1. Sustainability and Public-Private Initiatives Sean Patton Director, Energy Solutions LOCKHEED MARTIN CORPORATION JUNE 8, 2012 Sustainability for the Future

2. Sustainability Starts at Home View Lockheed Martin Sustainability Report At: http://viewer.zmags.com/publication/9cb9b8f8#/9cb9b8f8/1

3. Sustainability for the Future For 100 years Lockheed Martin has brought innovations and achievements that helped our customers rise to some of the world’s most vital challenges. And we’ll look forward – to emerging global challenges and the technology that will shape our world for the next 100 years. Sustainability Needs Innovation Celebrating 100 Years Of Innovation

4. Sustainability for the Future Sustainability Needs Product Innovation We Are Using Our 100 Years Of Innovation And 63,000 Scientists And Engineers To Develop The Next Generation Of Products And Services For Sustainability

5. Sustainability for the Future Federal State/Local Utilities Commercial Providing More Than 50 Customers With Energy Solutions For Sustainability Sustainability Needs Customer Innovation

6. Sustainability for the Future Army Air Force Navy Our Goal is to Align with our Customer’s Objectives for Operations, Products, and Services Lockheed Martin’s customers are making energy and sustainability a top priority – U.S. Executive Orders 13423 and 13514 establish sustainability targets for Federal Agencies. Sustainability Aligns with Customers

7. Sustainability for the Future Sustainability Begins With Footprint 25 LEED Certified Facilities 7 Facilities Are EPA Energy Star Rated As part of our building modernization process, we are using On Demand Variable technology which will save millions of dollars in energy costs across our facilities.

8. Sustainability for the Future Sustainability Requires Partnerships By aligning with strategic partners and participating in certification programs, we continuously identify ways to improve performance. Our partners help us benchmark, measure, and share best practices. We Are In Good Company!

9. Sustainability for the Future Sustainability Requires Measurement Measurement Drives The Triple Bottom Line … People, Planet, Profit …

10. Sustainability for the Future Sustainability Requires Monitoring 2007-2011 Absolute Carbon Emission Reductions By 30% In 2011, we completed Energy Reduction Structured Improvement Activities (SIAs) at 17 sites that represent more than 80% of our energy use. Hundreds of projects were identified that could save more than $25M annually or 161,000 metric tons of CO2. We are one of the largest purchasers of green power. We have consolidated 4,000 of 9,225 data servers that saved more than 26 Million kWh of electricity and $2.6 Million

11. Sustainability for the Future Sustainability Requires Monitoring 2007-2011 Water Reduction Reached 23% Or 555 Million Gallons We have upgraded restrooms, changed cooling tower treatment chemicals and repaired significant leaks, and replaced malfunctioning chillers. We are implementing xeriscaping projects to eliminate irrigation and replacing water intensive grass.

12. Sustainability for the Future Sustainability Requires Monitoring 2007-2011 Waste-To-Landfill Decrease Is 39% We have partnered with waste and resource recovery suppliers and identified non-landfill options for our waste streams. Our company sites are composting, recycling, and partnering with suppliers to eliminate packaging waste. Single stream, desk-side recycling programs have increased our recycling rate by 29%.

13. Sustainability for the Future Sustainability Merits Benchmarking Ranked Highest Performance Score Of All Aerospace & Defense Companies Carbon Disclosure Project Performance

14. Sustainability for the Future Sustainability at DOS Nicaragua Key To A Good Performance Based Contract, For Both The Agency And ESCO, Is To Not Constrain The Scope Of ECMs To Be Evaluated Project Timeline Project Awarded Nov 2011 Project Start for Preliminary Assessment Dec 2011 Project Completed for PA in Mar 2012 Notice to proceed with the IGA on 1 May 2012 On schedule to complete IGA Nov 2012 Project Scope 57 Acre compound, 11 facilities w/ average age of 6 years Compound consumes 4.8 million kWh annually at a cost of $1.2 M Project Goals Maximum reduction in energy consumption, improve energy efficiency Implement on-site renewable energy to: increase energy security reduce exposure to electricity and fuel price increases reduce GHG emissions Impact occupant behavior and promote sustainability Achieve net-zero Baseline Condition

15. Sustainability for the Future Sustainability Projects Require Good ECMs Efficiency Measures Retrofit fans with Synchronous Belts Variable Refrigerant Volume DX System Night Chiller Solid State Lighting – Interior & Exterior Lighting Controls Window Film Heat Pump Domestic Hot Water Heater Primary & Secondary Transformer Upgrades Demand Control Ventilation for Commercial Kitchen Hoods Retro-commissioning (RCx) Renewables Solar Photovoltaic (PV) Solar Thermal / Domestic Hot Water Wind Turbine Power Thermal Storage Cooling Intelligent Micro Grid w/ Demand Limiting Generator (to support PV) ECM Result In An Electrical Load Reduction Of 1,793 MWh Or 38% Electrical Reduction From Renewable Generation = 2,174 MWh Or 48% Electrical Load Reduction

16. Sustainability for the Future Thank You Cathy Snyder Vice President Energy & Environment Government Relations cathy.j.snyder@lmco.com 703-413-5751