighter

• VLO Stealth• Fighter Performance• Integrated Sensor Fusion• Net Enabled Ops• Advanced Sustainment

Global Cooperation

Global RecapitalizationDISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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United Kingdom

Denmark

Australia

Italy

The Netherlands Canada

Turkey Norway

F-35 International PartnershipF-35 International Partnership

Production, Sustainment and Follow-on DevelopmentMOU Signed by All Nine Partners (Canada – Fall 2006)

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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Continued Canadian CommitmentTo F-35 Joint Strike Fighter ProgramContinued Canadian CommitmentTo F-35 Joint Strike Fighter Program

• 1997-2002 – Concept Demonstrationand Prototype Phase

• 2002-2013 – System Development andDemonstration Phase

• 2007-2051 – Production, Sustainment andFollow-on Development

• 2014 – Beginning of Planned Procurement

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Canadian Government Evaluation at Each Phase ProvedStrong Business Case for Continued Participation

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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F-35 Program ScheduleF-35 Program Schedule

CY 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016FY 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

System Development

and Demonstration

Low-Rate Initial

Productionand

MultiyearProcurement

2018

20182017

LRIP 1 (2)LRIP 1 (2)

CV

CTOLAA-1 STOVL

First Flights

CATB

LRIP 2 (12)LRIP 2 (12)

LRIP 3 (17)LRIP 3 (17)

LRIP 5 (42 )LRIP 5 (42 )

LRIP 6LRIP 6

LRIP 7LRIP 7

LRIP 8LRIP 8Planned Production• Air Force 1,763 CTOL• Dept of Navy 680 CV/STOVL• Partners 800-1,500 MULTI YEAR 1MULTI YEAR 1EOQEOQ

LRIP 9 LRIP 9

LLLLLRIP 4 (32)LRIP 4 (32)

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

Updated schedule in work based on ongoing program restructure

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Aircraft ProductionAircraft Production

Aircraft on Order

LRIP 1 (2 A/C)

LRIP 2 (12 A/C)

LRIP 3 (17 A/C)

SDD (19 A/C)

LRIP 4 (32 A/C)

LRIP 5 (42 A/C)

Long Lead Funding

Production Ramp UnderwayDISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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STOVL

CV

CTOL

2010 Flight Test Plan2010 Flight Test Plan

J F M A M J J A S O N D0

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450C

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ligh

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Flight Test ProgressFlight Test Progress

Exceeding 2010 Cumulative Plan, STOVL Challenges

CATB

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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Best Value Industrial ModelBest Value Industrial Model

· JSF Industrial Participation follows the Best Value Approach – Not a Traditional Offset (IRB) Program- All Direct Work on F-35 Through Life Of Program- No Offset Multipliers- Contracts Begin Years Prior to First Canadian F-35 Planned

Delivery

· Best Value Industries in US and Partner Nations are Offered an Opportunity to Compete and Win Work- Extended Business: Forecasts of SDD and LRIP Contracted and

Committed Projects Extended through Full Rate Production- Strategic Opportunities: Exclusively Reserved for Canada- Competitive Opportunities: Open Competitions to Which

Canadian Companies Are Invited

· JSF Industrial Participation follows the Best Value Approach – Not a Traditional Offset (IRB) Program- All Direct Work on F-35 Through Life Of Program- No Offset Multipliers- Contracts Begin Years Prior to First Canadian F-35 Planned

Delivery

· Best Value Industries in US and Partner Nations are Offered an Opportunity to Compete and Win Work- Extended Business: Forecasts of SDD and LRIP Contracted and

Committed Projects Extended through Full Rate Production- Strategic Opportunities: Exclusively Reserved for Canada- Competitive Opportunities: Open Competitions to Which

Canadian Companies Are Invited

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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Canadian InnovationsCanadian Innovations

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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Industrial Participation SummaryIndustrial Participation Summary

· Currently Identified 192 IP Opportunities Through 2035 For Canadian Industry in IP Plan Valued at >$9.5B (TY USD) - Increased More Than $2B Since Industrial Participation MOU Signing in Fall 2006- Additional Work for Sustainment Will Evolve- Engine Work Additional

· Contracts for $277M Currently In Place With Canadian Industry

· High-Tech, High-Value Work Identified for Canadian Industry Over 30+ Years- CTOL Horizontal Tails- CV Outboard Wings- Composite Parts- Machining

· F135 and F136 Engine ProvideAdditional Industrial Work

· Currently Identified 192 IP Opportunities Through 2035 For Canadian Industry in IP Plan Valued at >$9.5B (TY USD) - Increased More Than $2B Since Industrial Participation MOU Signing in Fall 2006- Additional Work for Sustainment Will Evolve- Engine Work Additional

· Contracts for $277M Currently In Place With Canadian Industry

· High-Tech, High-Value Work Identified for Canadian Industry Over 30+ Years- CTOL Horizontal Tails- CV Outboard Wings- Composite Parts- Machining

· F135 and F136 Engine ProvideAdditional Industrial Work

New Opportunities Continue To Be IdentifiedDISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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F-35 Opportunities Across CanadaF-35 Opportunities Across Canada

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

• BNH• Bombardier Aerospace• CMC Electronics, Inc. • CPS Industries• DY4 Systems Inc.• Edward Moore Design • GE Bromont• Heroux - Devtek

• Advanced IO Systems

• AVCORP• BCD Electronic• Firebird

Semiconductors Ltd.

• NGRAIN• Xantrex

Technology

• Magellan - Bristol

• Northern Aero

• AMENAZA Technologies

• Axia NetMedia Corp.• Mediatronics

• 2Source Manufacturing • Acroturn• ACT• ALCOA Forged and Cast Products • Alpha Casting • Amphenol• ASCO• Ben Machine• Casebank Technologies

• National Research Council• NCR • Noranco• Northstar Aerospace • Ontario Die Company • Spartan Electronics• Stealth Computer Corp • Strite• Unique Broadband Systems

• JN Nilson • Magellan Chicopee• Magellan Orenda• Mediatronics• Nikon Metrology (formerly Metris/Virtek)• Motivational Industrial

Equipment • Mxi Technologies

• FTG• Goodrich CA• Graphico Edgelit Panels

(Graphic Precision)• Handling Specialty• Honeywell Engines Sys

and Serv.• Hummingbird• Interfast

• Centra Industries • CFN • Curtiss Wright • Cyclone• Dishon • DRS Technologies • Eagletronics Industries

Inc.• FAG Aerospace

• IMP Group• Novatronics• Composites

Atlantic

• Howmet, Laval Division• Mindready Solutions Inc.• Montreal Carbide Co. Ltd.• Nav-Aids • P&W Canada• Simgraph• SIDO Limited • Shellcast • University of Quebec

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TNS Connectors & PWBsMindready

CV Outboard Wing & MachiningAVCORP

EPMS Power PanelsDRS

Pylon AMEDishon

GPS Chassis MachiningCentra / Dishon

Landing Gear ComponentsAcroturn

Radar Subsystems & MachiningCMC Electronics

ELS Circuit CardsFTG, Samuel Specialty, CMR

Inlet Lip CastingsHowmet - Laval Division

PTMS Controller PkgHoneywell Engine Systems & Services

Handling System ToolingHandling Specialty

Landing Gear M&OGoodrich

Machining Center FuselageHeroux-Devtek, Aerostructures, Inc.

Heat Exchangers – Machining, Castings, Tube BendingCPS Ind., Alpha Casting

Fiber-Placed Nacelle Skins

CTOL Horizontal TailMagellan-Bristol

Composite Structures – Ctr FuseComposites Atlantic

Machining – Fwd Fuselage & WingMagellan-ChicopeeHeroux Devtek

LEFAS – Machined DetailsStrite , Northstar

F-35 Canadian ComponentsF-35 Canadian Components

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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F-35 Projected MarketF-35 Projected Market

United Kingdom

United States

Italy

Netherlands

Turkey

Canada

Australia

Norway

Denmark

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Israel Singapore Japan South Korea Greece Spain Finland Belgium

DISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

Capacity For NewFMS Customers

F-35 Production-U.S. & Partners

F-35 Production vs 4th Gen AircraftF-35 Production vs 4th Gen Aircraft

F-35 Lightning II: The Future of Aerospace WorkDISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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Creating Enduring GlobalIndustrial Relationships Creating Enduring GlobalIndustrial Relationships

© 2010 Lockheed Martin Aeronautics Company

Global DeliverySystem

F-35 Production System Autonomic LogisticsGlobal Sustainment

Connecting to the Global Supply ChainDISTRIBUTION STATEMENT A: Approved for public release; distribution is unlimited

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