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LOCKHEED MARTIN AND RED 6 BUILD ON PARTNERSHIP THROUGH MENTOR-PROTÉGÉ AGREEMENT

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Lockheed Martin (LMT) and Red 6 announced a strategic joint venture and Mentor-Protégé Agreement under the U.S. Small Business Administration Mentor-Protégé Program. This agreement aims to support both companies' efforts to innovate at a more rapid pace, with Lockheed Martin gaining access to small business teaming partner contracts and potential Red 6 technology integration into various fighter platforms and emerging trainers. The partnership also demonstrates Lockheed Martin's commitment to providing customers with 21st Century Security capabilities and integrated air power solutions.
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The strategic joint venture and Mentor-Protégé Agreement between Lockheed Martin and Red 6, facilitated by the U.S. Small Business Administration, signifies a collaborative effort to integrate innovative technology into established and emerging defense platforms. Lockheed Martin's engagement with a small business like Red 6 underlines a strategic move to infuse agility and cutting-edge technology into its product offerings, which could potentially lead to enhanced capabilities in their aircraft systems, such as the F-16, F-22, F-35 and the TF-50 trainer aircraft.

From a defense industry perspective, this partnership is likely to bolster Lockheed Martin's competitive edge in government contracts, especially with the emphasis on modernizing platforms to meet 21st Century Security requirements. The integration of Red 6's ATARS (Augmented Reality Airborne Tactical Augmented Reality System) suggests a focus on advanced training solutions that could revolutionize pilot training efficiency, a critical factor given the complexity of 4th and 5th generation fighter missions. This could have long-term implications for defense procurement trends and the adoption of virtual and augmented reality in military training.

From a market perspective, the announcement of the strategic joint venture could influence investor sentiment towards Lockheed Martin. The proactive approach to adopting small business innovation is indicative of Lockheed Martin's commitment to maintaining its market leadership position. The potential for new contracts and the integration of Red 6 technology into current and future programs could translate into increased revenue streams and a stronger market position.

Moreover, the focus on digital advancements and the modernization of platforms aligns with the broader market trend of technological integration in defense. As Lockheed Martin leverages Red 6's capabilities, it could see an uptick in its stock value, contingent upon the successful execution of these initiatives and the subsequent market perception of the company's growth trajectory and innovation potential.

Analyzing the financial implications of the Mentor-Protégé Agreement, it is essential to consider the potential for cost savings and efficiency gains that Lockheed Martin might realize through the partnership. By incorporating Red 6's technology, there could be a reduction in training costs and an increase in the speed of pilot readiness, which is financially beneficial. Additionally, the access to small business teaming partner contracts could provide Lockheed Martin with a more diverse revenue portfolio and potentially improve profit margins due to the lower cost structures typically associated with small business operations.

Investors and stakeholders should monitor the progress of this partnership closely, as the successful integration of Red 6's ATARS into Lockheed Martin's training systems could lead to significant contract wins and strengthen the company's bid competitiveness in future Department of Defense procurement processes.

Program Supports Both Companies' Efforts to Innovate at a More Rapid Pace

ORLANDO, Fla., Jan. 24, 2024 /PRNewswire/ -- Lockheed Martin (NYSE: LMT) and Red 6 announced today a strategic joint venture and Mentor-Protégé Agreement under the U.S. Small Business Administration Mentor-Protégé Program.

"Red 6 is thrilled for this opportunity to work more closely with Lockheed Martin. It broadens our existing avenues for progression and rapid integration of Red 6 technology into the broader market using Lockheed Martin's experience and business practices," stated Daniel Robinson, CEO and Founder of Red 6.

This agreement assists both companies' efforts to joint venture, bid, explore future investments and innovate more quickly. Lockheed Martin will gain access to small business teaming partner contracts and bring small business innovation to large programs / contracts. This includes potential Red 6 technology integration into current fighter platforms such as the F-16, F-22 and F-35, emerging trainers such as the TF-50, rotary vertical lift, airlift and new/future programs.

"Lockheed Martin continues making deliberate digital advancements and building partnerships to accelerate technology development across our platforms," said Aimee Burnett, Vice President, Business Development for the Integrated Fighter Group at Lockheed Martin. "Strategic partnerships such as this with Red 6 demonstrate our understanding of mission requirements and commitment to provide our customers with 21st Century Security capabilities and integrated air power solutions." 

"For example, we submitted the TF-50 aircraft for the U.S. Air Force's and the U.S. Navy's trainer programs, and we're focused on modernizing the platform to meet mission needs. We will ensure pilots have the right tools to support faster, more efficient training for 4th and 5th generation fighter missions and beyond. Our collaboration with Red 6 is helping to accomplish that." Burnett added.

Red 6 is a Lockheed Martin Ventures portfolio company selected in 2020 to accelerate the development and commercialization of Red 6's ATARS. In 2023, the partnership expanded to developing engineering solutions and a technology roadmap to establish an implementation path for Red 6's ATARS into the TF-50 program and associated ground-based training systems. 

About Red 6

Red 6, founded in 2018, is the creator of Airborne Tactical Augmented Reality System (ATARS) and Augmented Reality Command and Analytic Data Environment (ARCADE). Red 6 systems are the first wide field-of-view, full color demonstrably proven outdoor augmented reality solution that operate in dynamic outdoor environments. Together, they bring virtual and constructive assets into the real-world by allowing pilots and ground operators to see synthetic threats in real-time, outdoors, and critically, in high-speed environments.

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/lockheed-martin-and-red-6-build-on-partnership-through-mentor-protege-agreement-302042740.html

SOURCE Red Six Aerospace, Inc.

FAQ

What is the strategic joint venture and Mentor-Protégé Agreement about?

Lockheed Martin and Red 6 have formed a strategic joint venture and Mentor-Protégé Agreement under the U.S. Small Business Administration Mentor-Protégé Program to support both companies' efforts to innovate at a more rapid pace.

What is the ticker symbol for Lockheed Martin?

The ticker symbol for Lockheed Martin is LMT.

What are the potential benefits for Lockheed Martin from this agreement?

Lockheed Martin will gain access to small business teaming partner contracts and potential Red 6 technology integration into various fighter platforms and emerging trainers.

What is Red 6's role in the partnership?

Red 6 is providing technology integration into current fighter platforms and emerging trainers, aiming to support faster and more efficient training for 4th and 5th generation fighter missions and beyond.

What is the focus of the collaboration between Lockheed Martin and Red 6?

The collaboration is focused on modernizing the TF-50 aircraft to meet mission needs and ensuring pilots have the right tools to support faster, more efficient training for fighter missions.

Lockheed Martin Corp.

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