The Boeing Company 2002 Annual Report
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We are transforming our business to lead with solid strength and performance.

Boeing Integrated Defense Systems:
Innovative solutions and unifying partnerships
 
Boeing Integrated Defense Systems
The Boeing Integration Center demonstrates how the integrated battlespace — a network-centric, capability-driven solution — provides instantaneous, accurate and protected information to decision-makers and soldiers in the field when they need it — anytime, anywhere.
 
Boeing Integrated Defense Systems (IDS) is poised to lead tomorrow’s transformation programs by combining exceptional weapons and aircraft capabilities, intelligence and surveillance systems, communications architectures and extensive large-scale integration expertise. Recognized as a top U.S. defense contractor and a leader in intelligence and space, IDS revenues increased 9.4 percent in 2002.
   Focusing on network-centric, capability-driven solutions and working in partnership with its customers, Boeing is transforming business and military operations to address a rapidly changing world. We won several contract awards in 2002 that are key to the military’s transformation plans and to the integrated battlespace, a $200 billion addressable market over the next 10 years. These awards strengthen our profitable global leadership position, which promises double-digit growth. The U.S. Army’s Future Combat Systems will revolutionize how the Army is equipped and operated. The Joint Tactical Radio System and the Family of Advanced Beyond-Line-of-Sight Terminals will provide seamless communications and integrated information flow to armed forces. Key multi-billion dollar, multiyear production contracts signed in 2002 for the C-17 airlifter and the F-15 tactical fighter will keep those production lines healthy for years to come.
   As the lead systems integrator on nationally significant missile defense and homeland security programs, we are working with both domestic and foreign partners toward building a global missile defense system and securing vital transportation systems. We successfully helped the Transportation Security Administration meet its Congressional mandate to ensure 100 percent checked baggage screening in the nation’s commercial airports by year-end 2002. Because of our expertise, we anticipate additional opportunities in the homeland security addressable market valued at $80 billion over the next 10 years.
   As we maintain our leadership position in space-related operations, the successful November launch of Delta IV, the first U.S. -developed and -powered rocket in a generation, will be followed in 2003 by the first Delta IV launch for the U.S. Air Force’s Evolved Expendable Launch Vehicle program. Also making its first successful flight in 2002 was the autonomous X-45 Unmanned Combat Air Vehicle (UCAV), designed to revolutionize tactical air warfare.
   Boeing and its heritage businesses have been part of the U.S. space program for more than 50 years and have played a leading role in human space flight for more than 40 years. NASA sets the priorities for the U.S. space program and, as NASA’s number one contractor, Boeing stands ready to support NASA’s plans for the future.
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