Lockheed Gets Defense Contract

Lockheed Martin Corp. beat Raytheon Co. for work worth as much $843 million to make laser targeting devices that allow Air Force F-16 pilots to drop bombs with more precision from higher altitudes at day or night.

Lockheed’s Orlando, Fla., Missiles and Fire Control unit will develop and build as many as 522 of the so-called advanced targeting pods through 2010, with first deliveries in January 2003. The cost includes warranties, spare parts and logistics support, the Pentagon said.

Raytheon already has the Navy’s contract to supply a similar targeting pod for the F/A-18 fighter programs.

Lockheed Martin rose 29 cents to $39.44, while Raytheon rose 51 cents to $27.51, both on the NYSE.