LONDON, UNITED KINGDOM, February 25th, 1999 -- Lockheed Martin (NYSE: LMT) today announced that it has been selected by the British government in London to deliver the service to record vital census population data for the United Kingdom Office for National Statistics (ONS), the General Register Office for Scotland (GRO(S)) and the Northern Ireland Statistics and Research Agency (NISRA) in the 2001 Census. The four-year outsourcing contract awarded to Lockheed Martin and its British teammates, ICL and Polestar, is initially valued at UK50 million pounds or $US80 million and includes options for extending the relationship to 10 years. It will create 1,000 jobs in the United Kingdom.

Lockheed Martin will apply its system integration and program management experience in supporting the ONS, GRO(S) and NISRA with the processing of census information collected from an estimated 28 million households in the United Kingdom starting in April 2001. The Lockheed Martin team will develop the data capture imaging systems, print and process the census forms, and provide the collected data to the Government for analysis. The data capture process will maintain the complete confidentiality always enjoyed in the UK Census.

"This program allows us to provide a mission critical service to new international customers -- a key element of our corporation's worldwide growth strategy," said Arthur E. Johnson, president and chief operating officer, Lockheed Martin Information and Services Sector, speaking at a contract signing ceremony today in London. "The Census project also underscores our long-term commitment to expand our partnerships with British government and industry."

Lockheed Martin will manage the project from Titchfield, Hampshire, and Runcorn, Cheshire, England, and will develop the census data capture system at its Mission Systems business unit in Gaithersburg, Maryland, USA. ICL, an information technology services company headquartered in Slough, England, will recruit approximately 1,000 people to run operations at census facilities in the United Kingdom. London-based Polestar, Europe's largest independent printing company, will be responsible for the printing of the 35 different census forms in both English and Welsh.

Lockheed Martin is currently developing the data capture system for the US Census 2000, and will apply this expertise to the UK project. "As the provider of both the UK and US Census systems, we are establishing valuable credentials that we are offering to other countries planning a Census within the next two years," said Mr. Johnson.