Lockheed Martin Projections

Definitions of Non-GAAP Measures Measures Non-GAAP Financial Measures Disclosure This presentation, and today's conference call remarks, contain non-Generally Accepted Accounting Principles (GAAP) financial measures (as defined by SEC Regulation G). While we believe that these non-GAAP financial measures may be useful in evaluating Lockheed Martin, this information should be considered supplemental and is not a substitute for financial information prepared in accordance with GAAP. In addition, our definitions for non-GAAP measures may differ from similarly titled measures used by other companies or analysts. Segment Operating Profit / Margin Segment Operating Profit represents the total earnings from our business segments before unallocated corporate income and expense, interest expense, other non-operating income and expense, and income tax expense. This measure is used by our senior management in evaluating the performance of our business segments. The caption "Unallocated Corp Inc / (Exp)" reconciles Segment Operating Profit to consolidated Operating Profit. Segment Margin is calculated by dividing Segment Operating Profit by Sales. Mid-point Segment Margin represents the mid-point of the outlook range for Segment Operating Profit divided by the mid-point of the outlook range for Sales. 2012 Outlook (Jan) $45,000 46,000 $5,025 - 5,125 11.2% $3,900 - 4,000 Sales Segment Operating Profit Mid-Point Segment Margin Consolidated Operating Profit Operating Profit Unallocated/Other expenses, net Segment Operating Profit Sales $11,293 Chart 13 $11,293 1Q 2012 Profit $ 1,009 331 $1,340 Margin 8.9% 11.9% 2012 Outlook (April) $45,000 46,000 $5,075 - 5,175 11.3% $3,900 - 4,000 Sales Profit $ 864 307 $ 10,626 $ 1,171 1Q 2011 $ 10,626 Margin 8.1% 11.0% Pension-Adjusted Earnings Per Share Lockheed Martin defines adjusted earnings per share as GAAP earnings per share excluding the effect of the FAS/CAS pension adjustment. Management uses these measures as an additional means to compare and forecast the company's operating performance before the effect of the FAS/CAS pension adjustment between periods and in comparison to that of other companies within our industry as an alternative to GAAP. April 26, 2012

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