Document:

Exhibit 10.21

 Exhibit 10.21 
 LOCKHEED MARTIN CORPORATION 
 2006 MANAGEMENT INCENTIVE COMPENSATION PLAN 
 (Performance-Based) 
 As Amended
January 23, 2008 
 ARTICLE I 
 PURPOSE OF THE PLAN 
 This Plan is established to provide a further incentive to selected Employees to promote the
success of Lockheed Martin Corporation by providing an opportunity to receive additional compensation for performance measured against individual and business unit goals. The Plan is intended to achieve the following: 
  

	 	1.	Improve cost effectiveness. 

  

	 	2.	Stimulate employees to work individually and as teams to meet objectives and goals consistent with enhancing shareholder values. 

  

	 	3.	Facilitate the Company’s ability to retain qualified employees and to attract top executive talent. 

  

	 	4.	Establish performance goals within the meaning of Section 162(m) of the Internal Revenue Code. 

 ARTICLE II 
 STANDARD OF CONDUCT AND PERFORMANCE EXPECTATION 

 

	 	1.	It is expected that the business and individual goals and objectives established for this Plan will be accomplished in accordance with the Company’s policy on ethical conduct
in business with the U.S. Government and all other customers. It is a prerequisite before any award can be considered that a Participant will have acted in accordance with the Lockheed Martin Corporation Code of Ethics and Business Conduct and
fostered an atmosphere to encourage all employees acting under the Participants’ supervision to perform their duties in accordance with the highest ethical standards. Ethical behavior is imperative. Thus, in achieving one’s goals, the
Participant’s individual commitment and adherence to the Company’s ethical standards will be considered paramount in determining awards under this Plan. 

  

	 	2.	Plan Participants whose individual performance is determined to be less than acceptable are not eligible to receive Incentive Compensation awards. 

  

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 ARTICLE III 
 DEFINITIONS 
  

	 	1.	ANNUAL SALARY – The regular base salary of a Participant during a fiscal year of the Company, determined by multiplying by 52 the Participant’s weekly base salary rate
effective during the first full pay period in December preceding the year of payment, but excluding any Incentive Compensation, commissions, over-time payments, payments under work-week plan, indirect payments, retroactive payments not affecting the
base salary or applicable to the current year, and any other payments of compensation of any kind. 

  

	 	2.	BOARD OF DIRECTORS – The Board of Directors of the Company. 

  

	 	3.	CODE – The Internal Revenue Code of 1986, as amended from time to time, and the regulations promulgated thereunder. 

  

	 	4.	COMMITTEE – The Management Development & Compensation Committee of the Board of Directors as from time to time appointed or constituted by the Board of Directors.

  

	 	5.	COMPANY – Lockheed Martin Corporation and those subsidiaries of which it owns directly or indirectly 50% or more of the voting stock or other equity. 

 

	 	6.	ELECTED OFFICER – An Employee who has been elected as an officer by the Board of Directors. 

  

	 	7.	EMPLOYEE – Any person who is employed by the Company and who is paid a salary as distinguished from an hourly wage. The term “Employee” includes only those
individuals that the Company classifies on its payroll records as Employees and does not include consultants, independent contractors, leased employees, co-op students, interns, temporary or casual employees, individuals paid by a third party or
other individuals not classified as an Employee by the Company. Notwithstanding the foregoing, the term “Employee” shall not include any employee who, during any part of such year, was represented by a collective bargaining agent.

  

	 	8.	INCENTIVE COMPENSATION – A payment made pursuant to this Plan. 

  

	 	9.	PARTICIPANT – Any Employee selected to participate in the Plan in accordance with its terms. 

  

	 	10.	PLAN – This 2006 Lockheed Martin Corporation Management Incentive Compensation Plan (Performance Based). 

  

	 	11.	PLAN YEAR – A calendar year. 

  

	 	12.	RESTRICTED EMPLOYEE – An Employee who either (i) is an Elected Officer, or (ii) at the time of a payment under this Plan, is the recipient of a Long Term Incentive
Performance Award under the Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan with a performance period yet to be completed. 

  

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	 	13.	SUBCOMMITTEE – The Stock Option Subcommittee of the Committee, or such subcommittee composed solely of two or more outside directors of the Company (within the meaning of Code
section 162(m)(4)(C)) or the entire subcommittee is all members of that subcommittee are outside directors. 

  

	 	14.	TARGET LEVEL – The target levels specified in Section B of Exhibit A. 

 ARTICLE IV 
 ELIGIBILITY FOR PARTICIPATION 
 Those Employees who through their efforts are able to contribute significantly to the success of the Company in any given Plan Year will be considered eligible for
selection for participation in the Plan with respect to that Plan Year. Participants are selected each Plan Year based on recommendations by the Business Area Executive Vice Presidents or corporate function heads, subject to the approval of the
Executive Office. Those eligible shall include all Employees considered by the Committee to be key Employees of the Company. No member of the Committee shall be eligible for participation in the Plan. 
 ARTICLE V 
 INCENTIVE COMPENSATION
PAYMENTS 
  

	 	1.	CALCULATION OF PAYMENTS – Incentive Compensation payments to Participants shall be calculated in accordance with the formula and procedures set forth in Exhibits A and B
hereto. All such payments shall be in cash. 

  

	 	2.	TARGETS – At the beginning of each Plan Year or in connection with an internal promotion or an employment offer made later in a Plan Year, the Executive Office shall identify
the Employees eligible for participation in the Plan for that Plan Year and designate a Target Level for each Employee so designated. 

  

	 	3.	INDIVIDUAL PERFORMANCE FACTORS – Each Employee designated as eligible for participation for a particular Plan Year shall identify individual performance goals for that Plan
Year on or before March 30 of that Plan Year (or within 30 days of designation as a Participant by the Executive Office, whichever is later). As soon as practicable following the end of the Plan Year, the Business Area Executive Vice President
or corporate function head, as the case may be, shall evaluate the performance of each Participant in the respective Business Area or corporate functional area in light of the individual’s performance goals and assign an Individual Performance
Factor as provided for in Exhibit A, subject to approval by the Executive Office. The Individual Performance Factors for elected corporate officers, other than the Chief Executive Officer and President, shall be determined by the Executive Office as
provided in Exhibit A, subject to approval by the Committee. The Individual Performance Factor(s) of the Chief Executive Officer and President of Lockheed Martin Corporation shall be determined by the Committee. The Committee may, at the request of
any member of the Committee, review the Individual Performance Factors of any other Participant or groups of Participants. The Committee may make adjustments to any such performance factors as it considers appropriate. 

  

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	 	4.	ORGANIZATIONAL PERFORMANCE FACTORS – The Executive Office and each Business Area Executive Vice President shall identify organizational performance goals for the Company, each
Business Area and each business unit for that Plan Year on or before March 30 of that Plan Year. The Executive Office shall review the Company and Business Area organizational performance goals with the Committee. As soon as practicable
following the end of the Plan Year, the Executive Office shall evaluate the performance of the Company and each Business Area in light of their respective organizational performance goals and determine the Company’s and the Business Area
Organizational Performance Factors, as provided for in Exhibit A, subject to the approval of the Committee. Each Business Area Executive Vice President shall evaluate the performance of each business unit within his or her business area in light of
the business unit’s organizational performance goals and establish Organizational Performance Factors for the business units within the respective business area as provided for in Exhibit A, subject to the approval of the Executive Office. The
Committee may make adjustments to any Organizational Performance Factor as it considers appropriate. 

  

	 	5.	APPROPRIATIONS TO THE PLAN. 

  

	 	A.	To the extent that the aggregate of all proposed payments of Incentive Compensation to all Participants as determined by the application of the formula set forth in Exhibit A
(subject to any adjustments made by the Committee under Paragraph 2 or 3 above or pursuant to Exhibit B) exceeds the amount determined by the Committee to be available for payment, all proposed payments of Incentive Compensation to Participants
shall be reduced on a pro rata basis. 

  

	 	B.	The Committee will recommend to the Board of Directors the authorization of the amount to be appropriated to the Plan by the Company for distribution to Participants and as computed
pursuant to the provisions of this Paragraph 5. The Board of Directors may, notwithstanding any provision of the Plan, make adjustments to any proposed Incentive Compensation payment under the Plan, and subject to any such adjustments, the Board of
Directors will appropriate to the Plan the amount as recommended by the Committee for distribution to the Participants; provided that, the Board of Directors may appropriate an amount which is less than the amount recommended by the Committee in
which event all proposed payments of Incentive Compensation to Participants shall be reduced on a pro rata basis. Prior to the determination of the amount to be appropriated under the Plan for any Plan Year, the Board of Directors may authorize the
Corporation to earmark funds or allocate funds to a separate account or trust, in either case for the purpose of making payments under the Plan. 

  

	 	7.	METHOD OF PAYMENT – The amount determined for each Participant with respect to each Plan Year shall be paid to such Participant in cash not later than March 15 following
the Plan Year or deferred at the direction of the Committee, but only to the extent permitted under Code section 409A, until the Participant’s termination of employment. Notwithstanding the foregoing, Participants may also elect to defer
payments to the extent provided in the Lockheed Martin Corporation Deferred Management Incentive Compensation Plan. 

  

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	 	8.	RIGHTS OF PARTICIPANTS – All payments are subject to the discretion of the Board of Directors. No Participant shall have any right to require the Board of Directors to make any
appropriation to the Plan for any Plan Year, nor shall any Participant have any vested interest or property right in any share in any amounts which may be appropriated to the Plan. 

  

	 	9.	AUTHORITY TO RECOVER PAYMENTS. The Board of Directors retains the authority to make retroactive adjustments to a payment made under the Plan on or after January 1, 2008 under
the following circumstances: 

  

	 	a.	If the Board of Directors determines, after consideration of all the facts and circumstances that the Board of Directors in its sole discretion considers relevant, that either
(i) the intentional misconduct or gross negligence of a Restricted Employee, or (ii) the failure of a Restricted Employee to report another person’s intentional misconduct or gross negligence of which the Restricted Employee had
knowledge, contributed to the Corporation having to restate all or a portion of its financial statements filed with the Securities and Exchange Commission, then the Board of Directors may to require the Restricted Employee repay to the Corporation
the difference between the amount by which the payments or awards exceeded what the payment or award would have been based on the restated financial results, as determined by the Board of Directors; 

  

	 	b.	If the Board of Directors, after consideration of all the facts and circumstances that the Board of Directors in its sole discretion considers relevant, determines that a Restricted
Employee either (i) engaged in fraud, bribery or other illegal act, or (ii) the Restricted Employee’s intentional misconduct or gross negligence (including the failure by the Restricted Employee to report the acts of another person of
which the Restricted Employee had knowledge) contributed to another person’s fraud, bribery or other illegal act, which in either case adversely impacted the Corporation’s financial position or reputation, the Board of Directors may to
require the Restricted Employee to repay to the Corporation the value of any payment under this Plan as determined by the Board of Directors. 

 The Board of Directors may delegate its authority to make determinations under this Section to the Committee. 
 ARTICLE VI 
 ADMINISTRATION 
 The Plan shall be administered under the direction of the Committee. The Committee shall have the right to construe the Plan, to interpret any provision thereof, to make rules and regulations relating to the Plan, and to determine any
factual question arising in connection with the Plan’s operation after such investigation or hearing as the Committee may deem appropriate. Any decision made by the 

  

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Committee under the provisions of this Article shall be conclusive and binding on all parties concerned. The Committee may delegate to the officers or
employees of the Company the authority to execute and deliver those instruments and documents, to do all acts and things, and to take all other steps deemed necessary, advisable or convenient for the effective administration of this Plan in
accordance with its terms and purpose. Notwithstanding the target levels noted on Exhibit A but subject to the limitations of Exhibit B, the Committee and the Board of Directors (as appropriate) may adopt a different target level for any elected
officer, provided the target level is established prior to March 30 of the Plan Year to which it applies, or within 30 days after the Employee is designated to participate in the Plan, whichever is later. The rights and obligations of the
Committee under this Article VI shall be assumed by the Subcommittee in the case of Participants subject to Exhibit B. 
 ARTICLE VII 

 AMENDMENT OR TERMINATION OF PLAN 
 The
Board of Directors shall have the right to terminate or amend this Plan at any time and to discontinue further appropriations thereto, provided that such termination or amendment shall not be made in a manner that would cause a Participant to
include Incentive Compensation in gross income pursuant to Code section 409A. 
 ARTICLE VIII 
 EFFECTIVE DATE 
 The Plan shall be effective with
respect to the operations of the Company for the Plan Year beginning January 1, 2006, contingent upon approval of Exhibit B by the Company’s stockholders at its 2006 annual meeting. In the event the stockholders do not approve Exhibit B at
that meeting, the Plan shall not be effective and no payments will be made under the Plan. Any amendment to this Plan shall be effective as determined by the Board of Directors. 
  

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 EXHIBIT A 
 CALCULATION OF MANAGEMENT INCENTIVE COMPENSATION PAYMENTS 
  

	A.	AWARD FORMULA 

  

	1.	Incentive Compensation payments will be calculated by multiplying the Participant’s Annual Salary by the applicable Target Level of the Participant (determined in accordance
with paragraph B below), and that result will then be multiplied by the Individual Performance Factor (as defined in C). The resulting award will be multiplied by the appropriate Organizational Performance Factor (as defined in D). Payments to
Participants subject to Exhibit B shall be reduced to the extent required by Exhibit B. 

  

	2.	Partial awards for Participants who terminate employment during a Plan Year may be recommended for consideration based on the following: 

  

			
	 Termination Method
	  	 Incentive Compensation Award

	Voluntary	  	May be considered for a pro-rated award if on active status December 1 of the Plan Year with a minimum of six (6) full months as an active Plan Participant during the Plan
Year.
		
	Lay Off	  	May be pro-rated based on the conditions of the case at the discretion of the Business Area Executive Vice President (or major corporate function head) with a minimum of six (6) full months
as an active Plan Participant during the Plan Year.
		
	Retirement	  	May be considered for a pro-rated award with a minimum of six (6) full months as an active Participant during the Plan Year if Participant goes directly into retirement status upon
termination.

  

	3.	Pro-rated awards may be recommended for individuals who become Participants subsequent to the beginning of a Plan Year, and have a minimum of six (6) full months as active
Participants during the Plan Year. 

 Any deviation from the six (6) month minimum requires Corporate Salary Board
approval. 
  

	4.	Recommended awards for Participants whose Target Levels change during the Plan Year may be pro-rated (based on number of months at old versus new Target level), if the new target
level is in effect for less than nine (9) months during the Plan Year. 

 Any deviation requires Business Area Executive
Vice President or Executive Office review and approval as appropriate. 
  

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	5.	Any calculation of Incentive Compensation under this Exhibit A shall be subject to the provisions of the Plan and Exhibit B. In the event of any conflict between the terms or
application of this Exhibit A and the Plan, the Plan shall prevail. In the event of any conflict between the terms of Exhibit A and Exhibit B, Exhibit B shall prevail. 

  

	B.	TARGET LEVELS 

 Target Levels are based on the level
of importance and responsibility of the position in the organization as determined by the Business Area Executive Vice President and/or major corporate function head subject to approval by the Executive Office. 
  

			
	 Position
	  	 Target

	Chief Executive Officer	  	125%
	President	  	TBD*
	Exec. VP	  	75%
	Senior VP	  	55% - 65%
	Other Elected Officers	  	40% - 55%
	Other Eligible Positions	  	15% - 50%

  

	*	To be determined by the Committee as needed. The offices of Chief Executive Officer and President have been held by the same person since August 2004. 

  

	C.	INDIVIDUAL PERFORMANCE FACTORS 

 Individual
performance factors are normally in increments of 0.05 and will have the following definitions: 
  

			
	 Factor
	  	 Definition

		
	 1.20 - 1.30
	  	Performance vastly superior to expectations and peers within the organization.
		
	 1.05 - 1.15
	  	Consistently exceeds expected performance.
		
	 1.00
	  	Consistently meets all requirements and expectations.
		
	 0.80 - 0.95
	  	Performance meets most, but not all job requirements and expectations.
		
	 0.60 - 0.75
	  	Performance meets some objectives, but overall performance below expected levels.
		
	 0.00
	  	Performance fails to meet job requirements.

  

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	D.	ORGANIZATIONAL PERFORMANCE FACTORS 

  

	l.	The Organizational Performance Factor will depend on the assessment of the quality of performance by each business unit, or the Corporation (in the case of corporate staff) in
accomplishing the organizational performance objectives based on the following schedule: 

  

			
	 Factor
	  	 Performance Standard

		
	 1.50
	  	Far exceeded organizational objectives in all categories.
		
	 1.30
	  	On balance, exceeded high performance expectations in most categories.
		
	 1.00
	  	Achieved all objectives or on balance met high performance expectations.
		
	 0.75
	  	Met most objectives. Overall performance was good, but not as high as possible or expected.
		
	 0.50
	  	Met few objectives, but overall performance not as good as possible or expected.
		
	 0.0  
	  	Did not achieve sufficient overall performance level.

  

	2.	Intermediate organizational ratings, as deemed appropriate by the Executive Office for results achieved, may be assigned normally in increments of 0.05. 

  

	3.	Weighting of organizational performance between business unit and corporate factors may be applied, as deemed appropriate by the Executive Office. 

  

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 EXHIBIT B 
 PERFORMANCE BASED AWARDS 
  

	A.	INCENTIVE COMPENSATION FOR ELECTED OFFICERS. 

 Notwithstanding any provision of the Plan to the contrary, Incentive Compensation awards made to an Elected Officers shall be subject to the terms of this Exhibit B. The terms of Exhibit B are contingent upon approval by the stockholders of
Lockheed Martin Corporation. In the event the stockholders do not approve Exhibit B, the 2006 Lockheed Martin Corporation Management Incentive Compensation Plan (Performance-Based Plan) will not become effective and no Incentive Compensation will be
paid under the Plan. 
  

	B.	IDENTIFICATION OF THE ELECTED OFFICERS. 

 The
eligible class of Participants subject to Exhibit B is those Participants who are Elected Officers on the last day of the Plan Year. 
  

	C.	LIMITATION OF INCENTIVE COMPENSATION. 

 Notwithstanding any other provision of this Plan to the contrary, the Incentive Compensation payable under the Plan to (i) the Elected Officer who is the Chief Executive Officer shall not exceed 0.3% of Cash Flow for the Plan Year; and
(ii) each of the Participants who are Elected Officers on the last day of the Plan Year, other than the Chief Executive Officer, shall not exceed 0.2% of Cash Flow for the Plan Year. The Subcommittee shall have discretion to determine the
conditions, restrictions or other limitations, in accordance with and subject to the terms of this Plan and Code Section 162(m), on the payment of Incentive Compensation to the Elected Officers. The Subcommittee may reserve the right to reduce
the amount payable under this paragraph C in accordance with any standards contained in this Plan (including Exhibit A) or on any other basis (including the Subcommittee’s discretion). Neither the Subcommittee, the Committee, nor the Board of
Directors shall have the authority under this Plan to increase the amount payable under this paragraph C. 
  

	D.	SUBCOMMITTEE CERTIFICATION. 

 Before authorizing any
Incentive Compensation payment under this Plan to a Participant who is an Elected Officer, the Subcommittee must certify in writing (by resolution or otherwise) that the payments are consistent with paragraph C of this Exhibit B and that any other
material terms under this Plan for payment of a bonus were satisfied. 
  

	E.	DEFINITIONS. 

 For purposes of this Exhibit B,

 (i) “Cash Flow” means net cash flow from operations as determined by the Subcommittee at the end of the Plan Year in accordance
with generally accepted accounting principles in the United States. Cash Flow shall be determined by the Subcommittee based upon the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited
financial statements are not available for the period for which Cash Flow is being determined, 

  

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the Subcommittee shall determine Cash Flow in a manner consistent with the historical practices used by the Corporation in determining net cash provided by
operating activities as reported in its audited consolidated statement of cash flows. The Subcommittee shall have the right to specify any other adjustment that should be applied in determining Cash Flow that it deems necessary or appropriate to
take into account any event recognized under any accounting policy or practice affecting the Corporation, provided the Subcommittee specifies the adjustment at or prior to the time the organizational performance goals for the Corporation are
reviewed with the Subcommittee, but in no event later than March 30 of the Plan Year; 
 (ii) “Subcommittee” means the Stock
Option Subcommittee of the Committee, or such other subcommittee composed solely of two or more outside directors of the Company (as defined in Code section 162(m)(4)(C)) or the entire subcommittee, if all members are outside directors. 

 

	F.	ADMINSTRATION. 

 The provisions of Exhibit B shall
be interpreted and administered by the Subcommittee in a manner consistent with the requirements for “performance-based compensation” under Code Section 162(m). 
  

 iiExhibit 10.39

 Exhibit 10.39 
 Stock Option 
 Grant Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER

 THE SECURITIES ACT OF 1933 
 Dear
Optionee: 
 The Management Development and Compensation Committee (the “Committee”) of Lockheed Martin Corporation’s Board of
Directors has awarded to you options to purchase shares of Lockheed Martin Common Stock (“Stock”) under the Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). 
 This letter is your Award Agreement and sets forth some of the terms and conditions of your award. Additional terms and conditions are contained in the
Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. By accepting this Award Agreement electronically, you consent to electronic delivery of the Prospectus applicable to these Options. You
should retain the Prospectus in your records. 
 The term “Options” as used in this Award Agreement refers only to the nonqualified
stock options awarded to you under this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office, as instructed below as soon as possible. 
 EXERCISE PRICE 
 The exercise price of the Options granted hereunder is $106.87 per Option. Under certain circumstances set forth in the Plan and this Award Agreement,
this exercise price may be subject to adjustment. 
 The Committee presently allows the exercise price of an Option to be paid in cash, by
the tender of Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment, nor will fractional shares be issued. The Committee retains the discretion to at any time limit the method of payment to cash.
If you elect to pay with Stock, you must have owned the shares tendered for at least six months. If Stock is tendered, it will be valued at its Fair Market Value on the date of tender. 

 Grant Date: January 28, 2008 
 Page 2 
  

 VESTING/EXPIRATION/FORFEITURE 
 General Rule - An Option may not be exercised until it has vested, nor may an Option be exercised after its expiration or forfeiture. Subject to certain special rules discussed below, if you remain in the
employ of the Corporation until the applicable date of vesting, the vesting schedule for your Options is as follows: 
 First Vesting Date:
January 28, 2009 – One-Third 
 Second Vesting Date: January 28, 2010 – One-Third 
 Third Vesting Date: January 28, 2011 – One-Third 
 If the number of Options granted cannot be evenly divided by three into whole shares, the fractional shares will vest on the Third Vesting Date. If you leave the employ of the Corporation before the date on which an
Option vests, that Option is forfeited. 
 Vested Options, except as otherwise provided in this letter, or in the Plan, or as may be
restricted by law, may be exercised for a period ending on January 26, 2018. Options not exercised by that date will be forfeited. 
 You should make every effort to keep the Vice President of Compensation and Benefits’ office informed of your current address so that we may communicate with you about your options and their current status. The Corporation cannot
exercise the options for you, and so you must pay close attention to their terms and any impending expiration. 
 SPECIAL RULES AS TO VESTING

 Retirement - If you retire before the First Vesting Date, you will forfeit all of the Options in accordance with the general
rule set forth above. If you retire on or after the First Vesting Date, you will vest in the remaining Options on the Second Vesting Date and the Third Vesting Date as though you had remained in the employ of the Corporation through those dates. For
the purposes of this provision, the term “retirement” means retirement from service under the terms of the Corporation’s pension plan in which you are a participant or following attainment of age 55 and five years of service if you do
not participate in one of the Corporation’s defined benefit pension plans. 
 Death or Disability - Your Options will immediately
vest and no longer be subject to the continuing employment requirement if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 Grant Date: January 28, 2008 
 Page 3 
  

 SPECIAL RULES AS TO EXPIRATION AND FORFEITURE 
 Death or Disability - Options will expire at the end of their remaining term on January 26, 2018. 
 Resignation, Lay-Off or Termination for Cause - If you resign or otherwise terminate, whether voluntarily or by action of the Corporation, and in
the latter case whether with or without “cause,” unvested Options will be forfeited upon your termination. Vested Options will expire at the end of their remaining term or 30 calendar days following your resignation or termination,
whichever is shorter. If you are laid off, your options will be unaffected, and will vest and be exercisable until the end of their remaining term, in accordance with the terms of the Plan. 
 Divestiture - If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such
divestiture results in the termination of your employment with the Corporation or its subsidiaries and transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Following a divestiture, you
will continue to vest in your unvested options as though you had remained in the employ of the Corporation. Your vested options will be exercisable until the first to occur of (i) the fifth anniversary of the effective date of the divestiture;
or (ii) the original expiration date (“Divestiture Expiration Date”). If you die following divestiture but prior to the Divestiture Expiration Date, all unvested options will immediately vest as of the date of death and be exercisable
by your beneficiary until the Divestiture Expiration Date. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person,
corporation, association, partnership, joint venture or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations) is owned or controlled directly or indirectly, by
the Corporation, one or more of the Corporation’s subsidiaries or by a combination thereof. 
 LIMITATIONS ON EXERCISE 
 Notwithstanding any other provision herein, no Option may be exercised less than six months nor more than ten years after the date of grant. Further, from
time to time, your ability to exercise Options which otherwise would be exercisable may be restricted, if in the opinion of counsel for the Corporation, this is necessary or advisable in order to ensure compliance with applicable Federal or state
law, rules or regulations. 

 Grant Date: January 28, 2008 
 Page 4 
  

 ASSIGNMENT/TRANSFERABILITY/BENEFICIARIES 
 Options may not be pledged, assigned or transferred except that Options may be transferred by will or by the laws of descent and distribution or you may
provide that, upon your death, the Options are to be transferred to a beneficiary or beneficiaries that you designate. To designate a beneficiary or beneficiaries, please complete the Beneficiary Designation located at
http://www.etrade.com/stockplans and return an originally executed copy to the Vice President of Compensation and Benefits’ office (Mail Point 123). 
 During your lifetime, only you may exercise your Options. In the event of your death or disability, your Options may be exercised by a qualified representative of your estate, a properly designated beneficiary or
beneficiaries or your guardian or authorized representative, as applicable. 
 TAX WITHHOLDING 
 When you exercise an Option, the Corporation will withhold applicable taxes as required by law. The Committee presently allows you to pay the withholding
tax in cash, by tendering Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment. The Committee retains the discretion to, at any time, limit the method of payment to cash. Unlike payment of the
exercise price of the Options, if you elect to pay withholding taxes with Stock, you need not have owned the shares tendered for at least six months. Payment must be made at the time of exercise. To the extent that cash is not tendered, the
Corporation will retain from the shares of Stock that you would otherwise receive upon exercise of the Option that number of shares sufficient to satisfy the withholding obligation. If Stock is tendered or is deemed to have been tendered, it will be
valued at its Fair Market Value. 
 Withholding will be at the minimum rate prescribed by law. Therefore, you may owe taxes relating to the
exercise in addition to the amount withheld by the Corporation. If you desire, you may request that tax be withheld at greater than the minimum rate. 
 Special Note for Section 16 Insiders - The Corporation’s Section 16 Insiders have been informed of this fact by the Board of Directors. If you are a Section 16 Insider, your ability to
satisfy your withholding obligations through the tender of Stock may be limited by the Federal securities laws. In these situations, having such treatment deemed to occur may have adverse consequences. The Corporation recommends that you consult
with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any transactions involving your Options or Stock. 

 Grant Date: January 28, 2008 
 Page 5 
  

 CHANGE IN CONTROL 
 In the event of a change in control of the Corporation, as defined in Section 7 of the Plan, the vesting date of all outstanding options shall be accelerated so as to cause all outstanding options to become
exercisable. 
 AMENDMENT AND TERMINATION OF THE PLAN OR AWARDS 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time amend this Award Agreement. Notwithstanding the foregoing, no
such action by the Board of Directors or the Committee shall affect this Award Agreement or the award made hereunder in any manner adverse to you without your written consent. 
 ACCEPTANCE OF AWARD 
 No award is enforceable until you properly acknowledge your acceptance by
completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action
taken under the Plan consistent with its terms with respect to this award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. You must acknowledge your acceptance and receipt of the Award
Agreement, either electronically or by signing and returning a copy of this letter as follows: 
  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acceptance of this Award Agreement as described, this award will be effective as of the date of grant. If you
do not acknowledge acceptance of your award, it will not be effective and you will not be able to exercise the options. 
 MISCELLANEOUS 

For the purpose of calculating the expiration date of the Options, all Options will be deemed to expire on January 26, 2018 at the close of
trading in Lockheed Martin Corporation common stock on the New York Stock Exchange (or, if the security is not so listed or if the principal market on which it is traded is not the New York Stock Exchange, such other reporting system as shall be
selected by the Committee). If you are on leave of absence, for the purposes of the Plan, you will be considered to still be in the employ of the Corporation unless otherwise provided in an agreement between you and the Corporation. 

 Grant Date: January 28, 2008 
 Page 6 
  

 Your participation in the Plan, anything contained in this Award Agreement, or the grant of Options
does not confer upon you any right of continued employment or limit in any way the right of the Corporation to terminate your employment at any time. 
 You have no rights as a stockholder to any securities covered by this Award Agreement until the date on which you become the holder of record of such securities. Capitalized terms used, but not defined herein, shall
have the meanings ascribed to them in the Plan. In the event of a conflict between this Award Agreement and the Plan, the Plan document will control. 
  

	
	Sincerely,
	
	  
	David Filomeo
	(On behalf of the Management Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 RSU 
 Award
Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Awardee: 
 The Management Development and Compensation Committee of the Board of Directors (“Committee”) has awarded you Restricted Stock Units (“RSUs”). Each RSU entitles you, upon satisfaction of the
continued employment and other requirements set forth in this letter and the Plan, to receive from Lockheed Martin Corporation (“Corporation”) (i) one (1) share of the Corporation’s common stock, par value $1.00 per share,
(“Stock”); and (ii) quarterly cash payments equivalent to any cash dividends paid to stockholders of the Corporation, each in accordance with the terms of this letter, the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (“Plan”), and any rules and procedures adopted by the Committee. 
 This letter constitutes the
Award Agreement for your RSUs and sets forth some of the terms and conditions of your Award under the Plan, as determined by the Committee. Additional terms and conditions are described in the Plan and in the Prospectus relating to the Plan of which
the Plan and this Award Agreement are a part. In the event of a conflict between this letter and the Plan, the Plan document will control. The Prospectus is available at http://www.etrade.com/stockplans. 
 Capitalized terms not defined in this Agreement will have the meaning ascribed to them in the Plan. The term Restricted Stock Unit or RSU as used in this
Award Agreement refers only to the Restricted Stock Units awarded to you under this Award Agreement. 
 CONSIDERATION FOR AWARD 
 The consideration for the Restricted Stock Units is your continued service to the Corporation as an employee during the Restricted Period set forth below.
If you do not continue to perform services for the Corporation as an employee during the entire Restricted Period, your Award will be forfeited in whole or in part. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice
President of Compensation and Benefits’ office as instructed below as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. The
Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. Assuming prompt and proper acknowledgment of your acceptance of this Award Agreement as described, this Award will be effective as of the Award Date.

 Award Date: January 28, 2008 
 Page 2 
  

 For your acceptance to be effective and for the Award to be enforceable, you must return your
acknowledgment (either in written form or by electronic receipt). If your acknowledgement is not received, your Award will not be effective. 
 RIGHTS OF
OWNERSHIP/RESTRICTIONS ON TRANSFER 
 During the Restricted Period, your RSUs will be subject to forfeiture. Until the Restricted Period
ends with respect to a particular RSU and a share of Stock is delivered to you, you generally will not have the rights and privileges of a stockholder. In particular, you will not have the right to vote your RSUs on any matter put to the
stockholders of the Corporation and you may not sell, transfer, assign, pledge, use as collateral or otherwise dispose of or encumber RSUs. You will, however, have the right to receive a cash payment for each RSU equivalent to the cash dividend paid
to stockholders on a share of Stock at the time the corresponding dividend is paid to stockholders and this right continues until the expiration of the Restricted Period and until the date that Stock is deliverable to you. 
 Upon expiration or termination of the Restricted Period with respect to your RSUs, and subject to the forfeiture provisions set forth below, each RSU for
which the restrictions have lapsed will be exchanged for a certificate (either in paper or book entry form) evidencing one (1) share of Stock issued in your name (or other name(s) designated by you). Your shares will be delivered to you as soon
as practicable upon the expiration or termination of the Restricted Period. In the event Code section 409A(a)(2)(B)(i) applies because you are a key employee receiving a distribution on account of a termination of employment, delivery of stock may
be delayed for six months from such date; similarly, if you are an Insider subject to the reporting provisions of Section 16(a) of the Securities Exchange Act of 1934, delivery of Stock following the expiration of the Restricted Period for any
reason may be delayed for six months. The certificates delivered to you may contain any legend the Corporation determines is appropriate under the securities laws. At the time the Restricted Period for your RSUs terminates, the Corporation is
required to collect from you the appropriate amount of Federal, state and local taxes. The Corporation may be required to collect FICA taxes from you prior to the termination of the Restricted Period if you become eligible for retirement prior to
the termination of that period. In this regard, please see “Timing of Taxation and Withholding” below. 
 After the Stock is
delivered to you, you (or your designee(s)) will enjoy all of the rights and privileges associated with ownership of the shares, including the right to vote on any matter put to stockholder vote, to receive dividends, and to encumber, sell or
otherwise transfer the shares. You should note, however, that, while the shares would thus be free of the restrictions imposed during the Restricted Period, your ability to sell the shares may be limited under the Federal securities laws.

 You have the right to designate a beneficiary (or beneficiaries) to receive your shares in exchange for your RSUs in the event of your
death during the Restricted Period by completing a beneficiary designation form available at http://www.etrade.com/stockplans and returning it to the Vice President of Compensation and Benefits’ office at the address below. 

 Award Date: January 28, 2008 
 Page 3 
  

 If, at your death, a completed beneficiary designation form is not on file at the Vice President of
Compensation and Benefits’ office (or if your designated beneficiary predeceases you), the Stock in respect of your RSUs will be transferred to the personal representative of your estate. 
 RESTRICTED PERIOD, FORFEITURE 
 The vesting of the
RSUs awarded under this Award Agreement is subject to your continued employment with the Corporation from the Award Date until January 28, 2011 (the “Restricted Period”). All of your RSUs will be forfeited and all of your rights to
the RSUs and to receive Stock for your RSUs will cease without further obligation on the part of the Corporation unless you continue to provide services to the Corporation as an Employee of the Corporation until the expiration or termination of the
Restricted Period, which will occur on January 28, 2011, subject only to the specific exceptions provided below. 
 DEATH, DISABILITY, LAYOFF 

 1. Death and Disability 
 Your RSUs will immediately vest and no longer be subject to the continuing employment requirement if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following the date of your termination of employment on account of death or disability, but in no event later than the March 15 next
following the year in which such termination occurs. 
 2. Lay Off 
 If you are laid off prior to January 28, 2009, you will forfeit all of your RSUs in accordance with the general rule requiring continued employment
during the Restricted Period. If you are laid off on or after January 28, 2009, your RSUs will not be subject to the continued employment requirement, the Restricted Period will end for a portion of your RSUs, and you will vest in your RSUs as
follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your layoff is effective on or after the first anniversary of the Award Date (January 28, 2009) but before the second
anniversary of the Award Date (January 28, 2010); and 

 Award Date: January 28, 2008 
 Page 4 
  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your layoff is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following
your layoff, but in no event later than the March 15 next following the year in which you are laid off. You will forfeit your remaining RSUs on the date you are laid off. 
 RETIREMENT 
 If your retirement is effective before January 28, 2009, you will forfeit all of
your RSUs in accordance with the general rule set forth above. If you retire with an effective date on or after January 28, 2009, you will not be subject to the continued employment requirement, the Restricted Period will end for a portion of
your RSUs, and you will vest in a portion of your RSUs as follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your retirement is effective on or after the first anniversary of the Award Date (January 28, 2009) but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your retirement is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following
your retirement, but in no event later than the March 15 next following the year in which you retire. You will forfeit the remaining RSUs on the date of your termination of employment. For purposes of this provision, the term
“retirement” means retirement from service under the terms of the Corporation’s defined benefit pension plan in which you are a participant or following attainment of age 55 and five years of service if you do not participate in one
of the Corporation’s defined benefit pension plans. 
 RESIGNATION OR TERMINATION WITH OR WITHOUT CAUSE 
 If you resign or your employment otherwise terminates before January 28, 2011, other than on account of death, disability, layoff, or retirement, (or
Divestiture or Change in Control as described below) whether voluntarily or by action of the Corporation and in the latter case whether with or without “cause,” you will forfeit your RSUs on the date of your termination. 

 Award Date: January 28, 2008 
 Page 5 
  

 DIVESTITURE 
 If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation or its
subsidiaries and the transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Your RSUs will vest immediately and you will receive shares of Stock in exchange for RSUs as soon as practicable
following your termination of employment with the Corporation, but in no event later than the March 15 next following the year in which your employment terminates. For the purposes of this provision, the term “divestiture” shall mean
a transaction which results in the transfer of control of the business operation divested to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting
stock or other equity interests (in the case of entities other than corporations), is owned or controlled directly or indirectly by the Corporation, by one or more of the Corporation’s subsidiaries or by a combination thereof. 
 CHANGE IN CONTROL 
 In the event your employment is
terminated by the Corporation (or its successor) following a Change in Control, your RSUs will vest and the Restricted Period shall terminate on the date of your termination following the Change in Control. 
 CHANGES IN CAPITALIZATION 
 In the event of a stock
split, stock dividend or other similar action resulting in additional shares of Stock being issued to existing stockholders during the Restricted Period or in the event of a reverse stock split resulting in a contraction in the number of shares
outstanding during the Restricted Period, the number of your RSUs will be adjusted in the same manner as if you held actual shares of Stock. 
 TIMING OF
TAXATION AND WITHHOLDING 
 Upon the expiration or termination of the Restricted Period, the Fair Market Value of the Stock deliverable to
you in respect of the RSUs will be taxable to you as compensation income, based on the Fair Market Value of Stock on the day the Stock is deliverable to you, and withholding of Federal, state, and local taxes will apply at the minimum rate
prescribed by law. FICA tax withholding also will apply except to the extent FICA taxes have already been collected in the case of retirement-eligible employees as described below. (If Code section 409A(a)(2)(B)(i) applies because you are a key
employee receiving Stock on account of a termination of employment or if you are an Insider, your Stock may not be deliverable to you for six months following such date of termination and, accordingly, the Fair Market Value of the Stock on that date
shall be used for purposes of determining your compensation income.) 
 Your tax basis in shares of Stock delivered to you in respect of the
RSUs will be equal to the Fair Market Value of such shares on the day the Stock is deliverable to you. Your holding period for purposes of determining long-term capital gain or loss treatment on any subsequent sale of such Stock will begin on that
day. 

 Award Date: January 28, 2008 
 Page 6 
  

 You will be deemed to have elected to pay any withholding tax on Stock deliverable to you by means of
the Corporation’s reducing the number of RSUs and shares of Stock deliverable to you in respect of vested RSUs, based upon the minimum rate of withholding prescribed by law. 
 Any cash paid to you as dividend equivalents with respect to RSUs during the Restricted Period will be taxable to you as compensation income and subject
to withholding of Federal, state and local income taxes, and FICA taxes. 
 In the event you are or become eligible for retirement during the
Restricted Period, a portion of your Award will become subject to FICA taxes prior to the termination of the Restricted Period, and FICA taxes will be withheld with respect to the number of RSUs on which the Restricted Period would terminate if you
were to retire. FICA taxes will be computed based upon the Fair Market Value of the Stock on the date of withholding. For example, if you are eligible to retire during the Restricted Period, then you would become subject to FICA taxes on the later
of the first anniversary of the Award Date or the date that you become retirement eligible, and FICA taxes would be withheld even though Stock would not be deliverable to you until the close of the Restricted Period. The Corporation will withhold
such FICA tax from your regular wages or MICP payment. The Corporation may collect the FICA withholding from you either shortly before or after the date it is due and in the case of Insiders may require delivery of a check to satisfy any shortfall
in the withholding. 
 Since we will withhold at the minimum rate prescribed by law for these awards, you may owe additional taxes as a
result of the termination or expiration of the Restricted Period. 
 AMENDMENT AND TERMINATION OF PLAN OR AWARDS 
 As provided in Section 9 of the Plan, subject to certain limitations contained within Section 9, the Board of Directors may at any time amend,
suspend or discontinue the Plan and the Committee may at any time alter or amend all Award Agreements under the Plan. Notwithstanding Section 9 of the Plan, no such amendment, suspension or discontinuance of the Plan or alteration or amendment
of Award Agreements will, except with your express written consent, adversely affect your rights under this Award Agreement. This Award Agreement shall not be amended or interpreted in a manner that is reasonably believed to result in the imposition
of tax under Code section 409A. 
 ACCEPTANCE OF AWARD 
 No Award is enforceable until you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and
Benefits’ office as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to 

 Award Date: January 28, 2008 
 Page 7 
  

 
this Award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. If you desire to accept this Award, you
must acknowledge your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows: 
  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acknowledgment of this Award Agreement as described, this Award will be effective as of the date of grant.

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this RSU Award from this internet site
(http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
 MISCELLANEOUS 
 Nothing contained in this Award Agreement shall confer upon you any right of continued
employment by the Corporation or guarantee that any future awards will be made to you under the Plan. In addition, nothing in this Award Agreement limits in any way the right of the Corporation to terminate your employment at any time. The value of
the RSUs awarded to you will not be taken into account for other benefits offered by the Corporation, including but not limited to pension benefits. Notwithstanding any other provision of the Award Agreement to the contrary, no Stock will be issued
to you within six months from the Award Date. 

 Award Date: January 28, 2008 
 Page 8 
  

 The Corporation recommends that Insiders consult with the Office of the General Counsel or the Office
of the Corporate Secretary before entering into any transactions involving Stock even after the expiration or termination of the Restricted Period. 
  

	
	Sincerely,
	
	  
	David Filomeo
	(On Behalf of the Management Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Intl Stock Option 
 Grant Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Optionee: 
 The Management Development and Compensation Committee (the “Committee”) of Lockheed Martin Corporation’s Board of Directors has awarded to you options to purchase shares of Lockheed Martin Common Stock
(“Stock”) under the Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). 
 This letter is your Award Agreement and sets forth some of the terms and conditions of your award. Additional terms and conditions are contained in the Plan and in the Prospectus relating to the Plan of which the Plan document and this
Award Agreement are a part. By accepting this Award Agreement electronically, you consent to electronic delivery of the Prospectus applicable to these Options. You should retain the Prospectus in your records. 
 The term “Options” as used in this Award Agreement refers only to the nonqualified stock options awarded to you under this Award Agreement.
References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. 
 Your Award is not effective or
enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Office of the Vice President of Compensation and Benefits’ office as
instructed below as soon as possible. 
 EXERCISE PRICE 
 The exercise price of the Options granted hereunder is $106.87 per Option. Under certain circumstances set forth in the Plan and this Award Agreement, this exercise price may be subject to adjustment. 
 The Committee presently allows the exercise price of an Option to be paid in cash, by the tender of Stock or through a combination of Stock and cash. No
fractional shares of Stock may be tendered in payment, nor will fractional shares be issued. The Committee retains the discretion to, at any time, limit the method of payment to cash. If you elect to pay with Stock, you must have owned the shares
tendered for at least six months. If Stock is tendered, it will be valued at its Fair Market Value on the date of tender. 

 Grant Date: January 28, 2008 
 Page 2 
  

 VESTING/EXPIRATION/FORFEITURE 
 General Rule - An Option may not be exercised until it has vested, nor may an Option be exercised after its expiration or forfeiture. Subject to certain special rules discussed below, if you remain in the
employ of the Corporation until the applicable date of vesting, the vesting schedule for your Options is as follows: 
 First Vesting Date:
January 28, 2009 – One-Third 
 Second Vesting Date: January 28, 2010 – One-Third 
 Third Vesting Date: January 28, 2011 – One-Third 
 If the number of Options granted cannot be evenly divided by three into whole shares, the fractional shares will vest on the Third Vesting Date. If you leave the employ of the Corporation before the date on which an
Option vests, that Option is forfeited. 
 Vested Options, except as otherwise provided in this letter, or in the Plan, or as may be
restricted by law, may be exercised for a period ending on January 26, 2018. Options not exercised by that date will be forfeited. 
 You should make every effort to keep the Vice President of Compensation and Benefits’ office informed of your current address so that we may communicate with you about your options and their current status. The Corporation cannot
exercise the options for you, and so you must pay close attention to their terms and any impending expiration. 
 SPECIAL RULES AS TO VESTING

 Retirement - If you retire before the First Vesting Date, you will forfeit all of the Options in accordance with the general
rule set forth above. If you retire on or after the First Vesting Date, you will vest in the remaining Options on the Second Vesting Date and the Third Vesting Date as though you had remained in the employ of the Corporation through those dates. For
the purposes of this provision, the term “retirement” means retirement from service under the terms of the Corporation’s pension plan in which you are a participant or following attainment of age 55 and five years of service if you do
not participate in one of the Corporation’s defined benefit pension plans. 
 Death or Disability - Your unvested Options will
immediately vest and no longer be subject to the continuing employment requirement if: 
  

	 	i.	you die while still employed by the Corporation; or 

  

	 	ii.	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 Grant Date: January 28, 2008 
 Page 3 
  

 SPECIAL RULES AS TO EXPIRATION AND FORFEITURE 
 Death or Disability - Options will expire at the end of their remaining term on January 26, 2018. 
 Resignation, Lay-Off or Termination for Cause - If you resign or otherwise terminate, whether voluntarily or by action of the Corporation and in
the latter case whether with or without “cause,” unvested Options will be forfeited upon your termination. Vested Options will expire at the end of their remaining term or 30 calendar days following your resignation or termination,
whichever is shorter. If you are laid off, your options will be unaffected, and will vest and be exercisable until the end of their remaining term, in accordance with the terms of the Plan. 
 Divestiture - If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such
divestiture results in the termination of your employment with the Corporation or its subsidiaries and transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Following a divestiture, you
will continue to vest in your unvested options as though you had remained in the employ of the Corporation. Your vested options will be exercisable until the first to occur of (i) the fifth anniversary of the effective date of the divestiture;
or (ii) the original expiration date (“Divestiture Expiration Date”). If you die following divestiture but prior to the Divestiture Expiration Date, all unvested options will immediately vest as of the date of death and be exercisable
by your beneficiary until the Divestiture Expiration Date. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person,
corporation, association, partnership, joint venture or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations) is owned or controlled directly or indirectly, by
the Corporation, one or more of the Corporation’s subsidiaries or by a combination thereof. 
 LIMITATIONS ON EXERCISE 
 Notwithstanding any other provision herein, no Option may be exercised less than six months nor more than ten years after the date of grant. Further, from
time to time, your ability to exercise Options which otherwise would be exercisable may be restricted, if in the opinion of counsel for the Corporation, this is necessary or advisable in order to ensure compliance with applicable laws, rules or
regulations. 
 ASSIGNMENT/TRANSFERABILITY/BENEFICIARIES 
 Options may not be pledged, assigned or transferred except that Options may be transferred by will or by the laws of descent and distribution or you may provide that, upon your death, the Options are to be transferred
to a beneficiary or beneficiaries that you designate. To designate a beneficiary or beneficiaries, please complete the Beneficiary Designation located at http://www.etrade.com/stockplans and return an originally executed copy to the
Vice President of Compensation and Benefits’ office (Mail Point 123). 

 Grant Date: January 28, 2008 
 Page 4 
  

 During your lifetime, only you may exercise your Options. In the event of your death or disability,
your Options may be exercised by a qualified representative of your estate, a properly designated beneficiary or beneficiaries or your guardian or authorized representative, as applicable. 
 TAX WITHHOLDING 
 When you exercise an Option, the
Corporation will withhold applicable taxes as required by law. The Committee presently allows you to pay the withholding tax in cash, by tendering Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in
payment. The Committee retains the discretion to, at any time, limit the method of payment to cash. Unlike payment of the exercise price of the Options, if you elect to pay taxes with Stock, you need not have owned the shares tendered for at least
six months. Payment must be made at the time of exercise. To the extent that cash is not tendered, the Corporation will retain from the shares of Stock that you would otherwise receive upon exercise of the Option that number of shares sufficient to
satisfy the withholding obligation. If Stock is tendered or is deemed to have been tendered, it will be valued at its Fair Market Value. 
 You agree to make appropriate arrangements with the Corporation for the satisfaction of all income and employment tax withholding requirements as well as social insurance contributions applicable to the Option exercise or the disposition of
any Stock acquired upon exercise (“Option Taxes”). In this regard, you authorize the Corporation to withhold all Option Taxes legally payable by you from your wages or other cash compensation paid to you by the Corporation or, if
permissible under applicable legal requirements, from proceeds from the sale of Stock acquired upon exercise of the Option in an amount sufficient to cover the Option Taxes. You acknowledge and agree that the Corporation may refuse to honor the
exercise and refuse to deliver Stock if such withholding amounts are not delivered at the time of exercise. To the extent that the amounts withheld by the Corporation are insufficient to satisfy the Option Taxes, you shall pay to the Corporation any
additional amount of the Option Taxes that may be required to be withheld as a result of your participation in the Plan. You acknowledge and agree that withholding obligations may change from time to time as laws or their interpretations change, and
regardless of the Corporation’s actions with respect to the Option Taxes, the ultimate liability for any and all Option Taxes is and shall remain your responsibility, and that the Corporation (a) makes no representation or undertaking
regarding the treatment of any Option Taxes in connection with any aspect of the grant of the Option, including the grant or exercise of the Option and the subsequent sale of Stock acquired under the Plan; and (b) does not commit to structure
the terms of the grant or any aspect of the Option to reduce or eliminate your liability for Option Taxes. You acknowledge that you may not exercise this Option unless the tax withholding obligations of the Corporation are satisfied. 
 You understand that you may suffer adverse tax consequences as a result of your purchase or disposition of the Stock. You represent that you will consult with your own
tax advisors in connection with the purchase or disposition of the Stock and that you are not relying on the Corporation for any tax advice. 

 Grant Date: January 28, 2008 
 Page 5 
  

 Note for Section 16 Insiders 
 The Corporation’s Section 16 Insiders have been informed of this fact by the Board of Directors. If you are a Section 16 Insider, your
ability to satisfy tax withholding obligations through the tender of Stock may be limited by U.S. securities laws and may result in adverse consequences if such treatment is deemed to have occurred. The Corporation recommends that Section 16
Insiders consult with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any transactions involving your Options or Stock. 
 CHANGE IN CONTROL 
 In the event of a change in control of the Corporation, as defined in
Section 7 of the Plan, the vesting date of all outstanding options shall be accelerated so as to cause all outstanding options to become exercisable. 
 AMENDMENT AND TERMINATION OF THE PLAN OR AWARDS 
 As provided in Section 9 of the Plan, the Board of Directors may at
any time amend, suspend or discontinue the Plan and the Committee may at any time amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall affect this Award Agreement or the award
made hereunder in any manner adverse to you without your written consent. 
 DATA PRIVACY CONSENT 
 You hereby explicitly and unambiguously consent to the collection, use and transfer, in electronic or other form, of your personal data as described in
this document by and among the Corporation for the exclusive purpose of implementing, administering and managing your participation in the Plan. 
 You understand that the Corporation holds certain personal information about you, including, but not limited to, your name, home address and telephone number, date of birth, social insurance number or other identification number, salary,
nationality, job title, any shares or directorships held in the Corporation, details of all awards or any other entitlement to shares awarded, canceled, exercised, vested, unvested or outstanding in your favor, for the purpose of implementing,
administering and managing the Plan (“Data”). You understand that Data may be transferred to any third parties assisting in the implementation, administration and management of the Plan, that these recipients may be located in your country
or elsewhere, and that the recipient’s country may have different data privacy laws and protections than your country. You understand that you may request a list with the names and addresses of any potential recipients of the Data by contacting
your local human resources representative. You authorize the recipients to receive, possess, use, retain and transfer the Data, in electronic or other form, for the purposes of implementing, administering and managing your participation in the Plan,
including any requisite transfer of such Data as may be required to a broker or other third party 

 Grant Date: January 28, 2008 
 Page 6 
  

 
with whom the Corporation may elect to administer the settlement of any award. You understand that Data will be held only as long as is necessary to
implement, administer and manage your participation in the Plan. You understand that you may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or
withdraw the consents herein, in any case without cost, by contacting in writing your local human resources representative. You understand, however, that refusing or withdrawing your consent may affect your ability to participate in the Plan. For
more information on the consequences of your refusal to consent or withdrawal of consent, you understand that you may contact your local human resources representative. 
 ACCEPTANCE OF AWARD 
 No award is enforceable until you properly acknowledge your acceptance by
completing the electronic receipt or returning an executed copy of this Award Agreement to the Office of the Vice President of Compensation and Benefits’ office as soon as possible. Acceptance of this Award Agreement constitutes your consent to
any action taken under the Plan consistent with its terms with respect to this award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. You must acknowledge your acceptance and receipt of the
Award Agreement, either electronically or by signing and returning a copy of this letter as follows: 
  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acknowledgment of this Award Agreement as described, this award will be effective as of the
date of grant. If you do not acknowledge acceptance of your award, it will not be effective and you will not be able to exercise the options. 
 EMPLOYEE
ACKNOWLEDGMENT 
 You acknowledge and agree as follows: 
 (a) the Plan is discretionary in nature and that the Committee may amend, suspend, or terminate it at any time; 
 (b) the grant of Options is voluntary and occasional and does not create any contractual or other right to receive future grants of any
Options, or benefits in lieu of any Options even if Options have been granted repeatedly in the past; 
 (c) all
determinations with respect to such future Options, if any, including but not limited to the times when Options shall be granted or when Options shall vest, will be at the sole discretion of the Committee; 

 Grant Date: January 28, 2008 
 Page 7 
  

 (d) your participation in the Plan is voluntary; 
 (e) the value of Options is an extraordinary item of compensation, which is outside the scope of your employment contract (if any), except
as may otherwise be explicitly provided in your employment contract; 
 (f) the Options are not part of normal or expected
compensation or salary for any purpose, including, but not limited to, calculating termination, severance, resignation, redundancy, end of service, or similar payments, or bonuses, long-service awards, pension or retirement benefits; 
 (g) the Options shall expire upon termination of your employment for any reason except as may otherwise be explicitly provided in the Plan
and this Award Agreement; 
 (h) the future value of the shares is unknown and cannot be predicted with certainty; and

 (i) no claim or entitlement to compensation or damages arises from the termination of the Options or diminution in value of
the Options or Stock and you irrevocably release the Corporation and your employer from any such claim that may arise. 
 MISCELLANEOUS 
 For the purpose of calculating the expiration date of the Options, all Options will be deemed to expire on January 26, 2018 at the close of trading
in Lockheed Martin Corporation common stock on the New York Stock Exchange (or, if the security is not so listed or if the principal market on which it is traded is not the New York Stock Exchange, such other reporting system as shall be selected by
the Committee). If you are on leave of absence, for the purposes of the Plan, you will be considered to still be in the employ of the Corporation unless otherwise provided in an agreement between you and the Corporation. 
 Your participation in the Plan, anything contained in this Award Agreement, or the grant of Options does not confer upon you any right of continued
employment or limit in any way the right of the Corporation to terminate your employment at any time subject to all applicable legal requirements in the country of your employment. 

 Grant Date: January 28, 2008 
 Page 8 
  

 You have no rights as a stockholder to any securities covered by this Award Agreement until the date
on which you become the holder of record of such securities. Capitalized terms used, but not defined herein, shall have the meanings ascribed to them in the Plan. In the event of a conflict between this Award Agreement and the Plan, the Plan
document will control. 
  

					
		 		 	Sincerely,
			
		 		 	 
		 		 	David Filomeo
		 		 	(On behalf of the Management Development and
Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 RSU Intnl 
 Award Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Awardee: 
 The Management Development and Compensation Committee of the Board of Directors (“Committee”) has awarded you Restricted Stock Units (“RSUs”). Each RSU entitles you, upon satisfaction of the
continued employment and other requirements set forth in this letter and the Plan, to receive from Lockheed Martin Corporation (“Corporation”) (i) one (1) share of the Corporation’s common stock, par value $1.00 per share,
(“Stock”); and (ii) quarterly cash payments equivalent to any cash dividends paid to stockholders of the Corporation, each in accordance with the terms of this letter, the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (“Plan”), and any rules and procedures adopted by the Committee. 
 This letter constitutes the
Award Agreement for your RSUs and sets forth some of the terms and conditions of your Award under the Plan, as determined by the Committee. Additional terms and conditions are described in the Plan and in the Prospectus relating to the Plan of which
the Plan and this Award Agreement are a part. In the event of a conflict between this letter and the Plan, the Plan document will control. The Prospectus is available at http://www.etrade.com/stockplans. 
 Capitalized terms not defined in this Agreement will have the meaning ascribed to them in the Plan. The term Restricted Stock Unit or RSU as used in this
Award Agreement refers only to the Restricted Stock Units awarded to you under this Award Agreement. 
 CONSIDERATION FOR AWARD 
 The consideration for the Restricted Stock Units is your continued service to the Corporation as an employee during the Restricted Period set forth below.
If you do not continue to perform services for the Corporation as an employee during the entire Restricted Period, unless otherwise prohibited by local law, your Award will be forfeited in whole or in part. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or
returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as instructed below as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action taken under the
Plan consistent with its terms with respect to this Award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. Assuming prompt and proper acknowledgment of your acceptance of this Award Agreement as
described, this Award will be effective as of the Award Date. 

 Award Date: January 28, 2008 
 Page 2 
  

 For your acceptance to be effective and for the Award to be enforceable, you must return your
acknowledgment (either in written form or by electronic receipt). If your acknowledgement is not received, your Award will not be effective. 
 RIGHTS OF
OWNERSHIP/RESTRICTIONS ON TRANSFER 
 During the Restricted Period, your RSUs will be subject to forfeiture. Until the Restricted Period
ends with respect to a particular RSU and a share of Stock is delivered to you, you generally will not have the rights and privileges of a stockholder. In particular, you will not have the right to vote your RSUs on any matter put to the
stockholders of the Corporation and you may not sell, transfer, assign, pledge, use as collateral or otherwise dispose of or encumber RSUs. You will, however, have the right to receive a cash payment for each RSU equivalent to the cash dividend paid
to stockholders on a share of Stock at the time the corresponding dividend is paid to stockholders and this right continues until the expiration of the Restricted Period and until the date that Stock is deliverable to you. 
 Upon expiration or termination of the Restricted Period with respect to your RSUs, and subject to the forfeiture provisions set forth below, each RSU for
which the restrictions have lapsed will be exchanged for a certificate (either in paper or book entry form) evidencing one (1) share of Stock issued in your name (or other name(s) designated by you). Your shares will be delivered to you as soon
as practicable upon the expiration or termination of the Restricted Period. In the event Code section 409A(a)(2)(B)(i) applies because you are a key employee receiving a distribution on account of a termination of employment, delivery of stock may
be delayed for six months from such date; similarly, if you are an Insider subject to the reporting provisions of Section 16(a) of the Securities Exchange Act of 1934, delivery of Stock following the expiration of the Restricted Period for any
reason may be delayed for six months. The certificates delivered to you may contain any legend the Corporation determines is appropriate under the securities laws. At the time the Restricted Period for your RSUs terminates, the Corporation may be
required to collect from you the appropriate amount of income taxes and social insurance contributions. In this regard, please see “Timing of Taxation and Withholding” below. 
 After the Stock is delivered to you, you (or your designee(s)) will enjoy all of the rights and privileges associated with ownership of the shares,
including the right to vote on any matter put to stockholder vote, to receive dividends, and to encumber, sell or otherwise transfer the shares. You should note, however, that, while the shares would thus be free of the restrictions imposed during
the Restricted Period, your ability to sell the shares may be limited under the Federal securities laws. 
 You have the right to designate a
beneficiary (or beneficiaries) to receive your shares in exchange for your RSUs in the event of your death during the Restricted Period by completing a beneficiary designation form available at http://www.etrade.com/stockplans and returning it to
the Vice President of Compensation and Benefits’ office at the address below. 

 Award Date: January 28, 2008 
 Page 3 
  

 If, at your death, a completed beneficiary designation form is not on file at the Vice President of
Compensation and Benefits’ office (or if your designated beneficiary predeceases you), the Stock in respect of your RSUs will be transferred to the personal representative of your estate. 
 RESTRICTED PERIOD, FORFEITURE 
 The vesting of the
RSUs awarded under this Award Agreement is subject to your continued employment with the Corporation from the Award Date until January 28, 2011 (the “Restricted Period”). All of your RSUs will be forfeited and all of your rights to
the RSUs and to receive Stock for your RSUs will cease without further obligation on the part of the Corporation unless you continue to provide services to the Corporation as an Employee of the Corporation until the expiration or termination of the
Restricted Period, which will occur on January 28, 2011, subject only to the specific exceptions provided below. 
 DEATH, DISABILITY, LAYOFF 

 1. Death and Disability 
 Your RSUs will immediately vest and no longer be subject to the continuing employment requirement if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following the date of your termination of employment on account of death or disability, but in no event later than the March 15 next
following the year in which such termination occurs. 
 2. Lay Off 
 If you are laid off prior to January 28, 2009, you will forfeit all of your RSUs in accordance with the general rule requiring continued employment
during the Restricted Period. If you are laid off on or after January 28, 2009, your RSUs will not be subject to the continued employment requirement, the Restricted Period will end for a portion of your RSUs, and you will vest in your RSUs as
follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your layoff is effective on or after the first anniversary of the Award Date (January 28, 2009) but before the second
anniversary of the Award Date (January 28, 2010); and 

 Award Date: January 28, 2008 
 Page 4 
  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your layoff is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following
your layoff, but in no event later than the March 15 next following the year in which you are laid off. You will forfeit your remaining RSUs on the date you are laid off. 
 RETIREMENT 
 If your retirement is effective before January 28, 2009, you will forfeit all of
your RSUs in accordance with the general rule set forth above. If you retire with an effective date on or after January 28, 2009, you will not be subject to the continued employment requirement, the Restricted Period will end for a portion of
your RSUs, and you will vest in a portion of your RSUs as follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your retirement is effective on or after the first anniversary of the Award Date (January 28, 2009) but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your retirement is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following
your retirement, but in no event later than the March 15 next following the year in which you retire. You will forfeit the remaining RSUs on the date of your termination of employment. For purposes of this provision, the term
“retirement” means retirement from service under the terms of the Corporation’s defined benefit pension plan in which you are a participant or following attainment of age 55 and five years of service if you do not participate in one
of the Corporation’s defined benefit pension plans. 
 RESIGNATION OR TERMINATION WITH OR WITHOUT CAUSE 
 If you resign or your employment otherwise terminates before January 28, 2011, other than on account of death, disability, layoff, or retirement, (or
Divestiture or Change in Control as described below) whether voluntarily or by action of the Corporation and in the latter case whether with or without “cause,” you will forfeit your RSUs on the date of your termination. 
 DIVESTITURE 
 If the Corporation divests (as defined
below) all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation or its subsidiaries and the transfer of such employment to the other party to the
divestiture, the special rules in this paragraph will apply. Your RSUs will vest immediately and 

 Award Date: January 28, 2008 
 Page 5 
  

 
you will receive shares of Stock in exchange for RSUs as soon as practicable following your termination of employment with the Corporation, but in no event
later than the March 15 next following the year in which your employment terminates. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business
operation divested to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than
corporations), is owned or controlled directly or indirectly by the Corporation, by one or more of the Corporation’s subsidiaries or by a combination thereof. 
 CHANGE IN CONTROL 
 In the event your employment is terminated by the Corporation (or its successor) following a Change in
Control, your RSUs will vest and the Restricted Period shall terminate on the date of your termination following the Change in Control. 
 CHANGES IN
CAPITALIZATION 
 In the event of a stock split, stock dividend or other similar action resulting in additional shares of Stock being
issued to existing stockholders during the Restricted Period or in the event of a reverse stock split resulting in a contraction in the number of shares outstanding during the Restricted Period, the number of your RSUs will be adjusted in the same
manner as if you held actual shares of Stock. 
 TIMING OF TAXATION AND WITHOLDING 
 The Corporation will withhold applicable taxes as required by law. You agree to make appropriate arrangements with the Corporation for the satisfaction of
all income and employment tax withholding requirements as well as social insurance contributions applicable to the RSUs, dividend equivalents, and associated Stock (“RSU Taxes”). In this regard, you authorize the Corporation to withhold
all RSU Taxes legally payable by you from your wages or other cash compensation paid to you by the Corporation or, if permissible under applicable legal requirements, from dividend equivalents or proceeds from the vesting of the RSUs or the sale of
the underlying Stock in an amount sufficient to cover the RSU Taxes. You acknowledge and agree that the Corporation may refuse to deliver Stock if such withholding amounts are not delivered at the time of vesting or payment. To the extent that the
amounts withheld by the Corporation are insufficient to satisfy the RSU Taxes, you shall pay to the Corporation any additional amount of the RSU Taxes that may be required to be withheld as a result of your participation in the Plan. You acknowledge
and agree that withholding obligations may change from time to time as laws or their interpretations change, and regardless of the Corporation’s actions with respect to the RSU Taxes, the ultimate liability for any and all RSU Taxes is and
shall remain your responsibility, and that the Corporation (a) makes no representation or undertaking regarding the treatment of any RSU Taxes in connection with any aspect of the grant of the RSUs, including the payment of dividend
equivalents, the grant or vesting of the RSUs, and the subsequent sale of Stock acquired under the Plan; and (b) does not commit to structure the terms of the grant or any aspect of the RSUs to reduce or eliminate your liability for RSU Taxes.

 Award Date: January 28, 2008 
 Page 6 
  

 You understand that you may suffer adverse tax consequences as a result of your purchase or
disposition of the Stock. You represent that you will consult with your own tax advisors in connection with the purchase or disposition of the Stock and that you are not relying on the Corporation for any tax advice. 
 AMENDMENT AND TERMINATION OF PLAN OR AWARDS 
 As
provided in Section 9 of the Plan, subject to certain limitations contained within Section 9, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time alter or amend all Award
Agreements under the Plan. Notwithstanding Section 9 of the Plan, no such amendment, suspension or discontinuance of the Plan or alteration or amendment of Award Agreements will, except with your express written consent, adversely affect your
rights under this Award Agreement. This Award Agreement shall not be amended or interpreted in a manner that is reasonably believed to result in the imposition of tax under Code section 409A. 
 DATA PRIVACY CONSENT 
 You hereby explicitly and
unambiguously consent to the collection, use and transfer, in electronic or other form, of your personal data as described in this document by and among the Corporation for the exclusive purpose of implementing, administering and managing your
participation in the Plan. 
 You understand that the Corporation holds certain personal information about you, including, but not limited
to, your name, home address and telephone number, date of birth, social insurance number or other identification number, salary, nationality, job title, any shares or directorships held in the Corporation, details of all awards or any other
entitlement to shares awarded, canceled, exercised, vested, unvested or outstanding in your favor, for the purpose of implementing, administering and managing the Plan (“Data”). You understand that Data may be transferred to any third
parties assisting in the implementation, administration and management of the Plan, that these recipients may be located in your country or elsewhere, and that the recipient’s country may have different data privacy laws and protections than
your country. You understand that you may request a list with the names and addresses of any potential recipients of the Data by contacting your local human resources representative. You authorize the recipients to receive, possess, use, retain and
transfer the Data, in electronic or other form, for the purposes of implementing, administering and managing your participation in the Plan, including any requisite transfer of such Data as may be required to a broker or other third party with whom
the Corporation may elect to administer the settlement of any award. You understand that Data will be held only as long as is necessary to implement, administer and manage your participation in the Plan. You understand that you may, at any time,
view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the consents herein, in any case without cost, by contacting in writing your local human resources
representative. You understand, however, that refusing or withdrawing your consent may affect your ability to participate in the Plan. For more information on the consequences of your refusal to consent or withdrawal of consent, you understand that
you may contact your local human resources representative. 

 Award Date: January 28, 2008 
 Page 7 
  

 ACCEPTANCE OF AWARD 
 No Award is enforceable until you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and
Benefits’ office as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. The Committee has authorized electronic means for the
delivery and acceptance of this Award Agreement. If you desire to accept this Award, you must acknowledge your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows:

  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acknowledgment of this Award Agreement as described, this Award will be effective as of the date of grant.

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this RSU Award from this internet site
(http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
 EMPLOYEE ACKNOWLEDGMENT 
 You acknowledge and agree as follows: 
 (a) the Plan is discretionary in nature and that the Committee may amend, suspend, or terminate it at any time; 
 (b) the grant of the RSUs are voluntary and occasional and does not create any contractual or other right to receive future grants of any
RSUs, or benefits in lieu of any RSUs even if RSUs have been granted repeatedly in the past; 
 (c) all determinations with
respect to such future RSUs, if any, including but not limited to the times when RSUs shall be granted or when RSUs shall vest, will be at the sole discretion of the Committee; 
 (d) your participation in the Plan is voluntary; 
 (e) the value of the RSUs are an extraordinary item of compensation, which is outside the scope of your employment contract (if any),
except as may otherwise be explicitly provided in your employment contract; 

 Award Date: January 28, 2008 
 Page 8 
  

 (f) the RSUs are not part of normal or expected compensation or salary for any
purpose, including, but not limited to, calculating termination, severance, resignation, redundancy, end of service, or similar payments, or bonuses, long-service awards, pension or retirement benefits; 
 (g) the RSUs shall expire upon termination of your employment for any reason except as may otherwise be explicitly provided in the Plan
and this Award Agreement; 
 (h) the future value of the shares is unknown and cannot be predicted with certainty; and

 (i) no claim or entitlement to compensation or damages arises from the termination of the RSUs or diminution in value of
the RSUs or Stock and you irrevocably release the Corporation and your employer from any such claim that may arise. 
 MISCELLANEOUS 
 Nothing contained in this Award Agreement shall confer upon you any right of continued employment by the Corporation or guarantee that any future awards
will be made to you under the Plan. In addition, nothing in this Award Agreement limits in any way the right of the Corporation to terminate your employment at any time. The value of the RSUs awarded to you will not be taken into account for other
benefits offered by the Corporation, including but not limited to pension benefits. Notwithstanding any other provision of the Award Agreement to the contrary, no Stock will be issued to you within six months from the Award Date. 

 Award Date: January 28, 2008 
 Page 9 
  

 The Corporation recommends that Insiders consult with the Office of the General Counsel or the Office
of the Corporate Secretary before entering into any transactions involving Stock even after the expiration or termination of the Restricted Period. 
  

					
		 		 	Sincerely,
			
	 	 		 	  
		 		 	 David Filomeo
 (On Behalf of the Management
Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 PECA Stock Option 
 Grant Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Optionee: 
 The Management Development and Compensation Committee (the “Committee”) of Lockheed Martin Corporation’s Board of Directors has awarded to you options to purchase shares of Lockheed Martin Common Stock
(“Stock”) under the Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). 
 This letter is your Award Agreement and sets forth some of the terms and conditions of your award. Additional terms and conditions are contained in the Plan and in the Prospectus relating to the Plan of which the Plan document and this
Award Agreement are a part. By accepting this Award Agreement electronically, you consent to electronic delivery of the Prospectus applicable to these Options. You should retain the Prospectus in your records. 
 The term “Options” as used in this Award Agreement refers only to the nonqualified stock options awarded to you under this Award Agreement.
References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. 
 Your Award is not effective or
enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as instructed below as
soon as possible. Please note that by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in Exhibit A attached to this Agreement. 
 EXERCISE PRICE 
 The exercise price of the Options
granted hereunder is $106.87 per Option. Under certain circumstances set forth in the Plan and this Award Agreement, this exercise price may be subject to adjustment. 
 The Committee presently allows the exercise price of an Option to be paid in cash, by the tender of Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment, nor will
fractional shares be issued. The Committee retains the discretion to, at any time, limit the method of payment to cash. If you elect to pay with Stock, you must have owned the shares tendered for at least six months. If Stock is tendered, it will be
valued at its Fair Market Value on the date of tender. 

 Grant Date: January 28, 2008 
 Page 2 
  

 VESTING/EXPIRATION/FORFEITURE 
 General Rule - An Option may not be exercised until it has vested, nor may an Option be exercised after its expiration or forfeiture. Subject to certain special rules discussed below, if you remain in the
employ of the Corporation until the applicable date of vesting, the vesting schedule for your Options is as follows: 
 First Vesting Date:
January 28, 2009 – One-Third 
 Second Vesting Date: January 28, 2010 – One-Third 
 Third Vesting Date: January 28, 2011 – One-Third 
 If the number of Options granted cannot be evenly divided by three into whole shares, the fractional shares will vest on the Third Vesting Date. If you leave the employ of the Corporation before the date on which an
Option vests, that Option is forfeited. 
 Vested Options, except as otherwise provided in this letter, or in the Plan, or as may be
restricted by law, may be exercised for a period ending on January 26, 2018. Options not exercised by that date will be forfeited. 
 You should make every effort to keep the Vice President of Compensation and Benefits’ office informed of your current address so that we may communicate with you about your options and their current status. The Corporation cannot
exercise the options for you, and so you must pay close attention to their terms and any impending expiration. 
 SPECIAL RULES AS TO VESTING

 Retirement - If you retire before the First Vesting Date, you will forfeit all of the Options in accordance with the general
rule set forth above. If you retire on or after the First Vesting Date, you will vest in the remaining Options on the Second Vesting Date and the Third Vesting Date as though you had remained in the employ of the Corporation through those dates. For
the purposes of this provision, the term “retirement” means retirement from service under the terms of the Corporation’s pension plan in which you are a participant or following attainment of age 55 and five years of service if you do
not participate in one of the Corporation’s defined benefit pension plans. 
 Death or Disability - Your Options will immediately
vest and no longer be subject to the continuing employment requirement if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 Grant Date: January 28, 2008 
 Page 3 
  

 SPECIAL RULES AS TO EXPIRATION AND FORFEITURE 
 Death or Disability - Options will expire at the end of their remaining term on January 26, 2018. 
 Resignation, Lay-Off or Termination for Cause - If you resign or otherwise terminate, whether voluntarily or by action of the Corporation and in
the latter case whether with or without “cause,” unvested Options will be forfeited upon your termination. Vested Options will expire at the end of their remaining term or 30 calendar days following your resignation or termination,
whichever is shorter. If you are laid off, your options will be unaffected, and will vest and be exercisable until the end of their remaining term, in accordance with the terms of the Plan. 
 Divestiture - If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such
divestiture results in the termination of your employment with the Corporation or its subsidiaries and transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Following a divestiture, you
will continue to vest in your unvested options as though you had remained in the employ of the Corporation. Your vested options will be exercisable until the first to occur of (i) the fifth anniversary of the effective date of the divestiture;
or (ii) the original expiration date (“Divestiture Expiration Date”). If you die following divestiture but prior to the Divestiture Expiration Date, all unvested options will immediately vest as of the date of death and be exercisable
by your beneficiary until the Divestiture Expiration Date. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person,
corporation, association, partnership, joint venture or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations) is owned or controlled directly or indirectly, by
the Corporation, one or more of the Corporation’s subsidiaries or by a combination thereof. 
 LIMITATIONS ON EXERCISE 
 Notwithstanding any other provision herein, no Option may be exercised less than six months nor more than ten years after the date of grant. Further, from
time to time, your ability to exercise Options which otherwise would be exercisable may be restricted, if in the opinion of counsel for the Corporation, this is necessary or advisable in order to ensure compliance with applicable Federal or state
law, rules or regulations. 

 Grant Date: January 28, 2008 
 Page 4 
  

 ASSIGNMENT/TRANSFERABILITY/BENEFICIARIES 
 Options may not be pledged, assigned or transferred except that Options may be transferred by will or by the laws of descent and distribution or you may
provide that, upon your death, the Options are to be transferred to a beneficiary or beneficiaries that you designate. To designate a beneficiary or beneficiaries, please complete the Beneficiary Designation located at
http://www.etrade.com/stockplans and return an originally executed copy to the Vice President of Compensation and Benefits’ office (Mail Point 123). 
 During your lifetime, only you may exercise your Options. In the event of your death or disability, your Options may be exercised by a qualified representative of your estate, a properly designated beneficiary or
beneficiaries or your guardian or authorized representative, as applicable. 
 TAX WITHHOLDING 
 When you exercise an Option, the Corporation will withhold applicable taxes as required by law. The Committee presently allows you to pay the withholding
tax in cash, by tendering Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment. The Committee retains the discretion to, at any time, limit the method of payment to cash. Unlike payment of the
exercise price of the Options, if you elect to pay withholding taxes with Stock, you need not have owned the shares tendered for at least six months. Payment must be made at the time of exercise. To the extent that cash is not tendered, the
Corporation will retain from the shares of Stock that you would otherwise receive upon exercise of the Option that number of shares sufficient to satisfy the withholding obligation. If Stock is tendered or is deemed to have been tendered, it will be
valued at its Fair Market Value. 
 Withholding will be at the minimum rate prescribed by law. Therefore, you may owe taxes relating to the
exercise in addition to the amount withheld by the Corporation. If you desire, you may request that tax be withheld at greater than the minimum rate. 
 Special Note for Section 16 Insiders - The Corporation’s Section 16 Insiders have been informed of this fact by the Board of Directors. If you are a Section 16 Insider, your ability to
satisfy your withholding obligations through the tender of Stock may be limited by the Federal securities laws. In these situations, having such treatment deemed to occur may have adverse consequences. The Corporation recommends that you consult
with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any transactions involving your Options or Stock. 
 CHANGE IN CONTROL 
 In the event of a change in control of the Corporation, as defined in Section 7 of the Plan, the
vesting date of all outstanding options shall be accelerated so as to cause all outstanding options to become exercisable. 

 Grant Date: January 28, 2008 
 Page 5 
  

 AMENDMENT AND TERMINATION OF THE PLAN OR AWARDS 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall affect this Award Agreement or the award made hereunder in any manner adverse to you without your written consent. 

ACCEPTANCE OF AWARD 
 No award is enforceable until
you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as soon as possible. Acceptance of this Award
Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. You must acknowledge
your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows: 
  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acceptance of this Award Agreement as described, this award will be effective as of the date of grant. If you
do not acknowledge acceptance of your award, it will not be effective and you will not be able to exercise the options. 
 POST-EMPLOYMENT COVENANTS 

 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in
Exhibit A to this Agreement. 
 MISCELLANEOUS 
 For the purpose of calculating the expiration date of the Options, all Options will be deemed to expire on January 26, 2018 at the close of trading in Lockheed Martin Corporation common stock on the New York Stock Exchange (or, if the
security is not so listed or if the principal market on which it is traded is not the New York Stock Exchange, such other reporting system as shall be selected by the Committee). If you are on leave of absence, for the purposes of the Plan, you will
be considered to still be in the employ of the Corporation unless otherwise provided in an agreement between you and the Corporation. 

 Grant Date: January 28, 2008 
 Page 6 
  

 Your participation in the Plan, anything contained in this Award Agreement, or the grant of Options
does not confer upon you any right of continued employment or limit in any way the right of the Corporation to terminate your employment at any time. 
 You have no rights as a stockholder to any securities covered by this Award Agreement until the date on which you become the holder of record of such securities. Capitalized terms used, but not defined herein, shall
have the meanings ascribed to them in the Plan. In the event of a conflict between this Award Agreement and the Plan, the Plan document will control. 
  

	
	Sincerely,
	
	  
	David Filomeo
	(On behalf of the Management Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Grant Date: January 28, 2008 
 Page 7 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (Stock Option Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with a Grant Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of stock options to me under the Award Agreement (the “Options”) pursuant to the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (the “Plan”). By accepting the Options, I agree as follows: 
 1. Restrictions Following
Termination of Employment. 
 (a) Covenant Not To Compete - Without the express written consent of the Chief
Executive Officer of the Corporation, during the two-year period following the date of my termination of employment (the “Termination Date”) with Lockheed Martin Corporation (the “Corporation”), I will not, directly or
indirectly, be employed by, provide services to, or advise a “Restricted Company” (as defined in Section 6 below), whether as an employee, advisor, director, officer, partner or consultant, or in any other position, function or role
that, in any such case, 
  

	 	(i)	oversees, controls or affects the design, operation, research, manufacture, marketing, sale or distribution of “Competitive Products or Services” (as defined in
Section 6 below) of or by the Restricted Company, or 

  

	 	(ii)	would involve a substantial risk that the “Confidential or Proprietary Information” (as defined in Section 1(c) below) of the Corporation (including but not limited
to technical information or intellectual property, strategic plans, information relating to pricing offered to the Corporation by vendors or suppliers or to prices charged or pricing contemplated to be charged by the Corporation, information
relating to employee performance, promotions or identification for promotion, or information relating to the Corporation’s cost base) could be used to the disadvantage of the Corporation. 

 (b) Non-Solicit - Without the express written consent of the Chief Executive
Officer of the Corporation, during the two-year period following the Termination Date, I will not (i) interfere with any contractual relationship between the Corporation and any customer, supplier, distributor or manufacturer of or to the
Corporation to the detriment of the Corporation or (ii) induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation. 

 Grant Date: January 28, 2008 
 Page 8 
  

 (c) Protection of Proprietary Information – Except to the extent required
by law, following my Termination Date, I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the “Confidential or
Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in accordance with the
terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for
creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or
confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to
protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of
this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been made available to me), including but not limited to information that a person or entity desires to
protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or
entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. 

 (d) No disparagement – Following the Termination Date, I will not make any statements, whether verbal or written, that
disparage or reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Grant Date: January 28, 2008 
 Page 9 
  

 (e) Cooperation in Litigation and Investigations - Following the Termination
Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or
affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or
investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the Options is expressly made contingent upon
my agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and
compensation opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive
knowledge of the Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as
defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

 Grant Date: January 28, 2008 
 Page 10 
  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have exercised any of the Options and continue to own the shares of Common
Stock of the Corporation issued or issuable upon exercise of the Options, the shares of Common Stock so acquired upon exercise; (ii) to the extent I have exercised any of the Options and no longer own the shares of Common Stock of the
Corporation issued or issuable upon exercise of the Options, cash in an amount equal to the fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development
and Compensation Committee of the Board of Directors of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not
exercised the Options fully, all of my remaining rights, title or interest in the Options. 

 4. Injunctive Relief. I
acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without
prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its
favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to
be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such
adjudication is made. 

 Grant Date: January 28, 2008 
 Page 11 
  

 6. Definitions. Capitalized terms not defined in this PECA have the meaning given to them in
the Plan, as applicable. For purposes of this PECA, the following terms have the meanings given below: 
 (a) “Restricted
Company” means The Boeing Company, General Dynamics Corporation, Northrop Grumman Corporation, the Raytheon Company, United Technologies Corporation, Honeywell International Inc., BAE Systems Inc., L-3 Communications Corporation, the Harris
Corporation, Thales, EADS North America and (i) any entity directly or indirectly controlling, controlled by, or under common control with any of the foregoing, and (ii) any successor to all or part of the business of any of the foregoing
as a result of a merger, reorganization, consolidation, spin-off, split-up, acquisition, divestiture, or similar transaction. 
 (b) “Competitive Products or Services” means products or services that compete with, or are an alternative or potential alternative to, products sold or services provided by a subsidiary, business area, division or operating unit
or business of the Corporation as of the Termination Date and at any time within the two-year period ending on the Termination Date; provided, that, (i) if I had direct responsibility for the business of, or function with respect to, a
subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so
provided during that two-year period by the subsidiary, business area, division or operating unit of the Corporation for which I had responsibility, and (ii) if I did not have direct responsibility for the business of, or function with respect
to, a subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services
so provided by a subsidiary, business area, division or operating unit of the Corporation for which I had access (or was required or permitted such access in the performance of my duties or responsibilities with the Corporation) to Confidential or
Proprietary Information of the Corporation at any time during the two-year period ending on the Termination Date. 

 Grant Date: January 28, 2008 
 Page 12 
  

 7. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the Options to me.

 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. 

(c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation
without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not,
by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate
policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the
acceptance by me of the award of stock options under the Award Agreement. 

 PECA RSU 
 Award Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Awardee: 
 The Management Development and Compensation Committee of the Board of Directors (“Committee”) has awarded you Restricted Stock Units (“RSUs”). Each RSU entitles you, upon satisfaction of the
continued employment and other requirements set forth in this letter and the Plan, to receive from Lockheed Martin Corporation (“Corporation”) (i) one (1) share of the Corporation’s common stock, par value $1.00 per share,
(“Stock”); and (ii) quarterly cash payments equivalent to any cash dividends paid to stockholders of the Corporation, each in accordance with the terms of this letter, the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (“Plan”), and any rules and procedures adopted by the Committee. 
 This letter constitutes the
Award Agreement for your RSUs and sets forth some of the terms and conditions of your Award under the Plan, as determined by the Committee. Additional terms and conditions are described in the Plan and in the Prospectus relating to the Plan of which
the Plan and this Award Agreement are a part. In the event of a conflict between this letter and the Plan, the Plan document will control. The Prospectus is available at http://www.etrade.com/stockplans. 
 Capitalized terms not defined in this Agreement will have the meaning ascribed to them in the Plan. The term Restricted Stock Unit or RSU as used in this
Award Agreement refers only to the Restricted Stock Units awarded to you under this Award Agreement. 
 CONSIDERATION FOR AWARD 
 The consideration for the Restricted Stock Units is your continued service to the Corporation as an employee during the Restricted Period set forth below.
If you do not continue to perform services for the Corporation as an employee during the entire Restricted Period, your Award will be forfeited in whole or in part. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office as instructed below as soon as possible. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. Assuming prompt and proper acknowledgment of this Award
Agreement as described, this Award will be effective as of the Award Date. Acceptance 

 Award Date: January 28, 2008 
 Page 2 
  

 
of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. Please note that
by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in Exhibit A attached to this Agreement. 
 For your acceptance to be effective and for the Award to be enforceable, you must return your acknowledgment (either in written form or by electronic
receipt). If your acknowledgement is not received, your Award will not be effective. 
 RIGHTS OF OWNERSHIP/RESTRICTIONS ON TRANSFER 
 During the Restricted Period, your RSUs will be subject to forfeiture. Until the Restricted Period ends with respect to a particular RSU and a share of
Stock is delivered to you, you generally will not have the rights and privileges of a stockholder. In particular, you will not have the right to vote your RSUs on any matter put to the stockholders of the Corporation and you may not sell, transfer,
assign, pledge, use as collateral or otherwise dispose of or encumber RSUs. You will, however, have the right to receive a cash payment for each RSU equivalent to the cash dividend paid to stockholders on a share of Stock at the time the
corresponding dividend is paid to stockholders and this right continues until the expiration of the Restricted Period and until the date that Stock is deliverable to you. 
 Upon expiration or termination of the Restricted Period with respect to your RSUs, and subject to the forfeiture provisions set forth below, each RSU for which the restrictions have lapsed will be exchanged for a
certificate (either in paper or book entry form) evidencing one (1) share of Stock issued in your name (or other name(s) designated by you). Your shares will be delivered to you as soon as practicable upon the expiration or termination of the
Restricted Period. In the event Code section 409A(a)(2)(B)(i) applies because you are a key employee receiving a distribution on account of a termination of employment, delivery of stock may be delayed for six months from such date; similarly, if
you are an Insider subject to the reporting provisions of Section 16(a) of the Securities Exchange Act of 1934, delivery of Stock following the expiration of the Restricted Period for any reason may be delayed for six months. The certificates
delivered to you may contain any legend the Corporation determines is appropriate under the securities laws. At the time the Restricted Period for your RSUs terminates, the Corporation is required to collect from you the appropriate amount of
Federal, state and local taxes. The Corporation may be required to collect FICA taxes from you prior to the termination of the Restricted Period if you become eligible for retirement prior to the termination of that period. In this regard, please
see “Timing of Taxation and Withholding” below. 
 After the Stock is delivered to you, you (or your designee(s)) will enjoy all of
the rights and privileges associated with ownership of the shares, including the right to vote on any matter put to stockholder vote, to receive dividends, and to encumber, sell or otherwise transfer the shares. You should note, however, that, while
the shares would thus be free of the restrictions imposed during the Restricted Period, your ability to sell the shares may be limited under the Federal securities laws. 

 Award Date: January 28, 2008 
 Page 3 
  

 You have the right to designate a beneficiary (or beneficiaries) to receive your shares in exchange
for your RSUs in the event of your death during the Restricted Period by completing a beneficiary designation form available at http://www.etrade.com/stockplans and returning it to the Vice President of Compensation and Benefits’ office
at the address below. 
 If, at your death, a completed beneficiary designation form is not on file at the Vice President of Compensation and
Benefits’ office (or if your designated beneficiary predeceases you), the Stock in respect of your RSUs will be transferred to the personal representative of your estate. 
 RESTRICTED PERIOD, FORFEITURE 
 The vesting of the RSUs awarded under this Award Agreement is subject
to satisfaction of a performance goal as well as your continued employment with the Corporation from the Award Date until January 28, 2011 (the “Restricted Period”). If either of these requirements is not satisfied, you may forfeit
all or part of your RSUs. Upon forfeiture, you will no longer have the right to receive Stock for forfeited RSUs or to receive cash payments as dividend equivalents. 
 1. Performance Goal 
 At its first meeting after the Corporation finalizes the financial
results for the year ending December 31, 2008, the Committee will multiply the number of RSUs awarded to you under this Award Agreement by the Fair Market Value of Stock on the Award Date ($106.87) (“RSU Award Value”). The Committee
will then compare your RSU Award Value to the product of 0.04% and the Corporation’s Cash Flow for the year ending December 31, 2008 (with the product being referred to as the “RSU Performance Goal”). If your RSU Award Value
exceeds your RSU Performance Goal (with the amount of that excess referred to as the “Performance Shortfall”) then you will forfeit the number of whole RSUs that are equal to the Performance Shortfall divided by the Fair Market Value of
Stock on the Award Date ($106.87). 
 For purposes of this Award Agreement, Cash Flow for any period means net cash flow from operations but
not taking into account: (i) the aggregate difference between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the period
and the actual amounts contributed by the Corporation during the period; and (ii) any tax payments or tax benefits during the period associated with the divestiture of business units. Cash Flow shall be determined by the Committee based upon
the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Subcommittee shall determine Cash
Flow in a manner consistent with the historical practices used by the Corporation in determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph.

 Award Date: January 28, 2008 
 Page 4 
  

 2. Employment Requirement 
 Regardless of the satisfaction of the RSU Performance Goal, all of your RSUs will be forfeited and all of your rights to the RSUs and to receive Stock for
your RSUs will cease without further obligation on the part of the Corporation unless you continue to provide services to the Corporation as an Employee of the Corporation until the expiration or termination of the Restricted Period, which will
occur on January 28, 2011, subject only to the specific exceptions provided below. 
 DEATH, DISABILITY, LAYOFF 
 1. Death and Disability 
 Your
RSUs will immediately vest and no longer be subject to the continuing employment requirement or the potential forfeiture to the extent of a Performance Shortfall if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the Corporation’s long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following the date of your termination of employment on account of death or disability, but
in no event later than the March 15 next following the year in which such termination occurs. 
 2. Lay Off 
 If you are laid off prior to January 28, 2009, you will forfeit all of your RSUs in accordance with the general rule requiring continued employment
during the Restricted Period. If you are laid off on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such date; however, you will
not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in your RSUs as follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your layoff is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your layoff is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 Award Date: January 28, 2008 
 Page 5 
  

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following your layoff, but in no event
later than the March 15 next following the year in which you are laid off. You will forfeit your remaining RSUs on the date you are laid off. 
 RETIREMENT 
 If your retirement is effective before January 28, 2009, you will forfeit all of your RSUs in accordance
with the general rule set forth above. If you retire with an effective date on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such
date; however, you will not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in a portion of your RSUs as
follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your retirement is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your retirement is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following
your retirement, but in no event later than the March 15 next following the year in which you retire. You will forfeit the remaining RSUs on the date of your termination of employment. For purposes of this provision, the term
“retirement” means retirement from service under the terms of the Corporation’s defined benefit pension plan in which you are a participant or following attainment of age 55 and five years of service if you do not participate in one
of the Corporation’s defined benefit pension plans. 
 RESIGNATION OR TERMINATION WITH OR WITHOUT CAUSE 
 If you resign or your employment otherwise terminates before January 28, 2011, other than on account of death, disability, layoff, or retirement, (or
Divestiture or Change in Control as described below) whether voluntarily or by action of the Corporation and in the latter case whether with or without “cause,” you will forfeit your RSUs on the date of your termination. 

 Award Date: January 28, 2008 
 Page 6 
  

 DIVESTITURE 
 If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation or its
subsidiaries and the transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Your RSUs will vest immediately and you will receive shares of Stock in exchange for RSUs as soon as practicable
following your termination of employment with the Corporation, but in no event later than the March 15 next following the year in which your employment terminates. For the purposes of this provision, the term “divestiture” shall mean
a transaction which results in the transfer of control of the business operation divested to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting
stock or other equity interests (in the case of entities other than corporations), is owned or controlled directly or indirectly by the Corporation, by one or more of the Corporation’s subsidiaries or by a combination thereof. 
 CHANGE IN CONTROL 
 In the event your employment is
terminated by the Corporation (or its successor) following a Change in Control, your RSUs will vest and the Restricted Period shall terminate on the date of your termination following the Change in Control. You will vest in your entire Award under
this Agreement and without regard to any forfeiture that might otherwise occur because of a Performance Shortfall. 
 CHANGES IN CAPITALIZATION

 In the event of a stock split, stock dividend or other similar action resulting in additional shares of Stock being issued to existing
stockholders during the Restricted Period or in the event of a reverse stock split resulting in a contraction in the number of shares outstanding during the Restricted Period, the number of your RSUs will be adjusted in the same manner as if you
held actual shares of Stock. 
 TIMING OF TAXATION AND WITHHOLDING 
 Upon the expiration or termination of the Restricted Period, the Fair Market Value of the Stock deliverable to you in respect of the RSUs will be taxable to you as compensation income, based on the Fair Market Value
of Stock on the day the Stock is deliverable to you, and withholding of Federal, state, and local taxes will apply at the minimum rate prescribed by law. FICA tax withholding also will apply except to the extent FICA taxes have already been
collected in the case of retirement-eligible employees as described below. (If Code section 409A(a)(2)(B)(i) applies because you are a key employee receiving Stock on account of a termination of employment or if you are an Insider, your Stock may
not be deliverable to you for six months following such date of termination and, accordingly, the Fair Market Value of the Stock on that date shall be used for purposes of determining your compensation income.) 

 Award Date: January 28, 2008 
 Page 7 
  

 Your tax basis in shares of Stock delivered to you in respect of the RSUs will be equal to the Fair
Market Value of such shares on the day the Stock is deliverable to you. Your holding period for purposes of determining long-term capital gain or loss treatment on any subsequent sale of such Stock will begin on that day. 
 You will be deemed to have elected to pay any withholding tax on Stock deliverable to you by means of the Corporation’s reducing the number of RSUs
and shares of Stock deliverable to you in respect of vested RSUs, based upon the minimum rate of withholding prescribed by law. 
 Any cash
paid to you as dividend equivalents with respect to RSUs during the Restricted Period will be taxable to you as compensation income and subject to withholding of Federal, state and local income taxes, and FICA taxes. 
 In the event you are or become eligible for retirement during the Restricted Period, a portion of your Award will become subject to FICA taxes prior to
the termination of the Restricted Period, and FICA taxes will be withheld with respect to the number of RSUs on which the Restricted Period would terminate if you were to retire. FICA taxes will be computed based upon the Fair Market Value of the
Stock on the date of withholding. For example, if you are eligible to retire during the Restricted Period, then you would become subject to FICA taxes on the later of the first anniversary of the Award Date or the date that you become retirement
eligible, and FICA taxes would be withheld even though Stock would not be deliverable to you until the close of the Restricted Period. The Corporation will withhold such FICA tax from your regular wages or MICP payment. The Corporation may collect
the FICA withholding from you either shortly before or after the date it is due and in the case of Insiders may require delivery of a check to satisfy any shortfall in the withholding. 
 Since we will withhold at the minimum rate prescribed by law for these awards, you may owe additional taxes as a result of the termination or expiration
of the Restricted Period. 
 AMENDMENT AND TERMINATION OF PLAN OR AWARDS 
 As provided in Section 9 of the Plan, subject to certain limitations contained within Section 9, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any
time alter or amend all Award Agreements under the Plan. Notwithstanding Section 9 of the Plan, no such amendment, suspension or discontinuance of the Plan or alteration or amendment of Award Agreements will, except with your express written
consent, adversely affect your rights under this Award Agreement. This Award Agreement shall not be amended or interpreted in a manner that is reasonably believed to result in the imposition of tax under Code section 409A. 

 Award Date: January 28, 2008 
 Page 8 
  

 ACCEPTANCE OF AWARD 
 No Award is enforceable until you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and
Benefits’ office as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. The Committee has authorized electronic means for the
delivery and acceptance of this Award Agreement. If you desire to accept this Award, you must acknowledge your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows:

  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Stop 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acknowledgment of this Award Agreement as described, this Award will be effective as of the date of grant.

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this RSU Award from this internet site
(http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
 POST-EMPLOYMENT COVENANTS 
 By accepting this Agreement through the procedure described above, you
agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 MISCELLANEOUS 
 Nothing contained in this Award Agreement shall confer upon you any right of continued employment by the Corporation or guarantee that any future awards
will be made to you under the Plan. In addition, nothing in this Award Agreement limits in any way the right of the Corporation to terminate your employment at any time. The value of the RSUs awarded to you will not be taken into account for other
benefits offered by the Corporation, including but not limited to pension benefits. Notwithstanding any other provision of the Award Agreement to the contrary, no Stock will be issued to you within six months from the Award Date. 
 The Corporation recommends that Insiders consult with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any
transactions involving Stock even after the expiration or termination of the Restricted Period. 

 Award Date: January 28, 2008 
 Page 9 
  

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
RSU Award from this internet site (http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
  

	
	Sincerely,
	
	  
	David Filomeo
	(On behalf of the Management Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Award Date: January 28, 2008 
 Page 10 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (RSU Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of restricted stock units to me under the Award Agreement (the “RSUs”) pursuant to the Lockheed Martin Corporation Amended and Restated
2003 Incentive Performance Award Plan (the “Plan”). By accepting the RSUs, I agree as follows: 
 1. Restrictions Following
Termination of Employment. 
 (a) Covenant Not To Compete - Without the express written consent of the Chief
Executive Officer of the Corporation, during the two-year period following the date of my termination of employment (the “Termination Date”) with Lockheed Martin Corporation (the “Corporation”), I will not, directly or
indirectly, be employed by, provide services to, or advise a “Restricted Company” (as defined in Section 6 below), whether as an employee, advisor, director, officer, partner or consultant, or in any other position, function or role
that, in any such case, 
  

	 	(i)	oversees, controls or affects the design, operation, research, manufacture, marketing, sale or distribution of “Competitive Products or Services” (as defined in
Section 6 below) of or by the Restricted Company, or 

  

	 	(ii)	would involve a substantial risk that the “Confidential or Proprietary Information” (as defined in Section 1(c) below) of the Corporation (including but not limited
to technical information or intellectual property, strategic plans, information relating to pricing offered to the Corporation by vendors or suppliers or to prices charged or pricing contemplated to be charged by the Corporation, information
relating to employee performance, promotions or identification for promotion, or information relating to the Corporation’s cost base) could be used to the disadvantage of the Corporation. 

 (b) Non-Solicit - Without the express written consent of the Chief Executive
Officer of the Corporation, during the two-year period following the Termination Date, I will not (i) interfere with any contractual relationship between the Corporation and any customer, supplier, distributor or manufacturer of or to the
Corporation to the detriment of the Corporation or (ii) induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation. 

 Award Date: January 28, 2008 
 Page 11 
  

 (c) Protection of Proprietary Information - Except to the extent required by
law, following my Termination Date, I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the “Confidential or
Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in accordance with the
terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for
creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or
confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to
protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of
this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been made available to me), including but not limited to information that a person or entity desires to
protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or
entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. 

 (d) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or
reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Award Date: January 28, 2008 
 Page 12 
  

 (e) Cooperation in Litigation and Investigations - Following the Termination
Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or
affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or
investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the RSUs is expressly made contingent upon my
agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and compensation
opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive knowledge of the
Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as
defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

 Award Date: January 28, 2008 
 Page 13 
  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the RSUs and continue to own the shares of Common Stock of
the Corporation issued or issuable in respect of the RSUs, the shares of Common Stock so acquired; (ii) to the extent I have earned any of the RSUs and no longer own the shares of Common Stock of the Corporation issued or issuable in respect of
the RSUs, cash in an amount equal to the fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development and Compensation Committee of the Board of Directors
of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not earned the RSUs fully, all of my remaining rights, title
or interest in the RSUs. 

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be
inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available
to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its favor and to specific performance without proof of actual damages
and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and
intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to
delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 

 Award Date: January 28, 2008 
 Page 14 
  

 6. Definitions. Capitalized terms not defined in this PECA have the meaning given to them in
the Plan, as applicable. For purposes of this PECA, the following terms have the meanings given below: 
 (a) “Restricted
Company” means The Boeing Company, General Dynamics Corporation, Northrop Grumman Corporation, the Raytheon Company, United Technologies Corporation, Honeywell International Inc., BAE Systems Inc., L-3 Communications Corporation, the Harris
Corporation, Thales, EADS North America and (i) any entity directly or indirectly controlling, controlled by, or under common control with any of the foregoing, and (ii) any successor to all or part of the business of any of the foregoing
as a result of a merger, reorganization, consolidation, spin-off, split-up, acquisition, divestiture, or similar transaction. 
 (b) “Competitive Products or Services” means products or services that compete with, or are an alternative or potential alternative to, products sold or services provided by a subsidiary, business area, division or operating unit
or business of the Corporation as of the Termination Date and at any time within the two-year period ending on the Termination Date; provided, that, (i) if I had direct responsibility for the business of, or function with respect to, a
subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so
provided during that two-year period by the subsidiary, business area, division or operating unit of the Corporation for which I had responsibility, and (ii) if I did not have direct responsibility for the business of, or function with respect
to, a subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services
so provided by a subsidiary, business area, division or operating unit of the Corporation for which I had access (or was required or permitted such access in the performance of my duties or responsibilities with the Corporation) to Confidential or
Proprietary Information of the Corporation at any time during the two-year period ending on the Termination Date. 
 7. Miscellaneous.

 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the
RSUs to me. 
 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law.

 (c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the
Corporation without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date
and shall not, by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable
Corporate policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of
the acceptance by me of the award of RSUs under the Award Agreement. 

 PECA Stock Option 
 Grant Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Optionee: 
 The Management Development and Compensation Committee (the “Committee”) of Lockheed Martin Corporation’s Board of Directors has awarded to you options to purchase shares of Lockheed Martin Common Stock
(“Stock”) under the Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). 
 This letter is your Award Agreement and sets forth some of the terms and conditions of your award. Additional terms and conditions are contained in the Plan and in the Prospectus relating to the Plan of which the Plan document and this
Award Agreement are a part. By accepting this Award Agreement electronically, you consent to electronic delivery of the Prospectus applicable to these Options. You should retain the Prospectus in your records. 
 The term “Options” as used in this Award Agreement refers only to the nonqualified stock options awarded to you under this Award Agreement.
References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. 
 Your Award is not effective or
enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as instructed below as
soon as possible. Please note that by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in Exhibit A attached to this Agreement. 
 EXERCISE PRICE 
 The exercise price of the Options
granted hereunder is $106.87 per Option. Under certain circumstances set forth in the Plan and this Award Agreement, this exercise price may be subject to adjustment. 
 The Committee presently allows the exercise price of an Option to be paid in cash, by the tender of Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment, nor will
fractional shares be issued. The Committee retains the discretion to, at any time, limit the method of payment to cash. If you elect to pay with Stock, you must have owned the shares tendered for at least six months. If Stock is tendered, it will be
valued at its Fair Market Value on the date of tender. 

 Grant Date: January 28, 2008 
 Page 2 
  

 VESTING/EXPIRATION/FORFEITURE 
 General Rule - An Option may not be exercised until it has vested, nor may an Option be exercised after its expiration or forfeiture. Subject to certain special rules discussed below, if you remain in the
employ of the Corporation until the applicable date of vesting, the vesting schedule for your Options is as follows: 
 First Vesting Date:
January 28, 2009 – One-Third 
 Second Vesting Date: January 28, 2010 – One-Third 
 Third Vesting Date: January 28, 2011 – One-Third 
 If the number of Options granted cannot be evenly divided by three into whole shares, the fractional shares will vest on the Third Vesting Date. If you leave the employ of the Corporation before the date on which an
Option vests, that Option is forfeited. 
 Vested Options, except as otherwise provided in this letter, or in the Plan, or as may be
restricted by law, may be exercised for a period ending on January 26, 2018. Options not exercised by that date will be forfeited. 
 You should make every effort to keep the Vice President of Compensation and Benefits’ office informed of your current address so that we may communicate with you about your options and their current status. The Corporation cannot
exercise the options for you, and so you must pay close attention to their terms and any impending expiration. 
 SPECIAL RULES AS TO VESTING

 Retirement - If you retire before the First Vesting Date, you will forfeit all of the Options in accordance with the general
rule set forth above. If you retire on or after the First Vesting Date, you will vest in the remaining Options on the Second Vesting Date and the Third Vesting Date as though you had remained in the employ of the Corporation through those dates. For
the purposes of this provision, the term “retirement” means retirement from service under the terms of the Corporation’s pension plan in which you are a participant or following attainment of age 55 and five years of service if you do
not participate in one of the Corporation’s defined benefit pension plans. 
 Death or Disability - Your Options will immediately
vest and no longer be subject to the continuing employment requirement if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 Grant Date: January 28, 2008 
 Page 3 
  

 SPECIAL RULES AS TO EXPIRATION AND FORFEITURE 
 Death or Disability - Options will expire at the end of their remaining term on January 26, 2018. 
 Resignation, Lay-Off or Termination for Cause - If you resign or otherwise terminate, whether voluntarily or by action of the Corporation and in
the latter case whether with or without “cause,” unvested Options will be forfeited upon your termination. Vested Options will expire at the end of their remaining term or 30 calendar days following your resignation or termination,
whichever is shorter. If you are laid off, your options will be unaffected, and will vest and be exercisable until the end of their remaining term, in accordance with the terms of the Plan. 
 Divestiture - If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such
divestiture results in the termination of your employment with the Corporation or its subsidiaries and transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Following a divestiture, you
will continue to vest in your unvested options as though you had remained in the employ of the Corporation. Your vested options will be exercisable until the first to occur of (i) the fifth anniversary of the effective date of the divestiture;
or (ii) the original expiration date (“Divestiture Expiration Date”). If you die following divestiture but prior to the Divestiture Expiration Date, all unvested options will immediately vest as of the date of death and be exercisable
by your beneficiary until the Divestiture Expiration Date. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person,
corporation, association, partnership, joint venture or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations) is owned or controlled directly or indirectly, by
the Corporation, one or more of the Corporation’s subsidiaries or by a combination thereof. 
 LIMITATIONS ON EXERCISE 
 Notwithstanding any other provision herein, no Option may be exercised less than six months nor more than ten years after the date of grant. Further, from
time to time, your ability to exercise Options which otherwise would be exercisable may be restricted, if in the opinion of counsel for the Corporation, this is necessary or advisable in order to ensure compliance with applicable Federal or state
law, rules or regulations. 

 Grant Date: January 28, 2008 
 Page 4 
  

 ASSIGNMENT/TRANSFERABILITY/BENEFICIARIES 
 Options may not be pledged, assigned or transferred except that Options may be transferred by will or by the laws of descent and distribution or you may
provide that, upon your death, the Options are to be transferred to a beneficiary or beneficiaries that you designate. To designate a beneficiary or beneficiaries, please complete the Beneficiary Designation located at
http://www.etrade.com/stockplans and return an originally executed copy to the Vice President of Compensation and Benefits’ office (Mail Point 123). 
 During your lifetime, only you may exercise your Options. In the event of your death or disability, your Options may be exercised by a qualified representative of your estate, a properly designated beneficiary or
beneficiaries or your guardian or authorized representative, as applicable. 
 TAX WITHHOLDING 
 When you exercise an Option, the Corporation will withhold applicable taxes as required by law. The Committee presently allows you to pay the withholding
tax in cash, by tendering Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment. The Committee retains the discretion to, at any time, limit the method of payment to cash. Unlike payment of the
exercise price of the Options, if you elect to pay withholding taxes with Stock, you need not have owned the shares tendered for at least six months. Payment must be made at the time of exercise. To the extent that cash is not tendered, the
Corporation will retain from the shares of Stock that you would otherwise receive upon exercise of the Option that number of shares sufficient to satisfy the withholding obligation. If Stock is tendered or is deemed to have been tendered, it will be
valued at its Fair Market Value. 
 Withholding will be at the minimum rate prescribed by law. Therefore, you may owe taxes relating to the
exercise in addition to the amount withheld by the Corporation. If you desire, you may request that tax be withheld at greater than the minimum rate. 
 Special Note for Section 16 Insiders - The Corporation’s Section 16 Insiders have been informed of this fact by the Board of Directors. If you are a Section 16 Insider, your ability to
satisfy your withholding obligations through the tender of Stock may be limited by the Federal securities laws. In these situations, having such treatment deemed to occur may have adverse consequences. The Corporation recommends that you consult
with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any transactions involving your Options or Stock. 
 CHANGE IN CONTROL 
 In the event of a change in control of the Corporation, as defined in Section 7 of the Plan, the
vesting date of all outstanding options shall be accelerated so as to cause all outstanding options to become exercisable. 

 Grant Date: January 28, 2008 
 Page 5 
  

 AMENDMENT AND TERMINATION OF THE PLAN OR AWARDS 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall affect this Award Agreement or the award made hereunder in any manner adverse to you without your written consent. 

ACCEPTANCE OF AWARD 
 No award is enforceable until
you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as soon as possible. Acceptance of this Award
Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. You must acknowledge
your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows: 
  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acceptance of this Award Agreement as described, this award will be effective as of the date of grant. If you
do not acknowledge acceptance of your award, it will not be effective and you will not be able to exercise the options. 
 POST-EMPLOYMENT COVENANTS 

 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in
Exhibit A to this Agreement. 
 MISCELLANEOUS 
 For the purpose of calculating the expiration date of the Options, all Options will be deemed to expire on January 26, 2018 at the close of trading in Lockheed Martin Corporation common stock on the New York Stock Exchange (or, if the
security is not so listed or if the principal market on which it is traded is not the New York Stock Exchange, such other reporting system as shall be selected by the Committee). If you are on leave of absence, for the purposes of the Plan, you will
be considered to still be in the employ of the Corporation unless otherwise provided in an agreement between you and the Corporation. 

 Grant Date: January 28, 2008 
 Page 6 
  

 Your participation in the Plan, anything contained in this Award Agreement, or the grant of Options
does not confer upon you any right of continued employment or limit in any way the right of the Corporation to terminate your employment at any time. 
 You have no rights as a stockholder to any securities covered by this Award Agreement until the date on which you become the holder of record of such securities. Capitalized terms used, but not defined herein, shall
have the meanings ascribed to them in the Plan. In the event of a conflict between this Award Agreement and the Plan, the Plan document will control. 
  

					
		 		 	Sincerely,
			
	 	 		 	  
		 		 	 David Filomeo
 (On behalf of the Management
Development and
Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Grant Date: January 28, 2008 
 Page 7 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (Stock Option Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with a Grant Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of stock options to me under the Award Agreement (the “Options”) pursuant to the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (the “Plan”). By accepting the Options, I agree as follows: 
 1. Restrictions Following
Termination of Employment. 
 (a) Covenant Not To Compete - Without the express written consent of the Senior Vice
President, Human Resources of the Corporation, during the one-year period following the date of my termination of employment (the “Termination Date”) with Lockheed Martin Corporation (the “Corporation”), I will not, directly or
indirectly, be employed by, provide services to, or advise a “Restricted Company” (as defined in Section 6 below), whether as an employee, advisor, director, officer, partner or consultant, or in any other position, function or role
that, in any such case, 
  

	 	(i)	oversees, controls or affects the design, operation, research, manufacture, marketing, sale or distribution of “Competitive Products or Services” (as defined in
Section 6 below) of or by the Restricted Company, or 

  

	 	(ii)	would involve a substantial risk that the “Confidential or Proprietary Information” (as defined in Section 1(c) below) of the Corporation (including but not limited
to technical information or intellectual property, strategic plans, information relating to pricing offered to the Corporation by vendors or suppliers or to prices charged or pricing contemplated to be charged by the Corporation, information
relating to employee performance, promotions or identification for promotion, or information relating to the Corporation’s cost base) could be used to the disadvantage of the Corporation. 

 (b) Non-Solicit - Without the express written consent of the Senior Vice
President, Human Resources of the Corporation, during the one-year period following the Termination Date, I will not (i) interfere with any contractual relationship between the Corporation and any customer, supplier, distributor or manufacturer
of or to the Corporation to the detriment of the Corporation or (ii) induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation. 

 Grant Date: January 28, 2008 
 Page 8 
  

 (c) Protection of Proprietary Information – Except to the extent required
by law, following my Termination Date, I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the “Confidential or
Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in accordance with the
terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for
creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or
confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to
protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of
this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been made available to me), including but not limited to information that a person or entity desires to
protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or
entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. 

 (d) No disparagement – Following the Termination Date, I will not make any statements, whether verbal or written, that
disparage or reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Grant Date: January 28, 2008 
 Page 9 
  

 (e) Cooperation in Litigation and Investigations - Following the Termination
Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or
affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or
investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the Options is expressly made contingent upon
my agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and
compensation opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive
knowledge of the Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as
defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

 Grant Date: January 28, 2008 
 Page 10 
  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have exercised any of the Options and continue to own the shares of Common
Stock of the Corporation issued or issuable upon exercise of the Options, the shares of Common Stock so acquired upon exercise; (ii) to the extent I have exercised any of the Options and no longer own the shares of Common Stock of the
Corporation issued or issuable upon exercise of the Options, cash in an amount equal to the fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development
and Compensation Committee of the Board of Directors of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not
exercised the Options fully, all of my remaining rights, title or interest in the Options. 

 4. Injunctive Relief. I
acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without
prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its
favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to
be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such
adjudication is made. 

 Grant Date: January 28, 2008 
 Page 11 
  

 6. Definitions. Capitalized terms not defined in this PECA have the meaning given to them in
the Plan, as applicable. For purposes of this PECA, the following terms have the meanings given below: 
 (a) “Restricted
Company” means The Boeing Company, General Dynamics Corporation, Northrop Grumman Corporation, the Raytheon Company, United Technologies Corporation, Honeywell International Inc., BAE Systems Inc., L-3 Communications Corporation, the Harris
Corporation, Thales, EADS North America and (i) any entity directly or indirectly controlling, controlled by, or under common control with any of the foregoing, and (ii) any successor to all or part of the business of any of the foregoing
as a result of a merger, reorganization, consolidation, spin-off, split-up, acquisition, divestiture, or similar transaction. 
 (b) “Competitive Products or Services” means products or services that compete with, or are an alternative or potential alternative to, products sold or services provided by a subsidiary, business area, division or operating unit
or business of the Corporation as of the Termination Date and at any time within the two-year period ending on the Termination Date; provided, that, (i) if I had direct responsibility for the business of, or function with respect to, a
subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so
provided during that two-year period by the subsidiary, business area, division or operating unit of the Corporation for which I had responsibility, and (ii) if I did not have direct responsibility for the business of, or function with respect
to, a subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services
so provided by a subsidiary, business area, division or operating unit of the Corporation for which I had access (or was required or permitted such access in the performance of my duties or responsibilities with the Corporation) to Confidential or
Proprietary Information of the Corporation at any time during the two-year period ending on the Termination Date. 

 Grant Date: January 28, 2008 
 Page 12 
  

 7. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the Options to me.

 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. 

(c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation
without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not,
by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate
policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the
acceptance by me of the award of stock options under the Award Agreement. 

 PECA RSU 
 Award Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Awardee: 
 The Management Development and Compensation Committee of the Board of Directors (“Committee”) has awarded you Restricted Stock Units (“RSUs”). Each RSU entitles you, upon satisfaction of the
continued employment and other requirements set forth in this letter and the Plan, to receive from Lockheed Martin Corporation (“Corporation”) (i) one (1) share of the Corporation’s common stock, par value $1.00 per share,
(“Stock”); and (ii) quarterly cash payments equivalent to any cash dividends paid to stockholders of the Corporation, each in accordance with the terms of this letter, the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (“Plan”), and any rules and procedures adopted by the Committee. 
 This letter constitutes the
Award Agreement for your RSUs and sets forth some of the terms and conditions of your Award under the Plan, as determined by the Committee. Additional terms and conditions are described in the Plan and in the Prospectus relating to the Plan of which
the Plan and this Award Agreement are a part. In the event of a conflict between this letter and the Plan, the Plan document will control. The Prospectus is available at http://www.etrade.com/stockplans. 
 Capitalized terms not defined in this Agreement will have the meaning ascribed to them in the Plan. The term Restricted Stock Unit or RSU as used in this
Award Agreement refers only to the Restricted Stock Units awarded to you under this Award Agreement. 
 CONSIDERATION FOR AWARD 
 The consideration for the Restricted Stock Units is your continued service to the Corporation as an employee during the Restricted Period set forth below.
If you do not continue to perform services for the Corporation as an employee during the entire Restricted Period, your Award will be forfeited in whole or in part. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office as instructed below as soon as possible. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. Assuming prompt and proper acknowledgment of this Award
Agreement as described, this Award will be effective as of the Award Date. Acceptance 

 Award Date: January 28, 2008 
 Page 2 
  

 
of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. Please note that
by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in Exhibit A attached to this Agreement. 
 For your acceptance to be effective and for the Award to be enforceable, you must return your acknowledgment (either in written form or by electronic
receipt). If your acknowledgement is not received, your Award will not be effective. 
 RIGHTS OF OWNERSHIP/RESTRICTIONS ON TRANSFER 
 During the Restricted Period, your RSUs will be subject to forfeiture. Until the Restricted Period ends with respect to a particular RSU and a share of
Stock is delivered to you, you generally will not have the rights and privileges of a stockholder. In particular, you will not have the right to vote your RSUs on any matter put to the stockholders of the Corporation and you may not sell, transfer,
assign, pledge, use as collateral or otherwise dispose of or encumber RSUs. You will, however, have the right to receive a cash payment for each RSU equivalent to the cash dividend paid to stockholders on a share of Stock at the time the
corresponding dividend is paid to stockholders and this right continues until the expiration of the Restricted Period and until the date that Stock is deliverable to you. 
 Upon expiration or termination of the Restricted Period with respect to your RSUs, and subject to the forfeiture provisions set forth below, each RSU for which the restrictions have lapsed will be exchanged for a
certificate (either in paper or book entry form) evidencing one (1) share of Stock issued in your name (or other name(s) designated by you). Your shares will be delivered to you as soon as practicable upon the expiration or termination of the
Restricted Period. In the event Code section 409A(a)(2)(B)(i) applies because you are a key employee receiving a distribution on account of a termination of employment, delivery of stock may be delayed for six months from such date; similarly, if
you are an Insider subject to the reporting provisions of Section 16(a) of the Securities Exchange Act of 1934, delivery of Stock following the expiration of the Restricted Period for any reason may be delayed for six months. The certificates
delivered to you may contain any legend the Corporation determines is appropriate under the securities laws. At the time the Restricted Period for your RSUs terminates, the Corporation is required to collect from you the appropriate amount of
Federal, state and local taxes. The Corporation may be required to collect FICA taxes from you prior to the termination of the Restricted Period if you become eligible for retirement prior to the termination of that period. In this regard, please
see “Timing of Taxation and Withholding” below. 
 After the Stock is delivered to you, you (or your designee(s)) will enjoy all of
the rights and privileges associated with ownership of the shares, including the right to vote on any matter put to stockholder vote, to receive dividends, and to encumber, sell or otherwise transfer the shares. You should note, however, that, while
the shares would thus be free of the restrictions imposed during the Restricted Period, your ability to sell the shares may be limited under the Federal securities laws. 

 Award Date: January 28, 2008 
 Page 3 
  

 You have the right to designate a beneficiary (or beneficiaries) to receive your shares in exchange
for your RSUs in the event of your death during the Restricted Period by completing a beneficiary designation form available at http://www.etrade.com/stockplans and returning it to the Vice President of Compensation and Benefits’ office at the
address below. 
 If, at your death, a completed beneficiary designation form is not on file at the Vice President of Compensation and
Benefits’ office (or if your designated beneficiary predeceases you), the Stock in respect of your RSUs will be transferred to the personal representative of your estate. 
 RESTRICTED PERIOD, FORFEITURE 
 The vesting of the RSUs awarded under this Award Agreement is subject
to satisfaction of a performance goal as well as your continued employment with the Corporation from the Award Date until January 28, 2011 (the “Restricted Period”). If either of these requirements is not satisfied, you may forfeit
all or part of your RSUs. Upon forfeiture, you will no longer have the right to receive Stock for forfeited RSUs or to receive cash payments as dividend equivalents. 
 1. Performance Goal 
 At its first meeting after the Corporation finalizes the financial
results for the year ending December 31, 2008, the Committee will multiply the number of RSUs awarded to you under this Award Agreement by the Fair Market Value of Stock on the Award Date ($106.87) (“RSU Award Value”). The Committee
will then compare your RSU Award Value to the product of 0.04% and the Corporation’s Cash Flow for the year ending December 31, 2008 (with the product being referred to as the “RSU Performance Goal”). If your RSU Award Value
exceeds your RSU Performance Goal (with the amount of that excess referred to as the “Performance Shortfall”) then you will forfeit the number of whole RSUs that are equal to the Performance Shortfall divided by the Fair Market Value of
Stock on the Award Date ($106.87). 
 For purposes of this Award Agreement, Cash Flow for any period means net cash flow from operations but
not taking into account: (i) the aggregate difference between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the period
and the actual amounts contributed by the Corporation during the period; and (ii) any tax payments or tax benefits during the period associated with the divestiture of business units. Cash Flow shall be determined by the Committee based upon
the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Subcommittee shall determine Cash
Flow in a manner consistent with the historical practices used by the Corporation in determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph.

 Award Date: January 28, 2008 
 Page 4 
  

 2. Employment Requirement 
 Regardless of the satisfaction of the RSU Performance Goal, all of your RSUs will be forfeited and all of your rights to the RSUs and to receive Stock for
your RSUs will cease without further obligation on the part of the Corporation unless you continue to provide services to the Corporation as an Employee of the Corporation until the expiration or termination of the Restricted Period, which will
occur on January 28, 2011, subject only to the specific exceptions provided below. 
 DEATH, DISABILITY, LAYOFF 
 1. Death and Disability 
 Your
RSUs will immediately vest and no longer be subject to the continuing employment requirement or the potential forfeiture to the extent of a Performance Shortfall if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the Corporation’s long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following the date of your termination of employment on account of death or disability, but
in no event later than the March 15 next following the year in which such termination occurs. 
 2. Lay Off 
 If you are laid off prior to January 28, 2009, you will forfeit all of your RSUs in accordance with the general rule requiring continued employment
during the Restricted Period. If you are laid off on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such date; however, you will
not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in your RSUs as follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your layoff is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your layoff is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 Award Date: January 28, 2008 
 Page 5 
  

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following your layoff, but in no event
later than the March 15 next following the year in which you are laid off. You will forfeit your remaining RSUs on the date you are laid off. 
 RETIREMENT 
 If your retirement is effective before January 28, 2009, you will forfeit all of your RSUs in accordance
with the general rule set forth above. If you retire with an effective date on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such
date; however, you will not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in a portion of your RSUs as
follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your retirement is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your retirement is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following
your retirement, but in no event later than the March 15 next following the year in which you retire. You will forfeit the remaining RSUs on the date of your termination of employment. For purposes of this provision, the term
“retirement” means retirement from service under the terms of the Corporation’s defined benefit pension plan in which you are a participant or following attainment of age 55 and five years of service if you do not participate in one
of the Corporation’s defined benefit pension plans. 
 RESIGNATION OR TERMINATION WITH OR WITHOUT CAUSE 
 If you resign or your employment otherwise terminates before January 28, 2011, other than on account of death, disability, layoff, or retirement, (or
Divestiture or Change in Control as described below) whether voluntarily or by action of the Corporation and in the latter case whether with or without “cause,” you will forfeit your RSUs on the date of your termination. 
 DIVESTITURE 
 If the Corporation divests (as defined
below) all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation or its subsidiaries and the transfer of such employment to the other party to the
divestiture, the special rules in this paragraph will apply. Your RSUs will vest immediately and you will receive shares of Stock in exchange for RSUs as soon as practicable following your 

 Award Date: January 28, 2008 
 Page 6 
  

 
termination of employment with the Corporation, but in no event later than the March 15 next following the year in which your employment terminates. For
the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person, corporation, association, partnership, joint venture, limited
liability company or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations), is owned or controlled directly or indirectly by the Corporation, by one or more of
the Corporation’s subsidiaries or by a combination thereof. 
 CHANGE IN CONTROL 
 In the event your employment is terminated by the Corporation (or its successor) following a Change in Control, your RSUs will vest and the Restricted
Period shall terminate on the date of your termination following the Change in Control. You will vest in your entire Award under this Agreement and without regard to any forfeiture that might otherwise occur because of a Performance Shortfall.

 CHANGES IN CAPITALIZATION 
 In the
event of a stock split, stock dividend or other similar action resulting in additional shares of Stock being issued to existing stockholders during the Restricted Period or in the event of a reverse stock split resulting in a contraction in the
number of shares outstanding during the Restricted Period, the number of your RSUs will be adjusted in the same manner as if you held actual shares of Stock. 
 TIMING OF TAXATION AND WITHHOLDING 
 Upon the expiration or termination of the Restricted Period, the Fair Market Value of
the Stock deliverable to you in respect of the RSUs will be taxable to you as compensation income, based on the Fair Market Value of Stock on the day the Stock is deliverable to you, and withholding of Federal, state, and local taxes will apply at
the minimum rate prescribed by law. FICA tax withholding also will apply except to the extent FICA taxes have already been collected in the case of retirement-eligible employees as described below. (If Code section 409A(a)(2)(B)(i) applies because
you are a key employee receiving Stock on account of a termination of employment or if you are an Insider, your Stock may not be deliverable to you for six months following such date of termination and, accordingly, the Fair Market Value of the
Stock on that date shall be used for purposes of determining your compensation income.) 
 Your tax basis in shares of Stock delivered to you
in respect of the RSUs will be equal to the Fair Market Value of such shares on the day the Stock is deliverable to you. Your holding period for purposes of determining long-term capital gain or loss treatment on any subsequent sale of such Stock
will begin on that day. 

 Award Date: January 28, 2008 
 Page 7 
  

 You will be deemed to have elected to pay any withholding tax on Stock deliverable to you by means of
the Corporation’s reducing the number of RSUs and shares of Stock deliverable to you in respect of vested RSUs, based upon the minimum rate of withholding prescribed by law. 
 Any cash paid to you as dividend equivalents with respect to RSUs during the Restricted Period will be taxable to you as compensation income and subject
to withholding of Federal, state and local income taxes, and FICA taxes. 
 In the event you are or become eligible for retirement during the
Restricted Period, a portion of your Award will become subject to FICA taxes prior to the termination of the Restricted Period, and FICA taxes will be withheld with respect to the number of RSUs on which the Restricted Period would terminate if you
were to retire. FICA taxes will be computed based upon the Fair Market Value of the Stock on the date of withholding. For example, if you are eligible to retire during the Restricted Period, then you would become subject to FICA taxes on the later
of the first anniversary of the Award Date or the date that you become retirement eligible, and FICA taxes would be withheld even though Stock would not be deliverable to you until the close of the Restricted Period. The Corporation will withhold
such FICA tax from your regular wages or MICP payment. The Corporation may collect the FICA withholding from you either shortly before or after the date it is due and in the case of Insiders may require delivery of a check to satisfy any shortfall
in the withholding. 
 Since we will withhold at the minimum rate prescribed by law for these awards, you may owe additional taxes as a
result of the termination or expiration of the Restricted Period. 
 AMENDMENT AND TERMINATION OF PLAN OR AWARDS 
 As provided in Section 9 of the Plan, subject to certain limitations contained within Section 9, the Board of Directors may at any time amend,
suspend or discontinue the Plan and the Committee may at any time alter or amend all Award Agreements under the Plan. Notwithstanding Section 9 of the Plan, no such amendment, suspension or discontinuance of the Plan or alteration or amendment
of Award Agreements will, except with your express written consent, adversely affect your rights under this Award Agreement. This Award Agreement shall not be amended or interpreted in a manner that is reasonably believed to result in the imposition
of tax under Code section 409A. 
 ACCEPTANCE OF AWARD 
 No Award is enforceable until you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and
Benefits’ office as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. The Committee has authorized electronic means for the
delivery and acceptance of this Award Agreement. If you desire to accept this Award, you must acknowledge your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows:

  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

 Award Date: January 28, 2008 
 Page 8 
  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Stop 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acknowledgment of this Award Agreement as described, this Award will be effective as of the date of grant.

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this RSU Award from this internet site
(http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
 POST-EMPLOYMENT COVENANTS 
 By accepting this Agreement through the procedure described above, you
agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 MISCELLANEOUS 
 Nothing contained in this Award Agreement shall confer upon you any right of continued employment by the Corporation or guarantee that any future awards
will be made to you under the Plan. In addition, nothing in this Award Agreement limits in any way the right of the Corporation to terminate your employment at any time. The value of the RSUs awarded to you will not be taken into account for other
benefits offered by the Corporation, including but not limited to pension benefits. Notwithstanding any other provision of the Award Agreement to the contrary, no Stock will be issued to you within six months from the Award Date. 
 The Corporation recommends that Insiders consult with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any
transactions involving Stock even after the expiration or termination of the Restricted Period. 

 Award Date: January 28, 2008 
 Page 9 
  

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
RSU Award from this internet site (http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
  

	
	Sincerely,
	
	  
	David Filomeo
	(On behalf of the Management Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Award Date: January 28, 2008 
 Page 10 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (RSU Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of restricted stock units to me under the Award Agreement (the “RSUs”) pursuant to the Lockheed Martin Corporation Amended and Restated
2003 Incentive Performance Award Plan (the “Plan”). By accepting the RSUs, I agree as follows: 
 1. Restrictions Following
Termination of Employment. 
 (a) Covenant Not To Compete - Without the express written consent of the Senior Vice
President, Human Resources of the Corporation, during the one-year period following the date of my termination of employment (the “Termination Date”) with Lockheed Martin Corporation (the “Corporation”), I will not, directly or
indirectly, be employed by, provide services to, or advise a “Restricted Company” (as defined in Section 6 below), whether as an employee, advisor, director, officer, partner or consultant, or in any other position, function or role
that, in any such case, 
  

	 	(i)	oversees, controls or affects the design, operation, research, manufacture, marketing, sale or distribution of “Competitive Products or Services” (as defined in
Section 6 below) of or by the Restricted Company, or 

  

	 	(ii)	would involve a substantial risk that the “Confidential or Proprietary Information” (as defined in Section 1(c) below) of the Corporation (including but not limited
to technical information or intellectual property, strategic plans, information relating to pricing offered to the Corporation by vendors or suppliers or to prices charged or pricing contemplated to be charged by the Corporation, information
relating to employee performance, promotions or identification for promotion, or information relating to the Corporation’s cost base) could be used to the disadvantage of the Corporation. 

 (b) Non-Solicit - Without the express written consent of the Senior Vice
President, Human Resources of the Corporation, during the one-year period following the Termination Date, I will not (i) interfere with any contractual relationship between the Corporation and any customer, supplier, distributor or manufacturer
of or to the Corporation to the detriment of the Corporation or (ii) induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation. 

 Award Date: January 28, 2008 
 Page 11 
  

 (c) Protection of Proprietary Information – Except to the extent required
by law, following my Termination Date, I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the “Confidential or
Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in accordance with the
terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for
creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or
confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to
protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of
this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been made available to me), including but not limited to information that a person or entity desires to
protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or
entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. 

 (d) No disparagement – Following the Termination Date, I will not make any statements, whether verbal or written, that
disparage or reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Award Date: January 28, 2008 
 Page 12 
  

 (e) Cooperation in Litigation and Investigations - Following the Termination
Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or
affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or
investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the RSUs is expressly made contingent upon my
agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and compensation
opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive knowledge of the
Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as
defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

 Award Date: January 28, 2008 
 Page 13 
  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the RSUs and continue to own the shares of Common Stock of
the Corporation issued or issuable in respect of the RSUs, the shares of Common Stock so acquired; (ii) to the extent I have earned any of the RSUs and no longer own the shares of Common Stock of the Corporation issued or issuable in respect of
the RSUs, cash in an amount equal to the fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development and Compensation Committee of the Board of Directors
of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not earned the RSUs fully, all of my remaining rights, title
or interest in the RSUs. 

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be
inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available
to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its favor and to specific performance without proof of actual damages
and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and
intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to
delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 

 Award Date: January 28, 2008 
 Page 14 
  

 6. Definitions. Capitalized terms not defined in this PECA have the meaning given to them in
the Plan, as applicable. For purposes of this PECA, the following terms have the meanings given below: 
 (a) “Restricted
Company” means The Boeing Company, General Dynamics Corporation, Northrop Grumman Corporation, the Raytheon Company, United Technologies Corporation, Honeywell International Inc., BAE Systems Inc., L-3 Communications Corporation, the Harris
Corporation, Thales, EADS North America and (i) any entity directly or indirectly controlling, controlled by, or under common control with any of the foregoing, and (ii) any successor to all or part of the business of any of the foregoing
as a result of a merger, reorganization, consolidation, spin-off, split-up, acquisition, divestiture, or similar transaction. 
 (b) “Competitive Products or Services” means products or services that compete with, or are an alternative or potential alternative to, products sold or services provided by a subsidiary, business area, division or operating unit
or business of the Corporation as of the Termination Date and at any time within the two-year period ending on the Termination Date; provided, that, (i) if I had direct responsibility for the business of, or function with respect to, a
subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so
provided during that two-year period by the subsidiary, business area, division or operating unit of the Corporation for which I had responsibility, and (ii) if I did not have direct responsibility for the business of, or function with respect
to, a subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services
so provided by a subsidiary, business area, division or operating unit of the Corporation for which I had access (or was required or permitted such access in the performance of my duties or responsibilities with the Corporation) to Confidential or
Proprietary Information of the Corporation at any time during the two-year period ending on the Termination Date. 
 7. Miscellaneous.

 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the
RSUs to me. 
 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law.

 (c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the
Corporation without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date
and shall not, by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable
Corporate policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of
the acceptance by me of the award of RSUs under the Award Agreement. 

 PECA Stock Option-California 
 Grant Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 

 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Optionee: 
 The Management Development and Compensation Committee (the “Committee”) of Lockheed Martin Corporation’s Board of Directors has awarded to
you options to purchase shares of Lockheed Martin Common Stock (“Stock”) under the Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). 
 This letter is your Award Agreement and sets forth some of the terms and conditions of your award. Additional terms and conditions are contained in the
Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. By accepting this Award Agreement electronically, you consent to electronic delivery of the Prospectus applicable to these Options. You
should retain the Prospectus in your records. 
 The term “Options” as used in this Award Agreement refers only to the nonqualified
stock options awarded to you under this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office as instructed below as soon as possible. Please note that by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in
Exhibit A attached to this Agreement. 
 EXERCISE PRICE 
 The exercise price of the Options granted hereunder is $106.87 per Option. Under certain circumstances set forth in the Plan and this Award Agreement, this exercise price may be subject to adjustment. 
 The Committee presently allows the exercise price of an Option to be paid in cash, by the tender of Stock or through a combination of Stock and cash. No
fractional shares of Stock may be tendered in payment, nor will fractional shares be issued. The Committee retains the discretion to, at any time, limit the method of payment to cash. If you elect to pay with Stock, you must have owned the shares
tendered for at least six months. If Stock is tendered, it will be valued at its Fair Market Value on the date of tender. 

 Grant Date: January 28, 2008 
 Page 2 
  

 VESTING/EXPIRATION/FORFEITURE 
 General Rule - An Option may not be exercised until it has vested, nor may an Option be exercised after its expiration or forfeiture. Subject to certain special rules discussed below, if you remain in the
employ of the Corporation until the applicable date of vesting, the vesting schedule for your Options is as follows: 
 First Vesting Date:
January 28, 2009 – One-Third 
 Second Vesting Date: January 28, 2010 – One-Third 
 Third Vesting Date: January 28, 2011 – One-Third 
 If the number of Options granted cannot be evenly divided by three into whole shares, the fractional shares will vest on the Third Vesting Date. If you leave the employ of the Corporation before the date on which an
Option vests, that Option is forfeited. 
 Vested Options, except as otherwise provided in this letter, or in the Plan, or as may be
restricted by law, may be exercised for a period ending on January 26, 2018. Options not exercised by that date will be forfeited. 
 You should make every effort to keep the Vice President of Compensation and Benefits’ office informed of your current address so that we may communicate with you about your options and their current status. The Corporation cannot
exercise the options for you, and so you must pay close attention to their terms and any impending expiration. 
 SPECIAL RULES AS TO VESTING

 Retirement - If you retire before the First Vesting Date, you will forfeit all of the Options in accordance with the general
rule set forth above. If you retire on or after the First Vesting Date, you will vest in the remaining Options on the Second Vesting Date and the Third Vesting Date as though you had remained in the employ of the Corporation through those dates. For
the purposes of this provision, the term “retirement” means retirement from service under the terms of the Corporation’s pension plan in which you are a participant or following attainment of age 55 and five years of service if you do
not participate in one of the Corporation’s defined benefit pension plans. 
 Death or Disability - Your Options will immediately
vest and no longer be subject to the continuing employment requirement if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 Grant Date: January 28, 2008 
 Page 3 
  

 SPECIAL RULES AS TO EXPIRATION AND FORFEITURE 
 Death or Disability - Options will expire at the end of their remaining term on January 26, 2018. 
 Resignation, Lay-Off or Termination for Cause - If you resign or otherwise terminate, whether voluntarily or by action of the Corporation and in
the latter case whether with or without “cause,” unvested Options will be forfeited upon your termination. Vested Options will expire at the end of their remaining term or 30 calendar days following your resignation or termination,
whichever is shorter. If you are laid off, your options will be unaffected, and will vest and be exercisable until the end of their remaining term, in accordance with the terms of the Plan. 
 Divestiture - If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such
divestiture results in the termination of your employment with the Corporation or its subsidiaries and transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Following a divestiture, you
will continue to vest in your unvested options as though you had remained in the employ of the Corporation. Your vested options will be exercisable until the first to occur of (i) the fifth anniversary of the effective date of the divestiture;
or (ii) the original expiration date (“Divestiture Expiration Date”). If you die following divestiture but prior to the Divestiture Expiration Date, all unvested options will immediately vest as of the date of death and be exercisable
by your beneficiary until the Divestiture Expiration Date. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person,
corporation, association, partnership, joint venture or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations) is owned or controlled directly or indirectly, by
the Corporation, one or more of the Corporation’s subsidiaries or by a combination thereof. 
 LIMITATIONS ON EXERCISE 
 Notwithstanding any other provision herein, no Option may be exercised less than six months nor more than ten years after the date of grant. Further, from
time to time, your ability to exercise Options which otherwise would be exercisable may be restricted, if in the opinion of counsel for the Corporation, this is necessary or advisable in order to ensure compliance with applicable Federal or state
law, rules or regulations. 

 Grant Date: January 28, 2008 
 Page 4 
  

 ASSIGNMENT/TRANSFERABILITY/BENEFICIARIES 
 Options may not be pledged, assigned or transferred except that Options may be transferred by will or by the laws of descent and distribution or you may
provide that, upon your death, the Options are to be transferred to a beneficiary or beneficiaries that you designate. To designate a beneficiary or beneficiaries, please complete the Beneficiary Designation located at
http://www.etrade.com/stockplans and return an originally executed copy to the Vice President of Compensation and Benefits’ office (Mail Point 123). 
 During your lifetime, only you may exercise your Options. In the event of your death or disability, your Options may be exercised by a qualified representative of your estate, a properly designated beneficiary or
beneficiaries or your guardian or authorized representative, as applicable. 
 TAX WITHHOLDING 
 When you exercise an Option, the Corporation will withhold applicable taxes as required by law. The Committee presently allows you to pay the withholding
tax in cash, by tendering Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment. The Committee retains the discretion to, at any time, limit the method of payment to cash. Unlike payment of the
exercise price of the Options, if you elect to pay withholding taxes with Stock, you need not have owned the shares tendered for at least six months. Payment must be made at the time of exercise. To the extent that cash is not tendered, the
Corporation will retain from the shares of Stock that you would otherwise receive upon exercise of the Option that number of shares sufficient to satisfy the withholding obligation. If Stock is tendered or is deemed to have been tendered, it will be
valued at its Fair Market Value. 
 Withholding will be at the minimum rate prescribed by law. Therefore, you may owe taxes relating to the
exercise in addition to the amount withheld by the Corporation. If you desire, you may request that tax be withheld at greater than the minimum rate. 
 Special Note for Section 16 Insiders - The Corporation’s Section 16 Insiders have been informed of this fact by the Board of Directors. If you are a Section 16 Insider, your ability to
satisfy your withholding obligations through the tender of Stock may be limited by the Federal securities laws. In these situations, having such treatment deemed to occur may have adverse consequences. The Corporation recommends that you consult
with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any transactions involving your Options or Stock. 
 CHANGE IN CONTROL 
 In the event of a change in control of the Corporation, as defined in Section 7 of the Plan, the
vesting date of all outstanding options shall be accelerated so as to cause all outstanding options to become exercisable. 

 Grant Date: January 28, 2008 
 Page 5 
  

 AMENDMENT AND TERMINATION OF THE PLAN OR AWARDS 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall affect this Award Agreement or the award made hereunder in any manner adverse to you without your written consent. 

ACCEPTANCE OF AWARD 
 No award is enforceable until
you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as soon as possible. Acceptance of this Award
Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. You must acknowledge
your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows: 
  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acceptance of this Award Agreement as described, this award will be effective as of the date of grant. If you
do not acknowledge acceptance of your award, it will not be effective and you will not be able to exercise the options. 
 POST-EMPLOYMENT COVENANTS 

 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in
Exhibit A to this Agreement. 
 MISCELLANEOUS 
 For the purpose of calculating the expiration date of the Options, all Options will be deemed to expire on January 26, 2018 at the close of trading in Lockheed Martin Corporation common stock on the New York Stock Exchange (or, if the
security is not so listed or if the principal market on which it is traded is not the New York Stock Exchange, such other reporting system as shall be selected by the Committee). If you are on leave of absence, for the purposes of the Plan, you will
be considered to still be in the employ of the Corporation unless otherwise provided in an agreement between you and the Corporation. 

 Grant Date: January 28, 2008 
 Page 6 
  

 Your participation in the Plan, anything contained in this Award Agreement, or the grant of Options
does not confer upon you any right of continued employment or limit in any way the right of the Corporation to terminate your employment at any time. 
 You have no rights as a stockholder to any securities covered by this Award Agreement until the date on which you become the holder of record of such securities. Capitalized terms used, but not defined herein, shall
have the meanings ascribed to them in the Plan. In the event of a conflict between this Award Agreement and the Plan, the Plan document will control. 
  

	
	Sincerely,
	
	  
	 David Filomeo
 (On behalf of the Management
Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Grant Date: January 28, 2008 
 Page 7 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (Stock Option Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with a Grant Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of stock options to me under the Award Agreement (the “Options”) pursuant to the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (the “Plan”). By accepting the Options, I agree as follows: 
 1. Protective Covenants

 (a) Protection of Proprietary Information, including Trade Secrets and Confidential Information – Except to the
extent required by law, following my Termination Date, and in conformance with the provisions of the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.) and the California Unfair Competition Law (Cal. Business and
Professional Code § 17220 et seq.), I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the
“Confidential or Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in
accordance with the terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity, for the purpose or effect of competing unfairly with the Corporation, of Confidential or Proprietary
Information of the Corporation or others to which I had access or that I was responsible for creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for
documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation
and will cooperate with any reasonable request by the Corporation for assistance in seeking to protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my
employment with the Corporation shall be and remain the property of the Corporation. For purposes of this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been
made available to me), including but not limited to information that a person or entity desires to protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over
its competitors, or which, if known or used by third parties or if used by the person’s or entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or
Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

 Grant Date: January 28, 2008 
 Page 8 
  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. Or 

  

	 	(iii)	any information protected by the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.). 

 (b) Non-Solicit - Without the express written consent of the Chief Executive
Officer of the Corporation, during the two-year period following the Termination Date, I will not induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation.
This provision does not prevent the hiring of such persons so long as they are not induced to be one employed in violation of this provision. 
 (c) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or reasonably may be interpreted to disparage the Corporation or its
stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 
 (d) Cooperation in Litigation and Investigations - Following the Termination Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including
alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the
Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any
governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge
and agree that the benefits and compensation opportunities being made available to me under the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my
employment by the Corporation and that the grant of the Options is expressly made contingent upon my agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are
necessary to be 

 Grant Date: January 28, 2008 
 Page 9 
  

 
effective and are fair and reasonable in light of the value of the benefits and compensation opportunities being made available to me under the Award
Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive knowledge of the Corporation’s Confidential or Proprietary Information,
employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	 For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have exercised any of the Options and continue to own the
shares of Common Stock of the Corporation issued or issuable upon exercise of the Options, the shares of Common Stock so acquired upon exercise; (ii) to the extent I have exercised any of the Options and no longer own the shares of Common Stock
of the Corporation issued or issuable upon exercise of the Options, cash in an amount equal to the 

 Grant Date: January 28, 2008 
 Page 10 
  

	 	 
fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development
and Compensation Committee of the Board of Directors of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not
exercised the Options fully, all of my remaining rights, title or interest in the Options. 

 4. Injunctive Relief.
I acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without
prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its
favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to
be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such
adjudication is made. 
 6. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the Options to me.

 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. Any
enforcement of, or challenge to, this Agreement may only be brought in the Circuit Court of Maryland or the United States District Court for the District of Maryland. Both parties consent to the proper jurisdiction and venue of the Circuit Court of
Maryland and the United States District Court for the District of Maryland for the purpose of enforcing or challenging this Agreement. 
 (c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not, by implication or otherwise,
affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate policies that may be adopted from
time to time or applicable law or regulation. 
 This PECA is effective as of the acceptance by me of the award of stock
options under the Award Agreement. 

 PECA Stock Option-California 
 Grant Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 

 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Optionee: 
 The Management Development and Compensation Committee (the “Committee”) of Lockheed Martin Corporation’s Board of Directors has awarded to
you options to purchase shares of Lockheed Martin Common Stock (“Stock”) under the Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). 
 This letter is your Award Agreement and sets forth some of the terms and conditions of your award. Additional terms and conditions are contained in the
Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. By accepting this Award Agreement electronically, you consent to electronic delivery of the Prospectus applicable to these Options. You
should retain the Prospectus in your records. 
 The term “Options” as used in this Award Agreement refers only to the nonqualified
stock options awarded to you under this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office as instructed below as soon as possible. Please note that by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in
Exhibit A attached to this Agreement. 
 EXERCISE PRICE 
 The exercise price of the Options granted hereunder is $106.87 per Option. Under certain circumstances set forth in the Plan and this Award Agreement, this exercise price may be subject to adjustment. 
 The Committee presently allows the exercise price of an Option to be paid in cash, by the tender of Stock or through a combination of Stock and cash. No
fractional shares of Stock may be tendered in payment, nor will fractional shares be issued. The Committee retains the discretion to, at any time, limit the method of payment to cash. If you elect to pay with Stock, you must have owned the shares
tendered for at least six months. If Stock is tendered, it will be valued at its Fair Market Value on the date of tender. 

 Grant Date: January 28, 2008 
 Page 2 
  

 VESTING/EXPIRATION/FORFEITURE 
 General Rule - An Option may not be exercised until it has vested, nor may an Option be exercised after its expiration or forfeiture. Subject to certain special rules discussed below, if you remain in the
employ of the Corporation until the applicable date of vesting, the vesting schedule for your Options is as follows: 
 First Vesting Date:
January 28, 2009 – One-Third 
 Second Vesting Date: January 28, 2010 – One-Third 
 Third Vesting Date: January 28, 2011 – One-Third 
 If the number of Options granted cannot be evenly divided by three into whole shares, the fractional shares will vest on the Third Vesting Date. If you leave the employ of the Corporation before the date on which an
Option vests, that Option is forfeited. 
 Vested Options, except as otherwise provided in this letter, or in the Plan, or as may be
restricted by law, may be exercised for a period ending on January 26, 2018. Options not exercised by that date will be forfeited. 
 You should make every effort to keep the Vice President of Compensation and Benefits’ office informed of your current address so that we may communicate with you about your options and their current status. The Corporation cannot
exercise the options for you, and so you must pay close attention to their terms and any impending expiration. 
 SPECIAL RULES AS TO VESTING

 Retirement - If you retire before the First Vesting Date, you will forfeit all of the Options in accordance with
the general rule set forth above. If you retire on or after the First Vesting Date, you will vest in the remaining Options on the Second Vesting Date and the Third Vesting Date as though you had remained in the employ of the Corporation through
those dates. For the purposes of this provision, the term “retirement” means retirement from service under the terms of the Corporation’s pension plan in which you are a participant or following attainment of age 55 and five years of
service if you do not participate in one of the Corporation’s defined benefit pension plans. 
 Death or Disability
-Your Options will immediately vest and no longer be subject to the continuing employment requirement if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 Grant Date: January 28, 2008 
 Page 3 
  

 SPECIAL RULES AS TO EXPIRATION AND FORFEITURE 
 Death or Disability - Options will expire at the end of their remaining term on January 26, 2018. 
 Resignation, Lay-Off or Termination for Cause - If you resign or otherwise terminate, whether voluntarily or by action of the Corporation and in
the latter case whether with or without “cause,” unvested Options will be forfeited upon your termination. Vested Options will expire at the end of their remaining term or 30 calendar days following your resignation or termination,
whichever is shorter. If you are laid off, your options will be unaffected, and will vest and be exercisable until the end of their remaining term, in accordance with the terms of the Plan. 
 Divestiture - If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such
divestiture results in the termination of your employment with the Corporation or its subsidiaries and transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Following a divestiture, you
will continue to vest in your unvested options as though you had remained in the employ of the Corporation. Your vested options will be exercisable until the first to occur of (i) the fifth anniversary of the effective date of the divestiture;
or (ii) the original expiration date (“Divestiture Expiration Date”). If you die following divestiture but prior to the Divestiture Expiration Date, all unvested options will immediately vest as of the date of death and be exercisable
by your beneficiary until the Divestiture Expiration Date. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person,
corporation, association, partnership, joint venture or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations) is owned or controlled directly or indirectly, by
the Corporation, one or more of the Corporation’s subsidiaries or by a combination thereof. 
 LIMITATIONS ON EXERCISE 
 Notwithstanding any other provision herein, no Option may be exercised less than six months nor more than ten years after the date of grant. Further, from
time to time, your ability to exercise Options which otherwise would be exercisable may be restricted, if in the opinion of counsel for the Corporation, this is necessary or advisable in order to ensure compliance with applicable Federal or state
law, rules or regulations. 

 Grant Date: January 28, 2008 
 Page 4 
  

 ASSIGNMENT/TRANSFERABILITY/BENEFICIARIES 
 Options may not be pledged, assigned or transferred except that Options may be transferred by will or by the laws of descent and distribution or you may
provide that, upon your death, the Options are to be transferred to a beneficiary or beneficiaries that you designate. To designate a beneficiary or beneficiaries, please complete the Beneficiary Designation located at
http://www.etrade.com/stockplans and return an originally executed copy to the Vice President of Compensation and Benefits’ office (Mail Point 123). 
 During your lifetime, only you may exercise your Options. In the event of your death or disability, your Options may be exercised by a qualified
representative of your estate, a properly designated beneficiary or beneficiaries or your guardian or authorized representative, as applicable. 
 TAX
WITHHOLDING 
 When you exercise an Option, the Corporation will withhold applicable taxes as required by law. The Committee presently
allows you to pay the withholding tax in cash, by tendering Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment. The Committee retains the discretion to, at any time, limit the method of payment
to cash. Unlike payment of the exercise price of the Options, if you elect to pay withholding taxes with Stock, you need not have owned the shares tendered for at least six months. Payment must be made at the time of exercise. To the extent that
cash is not tendered, the Corporation will retain from the shares of Stock that you would otherwise receive upon exercise of the Option that number of shares sufficient to satisfy the withholding obligation. If Stock is tendered or is deemed to have
been tendered, it will be valued at its Fair Market Value. 
 Withholding will be at the minimum rate prescribed by law. Therefore, you may
owe taxes relating to the exercise in addition to the amount withheld by the Corporation. If you desire, you may request that tax be withheld at greater than the minimum rate. 
 Special Note for Section 16 Insiders - The Corporation’s Section 16 Insiders have been informed of this fact by the Board of
Directors. If you are a Section 16 Insider, your ability to satisfy your withholding obligations through the tender of Stock may be limited by the Federal securities laws. In these situations, having such treatment deemed to occur may have
adverse consequences. The Corporation recommends that you consult with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any transactions involving your Options or Stock. 
 CHANGE IN CONTROL 
 In the event of a change in
control of the Corporation, as defined in Section 7 of the Plan, the vesting date of all outstanding options shall be accelerated so as to cause all outstanding options to become exercisable. 

 Grant Date: January 28, 2008 
 Page 5 
  

 AMENDMENT AND TERMINATION OF THE PLAN OR AWARDS 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall affect this Award Agreement or the award made hereunder in any manner adverse to you without your written consent. 

ACCEPTANCE OF AWARD 
 No award is enforceable until
you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as soon as possible. Acceptance of this Award
Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. You must acknowledge
your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows: 
  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acceptance of this Award Agreement as described, this award will be effective as of the date of grant. If you
do not acknowledge acceptance of your award, it will not be effective and you will not be able to exercise the options. 
 POST-EMPLOYMENT COVENANTS 

 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in
Exhibit A to this Agreement. 
 MISCELLANEOUS 
 For the purpose of calculating the expiration date of the Options, all Options will be deemed to expire on January 26, 2018 at the close of trading in Lockheed Martin Corporation common stock on the New York Stock Exchange (or, if the
security is not so listed or if the principal market on which it is traded is not the New York Stock Exchange, such other reporting system as shall be selected by the Committee). If you are on leave of absence, for the purposes of the Plan, you will
be considered to still be in the employ of the Corporation unless otherwise provided in an agreement between you and the Corporation. 

 Grant Date: January 28, 2008 
 Page 6 
  

 Your participation in the Plan, anything contained in this Award Agreement, or the grant of Options
does not confer upon you any right of continued employment or limit in any way the right of the Corporation to terminate your employment at any time. 
 You have no rights as a stockholder to any securities covered by this Award Agreement until the date on which you become the holder of record of such securities. Capitalized terms used, but not defined herein, shall
have the meanings ascribed to them in the Plan. In the event of a conflict between this Award Agreement and the Plan, the Plan document will control. 
  

	
	Sincerely,
	
	  
	David Filomeo
	(On behalf of the Management Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Grant Date: January 28, 2008 
 Page 7 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (Stock Option Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with a Grant Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of stock options to me under the Award Agreement (the “Options”) pursuant to the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (the “Plan”). By accepting the Options, I agree as follows: 
 1. Protective Covenants

 (a) Protection of Proprietary Information, including Trade Secrets and Confidential Information – Except to the
extent required by law, following my Termination Date, and in conformance with the provisions of the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.) and the California Unfair Competition Law (Cal. Business and
Professional Code § 17220 et seq.), I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the
“Confidential or Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in
accordance with the terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity, for the purpose or effect of competing unfairly with the Corporation, of Confidential or Proprietary
Information of the Corporation or others to which I had access or that I was responsible for creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for
documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation
and will cooperate with any reasonable request by the Corporation for assistance in seeking to protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my
employment with the Corporation shall be and remain the property of the Corporation. For purposes of this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been
made available to me), including but not limited to information that a person or entity desires to protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over
its competitors, or which, if known or used by third parties or if used by the person’s or entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or
Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

 Grant Date: January 28, 2008 
 Page 8 
  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. Or 

  

	 	(iii)	any information protected by the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.). 

 (b) Non-Solicit - Without the express written consent of the Chief Executive
Officer of the Corporation, during the two-year period following the Termination Date, I will not induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation.
This provision does not prevent the hiring of such persons so long as they are not induced to be one employed in violation of this provision. 
 (c) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or reasonably may be interpreted to disparage the Corporation or its
stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 
 (d) Cooperation in Litigation and Investigations - Following the Termination Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including
alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the
Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any
governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge
and agree that the benefits and compensation opportunities being made available to me under the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my
employment by the Corporation and that the grant of the Options is expressly made contingent upon my agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are
necessary to be 

 Grant Date: January 28, 2008 
 Page 9 
  

 
effective and are fair and reasonable in light of the value of the benefits and compensation opportunities being made available to me under the Award
Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive knowledge of the Corporation’s Confidential or Proprietary Information,
employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	 For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have exercised any of the Options and continue to own the
shares of Common Stock of the Corporation issued or issuable upon exercise of the Options, the shares of Common Stock so acquired upon exercise; (ii) to the extent I have exercised any of the Options and no longer own the shares of Common Stock
of the Corporation issued or issuable upon exercise of the Options, cash in an amount equal to the 

 Grant Date: January 28, 2008 
 Page 10 
  

	 	 
fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development
and Compensation Committee of the Board of Directors of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not
exercised the Options fully, all of my remaining rights, title or interest in the Options. 

 4. Injunctive Relief.
I acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without
prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its
favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to
be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such
adjudication is made. 
 6. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the Options to me.

 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. Any
enforcement of, or challenge to, this Agreement may only be brought in the Circuit Court of Maryland or the United States District Court for the District of Maryland. Both parties consent to the proper jurisdiction and venue of the Circuit Court of
Maryland and the United States District Court for the District of Maryland for the purpose of enforcing or challenging this Agreement. 
 (c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not, by implication or otherwise,
affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate policies that may be adopted from
time to time or applicable law or regulation. 
 This PECA is effective as of the acceptance by me of the award of stock
options under the Award Agreement. 

 PECA RSU-California 
 Award Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Awardee: 
 The Management Development and Compensation Committee of the Board of Directors (“Committee”) has awarded you Restricted Stock Units (“RSUs”). Each RSU entitles you, upon satisfaction of the
continued employment and other requirements set forth in this letter and the Plan, to receive from Lockheed Martin Corporation (“Corporation”) (i) one (1) share of the Corporation’s common stock, par value $1.00 per share,
(“Stock”); and (ii) quarterly cash payments equivalent to any cash dividends paid to stockholders of the Corporation, each in accordance with the terms of this letter, the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (“Plan”), and any rules and procedures adopted by the Committee. 
 This letter constitutes the
Award Agreement for your RSUs and sets forth some of the terms and conditions of your Award under the Plan, as determined by the Committee. Additional terms and conditions are described in the Plan and in the Prospectus relating to the Plan of which
the Plan and this Award Agreement are a part. In the event of a conflict between this letter and the Plan, the Plan document will control. The Prospectus is available at http://www.etrade.com/stockplans. 
 Capitalized terms not defined in this Agreement will have the meaning ascribed to them in the Plan. The term Restricted Stock Unit or RSU as used in this
Award Agreement refers only to the Restricted Stock Units awarded to you under this Award Agreement. 
 CONSIDERATION FOR AWARD 
 The consideration for the Restricted Stock Units is your continued service to the Corporation as an employee during the Restricted Period set forth below.
If you do not continue to perform services for the Corporation as an employee during the entire Restricted Period, your Award will be forfeited in whole or in part. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office as instructed below as soon as possible. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. Assuming prompt and proper acknowledgment of this Award
Agreement as described, this Award will be effective as of the Award Date. Acceptance 

 Award Date: January 28, 2008 
 Page 2 
  

 
of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. Please note that
by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in Exhibit A attached to this Agreement. 
 For your acceptance to be effective and for the Award to be enforceable, you must return your acknowledgment (either in written form or by electronic
receipt). If your acknowledgement is not received, your Award will not be effective. 
 RIGHTS OF OWNERSHIP/RESTRICTIONS ON TRANSFER 
 During the Restricted Period, your RSUs will be subject to forfeiture. Until the Restricted Period ends with respect to a particular RSU and a share of
Stock is delivered to you, you generally will not have the rights and privileges of a stockholder. In particular, you will not have the right to vote your RSUs on any matter put to the stockholders of the Corporation and you may not sell, transfer,
assign, pledge, use as collateral or otherwise dispose of or encumber RSUs. You will, however, have the right to receive a cash payment for each RSU equivalent to the cash dividend paid to stockholders on a share of Stock at the time the
corresponding dividend is paid to stockholders and this right continues until the expiration of the Restricted Period and until the date that Stock is deliverable to you. 
 Upon expiration or termination of the Restricted Period with respect to your RSUs, and subject to the forfeiture provisions set forth below, each RSU for which the restrictions have lapsed will be exchanged for a
certificate (either in paper or book entry form) evidencing one (1) share of Stock issued in your name (or other name(s) designated by you). Your shares will be delivered to you as soon as practicable upon the expiration or termination of the
Restricted Period. In the event Code section 409A (a) (2) (B) (i) applies because you are a key employee receiving a distribution on account of a termination of employment, delivery of stock may be delayed for six months from
such date; similarly, if you are an Insider subject to the reporting provisions of Section 16(a) of the Securities Exchange Act of 1934, delivery of Stock following the expiration of the Restricted Period for any reason may be delayed for six
months. The certificates delivered to you may contain any legend the Corporation determines is appropriate under the securities laws. At the time the Restricted Period for your RSUs terminates, the Corporation is required to collect from you the
appropriate amount of Federal, state and local taxes. The Corporation may be required to collect FICA taxes from you prior to the termination of the Restricted Period if you become eligible for retirement prior to the termination of that period. In
this regard, please see “Timing of Taxation and Withholding” below. 
 After the Stock is delivered to you, you (or your
designee(s)) will enjoy all of the rights and privileges associated with ownership of the shares, including the right to vote on any matter put to stockholder vote, to receive dividends, and to encumber, sell or otherwise transfer the shares. You
should note, however, that, while the shares would thus be free of the restrictions imposed during the Restricted Period, your ability to sell the shares may be limited under the Federal securities laws. 

 Award Date: January 28, 2008 
 Page 3 
  

 You have the right to designate a beneficiary (or beneficiaries) to receive your shares in exchange
for your RSUs in the event of your death during the Restricted Period by completing a beneficiary designation form available at http://www.etrade.com/stockplans and returning it to the Vice President of Compensation and Benefits’ office
at the address below. 
 If, at your death, a completed beneficiary designation form is not on file at the Vice President of Compensation and
Benefits’ office (or if your designated beneficiary predeceases you), the Stock in respect of your RSUs will be transferred to the personal representative of your estate. 
 RESTRICTED PERIOD, FORFEITURE 
 The vesting of the RSUs awarded under this Award Agreement is subject
to satisfaction of a performance goal as well as your continued employment with the Corporation from the Award Date until January 28, 2011 (the “Restricted Period”). If either of these requirements is not satisfied, you may forfeit
all or part of your RSUs. Upon forfeiture, you will no longer have the right to receive Stock for forfeited RSUs or to receive cash payments as dividend equivalents. 
 1. Performance Goal 
 At its first meeting after the Corporation finalizes the financial
results for the year ending December 31, 2008, the Committee will multiply the number of RSUs awarded to you under this Award Agreement by the Fair Market Value of Stock on the Award Date ($106.87) (“RSU Award Value”). The Committee
will then compare your RSU Award Value to the product of 0.04% and the Corporation’s Cash Flow for the year ending December 31, 2008 (with the product being referred to as the “RSU Performance Goal”). If your RSU Award Value
exceeds your RSU Performance Goal (with the amount of that excess referred to as the “Performance Shortfall”) then you will forfeit the number of whole RSUs that are equal to the Performance Shortfall divided by the Fair Market Value of
Stock on the Award Date ($106.87). 
 For purposes of this Award Agreement, Cash Flow for any period means net cash flow from operations but
not taking into account: (i) the aggregate difference between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the period
and the actual amounts contributed by the Corporation during the period; and (ii) any tax payments or tax benefits during the period associated with the divestiture of business units. Cash Flow shall be determined by the Committee based upon
the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Subcommittee shall determine Cash
Flow in a manner consistent with the historical practices used by the Corporation in determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph.

 Award Date: January 28, 2008 
 Page 4 
  

 2. Employment Requirement 
 Regardless of the satisfaction of the RSU Performance Goal, all of your RSUs will be forfeited and all of your rights to the RSUs and to receive Stock for
your RSUs will cease without further obligation on the part of the Corporation unless you continue to provide services to the Corporation as an Employee of the Corporation until the expiration or termination of the Restricted Period, which will
occur on January 28, 2011, subject only to the specific exceptions provided below. 
 DEATH, DISABILITY, LAYOFF 
 1. Death and Disability 
 Your
RSUs will immediately vest and no longer be subject to the continuing employment requirement or the potential forfeiture to the extent of a Performance Shortfall if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the Corporation’s long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following the date of your termination of employment on account of death or disability, but
in no event later than the March 15 next following the year in which such termination occurs. 
 2. Lay Off 
 If you are laid off prior to January 28, 2009, you will forfeit all of your RSUs in accordance with the general rule requiring continued employment
during the Restricted Period. If you are laid off on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such date; however, you will
not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in your RSUs as follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your layoff is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your layoff is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 Award Date: January 28, 2008 
 Page 5 
  

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following your layoff, but in no event
later than the March 15 next following the year in which you are laid off. You will forfeit your remaining RSUs on the date you are laid off. 
 RETIREMENT 
 If your retirement is effective before January 28, 2009, you will forfeit all of your RSUs in accordance
with the general rule set forth above. If you retire with an effective date on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such
date; however, you will not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in a portion of your RSUs as
follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your retirement is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your retirement is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following
your retirement, but in no event later than the March 15 next following the year in which you retire. You will forfeit the remaining RSUs on the date of your termination of employment. For purposes of this provision, the term
“retirement” means retirement from service under the terms of the Corporation’s defined benefit pension plan in which you are a participant or following attainment of age 55 and five years of service if you do not participate in one
of the Corporation’s defined benefit pension plans. 
 RESIGNATION OR TERMINATION WITH OR WITHOUT CAUSE 
 If you resign or your employment otherwise terminates before January 28, 2011, other than on account of death, disability, layoff, or retirement, (or
Divestiture or Change in Control as described below) whether voluntarily or by action of the Corporation and in the latter case whether with or without “cause,” you will forfeit your RSUs on the date of your termination. 
 DIVESTITURE 
 If the Corporation divests (as defined
below) all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation or its subsidiaries and the transfer of such employment to the other party to the
divestiture, the special rules in this paragraph will apply. Your RSUs will vest immediately and 

 Award Date: January 28, 2008 
 Page 6 
  

 
you will receive shares of Stock in exchange for RSUs as soon as practicable following your termination of employment with the Corporation, but in no event
later than the March 15 next following the year in which your employment terminates. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business
operation divested to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than
corporations), is owned or controlled directly or indirectly by the Corporation, by one or more of the Corporation’s subsidiaries or by a combination thereof. 
 CHANGE IN CONTROL 
 In the event your employment is terminated by the Corporation (or its successor) following a Change in
Control, your RSUs will vest and the Restricted Period shall terminate on the date of your termination following the Change in Control. You will vest in your entire Award under this Agreement and without regard to any forfeiture that might otherwise
occur because of a Performance Shortfall. 
 CHANGES IN CAPITALIZATION 
 In the event of a stock split, stock dividend or other similar action resulting in additional shares of Stock being issued to existing stockholders during the Restricted Period or in the event of a reverse stock split
resulting in a contraction in the number of shares outstanding during the Restricted Period, the number of your RSUs will be adjusted in the same manner as if you held actual shares of Stock. 
 TIMING OF TAXATION AND WITHHOLDING 
 Upon the
expiration or termination of the Restricted Period, the Fair Market Value of the Stock deliverable to you in respect of the RSUs will be taxable to you as compensation income, based on the Fair Market Value of Stock on the day the Stock is
deliverable to you, and withholding of Federal, state, and local taxes will apply at the minimum rate prescribed by law. FICA tax withholding also will apply except to the extent FICA taxes have already been collected in the case of
retirement-eligible employees as described below. (If Code section 409A (a) (2) (B) (i) applies because you are a key employee receiving Stock on account of a termination of employment or if you are an Insider, your Stock may not
be deliverable to you for six months following such date of termination and, accordingly, the Fair Market Value of the Stock on that date shall be used for purposes of determining your compensation income.) 
 Your tax basis in shares of Stock delivered to you in respect of the RSUs will be equal to the Fair Market Value of such shares on the day the Stock is
deliverable to you. Your holding period for purposes of determining long-term capital gain or loss treatment on any subsequent sale of such Stock will begin on that day. 

 Award Date: January 28, 2008 
 Page 7 
  

 You will be deemed to have elected to pay any withholding tax on Stock deliverable to you by means of
the Corporation’s reducing the number of RSUs and shares of Stock deliverable to you in respect of vested RSUs, based upon the minimum rate of withholding prescribed by law. 
 Any cash paid to you as dividend equivalents with respect to RSUs during the Restricted Period will be taxable to you as compensation income and subject
to withholding of Federal, state and local income taxes, and FICA taxes. 
 In the event you are or become eligible for retirement during the
Restricted Period, a portion of your Award will become subject to FICA taxes prior to the termination of the Restricted Period, and FICA taxes will be withheld with respect to the number of RSUs on which the Restricted Period would terminate if you
were to retire. FICA taxes will be computed based upon the Fair Market Value of the Stock on the date of withholding. For example, if you are eligible to retire during the Restricted Period, then you would become subject to FICA taxes on the later
of the first anniversary of the Award Date or the date that you become retirement eligible, and FICA taxes would be withheld even though Stock would not be deliverable to you until the close of the Restricted Period. The Corporation will withhold
such FICA tax from your regular wages or MICP payment. The Corporation may collect the FICA withholding from you either shortly before or after the date it is due and in the case of Insiders may require delivery of a check to satisfy any shortfall
in the withholding. 
 Since we will withhold at the minimum rate prescribed by law for these awards, you may owe additional taxes as a
result of the termination or expiration of the Restricted Period. 
 AMENDMENT AND TERMINATION OF PLAN OR AWARDS 
 As provided in Section 9 of the Plan, subject to certain limitations contained within Section 9, the Board of Directors may at any time amend,
suspend or discontinue the Plan and the Committee may at any time alter or amend all Award Agreements under the Plan. Notwithstanding Section 9 of the Plan, no such amendment, suspension or discontinuance of the Plan or alteration or amendment
of Award Agreements will, except with your express written consent, adversely affect your rights under this Award Agreement. This Award Agreement shall not be amended or interpreted in a manner that is reasonably believed to result in the imposition
of tax under Code section 409A. 
 ACCEPTANCE OF AWARD 
 No Award is enforceable until you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and
Benefits’ office as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. The Committee has authorized electronic means for the
delivery and acceptance of this Award Agreement. If you desire to accept this Award, you must acknowledge your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows:

  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

 Award Date: January 28, 2008 
 Page 8 
  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Stop 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acknowledgment of this Award Agreement as described, this Award will be effective as of the date of grant.

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this RSU Award from this internet site
(http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
 POST-EMPLOYMENT COVENANTS 
 By accepting this Agreement through the procedure described above, you
agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 MISCELLANEOUS 
 Nothing contained in this Award Agreement shall confer upon you any right of continued employment by the Corporation or guarantee that any future awards
will be made to you under the Plan. In addition, nothing in this Award Agreement limits in any way the right of the Corporation to terminate your employment at any time. The value of the RSUs awarded to you will not be taken into account for other
benefits offered by the Corporation, including but not limited to pension benefits. Notwithstanding any other provision of the Award Agreement to the contrary, no Stock will be issued to you within six months from the Award Date. 
 The Corporation recommends that Insiders consult with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any
transactions involving Stock even after the expiration or termination of the Restricted Period. 

 Award Date: January 28, 2008 
 Page 9 
  

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
RSU Award from this internet site (http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
  

					
		 		 	Sincerely,
			
		 		 	  
		 		 	 David Filomeo
 (On behalf of the Management
Development and
 Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Award Date: January 28, 2008 
 Page 10 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (RSU Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of restricted stock units to me under the Award Agreement (the “RSUs”) pursuant to the Lockheed Martin Corporation Amended and Restated
2003 Incentive Performance Award Plan (the “Plan”). By accepting the RSUs, I agree as follows: 
 1. Protective Covenants

 (a) Protection of Proprietary Information, including Trade Secrets and Confidential Information – Except to the
extent required by law, following my Termination Date, and in conformance with the provisions of the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.) and the California Unfair Competition Law (Cal. Business and
Professional Code § 17220 et seq.), I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the
“Confidential or Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in
accordance with the terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity, for the purpose or effect of competing unfairly with the Corporation, of Confidential or Proprietary
Information of the Corporation or others to which I had access or that I was responsible for creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for
documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation
and will cooperate with any reasonable request by the Corporation for assistance in seeking to protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my
employment with the Corporation shall be and remain the property of the Corporation. For purposes of this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been
made available to me), including but not limited to information that a person or entity desires to protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over
its competitors, or which, if known or used by third parties or if used by the person’s or entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or
Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

 Award Date: January 28, 2008 
 Page 11 
  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes, or 

  

	 	(iii)	any information protected by the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.). 

 (b) Non-Solicit - Without the express written consent of the Chief Executive
Officer of the Corporation, during the two-year period following the Termination Date, I will not induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation.
This provision does not prevent the hiring of such persons so long as they are not induced to be one employed in violation of this provision. 
 (c) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or reasonably may be interpreted to disparage the Corporation or its
stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 
 (d) Cooperation in Litigation and Investigations - Following the Termination Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including
alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the
Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any
governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge
and agree that the benefits and compensation opportunities being made available to me under the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my
employment by the Corporation and that the grant of the RSUs is expressly made contingent upon my agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary
to be effective and are fair and reasonable in light of the value of the benefits and compensation opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and
management positions I hold with the Corporation and the access to and extensive knowledge of the Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the
protection of the Corporation’s legitimate business interests. 

 Award Date: January 28, 2008 
 Page 12 
  

 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment.

 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and
Proceeds” (as defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

 (b) The remedy provided in Section 3(a) shall not be the exclusive remedy
available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the Corporation from seeking damages or injunctive relief. 
 (c) For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the RSUs and
continue to own the shares of Common Stock of the Corporation issued or issuable in respect of the RSUs, the shares of Common Stock so acquired; (ii) to the extent I have earned any of the RSUs and no longer own the shares of Common Stock of
the Corporation issued or issuable in respect of the RSUs, cash in an amount equal to the fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development and
Compensation Committee of the Board of Directors of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not earned
the RSUs fully, all of my remaining rights, title or interest in the RSUs. 

 Award Date: January 28, 2008 
 Page 13 
  

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be
inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available
to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its favor and to specific performance without proof of actual damages
and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and
intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to
delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the RSUs to me. 
 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. Any enforcement of, or challenge to, this Agreement may only be brought in the Circuit Court of Maryland or
the United States District Court for the District of Maryland. Both parties consent to the proper jurisdiction and venue of the Circuit Court of Maryland and the United States District Court for the District of Maryland for the purpose of enforcing
or challenging this Agreement. 
 (c) This PECA shall inure to the benefit of the Corporation’s successors and assigns
and may be assigned by the Corporation without my consent. 
 (d) This PECA provides for certain obligations on my part
following the Termination Date and shall not, by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and
me, the provisions of applicable Corporate policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the acceptance by me of the award of RSUs under the Award Agreement. 

 PECA Stock Option-California 
 Grant Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 

 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Optionee: 
 The Management Development and Compensation Committee (the “Committee”) of Lockheed Martin Corporation’s Board of Directors has awarded to
you options to purchase shares of Lockheed Martin Common Stock (“Stock”) under the Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). 
 This letter is your Award Agreement and sets forth some of the terms and conditions of your award. Additional terms and conditions are contained in the
Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. By accepting this Award Agreement electronically, you consent to electronic delivery of the Prospectus applicable to these Options. You
should retain the Prospectus in your records. 
 The term “Options” as used in this Award Agreement refers only to the nonqualified
stock options awarded to you under this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office as instructed below as soon as possible. Please note that by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in
Exhibit A attached to this Agreement. 
 EXERCISE PRICE 
 The exercise price of the Options granted hereunder is $106.87 per Option. Under certain circumstances set forth in the Plan and this Award Agreement, this exercise price may be subject to adjustment. 
 The Committee presently allows the exercise price of an Option to be paid in cash, by the tender of Stock or through a combination of Stock and cash. No
fractional shares of Stock may be tendered in payment, nor will fractional shares be issued. The Committee retains the discretion to, at any time, limit the method of payment to cash. If you elect to pay with Stock, you must have owned the shares
tendered for at least six months. If Stock is tendered, it will be valued at its Fair Market Value on the date of tender. 

 Grant Date: January 28, 2008 
 Page 2 
  

 VESTING/EXPIRATION/FORFEITURE 
 General Rule - An Option may not be exercised until it has vested, nor may an Option be exercised after its expiration or forfeiture. Subject to certain special rules discussed below, if you remain in the employ of
the Corporation until the applicable date of vesting, the vesting schedule for your Options is as follows: 
 First Vesting Date:
January 28, 2009 – One-Third 
 Second Vesting Date: January 28, 2010 – One-Third 
 Third Vesting Date: January 28, 2011 – One-Third 
 If the number of Options granted cannot be evenly divided by three into whole shares, the fractional shares will vest on the Third Vesting Date. If you leave the employ of the Corporation before the date on which an
Option vests, that Option is forfeited. 
 Vested Options, except as otherwise provided in this letter, or in the Plan, or as may be
restricted by law, may be exercised for a period ending on January 26, 2018. Options not exercised by that date will be forfeited. 
 You should make every effort to keep the Vice President of Compensation and Benefits’ office informed of your current address so that we may communicate with you about your options and their current status. The Corporation cannot
exercise the options for you, and so you must pay close attention to their terms and any impending expiration. 
 SPECIAL RULES AS TO VESTING

 Retirement - If you retire before the First Vesting Date, you will forfeit all of the Options in accordance with the general
rule set forth above. If you retire on or after the First Vesting Date, you will vest in the remaining Options on the Second Vesting Date and the Third Vesting Date as though you had remained in the employ of the Corporation through those dates. For
the purposes of this provision, the term “retirement” means retirement from service under the terms of the Corporation’s pension plan in which you are a participant or following attainment of age 55 and five years of service if you do
not participate in one of the Corporation’s defined benefit pension plans. 
 Death or Disability - Your Options will immediately
vest and no longer be subject to the continuing employment requirement if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 Grant Date: January 28, 2008 
 Page 3 
  

 SPECIAL RULES AS TO EXPIRATION AND FORFEITURE 
 Death or Disability - Options will expire at the end of their remaining term on January 26, 2018. 
 Resignation, Lay-Off or Termination for Cause - If you resign or otherwise terminate, whether voluntarily or by action of the Corporation and in
the latter case whether with or without “cause,” unvested Options will be forfeited upon your termination. Vested Options will expire at the end of their remaining term or 30 calendar days following your resignation or termination,
whichever is shorter. If you are laid off, your options will be unaffected, and will vest and be exercisable until the end of their remaining term, in accordance with the terms of the Plan. 
 Divestiture - If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such
divestiture results in the termination of your employment with the Corporation or its subsidiaries and transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Following a divestiture, you
will continue to vest in your unvested options as though you had remained in the employ of the Corporation. Your vested options will be exercisable until the first to occur of (i) the fifth anniversary of the effective date of the divestiture;
or (ii) the original expiration date (“Divestiture Expiration Date”). If you die following divestiture but prior to the Divestiture Expiration Date, all unvested options will immediately vest as of the date of death and be exercisable
by your beneficiary until the Divestiture Expiration Date. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person,
corporation, association, partnership, joint venture or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations) is owned or controlled directly or indirectly, by
the Corporation, one or more of the Corporation’s subsidiaries or by a combination thereof. 
 LIMITATIONS ON EXERCISE 
 Notwithstanding any other provision herein, no Option may be exercised less than six months nor more than ten years after the date of grant. Further, from
time to time, your ability to exercise Options which otherwise would be exercisable may be restricted, if in the opinion of counsel for the Corporation, this is necessary or advisable in order to ensure compliance with applicable Federal or state
law, rules or regulations. 

 Grant Date: January 28, 2008 
 Page 4 
  

 ASSIGNMENT/TRANSFERABILITY/BENEFICIARIES 
 Options may not be pledged, assigned or transferred except that Options may be transferred by will or by the laws of descent and distribution or you may
provide that, upon your death, the Options are to be transferred to a beneficiary or beneficiaries that you designate. To designate a beneficiary or beneficiaries, please complete the Beneficiary Designation located at
http://www.etrade.com/stockplans and return an originally executed copy to the Vice President of Compensation and Benefits’ office (Mail Point 123). 
 During your lifetime, only you may exercise your Options. In the event of your death or disability, your Options may be exercised by a qualified representative of your estate, a properly designated beneficiary or
beneficiaries or your guardian or authorized representative, as applicable. 
 TAX WITHHOLDING 
 When you exercise an Option, the Corporation will withhold applicable taxes as required by law. The Committee presently allows you to pay the withholding
tax in cash, by tendering Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment. The Committee retains the discretion to, at any time, limit the method of payment to cash. Unlike payment of the
exercise price of the Options, if you elect to pay withholding taxes with Stock, you need not have owned the shares tendered for at least six months. Payment must be made at the time of exercise. To the extent that cash is not tendered, the
Corporation will retain from the shares of Stock that you would otherwise receive upon exercise of the Option that number of shares sufficient to satisfy the withholding obligation. If Stock is tendered or is deemed to have been tendered, it will be
valued at its Fair Market Value. 
 Withholding will be at the minimum rate prescribed by law. Therefore, you may owe taxes relating to the
exercise in addition to the amount withheld by the Corporation. If you desire, you may request that tax be withheld at greater than the minimum rate. 
 Special Note for Section 16 Insiders - The Corporation’s Section 16 Insiders have been informed of this fact by the Board of Directors. If you are a Section 16 Insider, your ability to
satisfy your withholding obligations through the tender of Stock may be limited by the Federal securities laws. In these situations, having such treatment deemed to occur may have adverse consequences. The Corporation recommends that you consult
with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any transactions involving your Options or Stock. 
 CHANGE IN CONTROL 
 In the event of a change in control of the Corporation, as defined in Section 7 of the Plan, the
vesting date of all outstanding options shall be accelerated so as to cause all outstanding options to become exercisable. 

 Grant Date: January 28, 2008 
 Page 5 
  

 AMENDMENT AND TERMINATION OF THE PLAN OR AWARDS 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall affect this Award Agreement or the award made hereunder in any manner adverse to you without your written consent. 

ACCEPTANCE OF AWARD 
 No award is enforceable until
you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as soon as possible. Acceptance of this Award
Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. You must acknowledge
your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows: 
  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acceptance of this Award Agreement as described, this award will be effective as of the date of grant. If you
do not acknowledge acceptance of your award, it will not be effective and you will not be able to exercise the options. 
 POST-EMPLOYMENT COVENANTS 

 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in
Exhibit A to this Agreement. 
 MISCELLANEOUS 
 For the purpose of calculating the expiration date of the Options, all Options will be deemed to expire on January 26, 2018 at the close of trading in Lockheed Martin Corporation common stock on the New York Stock Exchange (or, if the
security is not so listed or if the principal market on which it is traded is not the New York Stock Exchange, such other reporting system as shall be selected by the Committee). If you are on leave of absence, for the purposes of the Plan, you will
be considered to still be in the employ of the Corporation unless otherwise provided in an agreement between you and the Corporation. 

 Grant Date: January 28, 2008 
 Page 6 
  

 Your participation in the Plan, anything contained in this Award Agreement, or the grant of Options
does not confer upon you any right of continued employment or limit in any way the right of the Corporation to terminate your employment at any time. 
 You have no rights as a stockholder to any securities covered by this Award Agreement until the date on which you become the holder of record of such securities. Capitalized terms used, but not defined herein, shall
have the meanings ascribed to them in the Plan. In the event of a conflict between this Award Agreement and the Plan, the Plan document will control. 
  

	
	Sincerely,
	
	  
	David Filomeo
	(On behalf of the Management Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Grant Date: January 28, 2008 
 Page 7 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (Stock Option Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with a Grant Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of stock options to me under the Award Agreement (the “Options”) pursuant to the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (the “Plan”). By accepting the Options, I agree as follows: 
 1. Protective Covenants

 (a) Protection of Proprietary Information, including Trade Secrets and Confidential Information - Except to the
extent required by law, following my Termination Date, and in conformance with the provisions of the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.) and the California Unfair Competition Law (Cal. Business and
Professional Code § 17220 et seq.), I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the
“Confidential or Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in
accordance with the terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity, for the purpose or effect of competing unfairly with the Corporation, of Confidential or Proprietary
Information of the Corporation or others to which I had access or that I was responsible for creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for
documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation
and will cooperate with any reasonable request by the Corporation for assistance in seeking to protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my
employment with the Corporation shall be and remain the property of the Corporation. For purposes of this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been
made available to me), including but not limited to information that a person or entity desires to protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over
its competitors, or which, if known or used by third parties or if used by the person’s or entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or
Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

 Grant Date: January 28, 2008 
 Page 8 
  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. Or 

  

	 	(iii)	any information protected by the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.). 

 (b) Non-Solicit - Without the express written consent of the Senior Vice
President, Human Resources of the Corporation, during the one-year period following the Termination Date, I will not induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than
the Corporation. This provision does not prevent the hiring of such persons so long as they are not induced to be one employed in violation of this provision. 
 (c) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or
reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 
 (d) Cooperation in Litigation and Investigations - Following the Termination Date, I will, to the extent reasonably requested,
cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or affiliates is a party or is required or requested to
provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or investigation. Notwithstanding any other provision of this PECA,
nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under the Award Agreement are in addition to the benefits and compensation opportunities that
otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the Options is expressly made contingent upon my agreements with the Corporation set forth in this PECA. I 

 Grant Date: January 28, 2008 
 Page 9 
  

 
acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value
of the benefits and compensation opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to
and extensive knowledge of the Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests.

 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as
defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	 For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have exercised any of the Options and continue to own the
shares of Common Stock of the Corporation issued or issuable upon exercise of the Options, the shares of Common Stock so acquired upon exercise; (ii) to the extent I have exercised any of the Options and no longer own the shares of Common Stock
of the Corporation issued or 

 Grant Date: January 28, 2008 
 Page 10 
  

	 	 
issuable upon exercise of the Options, cash in an amount equal to the fair market value of such shares on the date of the event set forth in
Section 3(a) (which, unless otherwise determined by the Management Development and Compensation Committee of the Board of Directors of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the
New York Stock Exchange on such date), and (iii) to the extent I have not exercised the Options fully, all of my remaining rights, title or interest in the Options. 

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or
threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not
limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or
similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA
shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or
unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the
entire agreement governing the terms of the award of the Options to me. 
 (b) This PECA shall be governed by Maryland law,
without regard to its provisions governing conflicts of law. Any enforcement of, or challenge to, this Agreement may only be brought in the Circuit Court of Maryland or the United States District Court for the District of Maryland. Both parties
consent to the proper jurisdiction and venue of the Circuit Court of Maryland and the United States District Court for the District of Maryland for the purpose of enforcing or challenging this Agreement. 
 (c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation without
my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not, by
implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate policies
that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the acceptance by me
of the award of stock options under the Award Agreement. 

 PECA RSU-California 
 Award Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Awardee: 
 The Management Development and Compensation Committee of the Board of Directors (“Committee”) has awarded you Restricted Stock Units (“RSUs”). Each RSU entitles you, upon satisfaction of the
continued employment and other requirements set forth in this letter and the Plan, to receive from Lockheed Martin Corporation (“Corporation”) (i) one (1) share of the Corporation’s common stock, par value $1.00 per share,
(“Stock”); and (ii) quarterly cash payments equivalent to any cash dividends paid to stockholders of the Corporation, each in accordance with the terms of this letter, the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (“Plan”), and any rules and procedures adopted by the Committee. 
 This letter constitutes the
Award Agreement for your RSUs and sets forth some of the terms and conditions of your Award under the Plan, as determined by the Committee. Additional terms and conditions are described in the Plan and in the Prospectus relating to the Plan of which
the Plan and this Award Agreement are a part. In the event of a conflict between this letter and the Plan, the Plan document will control. The Prospectus is available at http://www.etrade.com/stockplans. 
 Capitalized terms not defined in this Agreement will have the meaning ascribed to them in the Plan. The term Restricted Stock Unit or RSU as used in this
Award Agreement refers only to the Restricted Stock Units awarded to you under this Award Agreement. 
 CONSIDERATION FOR AWARD 
 The consideration for the Restricted Stock Units is your continued service to the Corporation as an employee during the Restricted Period set forth below.
If you do not continue to perform services for the Corporation as an employee during the entire Restricted Period, your Award will be forfeited in whole or in part. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office as instructed below as soon as possible. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. Assuming prompt and proper acknowledgment of this Award
Agreement as described, this Award will be effective as of the Award Date. Acceptance 

 Award Date: January 28, 2008 
 Page 2 
  

 
of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. Please note that
by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in Exhibit A attached to this Agreement. 
 For your acceptance to be effective and for the Award to be enforceable, you must return your acknowledgment (either in written form or by electronic
receipt). If your acknowledgement is not received, your Award will not be effective. 
 RIGHTS OF OWNERSHIP/RESTRICTIONS ON TRANSFER 
 During the Restricted Period, your RSUs will be subject to forfeiture. Until the Restricted Period ends with respect to a particular RSU and a share of
Stock is delivered to you, you generally will not have the rights and privileges of a stockholder. In particular, you will not have the right to vote your RSUs on any matter put to the stockholders of the Corporation and you may not sell, transfer,
assign, pledge, use as collateral or otherwise dispose of or encumber RSUs. You will, however, have the right to receive a cash payment for each RSU equivalent to the cash dividend paid to stockholders on a share of Stock at the time the
corresponding dividend is paid to stockholders and this right continues until the expiration of the Restricted Period and until the date that Stock is deliverable to you. 
 Upon expiration or termination of the Restricted Period with respect to your RSUs, and subject to the forfeiture provisions set forth below, each RSU for which the restrictions have lapsed will be exchanged for a
certificate (either in paper or book entry form) evidencing one (1) share of Stock issued in your name (or other name(s) designated by you). Your shares will be delivered to you as soon as practicable upon the expiration or termination of the
Restricted Period. In the event Code section 409A (a) (2) (B) (i) applies because you are a key employee receiving a distribution on account of a termination of employment, delivery of stock may be delayed for six months from
such date; similarly, if you are an Insider subject to the reporting provisions of Section 16(a) of the Securities Exchange Act of 1934, delivery of Stock following the expiration of the Restricted Period for any reason may be delayed for six
months. The certificates delivered to you may contain any legend the Corporation determines is appropriate under the securities laws. At the time the Restricted Period for your RSUs terminates, the Corporation is required to collect from you the
appropriate amount of Federal, state and local taxes. The Corporation may be required to collect FICA taxes from you prior to the termination of the Restricted Period if you become eligible for retirement prior to the termination of that period. In
this regard, please see “Timing of Taxation and Withholding” below. 
 After the Stock is delivered to you, you (or your
designee(s)) will enjoy all of the rights and privileges associated with ownership of the shares, including the right to vote on any matter put to stockholder vote, to receive dividends, and to encumber, sell or otherwise transfer the shares. You
should note, however, that, while the shares would thus be free of the restrictions imposed during the Restricted Period, your ability to sell the shares may be limited under the Federal securities laws. 

 Award Date: January 28, 2008 
 Page 3 
  

 You have the right to designate a beneficiary (or beneficiaries) to receive your shares in exchange
for your RSUs in the event of your death during the Restricted Period by completing a beneficiary designation form available at http://www.etrade.com/stockplans and returning it to the Vice President of Compensation and Benefits’ office
at the address below. 
 If, at your death, a completed beneficiary designation form is not on file at the Vice President of Compensation and
Benefits’ office (or if your designated beneficiary predeceases you), the Stock in respect of your RSUs will be transferred to the personal representative of your estate. 
 RESTRICTED PERIOD, FORFEITURE 
 The vesting of the RSUs awarded under this Award Agreement is subject
to satisfaction of a performance goal as well as your continued employment with the Corporation from the Award Date until January 28, 2011 (the “Restricted Period”). If either of these requirements is not satisfied, you may forfeit
all or part of your RSUs. Upon forfeiture, you will no longer have the right to receive Stock for forfeited RSUs or to receive cash payments as dividend equivalents. 
 1. Performance Goal 
 At its first meeting after the Corporation finalizes the financial
results for the year ending December 31, 2008, the Committee will multiply the number of RSUs awarded to you under this Award Agreement by the Fair Market Value of Stock on the Award Date ($106.87) (“RSU Award Value”). The Committee
will then compare your RSU Award Value to the product of 0.04% and the Corporation’s Cash Flow for the year ending December 31, 2008 (with the product being referred to as the “RSU Performance Goal”). If your RSU Award Value
exceeds your RSU Performance Goal (with the amount of that excess referred to as the “Performance Shortfall”) then you will forfeit the number of whole RSUs that are equal to the Performance Shortfall divided by the Fair Market Value of
Stock on the Award Date ($106.87). 
 For purposes of this Award Agreement, Cash Flow for any period means net cash flow from operations but
not taking into account: (i) the aggregate difference between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the period
and the actual amounts contributed by the Corporation during the period; and (ii) any tax payments or tax benefits during the period associated with the divestiture of business units. Cash Flow shall be determined by the Committee based upon
the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Subcommittee shall determine Cash
Flow in a manner consistent with the historical practices used by the Corporation in determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph.

 Award Date: January 28, 2008 
 Page 4 
  

 2. Employment Requirement 
 Regardless of the satisfaction of the RSU Performance Goal, all of your RSUs will be forfeited and all of your rights to the RSUs and to receive Stock for
your RSUs will cease without further obligation on the part of the Corporation unless you continue to provide services to the Corporation as an Employee of the Corporation until the expiration or termination of the Restricted Period, which will
occur on January 28, 2011, subject only to the specific exceptions provided below. 
 DEATH, DISABILITY, LAYOFF 
 1. Death and Disability 
 Your
RSUs will immediately vest and no longer be subject to the continuing employment requirement or the potential forfeiture to the extent of a Performance Shortfall if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the Corporation’s long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following the date of your termination of employment on account of death or disability, but
in no event later than the March 15 next following the year in which such termination occurs. 
 2. Lay Off 
 If you are laid off prior to January 28, 2009, you will forfeit all of your RSUs in accordance with the general rule requiring continued employment
during the Restricted Period. If you are laid off on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such date; however, you will
not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in your RSUs as follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your layoff is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your layoff is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 Award Date: January 28, 2008 
 Page 5 
  

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following your layoff, but in no event
later than the March 15 next following the year in which you are laid off. You will forfeit your remaining RSUs on the date you are laid off. 
 RETIREMENT 
 If your retirement is effective before January 28, 2009, you will forfeit all of your RSUs in accordance
with the general rule set forth above. If you retire with an effective date on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such
date; however, you will not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in a portion of your RSUs as
follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your retirement is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your retirement is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following
your retirement, but in no event later than the March 15 next following the year in which you retire. You will forfeit the remaining RSUs on the date of your termination of employment. For purposes of this provision, the term
“retirement” means retirement from service under the terms of the Corporation’s defined benefit pension plan in which you are a participant or following attainment of age 55 and five years of service if you do not participate in one
of the Corporation’s defined benefit pension plans. 
 RESIGNATION OR TERMINATION WITH OR WITHOUT CAUSE 
 If you resign or your employment otherwise terminates before January 28, 2011, other than on account of death, disability, layoff, or retirement, (or
Divestiture or Change in Control as described below) whether voluntarily or by action of the Corporation and in the latter case whether with or without “cause,” you will forfeit your RSUs on the date of your termination. 
 DIVESTITURE 
 If the Corporation divests (as defined
below) all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation or its subsidiaries and the transfer of such employment to the other party to the
divestiture, the special rules in this paragraph will apply. Your RSUs will vest immediately and you will receive shares of Stock in exchange for RSUs as soon as practicable following your 

 Award Date: January 28, 2008 
 Page 6 
  

 
termination of employment with the Corporation, but in no event later than the March 15 next following the year in which your employment terminates. For
the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person, corporation, association, partnership, joint venture, limited
liability company or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations), is owned or controlled directly or indirectly by the Corporation, by one or more of
the Corporation’s subsidiaries or by a combination thereof. 
 CHANGE IN CONTROL 
 In the event your employment is terminated by the Corporation (or its successor) following a Change in Control, your RSUs will vest and the Restricted
Period shall terminate on the date of your termination following the Change in Control. You will vest in your entire Award under this Agreement and without regard to any forfeiture that might otherwise occur because of a Performance Shortfall.

 CHANGES IN CAPITALIZATION 
 In the
event of a stock split, stock dividend or other similar action resulting in additional shares of Stock being issued to existing stockholders during the Restricted Period or in the event of a reverse stock split resulting in a contraction in the
number of shares outstanding during the Restricted Period, the number of your RSUs will be adjusted in the same manner as if you held actual shares of Stock. 
 TIMING OF TAXATION AND WITHHOLDING 
 Upon the expiration or termination of the Restricted Period, the Fair Market Value of
the Stock deliverable to you in respect of the RSUs will be taxable to you as compensation income, based on the Fair Market Value of Stock on the day the Stock is deliverable to you, and withholding of Federal, state, and local taxes will apply at
the minimum rate prescribed by law. FICA tax withholding also will apply except to the extent FICA taxes have already been collected in the case of retirement-eligible employees as described below. (If Code section 409A
(a) (2) (B) (i) applies because you are a key employee receiving Stock on account of a termination of employment or if you are an Insider, your Stock may not be deliverable to you for six months following such date of termination
and, accordingly, the Fair Market Value of the Stock on that date shall be used for purposes of determining your compensation income.) 
 Your tax basis in shares of Stock delivered to you in respect of the RSUs will be equal to the Fair Market Value of such shares on the day the Stock is deliverable to you. Your holding period for purposes of determining long-term capital
gain or loss treatment on any subsequent sale of such Stock will begin on that day. 
 You will be deemed to have elected to pay any
withholding tax on Stock deliverable to you by means of the Corporation’s reducing the number of RSUs and shares of Stock deliverable to you in respect of vested RSUs, based upon the minimum rate of withholding prescribed by law. 

 Award Date: January 28, 2008 
 Page 7 
  

 Any cash paid to you as dividend equivalents with respect to RSUs during the Restricted Period will
be taxable to you as compensation income and subject to withholding of Federal, state and local income taxes, and FICA taxes. 
 In the event
you are or become eligible for retirement during the Restricted Period, a portion of your Award will become subject to FICA taxes prior to the termination of the Restricted Period, and FICA taxes will be withheld with respect to the number of RSUs
on which the Restricted Period would terminate if you were to retire. FICA taxes will be computed based upon the Fair Market Value of the Stock on the date of withholding. For example, if you are eligible to retire during the Restricted Period, then
you would become subject to FICA taxes on the later of the first anniversary of the Award Date or the date that you become retirement eligible, and FICA taxes would be withheld even though Stock would not be deliverable to you until the close of the
Restricted Period. The Corporation will withhold such FICA tax from your regular wages or MICP payment. The Corporation may collect the FICA withholding from you either shortly before or after the date it is due and in the case of Insiders may
require delivery of a check to satisfy any shortfall in the withholding. 
 Since we will withhold at the minimum rate prescribed by law for
these awards, you may owe additional taxes as a result of the termination or expiration of the Restricted Period. 
 AMENDMENT AND TERMINATION OF PLAN OR
AWARDS 
 As provided in Section 9 of the Plan, subject to certain limitations contained within Section 9, the Board of
Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time alter or amend all Award Agreements under the Plan. Notwithstanding Section 9 of the Plan, no such amendment, suspension or discontinuance of the
Plan or alteration or amendment of Award Agreements will, except with your express written consent, adversely affect your rights under this Award Agreement. This Award Agreement shall not be amended or interpreted in a manner that is reasonably
believed to result in the imposition of tax under Code section 409A. 

 Award Date: January 28, 2008 
 Page 8 
  

 ACCEPTANCE OF AWARD 
 No Award is enforceable until you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and
Benefits’ office as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. The Committee has authorized electronic means for the
delivery and acceptance of this Award Agreement. If you desire to accept this Award, you must acknowledge your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows:

  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Stop 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acknowledgment of this Award Agreement as described, this Award will be effective as of the date of grant.

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this RSU Award from this internet site
(http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
 POST-EMPLOYMENT COVENANTS 
 By accepting this Agreement through the procedure described above, you
agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 MISCELLANEOUS 
 Nothing contained in this Award Agreement shall confer upon you any right of continued employment by the Corporation or guarantee that any future awards
will be made to you under the Plan. In addition, nothing in this Award Agreement limits in any way the right of the Corporation to terminate your employment at any time. The value of the RSUs awarded to you will not be taken into account for other
benefits offered by the Corporation, including but not limited to pension benefits. Notwithstanding any other provision of the Award Agreement to the contrary, no Stock will be issued to you within six months from the Award Date. 
 The Corporation recommends that Insiders consult with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any
transactions involving Stock even after the expiration or termination of the Restricted Period. 

 Award Date: January 28, 2008 
 Page 9 
  

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
RSU Award from this internet site (http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
  

	
	Sincerely,
	
	  
	David Filomeo
	(On behalf of the Management Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Award Date: January 28, 2008 
 Page 10 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (RSU Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of restricted stock units to me under the Award Agreement (the “RSUs”) pursuant to the Lockheed Martin Corporation Amended and Restated
2003 Incentive Performance Award Plan (the “Plan”). By accepting the RSUs, I agree as follows: 
 1. Protective Covenants

 (a) Protection of Proprietary Information, including Trade Secrets and Confidential Information - Except to the
extent required by law, following my Termination Date, and in conformance with the provisions of the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.) and the California Unfair Competition Law (Cal. Business and
Professional Code § 17220 et seq.), I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the
“Confidential or Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in
accordance with the terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity, for the purpose or effect of competing unfairly with the Corporation, of Confidential or Proprietary
Information of the Corporation or others to which I had access or that I was responsible for creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for
documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation
and will cooperate with any reasonable request by the Corporation for assistance in seeking to protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my
employment with the Corporation shall be and remain the property of the Corporation. For purposes of this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been
made available to me), including but not limited to information that a person or entity desires to protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over
its competitors, or which, if known or used by third parties or if used by the person’s or entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or
Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

 Award Date: January 28, 2008 
 Page 11 
  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes, or 

  

	 	(iii)	any information protected by the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.). 

 (b) Non-Solicit - Without the express written consent of the Senior Vice
President, Human Resources of the Corporation, during the one-year period following the Termination Date, I will not induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than
the Corporation. This provision does not prevent the hiring of such persons so long as they are not induced to be one employed in violation of this provision. 
 (c) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or
reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 
 (d) Cooperation in Litigation and Investigations - Following the Termination Date, I will, to the extent reasonably requested,
cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or affiliates is a party or is required or requested to
provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or investigation. Notwithstanding any other provision of this PECA,
nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under the Award Agreement are in addition to the benefits and compensation opportunities that
otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the RSUs is expressly made contingent upon my agreements with the Corporation set forth in this PECA. I acknowledge that the scope
and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and compensation 

 Award Date: January 28, 2008 
 Page 12 
  

 
opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and
management positions I hold with the Corporation and the access to and extensive knowledge of the Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the
protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of
Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation
the “Benefits and Proceeds” (as defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

 (a) The remedy provided in Section 3(a) shall not be the exclusive remedy
available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the Corporation from seeking damages or injunctive relief. 
 (b) For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the RSUs and
continue to own the shares of Common Stock of the Corporation issued or issuable in respect of the RSUs, the shares of Common Stock so acquired; (ii) to the extent I have earned any of the RSUs and no longer own the shares of Common Stock of
the Corporation issued or issuable in respect of the RSUs, cash in an amount equal to the fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development and
Compensation Committee of the Board of Directors of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not earned
the RSUs fully, all of my remaining rights, title or interest in the RSUs. 

 Award Date: January 28, 2008 
 Page 13 
  

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be
inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available
to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its favor and to specific performance without proof of actual damages
and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and
intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to
delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Miscellaneous. 
  

	 	(a)	The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the RSUs to me. 

  

	 	(b)	This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. Any enforcement of, or challenge to, this Agreement may only be brought in
the Circuit Court of Maryland or the United States District Court for the District of Maryland. Both parties consent to the proper jurisdiction and venue of the Circuit Court of Maryland and the United States District Court for the District of
Maryland for the purpose of enforcing or challenging this Agreement. 

  

	 	(c)	This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation without my consent. 

  

	 	(d)	This PECA provides for certain obligations on my part following the Termination Date and shall not, by implication or otherwise, affect in any way my obligations to the Corporation
during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate policies that may be adopted from time to time or applicable law or regulation.

 This PECA is effective as of the acceptance by me of the award of RSUs under the Award Agreement. 

 PECA Stock Option-Attorney 
 Grant Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 

 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Optionee: 
 The Management Development and Compensation Committee (the “Committee”) of Lockheed Martin Corporation’s Board of Directors has awarded to
you options to purchase shares of Lockheed Martin Common Stock (“Stock”) under the Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). 
 This letter is your Award Agreement and sets forth some of the terms and conditions of your award. Additional terms and conditions are contained in the
Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. By accepting this Award Agreement electronically, you consent to electronic delivery of the Prospectus applicable to these Options. You
should retain the Prospectus in your records. 
 The term “Options” as used in this Award Agreement refers only to the nonqualified
stock options awarded to you under this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office as instructed below as soon as possible. Please note that by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in
Exhibit A attached to this Agreement. 
 EXERCISE PRICE 
 The exercise price of the Options granted hereunder is $106.87 per Option. Under certain circumstances set forth in the Plan and this Award Agreement, this exercise price may be subject to adjustment. 
 The Committee presently allows the exercise price of an Option to be paid in cash, by the tender of Stock or through a combination of Stock and cash. No
fractional shares of Stock may be tendered in payment, nor will fractional shares be issued. The Committee retains the discretion to, at any time, limit the method of payment to cash. If you elect to pay with Stock, you must have owned the shares
tendered for at least six months. If Stock is tendered, it will be valued at its Fair Market Value on the date of tender. 

 Grant Date: January 28, 2008 
 Page 2 
  

 VESTING/EXPIRATION/FORFEITURE 
 General Rule - An Option may not be exercised until it has vested, nor may an Option be exercised after its expiration or forfeiture. Subject to certain special rules discussed below, if you remain in the
employ of the Corporation until the applicable date of vesting, the vesting schedule for your Options is as follows: 
 First Vesting Date:
January 28, 2009 – One-Third 
 Second Vesting Date: January 28, 2010 – One-Third 
 Third Vesting Date: January 28, 2011 – One-Third 
 If the number of Options granted cannot be evenly divided by three into whole shares, the fractional shares will vest on the Third Vesting Date. If you leave the employ of the Corporation before the date on which an
Option vests, that Option is forfeited. 
 Vested Options, except as otherwise provided in this letter, or in the Plan, or as may be
restricted by law, may be exercised for a period ending on January 26, 2018. Options not exercised by that date will be forfeited. 
 You should make every effort to keep the Vice President of Compensation and Benefits’ office informed of your current address so that we may communicate with you about your options and their current status. The Corporation cannot
exercise the options for you, and so you must pay close attention to their terms and any impending expiration. 
 SPECIAL RULES AS TO VESTING

 Retirement - If you retire before the First Vesting Date, you will forfeit all of the Options in accordance with the general
rule set forth above. If you retire on or after the First Vesting Date, you will vest in the remaining Options on the Second Vesting Date and the Third Vesting Date as though you had remained in the employ of the Corporation through those dates. For
the purposes of this provision, the term “retirement” means retirement from service under the terms of the Corporation’s pension plan in which you are a participant or following attainment of age 55 and five years of service if you do
not participate in one of the Corporation’s defined benefit pension plans. 
 Death or Disability - Your Options will immediately
vest and no longer be subject to the continuing employment requirement if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 Grant Date: January 28, 2008 
 Page 3 
  

 SPECIAL RULES AS TO EXPIRATION AND FORFEITURE 
 Death or Disability - Options will expire at the end of their remaining term on January 26, 2018. 
 Resignation, Lay-Off or Termination for Cause - If you resign or otherwise terminate, whether voluntarily or by action of the Corporation and in
the latter case whether with or without “cause,” unvested Options will be forfeited upon your termination. Vested Options will expire at the end of their remaining term or 30 calendar days following your resignation or termination,
whichever is shorter. If you are laid off, your options will be unaffected, and will vest and be exercisable until the end of their remaining term, in accordance with the terms of the Plan. 
 Divestiture - If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such
divestiture results in the termination of your employment with the Corporation or its subsidiaries and transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Following a divestiture, you
will continue to vest in your unvested options as though you had remained in the employ of the Corporation. Your vested options will be exercisable until the first to occur of (i) the fifth anniversary of the effective date of the divestiture;
or (ii) the original expiration date (“Divestiture Expiration Date”). If you die following divestiture but prior to the Divestiture Expiration Date, all unvested options will immediately vest as of the date of death and be exercisable
by your beneficiary until the Divestiture Expiration Date. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person,
corporation, association, partnership, joint venture or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations) is owned or controlled directly or indirectly, by
the Corporation, one or more of the Corporation’s subsidiaries or by a combination thereof. 
 LIMITATIONS ON EXERCISE 
 Notwithstanding any other provision herein, no Option may be exercised less than six months nor more than ten years after the date of grant. Further, from
time to time, your ability to exercise Options which otherwise would be exercisable may be restricted, if in the opinion of counsel for the Corporation, this is necessary or advisable in order to ensure compliance with applicable Federal or state
law, rules or regulations. 

 Grant Date: January 28, 2008 
 Page 4 
  

 ASSIGNMENT/TRANSFERABILITY/BENEFICIARIES 
 Options may not be pledged, assigned or transferred except that Options may be transferred by will or by the laws of descent and distribution or you may
provide that, upon your death, the Options are to be transferred to a beneficiary or beneficiaries that you designate. To designate a beneficiary or beneficiaries, please complete the Beneficiary Designation located at
http://www.etrade.com/stockplans and return an originally executed copy to the Vice President of Compensation and Benefits’ office (Mail Point 123). 
 During your lifetime, only you may exercise your Options. In the event of your death or disability, your Options may be exercised by a qualified representative of your estate, a properly designated beneficiary or
beneficiaries or your guardian or authorized representative, as applicable. 
 TAX WITHHOLDING 
 When you exercise an Option, the Corporation will withhold applicable taxes as required by law. The Committee presently allows you to pay the withholding
tax in cash, by tendering Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment. The Committee retains the discretion to, at any time, limit the method of payment to cash. Unlike payment of the
exercise price of the Options, if you elect to pay withholding taxes with Stock, you need not have owned the shares tendered for at least six months. Payment must be made at the time of exercise. To the extent that cash is not tendered, the
Corporation will retain from the shares of Stock that you would otherwise receive upon exercise of the Option that number of shares sufficient to satisfy the withholding obligation. If Stock is tendered or is deemed to have been tendered, it will be
valued at its Fair Market Value. 
 Withholding will be at the minimum rate prescribed by law. Therefore, you may owe taxes relating to the
exercise in addition to the amount withheld by the Corporation. If you desire, you may request that tax be withheld at greater than the minimum rate. 
 Special Note for Section 16 Insiders - The Corporation’s Section 16 Insiders have been informed of this fact by the Board of Directors. If you are a Section 16 Insider, your ability to
satisfy your withholding obligations through the tender of Stock may be limited by the Federal securities laws. In these situations, having such treatment deemed to occur may have adverse consequences. The Corporation recommends that you consult
with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any transactions involving your Options or Stock. 
 CHANGE IN CONTROL 
 In the event of a change in control of the Corporation, as defined in Section 7 of the Plan, the
vesting date of all outstanding options shall be accelerated so as to cause all outstanding options to become exercisable. 

 Grant Date: January 28, 2008 
 Page 5 
  

 AMENDMENT AND TERMINATION OF THE PLAN OR AWARDS 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall affect this Award Agreement or the award made hereunder in any manner adverse to you without your written consent. 

ACCEPTANCE OF AWARD 
 No award is enforceable until
you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as soon as possible. Acceptance of this Award
Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. You must acknowledge
your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows: 
  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acceptance of this Award Agreement as described, this award will be effective as of the date of grant. If you
do not acknowledge acceptance of your award, it will not be effective and you will not be able to exercise the options. 
 POST-EMPLOYMENT COVENANTS 

 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in
Exhibit A to this Agreement. 
 MISCELLANEOUS 
 For the purpose of calculating the expiration date of the Options, all Options will be deemed to expire on January 26, 2018 at the close of trading in Lockheed Martin Corporation common stock on the New York Stock Exchange (or, if the
security is not so listed or if the principal market on which it is traded is not the New York Stock Exchange, such other reporting system as shall be selected by the Committee). If you are on leave of absence, for the purposes of the Plan, you will
be considered to still be in the employ of the Corporation unless otherwise provided in an agreement between you and the Corporation. 

 Grant Date: January 28, 2008 
 Page 6 
  

 Your participation in the Plan, anything contained in this Award Agreement, or the grant of Options
does not confer upon you any right of continued employment or limit in any way the right of the Corporation to terminate your employment at any time. 
 You have no rights as a stockholder to any securities covered by this Award Agreement until the date on which you become the holder of record of such securities. Capitalized terms used, but not defined herein, shall
have the meanings ascribed to them in the Plan. In the event of a conflict between this Award Agreement and the Plan, the Plan document will control. 
  

					
		 		 	Sincerely,
			
		 		 	 
		 		 	 David Filomeo
 (On behalf of the Management
Development and
 Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Grant Date: January 28, 2008 
 Page 7 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (Stock Option Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with a Grant Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of stock options to me under the Award Agreement (the “Options”) pursuant to the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (the “Plan”). By accepting the Options, I agree as follows: 
 1. Post Termination Activity

 (a) Post-employment Activity As a Lawyer – I acknowledge that as counsel to Lockheed Martin Corporation (the
“Corporation”), I owe ethical and fiduciary obligations to the Corporation and that at least some of these obligations will continue even after the date of my termination of employment with the Corporation (“Termination Date”). I
agree that after my Termination Date I will comply fully with all applicable ethical and fiduciary obligations that I owe to the Corporation. To the extent permitted by applicable law, including but not limited to any applicable rules governing
attorney conduct, I agree that I will not 
  

	 	(i)	Represent any client adversely to the Corporation; 

  

	 	(ii)	Reveal to any third party any information learned by me during the course of my employment with the Corporation except for information that is or becomes generally known;

  

	 	(iii)	Encourage or solicit any present or future agents or employees of the Corporation to terminate their employment for the purpose of competing with the Corporation; or

  

	 	(iv)	Whether as a lawyer or non-lawyer, accept a position (whether as agent, employer, part or sole owner or in any other capacity) with any person or entity whose interests are adverse
to the Corporation’s interests if that adverse position is related in any way to my present or past work with the Corporation. 

 (b) No disparagement – Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or reasonably may be interpreted to disparage the Corporation or its
stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Grant Date: January 28, 2008 
 Page 8 
  

 (c) Cooperation in Litigation and Investigations - Following the Termination
Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or
affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or
investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the Options is expressly made contingent upon
my agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and
compensation opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive
knowledge of the Corporation’s confidential or proprietary information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies for Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, to the extent permitted by applicable law, including but not limited to any applicable rules governing attorney conduct, that
upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1 (and in the case of 1(a), the breach occurs prior to the second anniversary of my Termination Date);

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

 Grant Date: January 28, 2008 
 Page 9 
  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have exercised any of the Options and continue to own the shares of Common
Stock of the Corporation issued or issuable upon exercise of the Options, the shares of Common Stock so acquired upon exercise; (ii) to the extent I have exercised any of the Options and no longer own the shares of Common Stock of the
Corporation issued or issuable upon exercise of the Options, cash in an amount equal to the fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development
and Compensation Committee of the Board of Directors of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not
exercised the Options fully, all of my remaining rights, title or interest in the Options. 

 4. Injunctive Relief. I
acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without
prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its
favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to
be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such
adjudication is made. 

 Grant Date: January 28, 2008 
 Page 10 
  

 6. Definitions. Capitalized terms not defined in this PECA have the meaning given to them in
the Plan, as applicable. 
 7. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the Options to me.

 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. 

(c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation
without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not,
by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate
policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the
acceptance by me of the award of Options under the Award Agreement. 

 PECA RSU-Attorney 
 Award Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Awardee: 
 The Management Development and Compensation Committee of the Board of Directors (“Committee”) has awarded you Restricted Stock Units (“RSUs”). Each RSU entitles you, upon satisfaction of the
continued employment and other requirements set forth in this letter and the Plan, to receive from Lockheed Martin Corporation (“Corporation”) (i) one (1) share of the Corporation’s common stock, par value $1.00 per share,
(“Stock”); and (ii) quarterly cash payments equivalent to any cash dividends paid to stockholders of the Corporation, each in accordance with the terms of this letter, the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (“Plan”), and any rules and procedures adopted by the Committee. 
 This letter constitutes the
Award Agreement for your RSUs and sets forth some of the terms and conditions of your Award under the Plan, as determined by the Committee. Additional terms and conditions are described in the Plan and in the Prospectus relating to the Plan of which
the Plan and this Award Agreement are a part. In the event of a conflict between this letter and the Plan, the Plan document will control. The Prospectus is available at http://www.etrade.com/stockplans. 
 Capitalized terms not defined in this Agreement will have the meaning ascribed to them in the Plan. The term Restricted Stock Unit or RSU as used in this
Award Agreement refers only to the Restricted Stock Units awarded to you under this Award Agreement. 
 CONSIDERATION FOR AWARD 
 The consideration for the Restricted Stock Units is your continued service to the Corporation as an employee during the Restricted Period set forth below.
If you do not continue to perform services for the Corporation as an employee during the entire Restricted Period, your Award will be forfeited in whole or in part. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office as instructed below as soon as possible. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. Assuming prompt and proper acknowledgment of this Award
Agreement as described, this Award will be effective as of the Award Date. Acceptance 

 Award Date: January 28, 2008 
 Page 2 
  

 
of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. Please note that
by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in Exhibit A attached to this Agreement. 
 For your acceptance to be effective and for the Award to be enforceable, you must return your acknowledgment (either in written form or by electronic
receipt). If your acknowledgement is not received, your Award will not be effective. 
 RIGHTS OF OWNERSHIP/RESTRICTIONS ON TRANSFER 
 During the Restricted Period, your RSUs will be subject to forfeiture. Until the Restricted Period ends with respect to a particular RSU and a share of
Stock is delivered to you, you generally will not have the rights and privileges of a stockholder. In particular, you will not have the right to vote your RSUs on any matter put to the stockholders of the Corporation and you may not sell, transfer,
assign, pledge, use as collateral or otherwise dispose of or encumber RSUs. You will, however, have the right to receive a cash payment for each RSU equivalent to the cash dividend paid to stockholders on a share of Stock at the time the
corresponding dividend is paid to stockholders and this right continues until the expiration of the Restricted Period and until the date that Stock is deliverable to you. 
 Upon expiration or termination of the Restricted Period with respect to your RSUs, and subject to the forfeiture provisions set forth below, each RSU for which the restrictions have lapsed will be exchanged for a
certificate (either in paper or book entry form) evidencing one (1) share of Stock issued in your name (or other name(s) designated by you). Your shares will be delivered to you as soon as practicable upon the expiration or termination of the
Restricted Period. In the event Code section 409A(a)(2)(B)(i) applies because you are a key employee receiving a distribution on account of a termination of employment, delivery of stock may be delayed for six months from such date; similarly, if
you are an Insider subject to the reporting provisions of Section 16(a) of the Securities Exchange Act of 1934, delivery of Stock following the expiration of the Restricted Period for any reason may be delayed for six months. The certificates
delivered to you may contain any legend the Corporation determines is appropriate under the securities laws. At the time the Restricted Period for your RSUs terminates, the Corporation is required to collect from you the appropriate amount of
Federal, state and local taxes. The Corporation may be required to collect FICA taxes from you prior to the termination of the Restricted Period if you become eligible for retirement prior to the termination of that period. In this regard, please
see “Timing of Taxation and Withholding” below. 
 After the Stock is delivered to you, you (or your designee(s)) will enjoy all of
the rights and privileges associated with ownership of the shares, including the right to vote on any matter put to stockholder vote, to receive dividends, and to encumber, sell or otherwise transfer the shares. You should note, however, that, while
the shares would thus be free of the restrictions imposed during the Restricted Period, your ability to sell the shares may be limited under the Federal securities laws. 

 Award Date: January 28, 2008 
 Page 3 
  

 You have the right to designate a beneficiary (or beneficiaries) to receive your shares in exchange
for your RSUs in the event of your death during the Restricted Period by completing a beneficiary designation form available at http://www.etrade.com/stockplans and returning it to the Vice President of Compensation and Benefits’ office
at the address below. 
 If, at your death, a completed beneficiary designation form is not on file at the Vice President of Compensation and
Benefits’ office (or if your designated beneficiary predeceases you), the Stock in respect of your RSUs will be transferred to the personal representative of your estate. 
 RESTRICTED PERIOD, FORFEITURE 
 The vesting of the RSUs awarded under this Award Agreement is subject
to satisfaction of a performance goal as well as your continued employment with the Corporation from the Award Date until January 28, 2011 (the “Restricted Period”). If either of these requirements is not satisfied, you may forfeit
all or part of your RSUs. Upon forfeiture, you will no longer have the right to receive Stock for forfeited RSUs or to receive cash payments as dividend equivalents. 
 1. Performance Goal 
 At its first meeting after the Corporation finalizes the financial
results for the year ending December 31, 2008, the Committee will multiply the number of RSUs awarded to you under this Award Agreement by the Fair Market Value of Stock on the Award Date ($106.87) (“RSU Award Value”). The Committee
will then compare your RSU Award Value to the product of 0.04% and the Corporation’s Cash Flow for the year ending December 31, 2008 (with the product being referred to as the “RSU Performance Goal”). If your RSU Award Value
exceeds your RSU Performance Goal (with the amount of that excess referred to as the “Performance Shortfall”) then you will forfeit the number of whole RSUs that are equal to the Performance Shortfall divided by the Fair Market Value of
Stock on the Award Date ($106.87). 
 For purposes of this Award Agreement, Cash Flow for any period means net cash flow from operations but
not taking into account: (i) the aggregate difference between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the period
and the actual amounts contributed by the Corporation during the period; and (ii) any tax payments or tax benefits during the period associated with the divestiture of business units. Cash Flow shall be determined by the Committee based upon
the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Subcommittee shall determine Cash
Flow in a manner consistent with the historical practices used by the Corporation in determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph.

 Award Date: January 28, 2008 
 Page 4 
  

 2. Employment Requirement 
 Regardless of the satisfaction of the RSU Performance Goal, all of your RSUs will be forfeited and all of your rights to the RSUs and to receive Stock for
your RSUs will cease without further obligation on the part of the Corporation unless you continue to provide services to the Corporation as an Employee of the Corporation until the expiration or termination of the Restricted Period, which will
occur on January 28, 2011, subject only to the specific exceptions provided below. 
 DEATH, DISABILITY, LAYOFF 
 1. Death and Disability 
 Your
RSUs will immediately vest and no longer be subject to the continuing employment requirement or the potential forfeiture to the extent of a Performance Shortfall if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the Corporation’s long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following the date of your termination of employment on account of death or disability, but
in no event later than the March 15 next following the year in which such termination occurs. 
 2. Lay Off 
 If you are laid off prior to January 28, 2009, you will forfeit all of your RSUs in accordance with the general rule requiring continued employment
during the Restricted Period. If you are laid off on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such date; however, you will
not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in your RSUs as follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your layoff is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your layoff is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 Award Date: January 28, 2008 
 Page 5 
  

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following your layoff, but in no event
later than the March 15 next following the year in which you are laid off. You will forfeit your remaining RSUs on the date you are laid off. 
 RETIREMENT 
 If your retirement is effective before January 28, 2009, you will forfeit all of your RSUs in accordance
with the general rule set forth above. If you retire with an effective date on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such
date; however, you will not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in a portion of your RSUs as
follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your retirement is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your retirement is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following
your retirement, but in no event later than the March 15 next following the year in which you retire. You will forfeit the remaining RSUs on the date of your termination of employment. For purposes of this provision, the term
“retirement” means retirement from service under the terms of the Corporation’s defined benefit pension plan in which you are a participant or following attainment of age 55 and five years of service if you do not participate in one
of the Corporation’s defined benefit pension plans. 
 RESIGNATION OR TERMINATION WITH OR WITHOUT CAUSE 
 If you resign or your employment otherwise terminates before January 28, 2011, other than on account of death, disability, layoff, or retirement, (or
Divestiture or Change in Control as described below) whether voluntarily or by action of the Corporation and in the latter case whether with or without “cause,” you will forfeit your RSUs on the date of your termination. 
 DIVESTITURE 
 If the Corporation divests (as defined
below) all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation or its subsidiaries and the transfer of such employment to the other party to the
divestiture, the special rules in this paragraph will apply. Your RSUs will vest immediately and 

 Award Date: January 28, 2008 
 Page 6 
  

 
you will receive shares of Stock in exchange for RSUs as soon as practicable following your termination of employment with the Corporation, but in no event
later than the March 15 next following the year in which your employment terminates. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business
operation divested to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than
corporations), is owned or controlled directly or indirectly by the Corporation, by one or more of the Corporation’s subsidiaries or by a combination thereof. 
 CHANGE IN CONTROL 
 In the event your employment is terminated by the Corporation (or its successor) following a Change in
Control, your RSUs will vest and the Restricted Period shall terminate on the date of your termination following the Change in Control. You will vest in your entire Award under this Agreement and without regard to any forfeiture that might otherwise
occur because of a Performance Shortfall. 
 CHANGES IN CAPITALIZATION 
 In the event of a stock split, stock dividend or other similar action resulting in additional shares of Stock being issued to existing stockholders during the Restricted Period or in the event of a reverse stock split
resulting in a contraction in the number of shares outstanding during the Restricted Period, the number of your RSUs will be adjusted in the same manner as if you held actual shares of Stock. 
 TIMING OF TAXATION AND WITHHOLDING 
 Upon the
expiration or termination of the Restricted Period, the Fair Market Value of the Stock deliverable to you in respect of the RSUs will be taxable to you as compensation income, based on the Fair Market Value of Stock on the day the Stock is
deliverable to you, and withholding of Federal, state, and local taxes will apply at the minimum rate prescribed by law. FICA tax withholding also will apply except to the extent FICA taxes have already been collected in the case of
retirement-eligible employees as described below. (If Code section 409A(a)(2)(B)(i) applies because you are a key employee receiving Stock on account of a termination of employment or if you are an Insider, your Stock may not be deliverable to you
for six months following such date of termination and, accordingly, the Fair Market Value of the Stock on that date shall be used for purposes of determining your compensation income.) 
 Your tax basis in shares of Stock delivered to you in respect of the RSUs will be equal to the Fair Market Value of such shares on the day the Stock is
deliverable to you. Your holding period for purposes of determining long-term capital gain or loss treatment on any subsequent sale of such Stock will begin on that day. 

 Award Date: January 28, 2008 
 Page 7 
  

 You will be deemed to have elected to pay any withholding tax on Stock deliverable to you by means of
the Corporation’s reducing the number of RSUs and shares of Stock deliverable to you in respect of vested RSUs, based upon the minimum rate of withholding prescribed by law. 
 Any cash paid to you as dividend equivalents with respect to RSUs during the Restricted Period will be taxable to you as compensation income and subject
to withholding of Federal, state and local income taxes, and FICA taxes. 
 In the event you are or become eligible for retirement during the
Restricted Period, a portion of your Award will become subject to FICA taxes prior to the termination of the Restricted Period, and FICA taxes will be withheld with respect to the number of RSUs on which the Restricted Period would terminate if you
were to retire. FICA taxes will be computed based upon the Fair Market Value of the Stock on the date of withholding. For example, if you are eligible to retire during the Restricted Period, then you would become subject to FICA taxes on the later
of the first anniversary of the Award Date or the date that you become retirement eligible, and FICA taxes would be withheld even though Stock would not be deliverable to you until the close of the Restricted Period. The Corporation will withhold
such FICA tax from your regular wages or MICP payment. The Corporation may collect the FICA withholding from you either shortly before or after the date it is due and in the case of Insiders may require delivery of a check to satisfy any shortfall
in the withholding. 
 Since we will withhold at the minimum rate prescribed by law for these awards, you may owe additional taxes as a
result of the termination or expiration of the Restricted Period. 
 AMENDMENT AND TERMINATION OF PLAN OR AWARDS 
 As provided in Section 9 of the Plan, subject to certain limitations contained within Section 9, the Board of Directors may at any time amend,
suspend or discontinue the Plan and the Committee may at any time alter or amend all Award Agreements under the Plan. Notwithstanding Section 9 of the Plan, no such amendment, suspension or discontinuance of the Plan or alteration or amendment
of Award Agreements will, except with your express written consent, adversely affect your rights under this Award Agreement. This Award Agreement shall not be amended or interpreted in a manner that is reasonably believed to result in the imposition
of tax under Code section 409A. 

 Award Date: January 28, 2008 
 Page 8 
  

 ACCEPTANCE OF AWARD 
 No Award is enforceable until you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and
Benefits’ office as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. The Committee has authorized electronic means for the
delivery and acceptance of this Award Agreement. If you desire to accept this Award, you must acknowledge your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows:

  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Stop 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acknowledgment of this Award Agreement as described, this Award will be effective as of the date of grant.

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this RSU Award from this internet site
(http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
 POST-EMPLOYMENT COVENANTS 
 By accepting this Agreement through the procedure described above, you
agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 MISCELLANEOUS 
 Nothing contained in this Award Agreement shall confer upon you any right of continued employment by the Corporation or guarantee that any future awards
will be made to you under the Plan. In addition, nothing in this Award Agreement limits in any way the right of the Corporation to terminate your employment at any time. The value of the RSUs awarded to you will not be taken into account for other
benefits offered by the Corporation, including but not limited to pension benefits. Notwithstanding any other provision of the Award Agreement to the contrary, no Stock will be issued to you within six months from the Award Date. 
 The Corporation recommends that Insiders consult with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any
transactions involving Stock even after the expiration or termination of the Restricted Period. 

 Award Date: January 28, 2008 
 Page 9 
  

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
RSU Award from this internet site (http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
  

	
	Sincerely,
	
	  
	David Filomeo
	(On behalf of the Management Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Award Date: January 28, 2008 
 Page 10 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (RSU Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of restricted stock units to me under the Award Agreement (the “RSUs”) pursuant to the Lockheed Martin Corporation Amended and Restated
2003 Incentive Performance Award Plan (the “Plan”). By accepting the RSUs, I agree as follows: 
 1. Post Termination
Activity 
 (a) Post-employment Activity As a Lawyer - I acknowledge that as counsel to Lockheed Martin Corporation
(the “Corporation”), I owe ethical and fiduciary obligations to the Corporation and that at least some of these obligations will continue even after the date of my termination of employment with the Corporation (“Termination
Date”). I agree that after my Termination Date I will comply fully with all applicable ethical and fiduciary obligations that I owe to the Corporation. To the extent permitted by applicable law, including but not limited to any applicable rules
governing attorney conduct, I agree that I will not 
  

	 	(i)	Represent any client adversely to the Corporation; 

  

	 	(ii)	Reveal to any third party any information learned by me during the course of my employment with the Corporation except for information that is or becomes generally known;

  

	 	(iii)	Encourage or solicit any present or future agents or employees of the Corporation to terminate their employment for the purpose of competing with the Corporation; or

  

	 	(iv)	Whether as a lawyer or non-lawyer, accept a position (whether as agent, employer, part or sole owner or in any other capacity) with any person or entity whose interests are adverse
to the Corporation’s interests if that adverse position is related in any way to my present or past work with the Corporation. 

 (b) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or reasonably may be interpreted to disparage the Corporation or its
stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Award Date: January 28, 2008 
 Page 11 
  

 (c) Cooperation in Litigation and Investigations - Following the Termination
Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or
affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or
investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the RSUs is expressly made contingent upon my
agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and compensation
opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive knowledge of the
Corporation’s confidential or proprietary information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies for Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, to the extent permitted by applicable law, including but not limited to any applicable rules governing attorney conduct, that
upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1 (and in the case of 1(a), the breach occurs prior to the second anniversary of my Termination Date);

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

 Award Date: January 28, 2008 
 Page 12 
  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the RSUs and continue to own the shares of Common Stock of
the Corporation issued or issuable in respect of the RSUs, the shares of Common Stock so acquired; (ii) to the extent I have earned any of the RSUs and no longer own the shares of Common Stock of the Corporation issued or issuable in respect of
the RSUs, cash in an amount equal to the fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development and Compensation Committee of the Board of Directors
of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not earned the RSUs fully, all of my remaining rights, title
or interest in the RSUs. 

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be
inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available
to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its favor and to specific performance without proof of actual damages
and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and
intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to
delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Definitions. Capitalized terms not defined in this PECA have the meaning given to them in the Plan, as applicable. 

 Award Date: January 28, 2008 
 Page 13 
  

 7. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the RSUs to me.

 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. 

(c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation
without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not,
by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate
policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the
acceptance by me of the award of RSUs under the Award Agreement. 

 LTIP 
 Award Date: January 28, 2008 
 Lockheed Martin Corporation 
 6801 Rockledge Drive, Bethesda, MD 20817 
 Telephone 301-897-6000 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE
BEEN REGISTERED UNDER THE 
 SECURITIES ACT OF 1933 
 «Name» 
 «Street» 
 «City», «State» «Zip» 
  

	 	Re:	Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan: Long-Term Incentive Performance Award (2008-2010 Performance Period) 

 Dear «Call_By_Name»: 
 On behalf of the Management Development and Compensation Committee (the “Committee”) of the Board of Directors of Lockheed Martin Corporation, I am pleased to tell you that you have been granted a Long-Term Incentive Performance
Award under the Corporation’s Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). The purpose of this letter is to serve as the Award Agreement under such Plan and to set forth your Target Award as well as the
terms and conditions to the payment of your Target Award. Additional terms and conditions are set forth in the Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. The Prospectus is
available at http://www.etrade.com/stockplans. You should retain the Prospectus and the attached copy of the Plan in your records. 
 IN ORDER FOR THIS
AWARD TO BE EFFECTIVE, YOU MUST PROMPTLY SIGN AND RETURN A COPY OF THIS AWARD AGREEMENT. PLEASE NOTE THAT BY ACCEPTING THE AWARD YOU AGREE TO BE BOUND BY THE RESTRICTIONS CONTAINED IN SECTION 14, “POST-EMPLOYMENT COVENANTS” AND IN
EXHIBIT A ATTACHED TO THIS AGREEMENT. 
 Capitalized terms used in this letter which have a special meaning either shall be defined in
this letter or if not defined in this letter shall have the meaning ascribed to the term in the Plan. The term “Target Award” as used in this Award Agreement refers only to the Target Award awarded to you under this Award Agreement and the
term “Award” refers only to the Long Term Incentive Performance Award set forth in this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. Appendix A contains an index of
all capitalized terms used in this Agreement. 

 Award Date: January 28, 2008 
 Page 2 
  

 Section 1. Target Award. Performance Period. 
 1.1 Target Award. Your Target Award for the Performance Period under this Award Agreement shall be [Target]. 
 1.2 Performance Period. The Performance Period under this Award Agreement is a three-year performance period that runs from January 1, 2008,
until December 31, 2010. 
 1.3 Payment of Award. The amount payable to you under your Award is dependent upon the
Corporation’s performance as compared to the internal and external metrics described in this Award Agreement and your continued employment with the Corporation in accordance with Section 5 of this Agreement. As a result of these
requirements, any payments you receive may be larger or smaller than your Target Award (e.g., the performance factors could result in no payment in respect of your Award). 
 Section 2. Calculation of Award Payments. 
 2.1 End of Performance Period Calculation. Following the end of the Performance Period and prior to any payments being made, 
 (a) The Committee will calculate the External Performance Factor based on the Corporation’s performance during the Performance Period relative to the performance of other corporations which compose the
Standard & Poor’s Industrials Index reported under symbol S5INDU by Bloomberg, L.P. One-half of your Target Award will be multiplied by the External Performance Factor, with the resulting dollar amount to be known as the External
Performance Amount. 
 (b) The Committee will also calculate the ROIC Performance Factor based on the Corporation’s ROIC during the
Performance Period as compared to the projected ROIC for the Performance Period in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will be multiplied by the ROIC Performance Factor, with the
resulting dollar amount to be known as the ROIC Performance Amount. 
 (c) The Committee will also calculate the Cash Flow Performance Factor
based on the Corporation’s cumulative Cash Flow during the Performance Period as compared to the projected cumulative Cash Flow in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will
be multiplied by the Cash Flow Performance Factor, with the resulting dollar amount to be known as the Cash Flow Performance Amount. 

 Award Date: January 28, 2008 
 Page 3 
  

 (d) Your External Performance Amount, your ROIC Performance Amount, and your Cash Flow Performance
Amount will then be added together, with the sum of those three amounts known as your “Potential Award”. Assuming you satisfy the continued employment requirements set forth in Section 5 of this Award Agreement, one-half of your
Potential Award (the “Immediate Portion”) will be paid to you (or deferred to a later payment date specified at your election subject to the rules on deferrals set forth below) as soon as practicable after the Committee completes its
calculations in 2011, but in no event later than 
 March 15, 2011. 
 2.2 Two Year Deferral Period. The remaining one-half of your Potential Award (the “Deferred Portion”) will be deferred and paid as soon
as practicable in January 2013, but in no event later than March 15, 2013. 
 (a) Between December 31, 2010, and December 31,
2012, the Deferred Portion will be treated as though it was invested by the Corporation on December 31, 2010, in the Corporation’s common stock and will be adjusted to reflect dividends, gains, and losses to reflect the performance of the
Corporation’s common stock, as further specified in Section 5.2(c)(2). 
 (b) Assuming you satisfy the continued employment
requirements set forth in Section 5.2(c) of this Award Agreement, the Deferred Portion (as adjusted) will be paid to you as soon as practicable in January 2013, but in no event later than March 15, 2013 or deferred to a later payment date
specified at your election subject to the rules on deferrals set forth below. 
 You must (except as specified in Section 5) remain employed by the
Corporation through December 31, 2010, to receive a payment of any portion of your Award and through December 31, 2012, to receive payment of the Deferred Portion. 
 Section 3. External Performance Factor. 
 3.1. External Performance Factor – Peer Performance Group. The External Performance Factor will be based upon the relative ranking of the Corporation’s Total Stockholder Return (as defined in the Plan
and assuming the reinvestment of any cash dividends) for the Performance Period to the Total Stockholder Return for such Period for the corporations which compose the Standard & Poor’s Industrials Index as reported under symbol S5INDU
by Bloomberg, L.P. (“Peer Performance Group”) at the beginning of the Performance Period. The Corporation shall be included as a member of the Peer Performance Group. The Corporation’s Total Stockholder Return will be based on the
performance of its common stock, par value $1.00. The Total Stockholder Return of each corporation that is taken into account in computing the Peer Performance Group Total Stockholder Return will be based on the equity security of the relevant
corporation that is used in computing the Standard & Poor’s Industrials Index. 

 Award Date: January 28, 2008 
 Page 4 
  

 3.2. Calculation of External Performance Factor. 
 (a) Calculation of Total Stockholder Return. After the end of the Performance Period, the Committee shall compute the Total Stockholder Return for
the Corporation for such Period and shall compute and rank the Total Stockholder Return for each corporation in the Peer Performance Group. Each corporation’s Total Stockholder Return shall be ranked among the Total Stockholder Return for each
other corporation in the Peer Performance Group on a percentile basis. Each such Total Shareholder Return shall be computed from data available to the public. 
 (b) Percentage Level of Target Award. Your External Performance Factor, expressed as a percentage, will be determined under this Section 3.2(b) (and 3.2(c) to the extent interpolation is necessary) based
on the percentile ranking of the Corporation’s Total Stockholder Return for the Performance Period under the following chart – 
  

						
	 Band
	  	Percentile Ranking	  	External
Performance
Factor	 
	 One
	  	75th or higher	  	200	%
	 Two
	  	60th	  	150	%
	 Three
	  	50th	  	100	%
	 Four
	  	40th	  	50	%
	 Five
	  	35th	  	25	%
	 Six
	  	Below 35th	  	0	%

 (c) External Performance Factor Interpolation. If the Corporation’s Total Stockholder
Return puts the Corporation over the listed Percentile Ranking for the applicable Band (other than Band One) in Section 3.2(b), your External Performance Factor under Section 3.2(b) shall be interpolated on a linear basis. 

 Award Date: January 28, 2008 
 Page 5 
  

 Section 4. Internal Performance Factors. 
 4.1 ROIC Performance Factor. The ROIC Performance Factor will be determined by comparing the Corporation’s ROIC for the Performance Period to
ROIC as forecasted for the Performance Period in the Corporation’s 2008 Long Range Plan and then identifying the ROIC Performance Factor based upon the factor associated with the difference on the following table: 
  

				
	 Change from 2008 LRP ROIC
	  	ROIC
Performance
Factor	 
	 Plan + 40 or more basis points
	  	200	%
	 Plan + 30 basis points
	  	175	%
	 Plan + 20 basis points
	  	150	%
	 Plan + 10 basis points
	  	125	%
	 Plan
	  	100	%
	 Plan - 10 basis points
	  	75	%
	 Plan - 20 basis points
	  	50	%
	 Plan - 30 basis points
	  	25	%
	 Plan - 40 or more basis points
	  	0	%

  

	 	(a)	ROIC Definition. For purposes of this Award Agreement, “ROIC” means return on invested capital for the Performance Period calculated as (A) average annual
(i) net income plus (ii) interest expense times one minus the highest marginal federal corporate tax rate over the three year Performance period (“Return”), divided by (B) the average of the four year-end investment balances
(beginning with December 31, 2007 year-end balance) consisting of (i) debt (including current maturities of long-term debt) plus (ii) stockholders’ equity plus the postretirement plans amounts determined at year-end as included
in the Corporation’s Statement of Stockholder Equity. 

  

	 	(b)	ROIC Determination. Each component of ROIC and the calculation of any postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity shall be
determined by the Committee in accordance with generally accepted accounting principles in the United States and be based upon the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited
financial statements are not available for the date or period on which ROIC is being determined, the Committee shall make its determination in a manner consistent with the historical practices used by the Corporation in determining the components of
ROIC and postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity for purposes of reporting those items on its audited financial statements, as modified by this paragraph. Notwithstanding the foregoing, ROIC
will be adjusted to exclude the impact of any change in accounting standards or adoption of any new accounting standards that is required under generally accepted accounting principals in the United States and that is reported in the
Corporation’s filings with the Securities and Exchange Commission as having a material effect on the Corporation’s consolidated financial statements. ROIC as included in the 2008 Long Range Plan and the change in ROIC for purposes of the
ROIC Performance Factor will be determined in accordance with this Section 4.1(b). 

 Award Date: January 28, 2008 
 Page 6 
  

 4.2 Cash Flow Performance Factor. The Cash Flow Performance Factor will be determined by
comparing the Corporation’s cumulative Cash Flow during the Performance Period to the projected cumulative Cash Flow of the Corporation as forecasted in the Corporation’s 2008 Long Range Plan. and then identifying the Cash Flow Performance
Factor based upon the factor associated with the change from the 2008 Long Range Plan on the following table: 
  

				
	 Change From 2008 LRP Cash Flow
	  	Cash Flow
Performance
Factor	 
	 Plan + $1B or more
	  	200	%
	 Plan + $ .75B
	  	175	%
	 Plan + $ .5B
	  	150	%
	 Plan + $ .25B
	  	125	%
	 Plan
	  	100	%
	 Plan - $ .25B
	  	75	%
	 Plan - $ .5B
	  	50	%
	 Plan - $1B
	  	25	%
	 Plan - more than $1B
	  	0	%

  

	 	(a)	Cash Flow Defintion. For purposes of this Award Agreement, Cash Flow means net cash flow from operations but not taking into account: (i) the aggregate difference
between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the Performance Period and the actual amounts contributed by the
Corporation during the Performance Period; (ii) any tax payments or benefits during the Performance Period associated with the divestiture of business units. 

  

	 	(b)	Cash Flow Determination. Cash Flow shall be determined by the Committee based upon the comparable numbers reported on the Corporation’s audited consolidated financial
statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Committee shall determine Cash Flow in a manner consistent with the historical practices used by the Corporation in
determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph. 

 4.3 Interpolation of ROIC and Cash Flow Metrics. If the change in ROIC or Cash Flow falls between two numbers listed in the applicable table in
section 4.1 or 4.2, the appropriate factor will be interpolated on a linear basis. Notwithstanding the foregoing, the ROIC Performance Factor will always be zero if the ROIC for the Performance Period is less than ROIC forecasted for the Performance
Period in the 2008 Long Range Plan by 40 basis points or more and the Cash Flow Performance Factor will always be zero if the aggregate Cash Flow for the Performance Period is less than what was forecasted for the Performance Period in the 2008 Long
Range Plan by more than $1 billion. 

 Award Date: January 28, 2008 
 Page 7 
  

 Section 5. Payment of Award: Potential Award, Mandatory Portion 
 5.1. Employment Requirement. 
 (a)
General Rule. In order to be eligible to receive payment of any portion of your Potential Award as determined under Section 2.1(d), you must remain actively employed by the Corporation through the last day of the Performance Period. If
your employment as an Employee terminates during the Performance Period, you shall forfeit your right to receive all or any part of your Potential Award. 
 (b) Exceptions. Notwithstanding Section 5.1(a), if the Committee determines 
 (1) that your
employment as an Employee terminated as a result of your death, “Divestiture”, “Disability” or “Retirement” or 
 (2) that the Corporation terminated your employment involuntarily as a result of a layoff, 
 you shall retain a fraction of your
Potential Award. The numerator of such fraction shall equal the number of days in the Performance Period before your employment as an Employee terminated, and the denominator shall equal the total number of days in the Performance Period. The
Committee shall have complete and absolute discretion to make the determinations called for under this Section 5.1(b), and all such determinations shall be binding on you and on any person who claims all or any part of your Potential Award on
your behalf as well as on the Corporation. 
 (c) Special Definitions. For purposes of this Award Agreement: 
 (1) Your employment as an Employee shall be treated as terminating because of a Disability on the date you become eligible for a benefit under the
Corporation’s long-term disability plan in which you participate, or if you are not enrolled in a long-term disability plan, the date on which long-term disability benefits would commence under the plan under which you would have been covered,
had you enrolled; 
 (2) Your employment as an Employee shall be treated as terminating as a result of Divestiture if the Corporation divests
all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation and a transfer of such employment to the other party in the divestiture. A divestiture shall
mean a transaction which results in the transfer of control of the business operation to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting stock
or other equity interests are owned or controlled by the Corporation; and 

 Award Date: January 28, 2008 
 Page 8 
  

 (3) Your employment as an Employee shall be treated as terminating because of Retirement if
(a) you participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates on or after the date on which you satisfy the plan’s age and service requirements for commencing receipt of an early
retirement benefit under the plan or (b) you do not participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates after you reach age 55 and have completed five years of service. 
 5.2. Payment Rules. 
 (a) General
Rule. If you are eligible to receive your Potential Award under Section 5.1(a), the Immediate Portion of your Potential Award shall be fully vested and shall be either paid in cash to you or deferred in accordance with Section 5.2(e).
The Deferred Portion of your Potential Award shall remain subject to forfeiture and shall be governed by the provisions of Section 5.2(c). 
 (b) Immediate Portion. Subject to section 5.2(e), you shall have the right to receive the Immediate Portion of your Potential Award currently in cash as soon as practicable after the date on which the Committee certifies in writing
(for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the Performance Period, but in no event later than the March 15 next following the end of the Performance Period. 
 (c) Deferred Portion Subject to Forfeiture. 
 (1) Deferral and Forfeiture. If you are eligible to receive your Potential Award under Section 5.1(a), the payment of the Deferred Portion of your Potential Award shall be deferred through December 31, 2012, and paid as
specified below. You shall forfeit your right to the payment of the Deferred Portion of your Potential Award if you do not remain actively employed by the Corporation through December 31, 2012. 
 (2) Phantom Stock Account. The Committee shall establish a bookkeeping account (a “Phantom Stock Account”) on your behalf under this
Section 5.2(c)(2) and shall credit such account with a number of units equal to the number of whole shares (and any fractional share) of the Corporation’s common stock which could have been purchased by the Deferred Portion of your
Potential Award described in Section 5.2(c)(1) based on the closing price for a share of the Corporation’s common stock as reported on the New York Stock 

 Award Date: January 28, 2008 
 Page 9 
  

 
Exchange for the last trading day of the Performance Period, subject to the Committee’s certification in writing (for purposes of Section 162(m) of
the Code) that your Target Award has become a Potential Award for the Performance Period. Thereafter the Committee shall make such credits or debits to the units previously credited to such account as the Committee deems appropriate in light of any
transaction described in Section 7(a) of the Plan (such as a stock split or stock dividend) or any cash dividends paid on the Corporation’s common stock, which dividends shall increase the number of units credited to such account as if
such dividends had been reinvested in the Corporation’s common stock at the closing price of a share of the Corporation’s common stock as reported on The New York Stock Exchange for the last trading day of the quarter in which such
dividend is declared by the Board of Directors. 
 (3) Payment. Unless you forfeit your right to the Deferred Portion of your Potential
Award described in this Section 5.2(c), you shall have the right to receive the payment of the value of your Phantom Stock Account as determined as of December 31, 2012, as soon as practicable after December 31, 2012, but in no event
later than March 15, 2013 (subject to section 5.2(e)). The amount payable under this Section 5.2(c) shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under
Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for December 31, 2012, or, if it is not a trading day, on the last trading day before December 31,
2012. 
 (4) Special Payment Rule For Certain Terminated Employees. Notwithstanding Section 5.2(c)(1), if your employment
terminates after the close of the Performance Period but prior to December 31, 2012, and the Committee determines that your employment terminated under circumstances described in Sections 5.1(b)(1) or (2), then the Deferred Portion of your
Potential Award described in this Section 5.2(c) shall be paid to you or, in the event of your death, to your designated beneficiary, in cash as soon as practicable following your termination of employment, but in no event later than
March 15 of the year following your termination of employment (subject to Section 5.2(e)). The amount payable under this Section 5.2(c)(4) shall be determined by multiplying the number of units representing shares of phantom stock
credited to your account under Section 5.2(c)(2) on the date your termination becomes effective by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for the date on which your
termination becomes effective, or if it is not a trading day, on the last trading day before that date. In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation
and Benefits’ office, your payment will be made to your estate. 

 Award Date: January 28, 2008 
 Page 10 
  

 (5) No Shareholder Rights. Units credited to your Phantom Stock Account are bookkeeping
entries only and do not entitle you to any shares of the Corporation’s common stock or to any voting or other rights associated with shares of such stock. 
 (d) Special Rule. If you terminate employment during the Performance Period but are eligible to receive a portion of your Potential Award as a result of an exception under Section 5.1(b), payment of such
portion of your Potential Award shall be in full satisfaction of all rights you have under this Award Agreement; in such circumstances, you will not be eligible for a payment of the Deferred Portion under Section 5.2(c) and no other amounts
will be payable to you or on your behalf. The portion of your Potential Award payable to you following a termination of employment during the Performance Period under circumstances described in Section 5.1(b) shall be paid to you or, in the
event of your death, to your designated beneficiary for the Award, in cash as soon as practicable after the Committee certifies in writing (for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the
Performance Period, but in no event later than March 15, 2011 (subject to section 5.2(e)). In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation and
Benefits’ office, your payment will be made to your estate. 
 (e) Further Deferral. You will be given an opportunity to elect to
defer any amounts payable under Sections 5.2(b) and 5.2(d) of this Award Agreement and to further defer any amounts payable under Section 5.2(c)(3). Such election shall be irrevocable, shall be made in accordance with the terms of the Lockheed
Martin Corporation Deferred Management Incentive Compensation Plan and the requirements of Code section 409A, and shall be subject to such additional terms and conditions as are set by the Committee. A deferral election form and the terms and
conditions for any deferral will be furnished to you in due course. 
 5.3. Cutback. Any payment called for under Section 5.2(b)
will be reduced to the extent that such payment together with payments attributable to any other Cash-Based Awards that are granted during 2008 as Performance Based Awards exceeds $5,000,000 and, further, any credit of phantom shares called for
under Section 5.2(c)(2) shall be reduced to the extent that the number of phantom shares credited to you together with the number of shares of Stock and Share Units in respect of Share-Based Awards that are granted to you during 2008 as
Performance Based Awards exceeds 1,000,000. To the extent that any payment called for under Section 5.2(b) would exceed the $5,000,000 limit and therefore must be reduced, the amount in excess of $5,000,000, shall be deferred and credited as
phantom shares under Section 5.2(c)(2) unless such crediting would result in the crediting of phantom shares that would otherwise be prohibited by this 

 Award Date: January 28, 2008 
 Page 11 
  

 
Section 5.3. To the extent that any crediting called for under Section 5.2(c)(2) would exceed the 1,000,000 limit and therefore must be reduced,
the units in excess of 1,000,000, shall not be credited and shall instead be paid in cash under Section 5.2(b) unless such payment would result in a payment that would otherwise be prohibited by this Section 5.3. 
 5.4. Withholding. Any payment made in respect of your Award will be subject to income tax withholding at the minimum rate prescribed by law. You
may owe taxes in addition to the amount withheld and may request that tax be withheld from any payment at a greater rate. In addition, FICA tax will be withheld, as required under the law, when any portion of an award becomes vested for tax purposes
prior to payment and shall reduce the amount of such Award. If prior to payment of the Immediate Portion, you become eligible for retirement, then any FICA tax due on your Deferred Portion will be withheld from the Immediate Portion. If you become
retirement eligible following payment of the Immediate Portion, then FICA taxes will be withheld from your Deferred Portion. 
 5.5. Means
of Satisfying Code Section 409A. If any payment that would otherwise be made under this Award Agreement is required to be delayed by reason of Section 13, such payment shall be made at the earliest date permitted by Code section 409A.
The amount of any delayed payment shall be the amount that would have been paid prior to the delay adjusted to include interest from the original payment date to the actual payment date, compounded daily, at a rate equivalent to the then published
rate for computing the present value of future benefits at the time cost is assignable under Cost Accounting Standard 415, Deferred Compensation, as determined by the Secretary of the Treasury on a semi-annual basis pursuant to Pub. L. 92-41, 85
Stat. 97. 
 Section 6. No Assignment – General Creditor Status. 
 You shall have no right to assign any interest you might have in all or any part of the Target Award or Potential Award which has been granted to you
under this Award Agreement and any attempt to do so shall be null and void and shall have no force or effect whatsoever. Furthermore, all payments called for under this Award Agreement shall be made in cash from the Corporation’s general
assets, and your right to payment from the Corporation’s general assets shall be the same as the right of a general and unsecured creditor of the Corporation. 
 Section 7. Plan. 
 This Award Agreement shall be subject to all of the terms and
conditions set forth in the Plan. 

 Award Date: January 28, 2008 
 Page 12 
  

 Section 8. Change in Control.  
 8.1. Change in Control During Performance Period. If during the Performance Period, a Change in Control (as defined in Section 7 of the Plan)
occurs, the Performance Period will terminate. Notwithstanding any deferral election or term of this Award Agreement to the contrary, a pro rata portion of your Award will be paid to you within 15 days of the Change in Control. The prorated portion
will be the sum of (i) the result obtained by first multiplying your Target Award by the External Performance Factor calculated under Section 3.2(b), but determined as of the last day of the year immediately preceding the Change in
Control, and then further multiplying that product by a fraction, the numerator of which is the number of whole calendar years of the Performance Period that were completed prior to the Change in Control and the denominator of which is three; and
(ii) the product of your Target Award and a fraction, the numerator of which is the number of days preceding the Change in Control that occur in the calendar year in which the Change in Control occurs and the denominator of which is 1095.

 8.2. Change in Control After Performance Period. If a Change in Control occurs after the end of the Performance Period but before
December 31, 2012, notwithstanding any deferral election or term of this Award Agreement to the contrary, the Deferred Portion of your Potential Award described in Section 5.2(c) will be paid to you within 15 days of the Change in Control.
The amount payable shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported
on the New York Stock Exchange for the date on which the Change in Control occurs, or if it is not a trading day, on the last trading day before that date. 
 8.3. Special Rule. Notwithstanding Section 8.1 or Section 8.2, if a payment in accordance with those provisions would result in a nonexempt short-swing transaction under Section 16(b) of the
Securities Exchange Act of 1934, then the date of distribution to you shall be delayed until the earliest date upon which the distribution either would not result in a nonexempt short-swing transaction or would otherwise not result in liability
under Section 16(b) of the Securities Exchange Act of 1934. 
 Section 9. Amendment and Termination. 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall amend Sections 1, 2, 3, 4, or 5 in a manner adverse to you or reduce the amount payable hereunder in a material manner without
your written consent. For this purpose, a change in the amount payable hereunder that occurs solely by reason of a change in the date or form of payment shall in no case be treated as a reduction prohibited by this Section 9. Thus, for example,
if an amount payable by reason of Section 8 is delayed by an amendment to this Award Agreement or other action undertaken to comply with Section 409A of the Internal Revenue Code and the amount payable is reduced solely by reason of a
corresponding delay in the date of valuation of a share of the Corporation’s common stock, such a change shall not be treated as a reduction prohibited by this Section 9. This Section 9 shall be construed and applied so as to permit
the Committee to amend this Award Agreement at any time in any manner reasonably necessary or appropriate in order to comply with the requirements of Code section 409A, including amendments regarding the timing and form of payments hereunder.

 Award Date: January 28, 2008 
 Page 13 
  

 Section 10. No Right to an Award. 
 Your status as an Employee shall not be construed as a commitment that any one or more awards shall be made under the Plan to you or to Employees
generally. Your status as a Participant shall not entitle you to any additional award. 
 Section 11. No Assurance of
Employment. 
 Nothing contained in the Plan or in this Award Agreement shall confer upon you any right to continue in the employ or
other service of the Corporation or constitute any contract (of employment or otherwise) or limit in any way the right of the Corporation to change your compensation or other benefits or to terminate your employment with or without cause.

 Section 12. Conflict. 
 In the event of a conflict between this Award Agreement and the Plan, the Plan document shall control. 
 Section 13. Compliance with Section 409A of the Internal Revenue Code. 
 Notwithstanding any other provision
of this Award Agreement to the contrary, to the extent that this Award Agreement constitutes a nonqualified deferred compensation plan to which Code section 409A applies, payments under this Award Agreement shall be made at a time and in a manner
that satisfies the requirements of Code section 409A and guidance of general applicability issued thereunder, including the provisions of 409A(a)(2)(B) (i)to the extent distributions to any key employee are required to be delayed six months.

 Section 14. Post-Employment Covenants 
 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 Section 15. Execution. 
 You must execute one copy of this Award Agreement and return it to the Office of the Vice President of Compensation and Benefits (Mail Point 123) as soon as possible as a condition to the Award becoming effective. In order for this Award to
be effective, you must execute and return this Award Agreement promptly. Your execution of this Award Agreement constitutes your consent to and acceptance of any action taken under the Plan consistent with its terms with respect to your Award and
your agreement to the Post-Employment Covenants contained in Section 14 and Exhibit A. 

 Award Date: January 28, 2008 
 Page 14 
  

 By signing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
Award from the Corporation’s intranet site http://www.etrade.com/stockplans as well as to electronic delivery of the Corporation’s annual report on Form 10-k, annual proxy and quarterly reports on Form 10-Q. This consent can only be
withdrawn by written notice to the Corporate Secretary, Lockheed Martin Corporation, 6801 Rockledge Drive, Bethesda, MD 20817. 
 A
pre-addressed envelope has been enclosed for your convenience to return with a copy of this Award Agreement, as acknowledged by you below. 
  

	
	Sincerely,
	
	  
	Kenneth J. Disken
	Sr. Vice President, Human Resources

 Enclosures 
  

					
	ACKNOWLEDGEMENT:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	 
	Print or type name	 		 	

 Award Date: January 28, 2008 
 Page 15 
  

 Appendix A 
 Capitalized Terms 
  

			
	Award	 	2nd ¶
	Band	 	§ 3.2(b)
	Cash Flow	 	§ 4.1(b)
	Cash Flow Performance Factor	 	§ 4.2
	Cash Flow Performance Amount	 	§ 2.1(c)
	Cell	 	§ 4.1 (c)
	Change of Control	 	IPA
	Committee	 	1st ¶
	Corporation	 	2nd ¶
	Deferred Portion	 	§ 2.2
	External Performance Amount	 	§ 2.1(a)
	External Performance Factor	 	§ 3.1
	Immediate Portion	 	§ 2.1(c)
	Internal Performance Amount	 	§ 2.1(b)
	Internal Performance Factors	 	§ 4
	Peer Performance Group	 	§ 3.1
	Percentile Ranking	 	§ 3.2(b)
	Performance Period	 	§ 1¶
	Phantom Stock Account	 	§ 5.2(c)(2)
	Plan	 	1st ¶
	Potential Award	 	§ 2.1(c)
	ROIC	 	§ 4.1(a)
	ROIC Performance Factor	 	§ 4.1
	ROIC Performance Amount	 	§ 2.1(b)
	Share Units	 	IPA
	Share-Based Awards	 	IPA
	Stock	 	IPA
	Target Award	 	2nd ¶, § 1
	Total Stockholder Return	 	IPA

 Award Date: January 28, 2008 
 Page 16 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (LTIP Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of a Long Term Incentive Performance Award to me under the Award Agreement (the “LTIP”) pursuant to the Lockheed Martin Corporation
Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). By accepting the LTIP, I agree as follows: 
 1.
Protective Covenants. 
 (a) Covenant Not To Compete - Without the express written consent of the Chief
Executive Officer of the Corporation, during the two-year period following the date of my termination of employment (the “Termination Date”) with Lockheed Martin Corporation (the “Corporation”), I will not, directly or
indirectly, be employed by, provide services to, or advise a “Restricted Company” (as defined in Section 6 below), whether as an employee, advisor, director, officer, partner or consultant, or in any other position, function or role
that, in any such case, 
  

	 	(i)	oversees, controls or affects the design, operation, research, manufacture, marketing, sale or distribution of “Competitive Products or Services” (as defined in
Section 6 below) of or by the Restricted Company, or 

  

	 	(ii)	would involve a substantial risk that the “Confidential or Proprietary Information” (as defined in Section 1(c) below) of the Corporation (including but not limited
to technical information or intellectual property, strategic plans, information relating to pricing offered to the Corporation by vendors or suppliers or to prices charged or pricing contemplated to be charged by the Corporation, information
relating to employee performance, promotions or identification for promotion, or information relating to the Corporation’s cost base) could be used to the disadvantage of the Corporation. 

 (b) Non-Solicit - Without the express written consent of the Chief Executive Officer of the Corporation, during the two-year period
following the Termination Date, I will not (i) interfere with any contractual relationship between the Corporation and any customer, supplier, distributor or manufacturer of or to the Corporation to the detriment of the Corporation or
(ii) induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation. 

 Award Date: January 28, 2008 
 Page 17 
  

 (c) Protection of Proprietary Information – Except to the extent required
by law, following my Termination Date, I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the “Confidential or
Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in accordance with the
terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for
creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or
confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to
protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of
this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been made available to me), including but not limited to information that a person or entity desires to
protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or
entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. 

 Award Date: January 28, 2008 
 Page 18 
  

 (d) No disparagement – Following the Termination Date, I will not make
any statements, whether verbal or written, that disparage or reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with
respect to any matter whatsoever. 
 (e) Cooperation in Litigation and Investigations - Following the Termination Date,
I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or affiliates
is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or investigation.
Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the LTIP is expressly made contingent upon my
agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and compensation
opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive knowledge of the
Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as
defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

 Award Date: January 28, 2008 
 Page 19 
  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the LTIP, any cash paid to me, whether paid currently or
deferred; and (ii) to the extent I have not earned the LTIP fully, all of my remaining rights, title or interest in the LTIP. 

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in
Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to
the granting of injunctive relief in its favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA shall be enforced to the fullest
extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only
with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Definitions.
Capitalized terms not defined in this PECA have the meaning given to them in the Plan, as applicable. For purposes of this PECA, the following terms have the meanings given below: 
 (a) “Restricted Company” means The Boeing Company, General Dynamics Corporation, Northrop Grumman Corporation, the Raytheon
Company, United Technologies Corporation, Honeywell International Inc., BAE Systems Inc., L-3 Communications Corporation, the Harris Corporation, Thales, EADS North America and (i) any entity directly or indirectly controlling, controlled by,
or under common control with any of the foregoing, and (ii) any successor to all or part of the business of any of the foregoing as a result of a merger, reorganization, consolidation, spin-off, split-up, acquisition, divestiture, or similar
transaction. 

 Award Date: January 28, 2008 
 Page 20 
  

 (b) “Competitive Products or Services” means products or services that
compete with, or are an alternative or potential alternative to, products sold or services provided by a subsidiary, business area, division or operating unit or business of the Corporation as of the Termination Date and at any time within the
two-year period ending on the Termination Date; provided, that, (i) if I had direct responsibility for the business of, or function with respect to, a subsidiary, or for a business area, division or operating unit or business of the Corporation
at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so provided during that two-year period by the subsidiary, business area, division or operating
unit of the Corporation for which I had responsibility, and (ii) if I did not have direct responsibility for the business of, or function with respect to, a subsidiary, or for a business area, division or operating unit or business of the
Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so provided by a subsidiary, business area, division or operating unit of the
Corporation for which I had access (or was required or permitted such access in the performance of my duties or responsibilities with the Corporation) to Confidential or Proprietary Information of the Corporation at any time during the two-year
period ending on the Termination Date. 
 7. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the LTIP to me.

 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. 

(c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation
without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not,
by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate
policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the
acceptance by me of the award of an LTIP under the Award Agreement. 

 LTIP 
 Award Date: January 28, 2008 
 Lockheed Martin Corporation 
 6801 Rockledge Drive, Bethesda, MD 20817 
 Telephone 301-897-6000 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE
BEEN REGISTERED UNDER THE 
 SECURITIES ACT OF 1933 
 «Name» 
 «Street» 
 «City», «State» «Zip» 
  

	 	Re:	Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan: Long-Term Incentive Performance Award (2008-2010 Performance Period) 

 Dear «Call_By_Name»: 
 On behalf of the Management Development and Compensation Committee (the “Committee”) of the Board of Directors of Lockheed Martin Corporation, I am pleased to tell you that you have been granted a Long-Term Incentive Performance
Award under the Corporation’s Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). The purpose of this letter is to serve as the Award Agreement under such Plan and to set forth your Target Award as well as the
terms and conditions to the payment of your Target Award. Additional terms and conditions are set forth in the Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. The Prospectus is
available at http://www.etrade.com/stockplans. You should retain the Prospectus and the attached copy of the Plan in your records. 
 IN ORDER FOR THIS
AWARD TO BE EFFECTIVE, YOU MUST PROMPTLY SIGN AND RETURN A COPY OF THIS AWARD AGREEMENT. PLEASE NOTE THAT BY ACCEPTING THE AWARD YOU AGREE TO BE BOUND BY THE RESTRICTIONS CONTAINED IN SECTION 14, “POST-EMPLOYMENT COVENANTS” AND IN
EXHIBIT A ATTACHED TO THIS AGREEMENT. 
 Capitalized terms used in this letter which have a special meaning either shall be defined in
this letter or if not defined in this letter shall have the meaning ascribed to the term in the Plan. The term “Target Award” as used in this Award Agreement refers only to the Target Award awarded to you under this Award Agreement and the
term “Award” refers only to the Long Term Incentive Performance Award set forth in this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. Appendix A contains an index of
all capitalized terms used in this Agreement. 

 Award Date: January 28, 2008 
 Page 2 
  

 Section 1. Target Award. Performance Period. 
 1.1 Target Award. Your Target Award for the Performance Period under this Award Agreement shall be [Target]. 
 1.2 Performance Period. The Performance Period under this Award Agreement is a three-year performance period that runs from January 1, 2008,
until December 31, 2010. 
 1.3 Payment of Award. The amount payable to you under your Award is dependent upon the
Corporation’s performance as compared to the internal and external metrics described in this Award Agreement and your continued employment with the Corporation in accordance with Section 5 of this Agreement. As a result of these
requirements, any payments you receive may be larger or smaller than your Target Award (e.g., the performance factors could result in no payment in respect of your Award). 
 Section 2. Calculation of Award Payments. 
 2.1 End of Performance Period Calculation. Following the end of the Performance Period and prior to any payments being made, 
 (a) The Committee will calculate the External Performance Factor based on the Corporation’s performance during the Performance Period relative to the performance of other corporations which compose the
Standard & Poor’s Industrials Index reported under symbol S5INDU by Bloomberg, L.P. One-half of your Target Award will be multiplied by the External Performance Factor, with the resulting dollar amount to be known as the External
Performance Amount. 
 (b) The Committee will also calculate the ROIC Performance Factor based on the Corporation’s ROIC during the
Performance Period as compared to the projected ROIC for the Performance Period in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will be multiplied by the ROIC Performance Factor, with the
resulting dollar amount to be known as the ROIC Performance Amount. 
 (c) The Committee will also calculate the Cash Flow Performance Factor
based on the Corporation’s cumulative Cash Flow during the Performance Period as compared to the projected cumulative Cash Flow in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will
be multiplied by the Cash Flow Performance Factor, with the resulting dollar amount to be known as the Cash Flow Performance Amount. 

 Award Date: January 28, 2008 
 Page 3 
  

 (d) Your External Performance Amount, your ROIC Performance Amount, and your Cash Flow Performance
Amount will then be added together, with the sum of those three amounts known as your “Potential Award”. Assuming you satisfy the continued employment requirements set forth in Section 5 of this Award Agreement, one-half of your
Potential Award (the “Immediate Portion”) will be paid to you (or deferred to a later payment date specified at your election subject to the rules on deferrals set forth below) as soon as practicable after the Committee completes its
calculations in 2011, but in no event later than March 15, 2011. 
 2.2 Two Year Deferral Period. The remaining one-half of your
Potential Award (the “Deferred Portion”) will be deferred and paid as soon as practicable in January 2013, but in no event later than March 15, 2013. 
 (a) Between December 31, 2010, and December 31, 2012, the Deferred Portion will be treated as though it was invested by the Corporation on December 31, 2010, in the Corporation’s common stock and
will be adjusted to reflect dividends, gains, and losses to reflect the performance of the Corporation’s common stock, as further specified in Section 5.2(c)(2). 
 (b) Assuming you satisfy the continued employment requirements set forth in Section 5.2(c) of this Award Agreement, the Deferred Portion (as adjusted) will be paid to you as soon as practicable in January 2013,
but in no event later than March 15, 2013 or deferred to a later payment date specified at your election subject to the rules on deferrals set forth below. 
 You must (except as specified in Section 5) remain employed by the Corporation through December 31, 2010, to receive a payment of any portion of your Award and through December 31, 2012, to receive payment of the Deferred
Portion. 
 Section 3. External Performance Factor. 
 3.1. External Performance Factor – Peer Performance Group. The External Performance Factor will be based upon the relative ranking of the
Corporation’s Total Stockholder Return (as defined in the Plan and assuming the reinvestment of any cash dividends) for the Performance Period to the Total Stockholder Return for such Period for the corporations which compose the
Standard & Poor’s Industrials Index as reported under symbol S5INDU by Bloomberg, L.P. (“Peer Performance Group”) at the beginning of the Performance Period. The Corporation shall be included as a member of the Peer
Performance Group. The Corporation’s Total Stockholder Return will be based on the performance of its common stock, par value $1.00. The Total Stockholder Return of each corporation that is taken into account in computing the Peer Performance
Group Total Stockholder Return will be based on the equity security of the relevant corporation that is used in computing the Standard & Poor’s Industrials Index. 

 Award Date: January 28, 2008 
 Page 4 
  

 3.2. Calculation of External Performance Factor. 
 (a) Calculation of Total Stockholder Return. After the end of the Performance Period, the Committee shall compute the Total Stockholder Return for
the Corporation for such Period and shall compute and rank the Total Stockholder Return for each corporation in the Peer Performance Group. Each corporation’s Total Stockholder Return shall be ranked among the Total Stockholder Return for each
other corporation in the Peer Performance Group on a percentile basis. Each such Total Shareholder Return shall be computed from data available to the public. 
 (b) Percentage Level of Target Award. Your External Performance Factor, expressed as a percentage, will be determined under this Section 3.2(b) (and 3.2(c) to the extent interpolation is necessary) based
on the percentile ranking of the Corporation’s Total Stockholder Return for the Performance Period under the following chart – 
  

						
	 Band
	  	Percentile Ranking	  	External
Performance
Factor	 
	 One
	  	75th or higher	  	200	%
	 Two
	  	60th	  	150	%
	 Three
	  	50th	  	100	%
	 Four
	  	40th	  	50	%
	 Five
	  	35th	  	25	%
	 Six
	  	Below 35th	  	0	%

 (c) External Performance Factor Interpolation. If the Corporation’s Total Stockholder
Return puts the Corporation over the listed Percentile Ranking for the applicable Band (other than Band One) in Section 3.2(b), your External Performance Factor under Section 3.2(b) shall be interpolated on a linear basis. 

 Award Date: January 28, 2008 
 Page 5 
  

 Section 4. Internal Performance Factors. 
 4.1 ROIC Performance Factor. The ROIC Performance Factor will be determined by comparing the Corporation’s ROIC for the Performance Period to
ROIC as forecasted for the Performance Period in the Corporation’s 2008 Long Range Plan and then identifying the ROIC Performance Factor based upon the factor associated with the difference on the following table: 
  

				
	 Change from 2008 LRP ROIC
	  	ROIC
Performance
Factor	 
	 Plan + 40 or more basis points
	  	200	%
	 Plan + 30 basis points
	  	175	%
	 Plan + 20 basis points
	  	150	%
	 Plan + 10 basis points
	  	125	%
	 Plan
	  	100	%
	 Plan - 10 basis points
	  	75	%
	 Plan - 20 basis points
	  	50	%
	 Plan - 30 basis points
	  	25	%
	 Plan - 40 or more basis points
	  	0	%

  

	 	(a)	ROIC Definition. For purposes of this Award Agreement, “ROIC” means return on invested capital for the Performance Period calculated as (A) average annual
(i) net income plus (ii) interest expense times one minus the highest marginal federal corporate tax rate over the three year Performance period (“Return”), divided by (B) the average of the four year-end investment balances
(beginning with December 31, 2007 year-end balance) consisting of (i) debt (including current maturities of long-term debt) plus (ii) stockholders’ equity plus the postretirement plans amounts determined at year-end as included
in the Corporation’s Statement of Stockholder Equity. 

  

	 	(b)	ROIC Determination. Each component of ROIC and the calculation of any postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity shall be
determined by the Committee in accordance with generally accepted accounting principles in the United States and be based upon the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited
financial statements are not available for the date or period on which ROIC is being determined, the Committee shall make its determination in a manner consistent with the historical practices used by the Corporation in determining the components of
ROIC and postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity for purposes of reporting those items on its audited financial statements, as modified by this paragraph. Notwithstanding the foregoing, ROIC
will be adjusted to exclude the impact of any change in accounting standards or adoption of any new accounting standards that is required under generally accepted accounting principals in the United States and that is reported in the
Corporation’s filings with the Securities and Exchange Commission as having a material effect on the Corporation’s consolidated financial statements. ROIC as included in the 2008 Long Range Plan and the change in ROIC for purposes of the
ROIC Performance Factor will be determined in accordance with this Section 4.1(b). 

 Award Date: January 28, 2008 
 Page 6 
  

 4.2 Cash Flow Performance Factor. The Cash Flow Performance Factor will be determined by
comparing the Corporation’s cumulative Cash Flow during the Performance Period to the projected cumulative Cash Flow of the Corporation as forecasted in the Corporation’s 2008 Long Range Plan. and then identifying the Cash Flow Performance
Factor based upon the factor associated with the change from the 2008 Long Range Plan on the following table: 
  

				
	 Change From 2008 LRP Cash Flow
	  	Cash Flow
Performance
Factor	 
	 Plan + $1B or more
	  	200	%
	 Plan + $ .75B
	  	175	%
	 Plan + $ .5B
	  	150	%
	 Plan + $ .25B
	  	125	%
	 Plan
	  	100	%
	 Plan - $ .25B
	  	75	%
	 Plan - $ .5B
	  	50	%
	 Plan - $1B
	  	25	%
	 Plan - more than $1B
	  	0	%

  

	 	(a)	Cash Flow Defintion. For purposes of this Award Agreement, Cash Flow means net cash flow from operations but not taking into account: (i) the aggregate difference
between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the Performance Period and the actual amounts contributed by the
Corporation during the Performance Period; (ii) any tax payments or benefits during the Performance Period associated with the divestiture of business units. 

  

	 	(b)	Cash Flow Determination. Cash Flow shall be determined by the Committee based upon the comparable numbers reported on the Corporation’s audited consolidated financial
statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Committee shall determine Cash Flow in a manner consistent with the historical practices used by the Corporation in
determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph. 

 4.3 Interpolation of ROIC and Cash Flow Metrics. If the change in ROIC or Cash Flow falls between two numbers listed in the applicable table in
section 4.1 or 4.2, the appropriate factor will be interpolated on a linear basis. Notwithstanding the foregoing, the ROIC Performance Factor will always be zero if the ROIC for the Performance Period is less than ROIC forecasted for the Performance
Period in the 2008 Long Range Plan by 40 basis points or more and the Cash Flow Performance Factor will always be zero if the aggregate Cash Flow for the Performance Period is less than what was forecasted for the Performance Period in the 2008 Long
Range Plan by more than $1 billion. 

 Award Date: January 28, 2008 
 Page 7 
  

 Section 5. Payment of Award: Potential Award, Mandatory Portion 
 5.1. Employment Requirement. 
 (a)
General Rule. In order to be eligible to receive payment of any portion of your Potential Award as determined under Section 2.1(d), you must remain actively employed by the Corporation through the last day of the Performance Period. If
your employment as an Employee terminates during the Performance Period, you shall forfeit your right to receive all or any part of your Potential Award. 
 (b) Exceptions. Notwithstanding Section 5.1(a), if the Committee determines 
 (1) that your
employment as an Employee terminated as a result of your death, “Divestiture”, “Disability” or “Retirement” or 
 (2) that the Corporation terminated your employment involuntarily as a result of a layoff, 
 you shall retain a fraction of your
Potential Award. The numerator of such fraction shall equal the number of days in the Performance Period before your employment as an Employee terminated, and the denominator shall equal the total number of days in the Performance Period. The
Committee shall have complete and absolute discretion to make the determinations called for under this Section 5.1(b), and all such determinations shall be binding on you and on any person who claims all or any part of your Potential Award on
your behalf as well as on the Corporation. 
 (c) Special Definitions. For purposes of this Award Agreement: 
 (1) Your employment as an Employee shall be treated as terminating because of a Disability on the date you become eligible for a benefit under the
Corporation’s long-term disability plan in which you participate, or if you are not enrolled in a long-term disability plan, the date on which long-term disability benefits would commence under the plan under which you would have been covered,
had you enrolled; 
 (2) Your employment as an Employee shall be treated as terminating as a result of Divestiture if the Corporation divests
all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation and a transfer of such employment to the other party in the divestiture. A divestiture shall
mean a transaction which results in the transfer of control of the business operation to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting stock
or other equity interests are owned or controlled by the Corporation; and 

 Award Date: January 28, 2008 
 Page 8 
  

 (3) Your employment as an Employee shall be treated as terminating because of Retirement if
(a) you participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates on or after the date on which you satisfy the plan’s age and service requirements for commencing receipt of an early
retirement benefit under the plan or (b) you do not participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates after you reach age 55 and have completed five years of service. 
 5.2. Payment Rules. 
 (a) General
Rule. If you are eligible to receive your Potential Award under Section 5.1(a), the Immediate Portion of your Potential Award shall be fully vested and shall be either paid in cash to you or deferred in accordance with Section 5.2(e).
The Deferred Portion of your Potential Award shall remain subject to forfeiture and shall be governed by the provisions of Section 5.2(c). 
 (b) Immediate Portion. Subject to section 5.2(e), you shall have the right to receive the Immediate Portion of your Potential Award currently in cash as soon as practicable after the date on which the Committee certifies in writing
(for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the Performance Period, but in no event later than the March 15 next following the end of the Performance Period. 
 (c) Deferred Portion Subject to Forfeiture. 
 (1) Deferral and Forfeiture. If you are eligible to receive your Potential Award under Section 5.1(a), the payment of the Deferred Portion of your Potential Award shall be deferred through December 31, 2012, and paid as
specified below. You shall forfeit your right to the payment of the Deferred Portion of your Potential Award if you do not remain actively employed by the Corporation through December 31, 2012. 
 (2) Phantom Stock Account. The Committee shall establish a bookkeeping account (a “Phantom Stock Account”) on your behalf under this
Section 5.2(c)(2) and shall credit such account with a number of units equal to the number of whole shares (and any fractional share) of the Corporation’s common stock which could have been purchased by the Deferred Portion of your
Potential Award described in Section 5.2(c)(1) based on the closing price for a share of the Corporation’s common stock as reported on the New York Stock 

 Award Date: January 28, 2008 
 Page 9 
  

 
Exchange for the last trading day of the Performance Period, subject to the Committee’s certification in writing (for purposes of Section 162(m) of
the Code) that your Target Award has become a Potential Award for the Performance Period. Thereafter the Committee shall make such credits or debits to the units previously credited to such account as the Committee deems appropriate in light of any
transaction described in Section 7(a) of the Plan (such as a stock split or stock dividend) or any cash dividends paid on the Corporation’s common stock, which dividends shall increase the number of units credited to such account as if
such dividends had been reinvested in the Corporation’s common stock at the closing price of a share of the Corporation’s common stock as reported on The New York Stock Exchange for the last trading day of the quarter in which such
dividend is declared by the Board of Directors. 
 (3) Payment. Unless you forfeit your right to the Deferred Portion of your Potential
Award described in this Section 5.2(c), you shall have the right to receive the payment of the value of your Phantom Stock Account as determined as of December 31, 2012, as soon as practicable after December 31, 2012, but in no event
later than March 15, 2013 (subject to section 5.2(e)). The amount payable under this Section 5.2(c) shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under
Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for December 31, 2012, or, if it is not a trading day, on the last trading day before December 31,
2012. 
 (4) Special Payment Rule For Certain Terminated Employees. Notwithstanding Section 5.2(c)(1), if your employment
terminates after the close of the Performance Period but prior to December 31, 2012, and the Committee determines that your employment terminated under circumstances described in Sections 5.1(b)(1) or (2), then the Deferred Portion of your
Potential Award described in this Section 5.2(c) shall be paid to you or, in the event of your death, to your designated beneficiary, in cash as soon as practicable following your termination of employment, but in no event later than
March 15 of the year following your termination of employment (subject to Section 5.2(e)). The amount payable under this Section 5.2(c)(4) shall be determined by multiplying the number of units representing shares of phantom stock
credited to your account under Section 5.2(c)(2) on the date your termination becomes effective by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for the date on which your
termination becomes effective, or if it is not a trading day, on the last trading day before that date. In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation
and Benefits’ office, your payment will be made to your estate. 

 Award Date: January 28, 2008 
 Page 10 
  

 (5) No Shareholder Rights. Units credited to your Phantom Stock Account are bookkeeping
entries only and do not entitle you to any shares of the Corporation’s common stock or to any voting or other rights associated with shares of such stock. 
 (d) Special Rule. If you terminate employment during the Performance Period but are eligible to receive a portion of your Potential Award as a result of an exception under Section 5.1(b), payment of such
portion of your Potential Award shall be in full satisfaction of all rights you have under this Award Agreement; in such circumstances, you will not be eligible for a payment of the Deferred Portion under Section 5.2(c) and no other amounts
will be payable to you or on your behalf. The portion of your Potential Award payable to you following a termination of employment during the Performance Period under circumstances described in Section 5.1(b) shall be paid to you or, in the
event of your death, to your designated beneficiary for the Award, in cash as soon as practicable after the Committee certifies in writing (for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the
Performance Period, but in no event later than March 15, 2011 (subject to section 5.2(e)). In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation and
Benefits’ office, your payment will be made to your estate. 
 (e) Further Deferral. You will be given an opportunity to elect to
defer any amounts payable under Sections 5.2(b) and 5.2(d) of this Award Agreement and to further defer any amounts payable under Section 5.2(c)(3). Such election shall be irrevocable, shall be made in accordance with the terms of the Lockheed
Martin Corporation Deferred Management Incentive Compensation Plan and the requirements of Code section 409A, and shall be subject to such additional terms and conditions as are set by the Committee. A deferral election form and the terms and
conditions for any deferral will be furnished to you in due course. 
 5.3. Cutback. Any payment called for under Section 5.2(b)
will be reduced to the extent that such payment together with payments attributable to any other Cash-Based Awards that are granted during 2008 as Performance Based Awards exceeds $5,000,000 and, further, any credit of phantom shares called for
under Section 5.2(c)(2) shall be reduced to the extent that the number of phantom shares credited to you together with the number of shares of Stock and Share Units in respect of Share-Based Awards that are granted to you during 2008 as
Performance Based Awards exceeds 1,000,000. To the extent that any payment called for under Section 5.2(b) would exceed the $5,000,000 limit and therefore must be reduced, the amount in excess of $5,000,000, shall be deferred and credited as
phantom shares under Section 5.2(c)(2) unless such crediting would result in the crediting of phantom shares that would otherwise be prohibited by this 

 Award Date: January 28, 2008 
 Page 11 
  

 
Section 5.3. To the extent that any crediting called for under Section 5.2(c)(2) would exceed the 1,000,000 limit and therefore must be reduced,
the units in excess of 1,000,000, shall not be credited and shall instead be paid in cash under Section 5.2(b) unless such payment would result in a payment that would otherwise be prohibited by this Section 5.3. 
 5.4. Withholding. Any payment made in respect of your Award will be subject to income tax withholding at the minimum rate prescribed by law. You
may owe taxes in addition to the amount withheld and may request that tax be withheld from any payment at a greater rate. In addition, FICA tax will be withheld, as required under the law, when any portion of an award becomes vested for tax purposes
prior to payment and shall reduce the amount of such Award. If prior to payment of the Immediate Portion, you become eligible for retirement, then any FICA tax due on your Deferred Portion will be withheld from the Immediate Portion. If you become
retirement eligible following payment of the Immediate Portion, then FICA taxes will be withheld from your Deferred Portion. 
 5.5. Means
of Satisfying Code Section 409A. If any payment that would otherwise be made under this Award Agreement is required to be delayed by reason of Section 13, such payment shall be made at the earliest date permitted by Code section 409A.
The amount of any delayed payment shall be the amount that would have been paid prior to the delay adjusted to include interest from the original payment date to the actual payment date, compounded daily, at a rate equivalent to the then published
rate for computing the present value of future benefits at the time cost is assignable under Cost Accounting Standard 415, Deferred Compensation, as determined by the Secretary of the Treasury on a semi-annual basis pursuant to Pub. L. 92-41, 85
Stat. 97. 
 Section 6. No Assignment – General Creditor Status. 
 You shall have no right to assign any interest you might have in all or any part of the Target Award or Potential Award which has been granted to you
under this Award Agreement and any attempt to do so shall be null and void and shall have no force or effect whatsoever. Furthermore, all payments called for under this Award Agreement shall be made in cash from the Corporation’s general
assets, and your right to payment from the Corporation’s general assets shall be the same as the right of a general and unsecured creditor of the Corporation. 
 Section 7. Plan. 
 This Award Agreement shall be subject to all of the terms and
conditions set forth in the Plan. 

 Award Date: January 28, 2008 
 Page 12 
  

 Section 8. Change in Control. 
 8.1. Change in Control During Performance Period. If during the Performance Period, a Change in Control (as defined in Section 7 of the Plan)
occurs, the Performance Period will terminate. Notwithstanding any deferral election or term of this Award Agreement to the contrary, a pro rata portion of your Award will be paid to you within 15 days of the Change in Control. The prorated portion
will be the sum of (i) the result obtained by first multiplying your Target Award by the External Performance Factor calculated under Section 3.2(b), but determined as of the last day of the year immediately preceding the Change in
Control, and then further multiplying that product by a fraction, the numerator of which is the number of whole calendar years of the Performance Period that were completed prior to the Change in Control and the denominator of which is three; and
(ii) the product of your Target Award and a fraction, the numerator of which is the number of days preceding the Change in Control that occur in the calendar year in which the Change in Control occurs and the denominator of which is 1095.

 8.2. Change in Control After Performance Period. If a Change in Control occurs after the end of the Performance Period but before
December 31, 2012, notwithstanding any deferral election or term of this Award Agreement to the contrary, the Deferred Portion of your Potential Award described in Section 5.2(c) will be paid to you within 15 days of the Change in Control.
The amount payable shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported
on the New York Stock Exchange for the date on which the Change in Control occurs, or if it is not a trading day, on the last trading day before that date. 
 8.3. Special Rule. Notwithstanding Section 8.1 or Section 8.2, if a payment in accordance with those provisions would result in a nonexempt short-swing transaction under Section 16(b) of the
Securities Exchange Act of 1934, then the date of distribution to you shall be delayed until the earliest date upon which the distribution either would not result in a nonexempt short-swing transaction or would otherwise not result in liability
under Section 16(b) of the Securities Exchange Act of 1934. 
 Section 9. Amendment and Termination. 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall amend Sections 1, 2, 3, 4, or 5 in a manner adverse to you or reduce the amount payable hereunder in a material manner without
your written consent. For this purpose, a change in the amount payable hereunder that occurs solely by reason of a change in the date or form of payment shall in no case be treated as a reduction prohibited by this Section 9. Thus, for example,
if an amount payable by reason of Section 8 is delayed by an amendment to this Award Agreement or other action undertaken to comply with Section 409A of the Internal Revenue Code and the amount payable is reduced solely by reason of a
corresponding delay in the date of valuation of a share of the Corporation’s common stock, such a change shall not be treated as a reduction prohibited by this Section 9. This Section 9 shall be construed and applied so as to permit
the Committee to amend this Award Agreement at any time in any manner reasonably necessary or appropriate in order to comply with the requirements of Code section 409A, including amendments regarding the timing and form of payments hereunder.

 Award Date: January 28, 2008 
 Page 13 
  

 Section 10. No Right to an Award. 
 Your status as an Employee shall not be construed as a commitment that any one or more awards shall be made under the Plan to you or to Employees
generally. Your status as a Participant shall not entitle you to any additional award. 
 Section 11. No Assurance of
Employment. 
 Nothing contained in the Plan or in this Award Agreement shall confer upon you any right to continue in the employ or
other service of the Corporation or constitute any contract (of employment or otherwise) or limit in any way the right of the Corporation to change your compensation or other benefits or to terminate your employment with or without cause.

 Section 12. Conflict. 
 In the event of a conflict between this Award Agreement and the Plan, the Plan document shall control. 
 Section 13. Compliance with Section 409A of the Internal Revenue Code. 
 Notwithstanding any other provision
of this Award Agreement to the contrary, to the extent that this Award Agreement constitutes a nonqualified deferred compensation plan to which Code section 409A applies, payments under this Award Agreement shall be made at a time and in a manner
that satisfies the requirements of Code section 409A and guidance of general applicability issued thereunder, including the provisions of 409A(a)(2)(B) (i)to the extent distributions to any key employee are required to be delayed six months.

 Section 14. Post-Employment Covenants 
 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 Section 15. Execution. 
 You must execute one copy of this Award Agreement and return it to the Office of the Vice President of Compensation and Benefits (Mail Point 123) as soon as possible as a condition to the Award becoming effective. In order for this Award to
be effective, you must execute and return this Award Agreement promptly. Your execution of this Award Agreement constitutes your consent to and acceptance of any action taken under the Plan consistent with its terms with respect to your Award and
your agreement to the Post-Employment Covenants contained in Section 14 and Exhibit A. 

 Award Date: January 28, 2008 
 Page 14 
  

 By signing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
Award from the Corporation’s intranet site http://www.etrade.com/stockplans as well as to electronic delivery of the Corporation’s annual report on Form 10-k, annual proxy and quarterly reports on Form 10-Q. This consent can only be
withdrawn by written notice to the Corporate Secretary, Lockheed Martin Corporation, 6801 Rockledge Drive, Bethesda, MD 20817. 
 A
pre-addressed envelope has been enclosed for your convenience to return with a copy of this Award Agreement, as acknowledged by you below. 
  

	
	Sincerely,
	
	  
	Kenneth J. Disken
Sr. Vice President, Human Resources

  

					
	Enclosures	 		 	
			
	ACKNOWLEDGEMENT:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	 
	Print or type name	 		 	

 Award Date: January 28, 2008 
 Page 15 
  

 Appendix A 
 Capitalized Terms 
  

			
	Award	 	2nd ¶
	Band	 	§ 3.2(b)
	Cash Flow	 	§ 4.1(b)
	Cash Flow Performance Factor	 	§ 4.2
	Cash Flow Performance Amount	 	§ 2.1(c)
	Cell	 	§ 4.1 (c)
	Change of Control	 	IPA
	Committee	 	1st ¶
	Corporation	 	2nd ¶
	Deferred Portion	 	§ 2.2
	External Performance Amount	 	§ 2.1(a)
	External Performance Factor	 	§ 3.1
	Immediate Portion	 	§ 2.1(c)
	Internal Performance Amount	 	§ 2.1(b)
	Internal Performance Factors	 	§ 4
	Peer Performance Group	 	§ 3.1
	Percentile Ranking	 	§ 3.2(b)
	Performance Period	 	§ 1¶
	Phantom Stock Account	 	§ 5.2(c)(2)
	Plan	 	1st ¶
	Potential Award	 	§ 2.1(c)
	ROIC	 	§ 4.1(a)
	ROIC Performance Factor	 	§ 4.1
	ROIC Performance Amount	 	§ 2.1(b)
	Share Units	 	IPA
	Share-Based Awards	 	IPA
	Stock	 	IPA
	Target Award	 	2nd ¶, § 1
	Total Stockholder Return	 	IPA

 Award Date: January 28, 2008 
 Page 16 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (LTIP Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of a Long Term Incentive Performance Award to me under the Award Agreement (the “LTIP”) pursuant to the Lockheed Martin Corporation
Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). By accepting the LTIP, I agree as follows: 
 1.
Protective Covenants. 
 (a) Covenant Not To Compete - Without the express written consent of the Management
Development and Compensation Committee of the Board of Directors of the Corporation, during the two-year period following the date of my termination of employment (the “Termination Date”) with Lockheed Martin Corporation (the
“Corporation”), I will not, directly or indirectly, be employed by, provide services to, or advise a “Restricted Company” (as defined in Section 6 below), whether as an employee, advisor, director, officer, partner or
consultant, or in any other position, function or role that, in any such case, 
  

	 	(i)	oversees, controls or affects the design, operation, research, manufacture, marketing, sale or distribution of “Competitive Products or Services” (as defined in
Section 6 below) of or by the Restricted Company, or 

  

	 	(ii)	would involve a substantial risk that the “Confidential or Proprietary Information” (as defined in Section 1(c) below) of the Corporation (including but not limited
to technical information or intellectual property, strategic plans, information relating to pricing offered to the Corporation by vendors or suppliers or to prices charged or pricing contemplated to be charged by the Corporation, information
relating to employee performance, promotions or identification for promotion, or information relating to the Corporation’s cost base) could be used to the disadvantage of the Corporation. 

 (b) Non-Solicit - Without the express written consent of the Management Development and Compensation Committee of the Board of
Directors of the Corporation, during the two-year period following the Termination Date, I will not (i) interfere with any contractual relationship between the Corporation and any customer, supplier, distributor or manufacturer of or to the
Corporation to the detriment of the Corporation or (ii) induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation. 

 Award Date: January 28, 2008 
 Page 17 
  

 (c) Protection of Proprietary Information - Except to the extent required by
law, following my Termination Date, I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the “Confidential or
Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in accordance with the
terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for
creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or
confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to
protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of
this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been made available to me), including but not limited to information that a person or entity desires to
protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or
entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. 

 (d) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or
reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Award Date: January 28, 2008 
 Page 18 
  

 (e) Cooperation in Litigation and Investigations—Following the
Termination Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its
subsidiaries or affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation
or investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the LTIP is expressly made contingent upon my
agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and compensation
opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive knowledge of the
Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as
defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

 Award Date: January 28, 2008 
 Page 19 
  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the LTIP, any cash paid to me, whether paid currently or
deferred; and (ii) to the extent I have not earned the LTIP fully, all of my remaining rights, title or interest in the LTIP. 

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in
Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to
the granting of injunctive relief in its favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA shall be enforced to the fullest
extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only
with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Definitions.
Capitalized terms not defined in this PECA have the meaning given to them in the Plan, as applicable. For purposes of this PECA, the following terms have the meanings given below: 
 (a) “Restricted Company” means The Boeing Company, General Dynamics Corporation, Northrop Grumman Corporation, the Raytheon
Company, United Technologies Corporation, Honeywell International Inc., BAE Systems Inc., L-3 Communications Corporation, the Harris Corporation, Thales, EADS North America and (i) any entity directly or indirectly controlling, controlled by,
or under common control with any of the foregoing, and (ii) any successor to all or part of the business of any of the foregoing as a result of a merger, reorganization, consolidation, spin-off, split-up, acquisition, divestiture, or similar
transaction. 

 Award Date: January 28, 2008 
 Page 20 
  

 (b) “Competitive Products or Services” means products or services that
compete with, or are an alternative or potential alternative to, products sold or services provided by a subsidiary, business area, division or operating unit or business of the Corporation as of the Termination Date and at any time within the
two-year period ending on the Termination Date; provided, that, (i) if I had direct responsibility for the business of, or function with respect to, a subsidiary, or for a business area, division or operating unit or business of the Corporation
at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so provided during that two-year period by the subsidiary, business area, division or operating
unit of the Corporation for which I had responsibility, and (ii) if I did not have direct responsibility for the business of, or function with respect to, a subsidiary, or for a business area, division or operating unit or business of the
Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so provided by a subsidiary, business area, division or operating unit of the
Corporation for which I had access (or was required or permitted such access in the performance of my duties or responsibilities with the Corporation) to Confidential or Proprietary Information of the Corporation at any time during the two-year
period ending on the Termination Date. 
 7. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the LTIP to me.

 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. 

(c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation
without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not,
by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate
policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the
acceptance by me of the award of an LTIP under the Award Agreement. 

 LTIP 
 Award Date: January 28, 2008 
 Lockheed Martin Corporation 
 6801 Rockledge Drive, Bethesda, MD 20817 
 Telephone 301-897-6000 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE
BEEN REGISTERED UNDER THE 
 SECURITIES ACT OF 1933 
 «Name» 
 «Street» 
 «City», «State» «Zip» 
  

	 	Re:	Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan: Long-Term Incentive Performance Award (2008-2010 Performance Period)
 

 Dear «Call_By_Name»: 
 On behalf of the Management Development and Compensation Committee (the “Committee”) of the Board of Directors of Lockheed Martin Corporation, I am pleased to tell you that you have been granted a Long-Term
Incentive Performance Award under the Corporation’s Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). The purpose of this letter is to serve as the Award Agreement under such Plan and to set forth your Target
Award as well as the terms and conditions to the payment of your Target Award. Additional terms and conditions are set forth in the Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. The
Prospectus is available at http://www.etrade.com/stockplans. You should retain the Prospectus and the attached copy of the Plan in your records. 
 IN
ORDER FOR THIS AWARD TO BE EFFECTIVE, YOU MUST PROMPTLY SIGN AND RETURN A COPY OF THIS AWARD AGREEMENT. PLEASE NOTE THAT BY ACCEPTING THE AWARD YOU AGREE TO BE BOUND BY THE RESTRICTIONS CONTAINED IN SECTION 14, “POST-EMPLOYMENT
COVENANTS” AND IN EXHIBIT A ATTACHED TO THIS AGREEMENT. 
 Capitalized terms used in this letter which have a special meaning either
shall be defined in this letter or if not defined in this letter shall have the meaning ascribed to the term in the Plan. The term “Target Award” as used in this Award Agreement refers only to the Target Award awarded to you under this
Award Agreement and the term “Award” refers only to the Long Term Incentive Performance Award set forth in this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. Appendix A
contains an index of all capitalized terms used in this Agreement. 

 Award Date: January 28, 2008 
 Page 2 
  

 Section 1. Target Award. Performance Period. 
 1.1 Target Award. Your Target Award for the Performance Period under this Award Agreement shall be [Target]. 
 1.2 Performance Period. The Performance Period under this Award Agreement is a three-year performance period that runs from January 1, 2008,
until December 31, 2010. 
 1.3 Payment of Award. The amount payable to you under your Award is dependent upon the
Corporation’s performance as compared to the internal and external metrics described in this Award Agreement and your continued employment with the Corporation in accordance with Section 5 of this Agreement. As a result of these
requirements, any payments you receive may be larger or smaller than your Target Award (e.g., the performance factors could result in no payment in respect of your Award). 
 Section 2. Calculation of Award Payments. 
 2.1 End of Performance Period Calculation. Following the end of the Performance Period and prior to any payments being made, 
 (a) The Committee will calculate the External Performance Factor based on the Corporation’s performance during the Performance Period relative to the performance of other corporations which compose the
Standard & Poor’s Industrials Index reported under symbol S5INDU by Bloomberg, L.P. One-half of your Target Award will be multiplied by the External Performance Factor, with the resulting dollar amount to be known as the External
Performance Amount. 
 (b) The Committee will also calculate the ROIC Performance Factor based on the Corporation’s ROIC during the
Performance Period as compared to the projected ROIC for the Performance Period in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will be multiplied by the ROIC Performance Factor, with the
resulting dollar amount to be known as the ROIC Performance Amount. 
 (c) The Committee will also calculate the Cash Flow Performance Factor
based on the Corporation’s cumulative Cash Flow during the Performance Period as compared to the projected cumulative Cash Flow in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will
be multiplied by the Cash Flow Performance Factor, with the resulting dollar amount to be known as the Cash Flow Performance Amount. 

 Award Date: January 28, 2008 
 Page 3 
  

 (d) Your External Performance Amount, your ROIC Performance Amount, and your Cash Flow Performance
Amount will then be added together, with the sum of those three amounts known as your “Potential Award”. Assuming you satisfy the continued employment requirements set forth in Section 5 of this Award Agreement, one-half of your
Potential Award (the “Immediate Portion”) will be paid to you (or deferred to a later payment date specified at your election subject to the rules on deferrals set forth below) as soon as practicable after the Committee completes its
calculations in 2011, but in no event later than March 15, 2011. 
 2.2 Two Year Deferral Period. The remaining one-half of your
Potential Award (the “Deferred Portion”) will be deferred and paid as soon as practicable in January 2013, but in no event later than March 15, 2013. 
 (a) Between December 31, 2010, and December 31, 2012, the Deferred Portion will be treated as though it was invested by the Corporation on December 31, 2010, in the Corporation’s common stock and
will be adjusted to reflect dividends, gains, and losses to reflect the performance of the Corporation’s common stock, as further specified in Section 5.2(c)(2). 
 (b) Assuming you satisfy the continued employment requirements set forth in Section 5.2(c) of this Award Agreement, the Deferred Portion (as adjusted) will be paid to you as soon as practicable in January 2013,
but in no event later than 
 March 15, 2013 or deferred to a later payment date specified at your election subject to the rules on
deferrals set forth below. 
 You must (except as specified in Section 5) remain employed by the Corporation through December 31, 2010, to receive
a payment of any portion of your Award and through December 31, 2012, to receive payment of the Deferred Portion. 
 Section 3.
External Performance Factor. 
 3.1. External Performance Factor – Peer Performance Group. The External Performance
Factor will be based upon the relative ranking of the Corporation’s Total Stockholder Return (as defined in the Plan and assuming the reinvestment of any cash dividends) for the Performance Period to the Total Stockholder Return for such Period
for the corporations which compose the Standard & Poor’s Industrials Index as reported under symbol S5INDU by Bloomberg, L.P. (“Peer Performance Group”) at the beginning of the Performance Period. The Corporation shall be
included as a member of the Peer Performance Group. The Corporation’s Total Stockholder Return will be based on the performance of its common stock, par value $1.00. The Total Stockholder Return of each corporation that is taken into account in
computing the Peer Performance Group Total Stockholder Return will be based on the equity security of the relevant corporation that is used in computing the Standard & Poor’s Industrials Index. 

 Award Date: January 28, 2008 
 Page 4 
  

 3.2. Calculation of External Performance Factor. 
 (a) Calculation of Total Stockholder Return. After the end of the Performance Period, the Committee shall compute the Total Stockholder Return for
the Corporation for such Period and shall compute and rank the Total Stockholder Return for each corporation in the Peer Performance Group. Each corporation’s Total Stockholder Return shall be ranked among the Total Stockholder Return for each
other corporation in the Peer Performance Group on a percentile basis. Each such Total Shareholder Return shall be computed from data available to the public. 
 (b) Percentage Level of Target Award. Your External Performance Factor, expressed as a percentage, will be determined under this Section 3.2(b) (and 3.2(c) to the extent interpolation is necessary) based
on the percentile ranking of the Corporation’s Total Stockholder Return for the Performance Period under the following chart – 
  

						
	 Band
	  	Percentile
Ranking	  	External
Performance
Factor	 
	 One
	  	75th or higher	  	200	%
	 Two
	  	60th	  	150	%
	 Three
	  	50th	  	100	%
	 Four
	  	40th	  	50	%
	 Five
	  	35th	  	25	%
	 Six
	  	Below 35th	  	0	%

 (c) External Performance Factor Interpolation. If the Corporation’s Total Stockholder
Return puts the Corporation over the listed Percentile Ranking for the applicable Band (other than Band One) in Section 3.2(b), your External Performance Factor under Section 3.2(b) shall be interpolated on a linear basis. 

 Award Date: January 28, 2008 
 Page 5 
  

 Section 4. Internal Performance Factors. 
 4.1 ROIC Performance Factor. The ROIC Performance Factor will be determined by comparing the Corporation’s ROIC for the Performance Period to
ROIC as forecasted for the Performance Period in the Corporation’s 2008 Long Range Plan and then identifying the ROIC Performance Factor based upon the factor associated with the difference on the following table: 
  

				
	 Change from 2008 LRP ROIC
	  	ROIC
Performance
Factor	 
	 Plan + 40 or more basis points
	  	200	%
	 Plan + 30 basis points
	  	175	%
	 Plan + 20 basis points
	  	150	%
	 Plan + 10 basis points
	  	125	%
	 Plan
	  	100	%
	 Plan - 10 basis points
	  	75	%
	 Plan - 20 basis points
	  	50	%
	 Plan - 30 basis points
	  	25	%
	 Plan - 40 or more basis points
	  	0	%

  

	 	(a)	ROIC Definition. For purposes of this Award Agreement, “ROIC” means return on invested capital for the Performance Period calculated as (A) average annual
(i) net income plus (ii) interest expense times one minus the highest marginal federal corporate tax rate over the three year Performance period (“Return”), divided by (B) the average of the four year-end investment balances
(beginning with December 31, 2007 year-end balance) consisting of (i) debt (including current maturities of long-term debt) plus (ii) stockholders’ equity plus the postretirement plans amounts determined at year-end as included
in the Corporation’s Statement of Stockholder Equity. 

  

	 	(b)	ROIC Determination. Each component of ROIC and the calculation of any postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity shall be
determined by the Committee in accordance with generally accepted accounting principles in the United States and be based upon the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited
financial statements are not available for the date or period on which ROIC is being determined, the Committee shall make its determination in a manner consistent with the historical practices used by the Corporation in determining the components of
ROIC and postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity for purposes of reporting those items on its audited financial statements, as modified by this paragraph. Notwithstanding the foregoing, ROIC
will be adjusted to exclude the impact of any change in accounting standards or adoption of any new accounting standards that is required under generally accepted accounting principals in the United States and that is reported in the
Corporation’s filings with the Securities and Exchange Commission as having a material effect on the Corporation’s consolidated financial statements. ROIC as included in the 2008 Long Range Plan and the change in ROIC for purposes of the
ROIC Performance Factor will be determined in accordance with this Section 4.1(b). 

 Award Date: January 28, 2008 
 Page 6 
  

 4.2 Cash Flow Performance Factor. The Cash Flow Performance Factor will be determined by
comparing the Corporation’s cumulative Cash Flow during the Performance Period to the projected cumulative Cash Flow of the Corporation as forecasted in the Corporation’s 2008 Long Range Plan. and then identifying the Cash Flow Performance
Factor based upon the factor associated with the change from the 2008 Long Range Plan on the following table: 
  

				
	 Change From 2008 LRP Cash Flow
	  	Cash Flow
Performance
Factor	 
	 Plan + $1B or more
	  	200	%
	 Plan + $ .75B
	  	175	%
	 Plan + $ .5B
	  	150	%
	 Plan + $ .25B
	  	125	%
	 Plan
	  	100	%
	 Plan - $ .25B
	  	75	%
	 Plan - $ .5B
	  	50	%
	 Plan - $1B
	  	25	%
	 Plan - more than $1B
	  	0	%

  

	 	(a)	Cash Flow Defintion. For purposes of this Award Agreement, Cash Flow means net cash flow from operations but not taking into account: (i) the aggregate difference
between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the Performance Period and the actual amounts contributed by the
Corporation during the Performance Period; (ii) any tax payments or benefits during the Performance Period associated with the divestiture of business units. 

  

	 	(b)	Cash Flow Determination. Cash Flow shall be determined by the Committee based upon the comparable numbers reported on the Corporation’s audited consolidated financial
statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Committee shall determine Cash Flow in a manner consistent with the historical practices used by the Corporation in
determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph. 

 4.3 Interpolation of ROIC and Cash Flow Metrics. If the change in ROIC or Cash Flow falls between two numbers listed in the applicable table in
section 4.1 or 4.2, the appropriate factor will be interpolated on a linear basis. Notwithstanding the foregoing, the ROIC Performance Factor will always be zero if the ROIC for the Performance Period is less than ROIC forecasted for the Performance
Period in the 2008 Long Range Plan by 40 basis points or more and the Cash Flow Performance Factor will always be zero if the aggregate Cash Flow for the Performance Period is less than what was forecasted for the Performance Period in the 2008 Long
Range Plan by more than $1 billion. 

 Award Date: January 28, 2008 
 Page 7 
  

 Section 5. Payment of Award: Potential Award, Mandatory Portion 
 5.1. Employment Requirement. 
 (a)
General Rule. In order to be eligible to receive payment of any portion of your Potential Award as determined under Section 2.1(d), you must remain actively employed by the Corporation through the last day of the Performance Period. If
your employment as an Employee terminates during the Performance Period, you shall forfeit your right to receive all or any part of your Potential Award. 
 (b) Exceptions. Notwithstanding Section 5.1(a), if the Committee determines 
 (1) that your
employment as an Employee terminated as a result of your death, “Divestiture”, “Disability” or “Retirement” or 
 (2) that the Corporation terminated your employment involuntarily as a result of a layoff, 
 you shall retain a fraction of your
Potential Award. The numerator of such fraction shall equal the number of days in the Performance Period before your employment as an Employee terminated, and the denominator shall equal the total number of days in the Performance Period. The
Committee shall have complete and absolute discretion to make the determinations called for under this Section 5.1(b), and all such determinations shall be binding on you and on any person who claims all or any part of your Potential Award on
your behalf as well as on the Corporation. 
 (c) Special Definitions. For purposes of this Award Agreement: 
 (1) Your employment as an Employee shall be treated as terminating because of a Disability on the date you become eligible for a benefit under the
Corporation’s long-term disability plan in which you participate, or if you are not enrolled in a long-term disability plan, the date on which long-term disability benefits would commence under the plan under which you would have been covered,
had you enrolled; 
 (2) Your employment as an Employee shall be treated as terminating as a result of Divestiture if the Corporation divests
all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation and a transfer of such employment to the other party in the divestiture. A divestiture shall
mean a transaction which results in the transfer of control of the business operation to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting stock
or other equity interests are owned or controlled by the Corporation; and 

 Award Date: January 28, 2008 
 Page 8 
  

 (3) Your employment as an Employee shall be treated as terminating because of Retirement if
(a) you participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates on or after the date on which you satisfy the plan’s age and service requirements for commencing receipt of an early
retirement benefit under the plan or (b) you do not participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates after you reach age 55 and have completed five years of service. 
 5.2. Payment Rules. 
 (a) General
Rule. If you are eligible to receive your Potential Award under Section 5.1(a), the Immediate Portion of your Potential Award shall be fully vested and shall be either paid in cash to you or deferred in accordance with Section 5.2(e).
The Deferred Portion of your Potential Award shall remain subject to forfeiture and shall be governed by the provisions of Section 5.2(c). 
 (b) Immediate Portion. Subject to section 5.2(e), you shall have the right to receive the Immediate Portion of your Potential Award currently in cash as soon as practicable after the date on which the Committee certifies in writing
(for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the Performance Period, but in no event later than the March 15 next following the end of the Performance Period. 
 (c) Deferred Portion Subject to Forfeiture. 
 (1) Deferral and Forfeiture. If you are eligible to receive your Potential Award under Section 5.1(a), the payment of the Deferred Portion of your Potential Award shall be deferred through December 31, 2012, and paid as
specified below. You shall forfeit your right to the payment of the Deferred Portion of your Potential Award if you do not remain actively employed by the Corporation through December 31, 2012. 
 (2) Phantom Stock Account. The Committee shall establish a bookkeeping account (a “Phantom Stock Account”) on your behalf under this
Section 5.2(c)(2) and shall credit such account with a number of units equal to the number of whole shares (and any fractional share) of the Corporation’s common stock which could have been purchased by the Deferred Portion of your
Potential Award described in Section 5.2(c)(1) based on the closing price for a share of the Corporation’s common stock as reported on the New York Stock 

 Award Date: January 28, 2008 
 Page 9 
  

 
Exchange for the last trading day of the Performance Period, subject to the Committee’s certification in writing (for purposes of Section 162(m) of
the Code) that your Target Award has become a Potential Award for the Performance Period. Thereafter the Committee shall make such credits or debits to the units previously credited to such account as the Committee deems appropriate in light of any
transaction described in Section 7(a) of the Plan (such as a stock split or stock dividend) or any cash dividends paid on the Corporation’s common stock, which dividends shall increase the number of units credited to such account as if
such dividends had been reinvested in the Corporation’s common stock at the closing price of a share of the Corporation’s common stock as reported on The New York Stock Exchange for the last trading day of the quarter in which such
dividend is declared by the Board of Directors. 
 (3) Payment. Unless you forfeit your right to the Deferred Portion of your Potential
Award described in this Section 5.2(c), you shall have the right to receive the payment of the value of your Phantom Stock Account as determined as of December 31, 2012, as soon as practicable after December 31, 2012, but in no event
later than March 15, 2013 (subject to section 5.2(e)). The amount payable under this Section 5.2(c) shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under
Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for December 31, 2012, or, if it is not a trading day, on the last trading day before December 31,
2012. 
 (4) Special Payment Rule For Certain Terminated Employees. Notwithstanding Section 5.2(c)(1), if your employment
terminates after the close of the Performance Period but prior to December 31, 2012, and the Committee determines that your employment terminated under circumstances described in Sections 5.1(b)(1) or (2), then the Deferred Portion of your
Potential Award described in this Section 5.2(c) shall be paid to you or, in the event of your death, to your designated beneficiary, in cash as soon as practicable following your termination of employment, but in no event later than
March 15 of the year following your termination of employment (subject to Section 5.2(e)). The amount payable under this Section 5.2(c)(4) shall be determined by multiplying the number of units representing shares of phantom stock
credited to your account under Section 5.2(c)(2) on the date your termination becomes effective by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for the date on which your
termination becomes effective, or if it is not a trading day, on the last trading day before that date. In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation
and Benefits’ office, your payment will be made to your estate. 

 Award Date: January 28, 2008 
 Page 10 
  

 (5) No Shareholder Rights. Units credited to your Phantom Stock Account are bookkeeping
entries only and do not entitle you to any shares of the Corporation’s common stock or to any voting or other rights associated with shares of such stock. 
 (d) Special Rule. If you terminate employment during the Performance Period but are eligible to receive a portion of your Potential Award as a result of an exception under Section 5.1(b), payment of such
portion of your Potential Award shall be in full satisfaction of all rights you have under this Award Agreement; in such circumstances, you will not be eligible for a payment of the Deferred Portion under Section 5.2(c) and no other amounts
will be payable to you or on your behalf. The portion of your Potential Award payable to you following a termination of employment during the Performance Period under circumstances described in Section 5.1(b) shall be paid to you or, in the
event of your death, to your designated beneficiary for the Award, in cash as soon as practicable after the Committee certifies in writing (for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the
Performance Period, but in no event later than March 15, 2011 (subject to section 5.2(e)). In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation and
Benefits’ office, your payment will be made to your estate. 
 (e) Further Deferral. You will be given an opportunity to elect to
defer any amounts payable under Sections 5.2(b) and 5.2(d) of this Award Agreement and to further defer any amounts payable under Section 5.2(c)(3). Such election shall be irrevocable, shall be made in accordance with the terms of the Lockheed
Martin Corporation Deferred Management Incentive Compensation Plan and the requirements of Code section 409A, and shall be subject to such additional terms and conditions as are set by the Committee. A deferral election form and the terms and
conditions for any deferral will be furnished to you in due course. 
 5.3. Cutback. Any payment called for under Section 5.2(b)
will be reduced to the extent that such payment together with payments attributable to any other Cash-Based Awards that are granted during 2008 as Performance Based Awards exceeds $5,000,000 and, further, any credit of phantom shares called for
under Section 5.2(c)(2) shall be reduced to the extent that the number of phantom shares credited to you together with the number of shares of Stock and Share Units in respect of Share-Based Awards that are granted to you during 2008 as
Performance Based Awards exceeds 1,000,000. To the extent that any payment called for under Section 5.2(b) would exceed the $5,000,000 limit and therefore must be reduced, the amount in excess of $5,000,000, shall be deferred and credited as
phantom shares under Section 5.2(c)(2) unless such crediting would result in the crediting of phantom shares that would otherwise be prohibited by this 

 Award Date: January 28, 2008 
 Page 11 
  

 
Section 5.3. To the extent that any crediting called for under Section 5.2(c)(2) would exceed the 1,000,000 limit and therefore must be reduced,
the units in excess of 1,000,000, shall not be credited and shall instead be paid in cash under Section 5.2(b) unless such payment would result in a payment that would otherwise be prohibited by this Section 5.3. 
 5.4. Withholding. Any payment made in respect of your Award will be subject to income tax withholding at the minimum rate prescribed by law. You
may owe taxes in addition to the amount withheld and may request that tax be withheld from any payment at a greater rate. In addition, FICA tax will be withheld, as required under the law, when any portion of an award becomes vested for tax purposes
prior to payment and shall reduce the amount of such Award. If prior to payment of the Immediate Portion, you become eligible for retirement, then any FICA tax due on your Deferred Portion will be withheld from the Immediate Portion. If you become
retirement eligible following payment of the Immediate Portion, then FICA taxes will be withheld from your Deferred Portion. 
 5.5. Means
of Satisfying Code Section 409A. If any payment that would otherwise be made under this Award Agreement is required to be delayed by reason of Section 13, such payment shall be made at the earliest date permitted by Code section 409A.
The amount of any delayed payment shall be the amount that would have been paid prior to the delay adjusted to include interest from the original payment date to the actual payment date, compounded daily, at a rate equivalent to the then published
rate for computing the present value of future benefits at the time cost is assignable under Cost Accounting Standard 415, Deferred Compensation, as determined by the Secretary of the Treasury on a semi-annual basis pursuant to Pub. L. 92-41, 85
Stat. 97. 
 Section 6. No Assignment – General Creditor Status. 
 You shall have no right to assign any interest you might have in all or any part of the Target Award or Potential Award which has been granted to you
under this Award Agreement and any attempt to do so shall be null and void and shall have no force or effect whatsoever. Furthermore, all payments called for under this Award Agreement shall be made in cash from the Corporation’s general
assets, and your right to payment from the Corporation’s general assets shall be the same as the right of a general and unsecured creditor of the Corporation. 
 Section 7. Plan. 
 This Award Agreement shall be subject to all of the terms and
conditions set forth in the Plan. 

 Award Date: January 28, 2008 
 Page 12 
  

 Section 8. Change in Control.  
 8.1. Change in Control During Performance Period. If during the Performance Period, a Change in Control (as defined in Section 7 of the Plan)
occurs, the Performance Period will terminate. Notwithstanding any deferral election or term of this Award Agreement to the contrary, a pro rata portion of your Award will be paid to you within 15 days of the Change in Control. The prorated portion
will be the sum of (i) the result obtained by first multiplying your Target Award by the External Performance Factor calculated under Section 3.2(b), but determined as of the last day of the year immediately preceding the Change in
Control, and then further multiplying that product by a fraction, the numerator of which is the number of whole calendar years of the Performance Period that were completed prior to the Change in Control and the denominator of which is three; and
(ii) the product of your Target Award and a fraction, the numerator of which is the number of days preceding the Change in Control that occur in the calendar year in which the Change in Control occurs and the denominator of which is 1095.

 8.2. Change in Control After Performance Period. If a Change in Control occurs after the end of the Performance Period but before
December 31, 2012, notwithstanding any deferral election or term of this Award Agreement to the contrary, the Deferred Portion of your Potential Award described in Section 5.2(c) will be paid to you within 15 days of the Change in Control.
The amount payable shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported
on the New York Stock Exchange for the date on which the Change in Control occurs, or if it is not a trading day, on the last trading day before that date. 
 8.3. Special Rule. Notwithstanding Section 8.1 or Section 8.2, if a payment in accordance with those provisions would result in a nonexempt short-swing transaction under Section 16(b) of the
Securities Exchange Act of 1934, then the date of distribution to you shall be delayed until the earliest date upon which the distribution either would not result in a nonexempt short-swing transaction or would otherwise not result in liability
under Section 16(b) of the Securities Exchange Act of 1934. 
 Section 9. Amendment and Termination. 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall amend Sections 1, 2, 3, 4, or 5 in a manner adverse to you or reduce the amount payable hereunder in a material manner without
your written consent. For this purpose, a change in the amount payable hereunder that occurs solely by reason of a change in the date or form of payment shall in no case be treated as a reduction prohibited by this Section 9. Thus, for example,
if an amount payable by reason of Section 8 is delayed by an amendment to this Award Agreement or other action undertaken to comply with Section 409A of the Internal Revenue Code and the amount payable is reduced solely by reason of a
corresponding delay in the date of valuation of a share of the Corporation’s common stock, such a change shall not be treated as a reduction prohibited by this Section 9. This Section 9 shall be construed and applied so as to permit
the Committee to amend this Award Agreement at any time in any manner reasonably necessary or appropriate in order to comply with the requirements of Code section 409A, including amendments regarding the timing and form of payments hereunder.

 Award Date: January 28, 2008 
 Page 13 
  

 Section 10. No Right to an Award. 
 Your status as an Employee shall not be construed as a commitment that any one or more awards shall be made under the Plan to you or to Employees
generally. Your status as a Participant shall not entitle you to any additional award. 
 Section 11. No Assurance of
Employment. 
 Nothing contained in the Plan or in this Award Agreement shall confer upon you any right to continue in the employ or
other service of the Corporation or constitute any contract (of employment or otherwise) or limit in any way the right of the Corporation to change your compensation or other benefits or to terminate your employment with or without cause.

 Section 12. Conflict. 
 In the event of a conflict between this Award Agreement and the Plan, the Plan document shall control. 
 Section 13. Compliance with Section 409A of the Internal Revenue Code. 
 Notwithstanding any other provision
of this Award Agreement to the contrary, to the extent that this Award Agreement constitutes a nonqualified deferred compensation plan to which Code section 409A applies, payments under this Award Agreement shall be made at a time and in a manner
that satisfies the requirements of Code section 409A and guidance of general applicability issued thereunder, including the provisions of 409A(a)(2)(B) (i)to the extent distributions to any key employee are required to be delayed six months.

 Section 14. Post-Employment Covenants 
 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 Section 15. Execution. 
 You must execute one copy of this Award Agreement and return it to the Office of the Vice President of Compensation and Benefits (Mail Point 123) as soon as possible as a condition to the Award becoming effective. In order for this Award to
be effective, you must execute and return this Award Agreement promptly. Your execution of this Award Agreement constitutes your consent to and acceptance of any action taken under the Plan consistent with its terms with respect to your Award and
your agreement to the Post-Employment Covenants contained in Section 14 and Exhibit A. 

 Award Date: January 28, 2008 
 Page 14 
  

 By signing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
Award from the Corporation’s intranet site http://www.etrade.com/stockplans as well as to electronic delivery of the Corporation’s annual report on Form 10-k, annual proxy and quarterly reports on Form 10-Q. This consent can only be
withdrawn by written notice to the Corporate Secretary, Lockheed Martin Corporation, 6801 Rockledge Drive, Bethesda, MD 20817. 
 A
pre-addressed envelope has been enclosed for your convenience to return with a copy of this Award Agreement, as acknowledged by you below. 
  

	
	Sincerely,
	
	  
	Kenneth J. Disken
	Sr. Vice President, Human Resources

  

					
	Enclosures	 		 	
			
	ACKNOWLEDGEMENT:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	 
	Print or type name	 		 	

 Award Date: January 28, 2008 
 Page 15 
  

 Appendix A 
 Capitalized Terms 
  

			
	 Award
	 	2nd ¶
	Band	 	§ 3.2(b)
	Cash Flow	 	§ 4.1(b)
	Cash Flow Performance Factor	 	§ 4.2
	Cash Flow Performance Amount	 	§ 2.1(c)
	Cell	 	§ 4.1 (c)
	Change of Control	 	IPA
	Committee	 	1st
	Corporation	 	2nd
	Deferred Portion	 	§ 2.2
	External Performance Amount	 	§ 2.1(a)
	External Performance Factor	 	§ 3.1
	Immediate Portion	 	§ 2.1(c)
	Internal Performance Amount	 	§ 2.1(b)
	Internal Performance Factors	 	§ 4
	Peer Performance Group	 	§ 3.1
	Percentile Ranking	 	§ 3.2(b)
	Performance Period	 	§ 1
	Phantom Stock Account	 	§ 5.2(c)(2)
	Plan	 	1st ¶
	Potential Award	 	§ 2.1(c)
	ROIC	 	§ 4.1(a)
	ROIC Performance Factor	 	§ 4.1
	ROIC Performance Amount	 	§ 2.1(b)
	Share Units	 	IPA
	Share-Based Awards	 	IPA
	Stock	 	IPA
	Target Award	 	2nd ¶, § 1
	Total Stockholder Return	 	IPA

 Award Date: January 28, 2008 
 Page 16 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (LTIP Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of a Long Term Incentive Performance Award to me under the Award Agreement (the “LTIP”) pursuant to the Lockheed Martin Corporation
Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). By accepting the LTIP, I agree as follows: 
 1.
Protective Covenants. 
 (a) Covenant Not To Compete - Without the express written consent of the Senior Vice
President, Human Resources of the Corporation, during the one-year period following the date of my termination of employment (the “Termination Date”) with Lockheed Martin Corporation (the “Corporation”), I will not, directly or
indirectly, be employed by, provide services to, or advise a “Restricted Company” (as defined in Section 6 below), whether as an employee, advisor, director, officer, partner or consultant, or in any other position, function or role
that, in any such case, 
  

	 	(i)	oversees, controls or affects the design, operation, research, manufacture, marketing, sale or distribution of “Competitive Products or Services” (as defined in
Section 6 below) of or by the Restricted Company, or 

  

	 	(ii)	would involve a substantial risk that the “Confidential or Proprietary Information” (as defined in Section 1(c) below) of the Corporation (including but not limited
to technical information or intellectual property, strategic plans, information relating to pricing offered to the Corporation by vendors or suppliers or to prices charged or pricing contemplated to be charged by the Corporation, information
relating to employee performance, promotions or identification for promotion, or information relating to the Corporation’s cost base) could be used to the disadvantage of the Corporation. 

 (b) Non-Solicit - Without the express written consent of the Senior Vice
President, Human Resources of the Corporation, during the one-year period following the Termination Date, I will not (i) interfere with any contractual relationship between the Corporation and any customer, supplier, distributor or manufacturer
of or to the Corporation to the detriment of the Corporation or (ii) induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation. 

 Award Date: January 28, 2008 
 Page 17 
  

 (c) Protection of Proprietary Information – Except to the extent required
by law, following my Termination Date, I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the “Confidential or
Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in accordance with the
terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for
creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or
confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to
protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of
this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been made available to me), including but not limited to information that a person or entity desires to
protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or
entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. 

 (d) No disparagement – Following the Termination Date, I will not make any statements, whether verbal or written, that
disparage or reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Award Date: January 28, 2008 
 Page 18 
  

 (e) Cooperation in Litigation and Investigations - Following the Termination
Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or
affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or
investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the LTIP is expressly made contingent upon my
agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and compensation
opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive knowledge of the
Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as
defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

 Award Date: January 28, 2008 
 Page 19 
  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the LTIP, any cash paid to me, whether paid currently or
deferred; and (ii) to the extent I have not earned the LTIP fully, all of my remaining rights, title or interest in the LTIP. 

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in
Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to
the granting of injunctive relief in its favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA shall be enforced to the fullest
extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only
with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Definitions.
Capitalized terms not defined in this PECA have the meaning given to them in the Plan, as applicable. For purposes of this PECA, the following terms have the meanings given below: 
 (a) “Restricted Company” means The Boeing Company, General Dynamics Corporation, Northrop Grumman Corporation, the Raytheon
Company, United Technologies Corporation, Honeywell International Inc., BAE Systems Inc., L-3 Communications Corporation, the Harris Corporation, Thales, EADS North America and (i) any entity directly or indirectly controlling, controlled by,
or under common control with any of the foregoing, and (ii) any successor to all or part of the business of any of the foregoing as a result of a merger, reorganization, consolidation, spin-off, split-up, acquisition, divestiture, or similar
transaction. 

 Award Date: January 28, 2008 
 Page 20 
  

 (b) “Competitive Products or Services” means products or services that
compete with, or are an alternative or potential alternative to, products sold or services provided by a subsidiary, business area, division or operating unit or business of the Corporation as of the Termination Date and at any time within the
two-year period ending on the Termination Date; provided, that, (i) if I had direct responsibility for the business of, or function with respect to, a subsidiary, or for a business area, division or operating unit or business of the Corporation
at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so provided during that two-year period by the subsidiary, business area, division or operating
unit of the Corporation for which I had responsibility, and (ii) if I did not have direct responsibility for the business of, or function with respect to, a subsidiary, or for a business area, division or operating unit or business of the
Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so provided by a subsidiary, business area, division or operating unit of the
Corporation for which I had access (or was required or permitted such access in the performance of my duties or responsibilities with the Corporation) to Confidential or Proprietary Information of the Corporation at any time during the two-year
period ending on the Termination Date. 
 7. Miscellaneous 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the LTIP to me.

 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. 

(c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation
without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not,
by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate
policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the
acceptance by me of the award of an LTIP under the Award Agreement. 

 LTIP - California 
 Award Date: January 28, 2008 
 Lockheed Martin Corporation 
 6801 Rockledge Drive, Bethesda, MD 20817 
 Telephone 301-897-6000 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE
BEEN REGISTERED UNDER THE 
 SECURITIES ACT OF 1933 
 «Name» 
 «Street» 
 «City», «State» «Zip» 
  

	 	Re:	Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan: Long-Term Incentive Performance Award (2008-2010 Performance Period) 

 Dear «Call_By_Name»: 
 On behalf of the Management Development and Compensation Committee (the “Committee”) of the Board of Directors of Lockheed Martin Corporation, I am pleased to tell you that you have been granted a Long-Term Incentive Performance
Award under the Corporation’s Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). The purpose of this letter is to serve as the Award Agreement under such Plan and to set forth your Target Award as well as the
terms and conditions to the payment of your Target Award. Additional terms and conditions are set forth in the Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. The Prospectus is
available at http://www.etrade.com/stockplans. You should retain the Prospectus and the attached copy of the Plan in your records. 
 IN ORDER FOR THIS
AWARD TO BE EFFECTIVE, YOU MUST PROMPTLY SIGN AND RETURN A COPY OF THIS AWARD AGREEMENT. PLEASE NOTE THAT BY ACCEPTING THE AWARD YOU AGREE TO BE BOUND BY THE RESTRICTIONS CONTAINED IN SECTION 14, “POST-EMPLOYMENT COVENANTS” AND IN
EXHIBIT A ATTACHED TO THIS AGREEMENT. 
 Capitalized terms used in this letter which have a special meaning either shall be defined in
this letter or if not defined in this letter shall have the meaning ascribed to the term in the Plan. The term “Target Award” as used in this Award Agreement refers only to the Target Award awarded to you under this Award Agreement and the
term “Award” refers only to the Long Term Incentive Performance Award set forth in this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. Appendix A contains an index of
all capitalized terms used in this Agreement. 

 Award Date: January 28, 2008 
 Page 2 
  

 Section 1. Target Award. Performance Period. 
 1.1 Target Award. Your Target Award for the Performance Period under this Award Agreement shall be [Target]. 
 1.2 Performance Period. The Performance Period under this Award Agreement is a three-year performance period that runs from January 1, 2008,
until December 31, 2010. 
 1.3 Payment of Award. The amount payable to you under your Award is dependent upon the
Corporation’s performance as compared to the internal and external metrics described in this Award Agreement and your continued employment with the Corporation in accordance with Section 5 of this Agreement. As a result of these
requirements, any payments you receive may be larger or smaller than your Target Award (e.g., the performance factors could result in no payment in respect of your Award). 
 Section 2. Calculation of Award Payments. 
 2.1 End of Performance Period Calculation. Following the end of the Performance Period and prior to any payments being made, 
 (a) The Committee will calculate the External Performance Factor based on the Corporation’s performance during the Performance Period relative to the performance of other corporations which compose the
Standard & Poor’s Industrials Index reported under symbol S5INDU by Bloomberg, L.P. One-half of your Target Award will be multiplied by the External Performance Factor, with the resulting dollar amount to be known as the External
Performance Amount. 
 (b) The Committee will also calculate the ROIC Performance Factor based on the Corporation’s ROIC during the
Performance Period as compared to the projected ROIC for the Performance Period in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will be multiplied by the ROIC Performance Factor, with the
resulting dollar amount to be known as the ROIC Performance Amount. 
 (c) The Committee will also calculate the Cash Flow Performance Factor
based on the Corporation’s cumulative Cash Flow during the Performance Period as compared to the projected cumulative Cash Flow in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will
be multiplied by the Cash Flow Performance Factor, with the resulting dollar amount to be known as the Cash Flow Performance Amount. 

 Award Date: January 28, 2008 
 Page 3 
  

 (d) Your External Performance Amount, your ROIC Performance Amount, and your Cash Flow Performance
Amount will then be added together, with the sum of those three amounts known as your “Potential Award”. Assuming you satisfy the continued employment requirements set forth in Section 5 of this Award Agreement, one-half of your
Potential Award (the “Immediate Portion”) will be paid to you (or deferred to a later payment date specified at your election subject to the rules on deferrals set forth below) as soon as practicable after the Committee completes its
calculations in 2011, but in no event later than March 15, 2011. 
 2.2 Two Year Deferral Period. The remaining one-half of your
Potential Award (the “Deferred Portion”) will be deferred and paid as soon as practicable in January 2013, but in no event later than March 15, 2013. 
 (a) Between December 31, 2010, and December 31, 2012, the Deferred Portion will be treated as though it was invested by the Corporation on December 31, 2010, in the Corporation’s common stock and
will be adjusted to reflect dividends, gains, and losses to reflect the performance of the Corporation’s common stock, as further specified in Section 5.2(c)(2). 
 (b) Assuming you satisfy the continued employment requirements set forth in Section 5.2(c) of this Award Agreement, the Deferred Portion (as adjusted) will be paid to you as soon as practicable in January 2013,
but in no event later than 
 March 15, 2013 or deferred to a later payment date specified at your election subject to the rules on
deferrals set forth below. 
 You must (except as specified in Section 5) remain employed by the Corporation through December 31, 2010, to receive
a payment of any portion of your Award and through December 31, 2012, to receive payment of the Deferred Portion. 
 Section 3.
External Performance Factor. 
 3.1. External Performance Factor – Peer Performance Group. The External Performance
Factor will be based upon the relative ranking of the Corporation’s Total Stockholder Return (as defined in the Plan and assuming the reinvestment of any cash dividends) for the Performance Period to the Total Stockholder Return for such Period
for the corporations which compose the Standard & Poor’s Industrials Index as reported under symbol S5INDU by Bloomberg, L.P. (“Peer Performance Group”) at the beginning of the Performance Period. The Corporation shall be
included as a member of the Peer Performance Group. The Corporation’s Total Stockholder Return will be based on the performance of its common stock, par value $1.00. The Total Stockholder Return of each corporation that is taken into account in
computing the Peer Performance Group Total Stockholder Return will be based on the equity security of the relevant corporation that is used in computing the Standard & Poor’s Industrials Index. 

 Award Date: January 28, 2008 
 Page 4 
  

 3.2. Calculation of External Performance Factor. 
 (a) Calculation of Total Stockholder Return. After the end of the Performance Period, the Committee shall compute the Total Stockholder Return for
the Corporation for such Period and shall compute and rank the Total Stockholder Return for each corporation in the Peer Performance Group. Each corporation’s Total Stockholder Return shall be ranked among the Total Stockholder Return for each
other corporation in the Peer Performance Group on a percentile basis. Each such Total Shareholder Return shall be computed from data available to the public. 
 (b) Percentage Level of Target Award. Your External Performance Factor, expressed as a percentage, will be determined under this Section 3.2(b) (and 3.2(c) to the extent interpolation is necessary) based
on the percentile ranking of the Corporation’s Total Stockholder Return for the Performance Period under the following chart – 
  

						
	 Band
	  	Percentile Ranking	  	External
Performance
Factor	 
	 One
	  	75th or higher	  	200	%
	 Two
	  	60th	  	150	%
	 Three
	  	50th	  	100	%
	 Four
	  	40th	  	50	%
	 Five
	  	35th	  	25	%
	 Six
	  	Below 35th	  	0	%

 (c) External Performance Factor Interpolation. If the Corporation’s Total Stockholder
Return puts the Corporation over the listed Percentile Ranking for the applicable Band (other than Band One) in Section 3.2(b), your External Performance Factor under Section 3.2(b) shall be interpolated on a linear basis. 

 Award Date: January 28, 2008 
 Page 5 
  

 Section 4. Internal Performance Factors. 
 4.1 ROIC Performance Factor. The ROIC Performance Factor will be determined by comparing the Corporation’s ROIC for the Performance Period to
ROIC as forecasted for the Performance Period in the Corporation’s 2008 Long Range Plan and then identifying the ROIC Performance Factor based upon the factor associated with the difference on the following table: 
  

				
	 Change from 2008 LRP ROIC
	  	ROIC
Performance
Factor	 
	 Plan + 40 or more basis points
	  	200	%
	 Plan + 30 basis points
	  	175	%
	 Plan + 20 basis points
	  	150	%
	 Plan + 10 basis points
	  	125	%
	 Plan
	  	100	%
	 Plan - 10 basis points
	  	75	%
	 Plan - 20 basis points
	  	50	%
	 Plan - 30 basis points
	  	25	%
	 Plan - 40 or more basis points
	  	0	%

  

	 	(a)	ROIC Definition. For purposes of this Award Agreement, “ROIC” means return on invested capital for the Performance Period calculated as (A) average annual
(i) net income plus (ii) interest expense times one minus the highest marginal federal corporate tax rate over the three year Performance period (“Return”), divided by (B) the average of the four year-end investment balances
(beginning with December 31, 2007 year-end balance) consisting of (i) debt (including current maturities of long-term debt) plus (ii) stockholders’ equity plus the postretirement plans amounts determined at year-end as included
in the Corporation’s Statement of Stockholder Equity. 

  

	 	(b)	ROIC Determination. Each component of ROIC and the calculation of any postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity shall be
determined by the Committee in accordance with generally accepted accounting principles in the United States and be based upon the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited
financial statements are not available for the date or period on which ROIC is being determined, the Committee shall make its determination in a manner consistent with the historical practices used by the Corporation in determining the components of
ROIC and postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity for purposes of reporting those items on its audited financial statements, as modified by this paragraph. Notwithstanding the foregoing, ROIC
will be adjusted to exclude the impact of any change in accounting standards or adoption of any new accounting standards that is required under generally accepted accounting principals in the United States and that is reported in the
Corporation’s filings with the Securities and Exchange Commission as having a material effect on the Corporation’s consolidated financial statements. ROIC as included in the 2008 Long Range Plan and the change in ROIC for purposes of the
ROIC Performance Factor will be determined in accordance with this Section 4.1(b). 

 Award Date: January 28, 2008 
 Page 6 
  

 4.2 Cash Flow Performance Factor. The Cash Flow Performance Factor will be determined by
comparing the Corporation’s cumulative Cash Flow during the Performance Period to the projected cumulative Cash Flow of the Corporation as forecasted in the Corporation’s 2008 Long Range Plan. and then identifying the Cash Flow Performance
Factor based upon the factor associated with the change from the 2008 Long Range Plan on the following table: 
  

				
	 Change From 2008 LRP Cash Flow
	  	Cash Flow
Performance
Factor	 
	 Plan + $1B or more
	  	200	%
	 Plan + $ .75B
	  	175	%
	 Plan + $ .5B
	  	150	%
	 Plan + $ .25B
	  	125	%
	 Plan
	  	100	%
	 Plan - $ .25B
	  	75	%
	 Plan - $ .5B
	  	50	%
	 Plan - $1B
	  	25	%
	 Plan - more than $1B
	  	0	%

  

	 	(a)	Cash Flow Defintion. For purposes of this Award Agreement, Cash Flow means net cash flow from operations but not taking into account: (i) the aggregate difference
between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the Performance Period and the actual amounts contributed by the
Corporation during the Performance Period; (ii) any tax payments or benefits during the Performance Period associated with the divestiture of business units. 

  

	 	(b)	Cash Flow Determination. Cash Flow shall be determined by the Committee based upon the comparable numbers reported on the Corporation’s audited consolidated financial
statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Committee shall determine Cash Flow in a manner consistent with the historical practices used by the Corporation in
determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph. 

 4.3 Interpolation of ROIC and Cash Flow Metrics. If the change in ROIC or Cash Flow falls between two numbers listed in the applicable table in
section 4.1 or 4.2, the appropriate factor will be interpolated on a linear basis. Notwithstanding the foregoing, the ROIC Performance Factor will always be zero if the ROIC for the Performance Period is less than ROIC forecasted for the Performance
Period in the 2008 Long Range Plan by 40 basis points or more and the Cash Flow Performance Factor will always be zero if the aggregate Cash Flow for the Performance Period is less than what was forecasted for the Performance Period in the 2008 Long
Range Plan by more than $1 billion. 

 Award Date: January 28, 2008 
 Page 7 
  

 Section 5. Payment of Award: Potential Award, Mandatory Portion 
 5.1. Employment Requirement. 
 (a)
General Rule. In order to be eligible to receive payment of any portion of your Potential Award as determined under Section 2.1(d), you must remain actively employed by the Corporation through the last day of the Performance Period. If
your employment as an Employee terminates during the Performance Period, you shall forfeit your right to receive all or any part of your Potential Award. 
 (b) Exceptions. Notwithstanding Section 5.1(a), if the Committee determines 
 (1) that your
employment as an Employee terminated as a result of your death, “Divestiture”, “Disability” or “Retirement” or 
 (2) that the Corporation terminated your employment involuntarily as a result of a layoff, 
 you shall retain a fraction of your
Potential Award. The numerator of such fraction shall equal the number of days in the Performance Period before your employment as an Employee terminated, and the denominator shall equal the total number of days in the Performance Period. The
Committee shall have complete and absolute discretion to make the determinations called for under this Section 5.1(b), and all such determinations shall be binding on you and on any person who claims all or any part of your Potential Award on
your behalf as well as on the Corporation. 
 (c) Special Definitions. For purposes of this Award Agreement: 
 (1) Your employment as an Employee shall be treated as terminating because of a Disability on the date you become eligible for a benefit under the
Corporation’s long-term disability plan in which you participate, or if you are not enrolled in a long-term disability plan, the date on which long-term disability benefits would commence under the plan under which you would have been covered,
had you enrolled; 
 (2) Your employment as an Employee shall be treated as terminating as a result of Divestiture if the Corporation divests
all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation and a transfer of such employment to the other party in the divestiture. A divestiture shall
mean a transaction which results in the transfer of control of the business operation to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting stock
or other equity interests are owned or controlled by the Corporation; and 

 Award Date: January 28, 2008 
 Page 8 
  

 (3) Your employment as an Employee shall be treated as terminating because of Retirement if
(a) you participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates on or after the date on which you satisfy the plan’s age and service requirements for commencing receipt of an early
retirement benefit under the plan or (b) you do not participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates after you reach age 55 and have completed five years of service. 
 5.2. Payment Rules. 
 (a) General
Rule. If you are eligible to receive your Potential Award under Section 5.1(a), the Immediate Portion of your Potential Award shall be fully vested and shall be either paid in cash to you or deferred in accordance with Section 5.2(e).
The Deferred Portion of your Potential Award shall remain subject to forfeiture and shall be governed by the provisions of Section 5.2(c). 
 (b) Immediate Portion. Subject to section 5.2(e), you shall have the right to receive the Immediate Portion of your Potential Award currently in cash as soon as practicable after the date on which the Committee certifies in writing
(for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the Performance Period, but in no event later than the March 15 next following the end of the Performance Period. 
 (c) Deferred Portion Subject to Forfeiture. 
 (1) Deferral and Forfeiture. If you are eligible to receive your Potential Award under Section 5.1(a), the payment of the Deferred Portion of your Potential Award shall be deferred through December 31, 2012, and paid as
specified below. You shall forfeit your right to the payment of the Deferred Portion of your Potential Award if you do not remain actively employed by the Corporation through December 31, 2012. 
 (2) Phantom Stock Account. The Committee shall establish a bookkeeping account (a “Phantom Stock Account”) on your behalf under this
Section 5.2(c)(2) and shall credit such account with a number of units equal to the number of whole shares (and any fractional share) of the Corporation’s common stock which could have been purchased by the Deferred Portion of your
Potential Award described in Section 5.2(c)(1) based on the closing price for a share of the Corporation’s common stock as reported on the New York Stock 

 Award Date: January 28, 2008 
 Page 9 
  

 
Exchange for the last trading day of the Performance Period, subject to the Committee’s certification in writing (for purposes of Section 162(m) of
the Code) that your Target Award has become a Potential Award for the Performance Period. Thereafter the Committee shall make such credits or debits to the units previously credited to such account as the Committee deems appropriate in light of any
transaction described in Section 7(a) of the Plan (such as a stock split or stock dividend) or any cash dividends paid on the Corporation’s common stock, which dividends shall increase the number of units credited to such account as if
such dividends had been reinvested in the Corporation’s common stock at the closing price of a share of the Corporation’s common stock as reported on The New York Stock Exchange for the last trading day of the quarter in which such
dividend is declared by the Board of Directors. 
 (3) Payment. Unless you forfeit your right to the Deferred Portion of your Potential
Award described in this Section 5.2(c), you shall have the right to receive the payment of the value of your Phantom Stock Account as determined as of December 31, 2012, as soon as practicable after December 31, 2012, but in no event
later than March 15, 2013 (subject to section 5.2(e)). The amount payable under this Section 5.2(c) shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under
Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for December 31, 2012, or, if it is not a trading day, on the last trading day before December 31,
2012. 
 (4) Special Payment Rule For Certain Terminated Employees. Notwithstanding Section 5.2(c)(1), if your employment
terminates after the close of the Performance Period but prior to December 31, 2012, and the Committee determines that your employment terminated under circumstances described in Sections 5.1(b)(1) or (2), then the Deferred Portion of your
Potential Award described in this Section 5.2(c) shall be paid to you or, in the event of your death, to your designated beneficiary, in cash as soon as practicable following your termination of employment, but in no event later than
March 15 of the year following your termination of employment (subject to Section 5.2(e)). The amount payable under this Section 5.2(c)(4) shall be determined by multiplying the number of units representing shares of phantom stock
credited to your account under Section 5.2(c)(2) on the date your termination becomes effective by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for the date on which your
termination becomes effective, or if it is not a trading day, on the last trading day before that date. In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation
and Benefits’ office, your payment will be made to your estate. 

 Award Date: January 28, 2008 
 Page 10 
  

 (5) No Shareholder Rights. Units credited to your Phantom Stock Account are bookkeeping
entries only and do not entitle you to any shares of the Corporation’s common stock or to any voting or other rights associated with shares of such stock. 
 (d) Special Rule. If you terminate employment during the Performance Period but are eligible to receive a portion of your Potential Award as a result of an exception under Section 5.1(b), payment of such
portion of your Potential Award shall be in full satisfaction of all rights you have under this Award Agreement; in such circumstances, you will not be eligible for a payment of the Deferred Portion under Section 5.2(c) and no other amounts
will be payable to you or on your behalf. The portion of your Potential Award payable to you following a termination of employment during the Performance Period under circumstances described in Section 5.1(b) shall be paid to you or, in the
event of your death, to your designated beneficiary for the Award, in cash as soon as practicable after the Committee certifies in writing (for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the
Performance Period, but in no event later than March 15, 2011 (subject to section 5.2(e)). In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation and
Benefits’ office, your payment will be made to your estate. 
 (e) Further Deferral. You will be given an opportunity to elect to
defer any amounts payable under Sections 5.2(b) and 5.2(d) of this Award Agreement and to further defer any amounts payable under Section 5.2(c)(3). Such election shall be irrevocable, shall be made in accordance with the terms of the Lockheed
Martin Corporation Deferred Management Incentive Compensation Plan and the requirements of Code section 409A, and shall be subject to such additional terms and conditions as are set by the Committee. A deferral election form and the terms and
conditions for any deferral will be furnished to you in due course. 
 5.3. Cutback. Any payment called for under Section 5.2(b)
will be reduced to the extent that such payment together with payments attributable to any other Cash-Based Awards that are granted during 2008 as Performance Based Awards exceeds $5,000,000 and, further, any credit of phantom shares called for
under Section 5.2(c)(2) shall be reduced to the extent that the number of phantom shares credited to you together with the number of shares of Stock and Share Units in respect of Share-Based Awards that are granted to you during 2008 as
Performance Based Awards exceeds 1,000,000. To the extent that any payment called for under Section 5.2(b) would exceed the $5,000,000 limit and therefore must be reduced, the amount in excess of $5,000,000, shall be deferred and credited as
phantom shares under Section 5.2(c)(2) unless such crediting would result in the crediting of phantom shares that would otherwise be prohibited by this 

 Award Date: January 28, 2008 
 Page 11 
  

 
Section 5.3. To the extent that any crediting called for under Section 5.2(c)(2) would exceed the 1,000,000 limit and therefore must be reduced,
the units in excess of 1,000,000, shall not be credited and shall instead be paid in cash under Section 5.2(b) unless such payment would result in a payment that would otherwise be prohibited by this Section 5.3. 
 5.4. Withholding. Any payment made in respect of your Award will be subject to income tax withholding at the minimum rate prescribed by law. You
may owe taxes in addition to the amount withheld and may request that tax be withheld from any payment at a greater rate. In addition, FICA tax will be withheld, as required under the law, when any portion of an award becomes vested for tax purposes
prior to payment and shall reduce the amount of such Award. If prior to payment of the Immediate Portion, you become eligible for retirement, then any FICA tax due on your Deferred Portion will be withheld from the Immediate Portion. If you become
retirement eligible following payment of the Immediate Portion, then FICA taxes will be withheld from your Deferred Portion. 
 5.5. Means
of Satisfying Code Section 409A. If any payment that would otherwise be made under this Award Agreement is required to be delayed by reason of Section 13, such payment shall be made at the earliest date permitted by Code section 409A.
The amount of any delayed payment shall be the amount that would have been paid prior to the delay adjusted to include interest from the original payment date to the actual payment date, compounded daily, at a rate equivalent to the then published
rate for computing the present value of future benefits at the time cost is assignable under Cost Accounting Standard 415, Deferred Compensation, as determined by the Secretary of the Treasury on a semi-annual basis pursuant to Pub. L. 92-41, 85
Stat. 97. 
 Section 6. No Assignment – General Creditor Status. 
 You shall have no right to assign any interest you might have in all or any part of the Target Award or Potential Award which has been granted to you
under this Award Agreement and any attempt to do so shall be null and void and shall have no force or effect whatsoever. Furthermore, all payments called for under this Award Agreement shall be made in cash from the Corporation’s general
assets, and your right to payment from the Corporation’s general assets shall be the same as the right of a general and unsecured creditor of the Corporation. 
 Section 7. Plan. 
 This Award Agreement shall be subject to all of the terms and
conditions set forth in the Plan. 

 Award Date: January 28, 2008 
 Page 12 
  

 Section 8. Change in Control.  
 8.1. Change in Control During Performance Period. If during the Performance Period, a Change in Control (as defined in Section 7 of the Plan)
occurs, the Performance Period will terminate. Notwithstanding any deferral election or term of this Award Agreement to the contrary, a pro rata portion of your Award will be paid to you within 15 days of the Change in Control. The prorated portion
will be the sum of (i) the result obtained by first multiplying your Target Award by the External Performance Factor calculated under Section 3.2(b), but determined as of the last day of the year immediately preceding the Change in
Control, and then further multiplying that product by a fraction, the numerator of which is the number of whole calendar years of the Performance Period that were completed prior to the Change in Control and the denominator of which is three; and
(ii) the product of your Target Award and a fraction, the numerator of which is the number of days preceding the Change in Control that occur in the calendar year in which the Change in Control occurs and the denominator of which is 1095.

 8.2. Change in Control After Performance Period. If a Change in Control occurs after the end of the Performance Period but before
December 31, 2012, notwithstanding any deferral election or term of this Award Agreement to the contrary, the Deferred Portion of your Potential Award described in Section 5.2(c) will be paid to you within 15 days of the Change in Control.
The amount payable shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported
on the New York Stock Exchange for the date on which the Change in Control occurs, or if it is not a trading day, on the last trading day before that date. 
 8.3. Special Rule. Notwithstanding Section 8.1 or Section 8.2, if a payment in accordance with those provisions would result in a nonexempt short-swing transaction under Section 16(b) of the
Securities Exchange Act of 1934, then the date of distribution to you shall be delayed until the earliest date upon which the distribution either would not result in a nonexempt short-swing transaction or would otherwise not result in liability
under Section 16(b) of the Securities Exchange Act of 1934. 
 Section 9. Amendment and Termination. 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall amend Sections 1, 2, 3, 4, or 5 in a manner adverse to you or reduce the amount payable hereunder in a material manner without
your written consent. For this purpose, a change in the amount payable hereunder that occurs solely by reason of a change in the date or form of payment shall in no case be treated as a reduction prohibited by this Section 9. Thus, for example,
if an amount payable by reason of Section 8 is delayed by an amendment to this Award Agreement or other action undertaken to comply with Section 409A of the Internal Revenue Code and the amount payable is reduced solely by reason of a
corresponding delay in the date of valuation of a share of the Corporation’s common stock, such a change shall not be treated as a reduction prohibited by this Section 9. This Section 9 shall be construed and applied so as to permit
the Committee to amend this Award Agreement at any time in any manner reasonably necessary or appropriate in order to comply with the requirements of Code section 409A, including amendments regarding the timing and form of payments hereunder.

 Award Date: January 28, 2008 
 Page 13 
  

 Section 10. No Right to an Award. 
 Your status as an Employee shall not be construed as a commitment that any one or more awards shall be made under the Plan to you or to Employees
generally. Your status as a Participant shall not entitle you to any additional award. 
 Section 11. No Assurance of
Employment. 
 Nothing contained in the Plan or in this Award Agreement shall confer upon you any right to continue in the employ or
other service of the Corporation or constitute any contract (of employment or otherwise) or limit in any way the right of the Corporation to change your compensation or other benefits or to terminate your employment with or without cause.

 Section 12. Conflict. 
 In the event of a conflict between this Award Agreement and the Plan, the Plan document shall control. 
 Section 13. Compliance with Section 409A of the Internal Revenue Code. 
 Notwithstanding any other provision
of this Award Agreement to the contrary, to the extent that this Award Agreement constitutes a nonqualified deferred compensation plan to which Code section 409A applies, payments under this Award Agreement shall be made at a time and in a manner
that satisfies the requirements of Code section 409A and guidance of general applicability issued thereunder, including the provisions of 409A(a)(2)(B) (i)to the extent distributions to any key employee are required to be delayed six months.

 Section 14. Post-Employment Covenants 
 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 Section 15. Execution. 
 You must execute one copy of this Award Agreement and return it to the Office of the Vice President of Compensation and Benefits (Mail Point 123) as soon as possible as a condition to the Award becoming effective. In order for this Award to
be effective, you must execute and return this Award Agreement promptly. Your execution of this Award Agreement constitutes your consent to and acceptance of any action taken under the Plan consistent with its terms with respect to your Award and
your agreement to the Post-Employment Covenants contained in Section 14 and Exhibit A. 

 Award Date: January 28, 2008 
 Page 14 
  

 By signing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
Award from the Corporation’s intranet site http://www.etrade.com/stockplans as well as to electronic delivery of the Corporation’s annual report on Form 10-k, annual proxy and quarterly reports on Form 10-Q. This consent can only be
withdrawn by written notice to the Corporate Secretary, Lockheed Martin Corporation, 6801 Rockledge Drive, Bethesda, MD 20817. 
 A
pre-addressed envelope has been enclosed for your convenience to return with a copy of this Award Agreement, as acknowledged by you below. 
  

					
		 		 	Sincerely,
			
	 	 		 	  
		 		 	 Kenneth J. Disken
 Sr. Vice President, Human Resources

			
	Enclosures	 		 	
			
	ACKNOWLEDGEMENT:	 		 	
			
	 	 		 	 
	Signature	 		 	Date
			
	 	 		 	
	Print or type name	 		 	

 Award Date: January 28, 2008 
 Page 15 
  

 Appendix A 
 Capitalized Terms 
  

			
	 Award
	 	2nd ¶
	 Band
	 	§ 3.2(b)
	 Cash Flow
	 	§ 4.1(b)
	 Cash Flow Performance Factor
	 	§ 4.2
	 Cash Flow Performance Amount
	 	§ 2.1(c)
	 Cell
	 	§ 4.1 (c)
	 Change of Control
	 	IPA
	 Committee
	 	1st ¶
	 Corporation
	 	2nd ¶
	 Deferred Portion
	 	§ 2.2
	 External Performance Amount
	 	§ 2.1(a)
	 External Performance Factor
	 	§ 3.1
	 Immediate Portion
	 	§ 2.1(c)
	 Internal Performance Amount
	 	§ 2.1(b)
	 Internal Performance Factors
	 	§ 4
	 Peer Performance Group
	 	§ 3.1
	 Percentile Ranking
	 	§ 3.2(b)
	 Performance Period
	 	§ 1¶
	 Phantom Stock Account
	 	§ 5.2(c)(2)
	 Plan
	 	1st ¶
	 Potential Award
	 	§ 2.1(c)
	 ROIC
	 	§ 4.1(a)
	 ROIC Performance Factor
	 	§ 4.1
	 ROIC Performance Amount
	 	§ 2.1(b)
	 Share Units
	 	IPA
	 Share-Based Awards
	 	IPA
	 Stock
	 	IPA
	 Target Award
	 	2nd ¶, § 1
	 Total Stockholder Return
	 	IPA

 Award Date: January 28, 2008 
 Page 16 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (LTIP Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of a Long Term Incentive Performance Award to me under the Award Agreement (the “LTIP”) pursuant to the Lockheed Martin Corporation
Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). By accepting the LTIP, I agree as follows: 
 1.
Protective Covenants 
 (a) Protection of Proprietary Information, including Trade Secrets and Confidential
Information – Except to the extent required by law, following my Termination Date, and in conformance with the provisions of the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.) and the California
Unfair Competition Law (Cal. Business and Professional Code § 17220 et seq.), I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation
committing to hold confidential the “Confidential or Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners,
contractors or agents, in each case in accordance with the terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity, for the purpose or effect of competing unfairly with the Corporation,
of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition,
interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the
existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me
in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a
copy of which has been made available to me), including but not limited to information that a person or entity desires to protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or
economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s
interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

 Award Date: January 28, 2008 
 Page 17 
  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. Or 

  

	 	(iii)	any information protected by the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.). 

 (b) Non-Solicit - Without the express written consent of the Chief Executive
Officer of the Corporation, during the two-year period following the Termination Date, I will not induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation.
This provision does not prevent the hiring of such persons so long as they are not induced to be one employed in violation of this provision. 
 (c) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or reasonably may be interpreted to disparage the Corporation or its
stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 
 (d) Cooperation in Litigation and Investigations - Following the Termination Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including
alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the
Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any
governmental inquiry or investigation or to give truthful testimony in court. 

 Award Date: January 28, 2008 
 Page 18 
  

 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and
compensation opportunities being made available to me under the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and
that the grant of the LTIP is expressly made contingent upon my agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and
reasonable in light of the value of the benefits and compensation opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with
the Corporation and the access to and extensive knowledge of the Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s
legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment.

 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and
Proceeds” (as defined below) in the event any of the following occur: 

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

 (b) The remedy provided in Section 3(a) shall not be the exclusive remedy
available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the Corporation from seeking damages or injunctive relief. 
 (c) For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the LTIP, any
cash paid to me, whether paid currently or deferred; and (ii) to the extent I have not earned the LTIP fully, all of my remaining rights, title or interest in the LTIP. 

 Award Date: January 28, 2008 
 Page 19 
  

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be
inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available
to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its favor and to specific performance without proof of actual damages
and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and
intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to
delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the LTIP to me. 
 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. Any enforcement of, or challenge to, this Agreement may only be brought in the Circuit Court of Maryland or
the United States District Court for the District of Maryland. Both parties consent to the proper jurisdiction and venue of the Circuit Court of Maryland and the United States District Court for the District of Maryland for the purpose of enforcing
or challenging this Agreement. 
 (c) This PECA shall inure to the benefit of the Corporation’s successors and assigns
and may be assigned by the Corporation without my consent. 
 (d) This PECA provides for certain obligations on my part
following the Termination Date and shall not, by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and
me, the provisions of applicable Corporate policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the acceptance by me of the award of an LTIP under the Award Agreement. 

 LTIP - California 
 Award Date: January 28, 2008 
 Lockheed Martin Corporation 
 6801 Rockledge Drive, Bethesda, MD 20817 
 Telephone 301-897-6000 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE
BEEN REGISTERED UNDER THE 
 SECURITIES ACT OF 1933 
 «Name» 
 «Street» 
 «City», «State» «Zip» 
  

	 	Re:	Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan: Long-Term Incentive Performance Award (2008-2010 Performance Period) 

 Dear «Call_By_Name»: 
 On behalf of the Management Development and Compensation Committee (the “Committee”) of the Board of Directors of Lockheed Martin Corporation, I am pleased to tell you that you have been granted a Long-Term Incentive Performance
Award under the Corporation’s Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). The purpose of this letter is to serve as the Award Agreement under such Plan and to set forth your Target Award as well as the
terms and conditions to the payment of your Target Award. Additional terms and conditions are set forth in the Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. The Prospectus is
available at http://www.etrade.com/stockplans. You should retain the Prospectus and the attached copy of the Plan in your records. 
 IN ORDER FOR THIS
AWARD TO BE EFFECTIVE, YOU MUST PROMPTLY SIGN AND RETURN A COPY OF THIS AWARD AGREEMENT. PLEASE NOTE THAT BY ACCEPTING THE AWARD YOU AGREE TO BE BOUND BY THE RESTRICTIONS CONTAINED IN SECTION 14, “POST-EMPLOYMENT COVENANTS” AND IN
EXHIBIT A ATTACHED TO THIS AGREEMENT. 
 Capitalized terms used in this letter which have a special meaning either shall be defined in
this letter or if not defined in this letter shall have the meaning ascribed to the term in the Plan. The term “Target Award” as used in this Award Agreement refers only to the Target Award awarded to you under this Award Agreement and the
term “Award” refers only to the Long Term Incentive Performance Award set forth in this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. Appendix A contains an index of
all capitalized terms used in this Agreement. 

 Award Date: January 28, 2008 
 Page 2 
  

 Section 1. Target Award. Performance Period. 
 1.1 Target Award. Your Target Award for the Performance Period under this Award Agreement shall be [Target]. 
 1.2 Performance Period. The Performance Period under this Award Agreement is a three-year performance period that runs from January 1, 2008,
until December 31, 2010. 
 1.3 Payment of Award. The amount payable to you under your Award is dependent upon the
Corporation’s performance as compared to the internal and external metrics described in this Award Agreement and your continued employment with the Corporation in accordance with Section 5 of this Agreement. As a result of these
requirements, any payments you receive may be larger or smaller than your Target Award (e.g., the performance factors could result in no payment in respect of your Award). 
 Section 2. Calculation of Award Payments. 
 2.1 End of Performance Period Calculation. Following the end of the Performance Period and prior to any payments being made, 
 (a) The Committee will calculate the External Performance Factor based on the Corporation’s performance during the Performance Period relative to the performance of other corporations which compose the
Standard & Poor’s Industrials Index reported under symbol S5INDU by Bloomberg, L.P. One-half of your Target Award will be multiplied by the External Performance Factor, with the resulting dollar amount to be known as the External
Performance Amount. 
 (b) The Committee will also calculate the ROIC Performance Factor based on the Corporation’s ROIC during the
Performance Period as compared to the projected ROIC for the Performance Period in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will be multiplied by the ROIC Performance Factor, with the
resulting dollar amount to be known as the ROIC Performance Amount. 
 (c) The Committee will also calculate the Cash Flow Performance Factor
based on the Corporation’s cumulative Cash Flow during the Performance Period as compared to the projected cumulative Cash Flow in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will
be multiplied by the Cash Flow Performance Factor, with the resulting dollar amount to be known as the Cash Flow Performance Amount. 

 Award Date: January 28, 2008 
 Page 3 
  

 (d) Your External Performance Amount, your ROIC Performance Amount, and your Cash Flow Performance
Amount will then be added together, with the sum of those three amounts known as your “Potential Award”. Assuming you satisfy the continued employment requirements set forth in Section 5 of this Award Agreement, one-half of your
Potential Award (the “Immediate Portion”) will be paid to you (or deferred to a later payment date specified at your election subject to the rules on deferrals set forth below) as soon as practicable after the Committee completes its
calculations in 2011, but in no event later than March 15, 2011. 
 2.2 Two Year Deferral Period. The remaining one-half of your
Potential Award (the “Deferred Portion”) will be deferred and paid as soon as practicable in January 2013, but in no event later than March 15, 2013. 
 (a) Between December 31, 2010, and December 31, 2012, the Deferred Portion will be treated as though it was invested by the Corporation on December 31, 2010, in the Corporation’s common stock and
will be adjusted to reflect dividends, gains, and losses to reflect the performance of the Corporation’s common stock, as further specified in Section 5.2(c)(2). 
 (b) Assuming you satisfy the continued employment requirements set forth in Section 5.2(c) of this Award Agreement, the Deferred Portion (as adjusted) will be paid to you as soon as practicable in January 2013,
but in no event later than March 15, 2013 or deferred to a later payment date specified at your election subject to the rules on deferrals set forth below. 
 You must (except as specified in Section 5) remain employed by the Corporation through December 31, 2010, to receive a payment of any portion of your Award and through December 31, 2012, to receive payment of the Deferred
Portion. 
 Section 3. External Performance Factor. 
 3.1. External Performance Factor – Peer Performance Group. The External Performance Factor will be based upon the relative ranking of the
Corporation’s Total Stockholder Return (as defined in the Plan and assuming the reinvestment of any cash dividends) for the Performance Period to the Total Stockholder Return for such Period for the corporations which compose the
Standard & Poor’s Industrials Index as reported under symbol S5INDU by Bloomberg, L.P. (“Peer Performance Group”) at the beginning of the Performance Period. The Corporation shall be included as a member of the Peer
Performance Group. The Corporation’s Total Stockholder Return will be based on the performance of its common stock, par value $1.00. The Total Stockholder Return of each corporation that is taken into account in computing the Peer Performance
Group Total Stockholder Return will be based on the equity security of the relevant corporation that is used in computing the Standard & Poor’s Industrials Index. 

 Award Date: January 28, 2008 
 Page 4 
  

 3.2. Calculation of External Performance Factor. 
 (a) Calculation of Total Stockholder Return. After the end of the Performance Period, the Committee shall compute the Total Stockholder Return for
the Corporation for such Period and shall compute and rank the Total Stockholder Return for each corporation in the Peer Performance Group. Each corporation’s Total Stockholder Return shall be ranked among the Total Stockholder Return for each
other corporation in the Peer Performance Group on a percentile basis. Each such Total Shareholder Return shall be computed from data available to the public. 
 (b) Percentage Level of Target Award. Your External Performance Factor, expressed as a percentage, will be determined under this Section 3.2(b) (and 3.2(c) to the extent interpolation is necessary) based
on the percentile ranking of the Corporation’s Total Stockholder Return for the Performance Period under the following chart – 
  

						
	 Band
	  	Percentile
Ranking	  	External
Performance
Factor	 
	 One
	  	75th or higher	  	200	%
	 Two
	  	60th	  	150	%
	 Three
	  	50th	  	100	%
	 Four
	  	40th	  	50	%
	 Five
	  	35th	  	25	%
	 Six
	  	Below 35th	  	0	%

 (c) External Performance Factor Interpolation. If the Corporation’s Total Stockholder
Return puts the Corporation over the listed Percentile Ranking for the applicable Band (other than Band One) in Section 3.2(b), your External Performance Factor under Section 3.2(b) shall be interpolated on a linear basis. 

 Award Date: January 28, 2008 
 Page 5 
  

 Section 4. Internal Performance Factors. 
 4.1 ROIC Performance Factor. The ROIC Performance Factor will be determined by comparing the Corporation’s ROIC for the Performance Period to
ROIC as forecasted for the Performance Period in the Corporation’s 2008 Long Range Plan and then identifying the ROIC Performance Factor based upon the factor associated with the difference on the following table: 
  

				
	 Change from 2008 LRP ROIC
	  	ROIC
Performance
Factor	 
	 Plan + 40 or more basis points
	  	200	%
	 Plan + 30 basis points
	  	175	%
	 Plan + 20 basis points
	  	150	%
	 Plan + 10 basis points
	  	125	%
	 Plan
	  	100	%
	 Plan - 10 basis points
	  	75	%
	 Plan - 20 basis points
	  	50	%
	 Plan - 30 basis points
	  	25	%
	 Plan - 40 or more basis points
	  	0	%

  

	 	(a)	ROIC Definition. For purposes of this Award Agreement, “ROIC” means return on invested capital for the Performance Period calculated as (A) average annual
(i) net income plus (ii) interest expense times one minus the highest marginal federal corporate tax rate over the three year Performance period (“Return”), divided by (B) the average of the four year-end investment balances
(beginning with December 31, 2007 year-end balance) consisting of (i) debt (including current maturities of long-term debt) plus (ii) stockholders’ equity plus the postretirement plans amounts determined at year-end as included
in the Corporation’s Statement of Stockholder Equity. 

  

	 	(b)	ROIC Determination. Each component of ROIC and the calculation of any postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity shall be
determined by the Committee in accordance with generally accepted accounting principles in the United States and be based upon the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited
financial statements are not available for the date or period on which ROIC is being determined, the Committee shall make its determination in a manner consistent with the historical practices used by the Corporation in determining the components of
ROIC and postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity for purposes of reporting those items on its audited financial statements, as modified by this paragraph. Notwithstanding the foregoing, ROIC
will be adjusted to exclude the impact of any change in accounting standards or adoption of any new accounting standards that is required under generally accepted accounting principals in the United States and that is reported in the
Corporation’s filings with the Securities and Exchange Commission as having a material effect on the Corporation’s consolidated financial statements. ROIC as included in the 2008 Long Range Plan and the change in ROIC for purposes of the
ROIC Performance Factor will be determined in accordance with this Section 4.1(b). 

 Award Date: January 28, 2008 
 Page 6 
  

 4.2 Cash Flow Performance Factor. The Cash Flow Performance Factor will be determined by
comparing the Corporation’s cumulative Cash Flow during the Performance Period to the projected cumulative Cash Flow of the Corporation as forecasted in the Corporation’s 2008 Long Range Plan. and then identifying the Cash Flow Performance
Factor based upon the factor associated with the change from the 2008 Long Range Plan on the following table: 
  

				
	 Change From 2008 LRP Cash Flow
	  	Cash Flow
Performance
Factor	 
	 Plan + $1B or more
	  	200	%
	 Plan + $ .75B
	  	175	%
	 Plan + $ .5B
	  	150	%
	 Plan + $ .25B
	  	125	%
	 Plan
	  	100	%
	 Plan - $ .25B
	  	75	%
	 Plan - $ .5B
	  	50	%
	 Plan - $1B
	  	25	%
	 Plan - more than $1B
	  	0	%

  

	 	(a)	Cash Flow Defintion. For purposes of this Award Agreement, Cash Flow means net cash flow from operations but not taking into account: (i) the aggregate difference
between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the Performance Period and the actual amounts contributed by the
Corporation during the Performance Period; (ii) any tax payments or benefits during the Performance Period associated with the divestiture of business units. 

  

	 	(b)	Cash Flow Determination. Cash Flow shall be determined by the Committee based upon the comparable numbers reported on the Corporation’s audited consolidated financial
statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Committee shall determine Cash Flow in a manner consistent with the historical practices used by the Corporation in
determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph. 

 4.3 Interpolation of ROIC and Cash Flow Metrics. If the change in ROIC or Cash Flow falls between two numbers listed in the applicable table in
section 4.1 or 4.2, the appropriate factor will be interpolated on a linear basis. Notwithstanding the foregoing, the ROIC Performance Factor will always be zero if the ROIC for the Performance Period is less than ROIC forecasted for the Performance
Period in the 2008 Long Range Plan by 40 basis points or more and the Cash Flow Performance Factor will always be zero if the aggregate Cash Flow for the Performance Period is less than what was forecasted for the Performance Period in the 2008 Long
Range Plan by more than $1 billion. 

 Award Date: January 28, 2008 
 Page 7 
  

 Section 5. Payment of Award: Potential Award, Mandatory Portion 
 5.1. Employment Requirement. 
 (a)
General Rule. In order to be eligible to receive payment of any portion of your Potential Award as determined under Section 2.1(d), you must remain actively employed by the Corporation through the last day of the Performance Period. If
your employment as an Employee terminates during the Performance Period, you shall forfeit your right to receive all or any part of your Potential Award. 
 (b) Exceptions. Notwithstanding Section 5.1(a), if the Committee determines 
 (1) that your
employment as an Employee terminated as a result of your death, “Divestiture”, “Disability” or “Retirement” or 
 (2) that the Corporation terminated your employment involuntarily as a result of a layoff, 
 you shall retain a fraction of your
Potential Award. The numerator of such fraction shall equal the number of days in the Performance Period before your employment as an Employee terminated, and the denominator shall equal the total number of days in the Performance Period. The
Committee shall have complete and absolute discretion to make the determinations called for under this Section 5.1(b), and all such determinations shall be binding on you and on any person who claims all or any part of your Potential Award on
your behalf as well as on the Corporation. 
 (c) Special Definitions. For purposes of this Award Agreement: 
 (1) Your employment as an Employee shall be treated as terminating because of a Disability on the date you become eligible for a benefit under the
Corporation’s long-term disability plan in which you participate, or if you are not enrolled in a long-term disability plan, the date on which long-term disability benefits would commence under the plan under which you would have been covered,
had you enrolled; 
 (2) Your employment as an Employee shall be treated as terminating as a result of Divestiture if the Corporation divests
all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation and a transfer of such employment to the other party in the divestiture. A divestiture shall
mean a transaction which results in the transfer of control of the business operation to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting stock
or other equity interests are owned or controlled by the Corporation; and 

 Award Date: January 28, 2008 
 Page 8 
  

 (3) Your employment as an Employee shall be treated as terminating because of Retirement if
(a) you participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates on or after the date on which you satisfy the plan’s age and service requirements for commencing receipt of an early
retirement benefit under the plan or (b) you do not participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates after you reach age 55 and have completed five years of service. 
 5.2. Payment Rules. 
 (a) General
Rule. If you are eligible to receive your Potential Award under Section 5.1(a), the Immediate Portion of your Potential Award shall be fully vested and shall be either paid in cash to you or deferred in accordance with Section 5.2(e).
The Deferred Portion of your Potential Award shall remain subject to forfeiture and shall be governed by the provisions of Section 5.2(c). 
 (b) Immediate Portion. Subject to section 5.2(e), you shall have the right to receive the Immediate Portion of your Potential Award currently in cash as soon as practicable after the date on which the Committee certifies in writing
(for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the Performance Period, but in no event later than the March 15 next following the end of the Performance Period. 
 (c) Deferred Portion Subject to Forfeiture. 
 (1) Deferral and Forfeiture. If you are eligible to receive your Potential Award under Section 5.1(a), the payment of the Deferred Portion of your Potential Award shall be deferred through December 31, 2012, and paid as
specified below. You shall forfeit your right to the payment of the Deferred Portion of your Potential Award if you do not remain actively employed by the Corporation through December 31, 2012. 
 (2) Phantom Stock Account. The Committee shall establish a bookkeeping account (a “Phantom Stock Account”) on your behalf under this
Section 5.2(c)(2) and shall credit such account with a number of units equal to the number of whole shares (and any fractional share) of the Corporation’s common stock which could have been purchased by the Deferred Portion of your
Potential Award described in Section 5.2(c)(1) based on the closing price for a share of the Corporation’s common stock as reported on the New York Stock 

 Award Date: January 28, 2008 
 Page 9 
  

 
Exchange for the last trading day of the Performance Period, subject to the Committee’s certification in writing (for purposes of Section 162(m) of
the Code) that your Target Award has become a Potential Award for the Performance Period. Thereafter the Committee shall make such credits or debits to the units previously credited to such account as the Committee deems appropriate in light of any
transaction described in Section 7(a) of the Plan (such as a stock split or stock dividend) or any cash dividends paid on the Corporation’s common stock, which dividends shall increase the number of units credited to such account as if
such dividends had been reinvested in the Corporation’s common stock at the closing price of a share of the Corporation’s common stock as reported on The New York Stock Exchange for the last trading day of the quarter in which such
dividend is declared by the Board of Directors. 
 (3) Payment. Unless you forfeit your right to the Deferred Portion of your Potential
Award described in this Section 5.2(c), you shall have the right to receive the payment of the value of your Phantom Stock Account as determined as of December 31, 2012, as soon as practicable after December 31, 2012, but in no event
later than March 15, 2013 (subject to section 5.2(e)). The amount payable under this Section 5.2(c) shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under
Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for December 31, 2012, or, if it is not a trading day, on the last trading day before December 31,
2012. 
 (4) Special Payment Rule For Certain Terminated Employees. Notwithstanding Section 5.2(c)(1), if your employment
terminates after the close of the Performance Period but prior to December 31, 2012, and the Committee determines that your employment terminated under circumstances described in Sections 5.1(b)(1) or (2), then the Deferred Portion of your
Potential Award described in this Section 5.2(c) shall be paid to you or, in the event of your death, to your designated beneficiary, in cash as soon as practicable following your termination of employment, but in no event later than
March 15 of the year following your termination of employment (subject to Section 5.2(e)). The amount payable under this Section 5.2(c)(4) shall be determined by multiplying the number of units representing shares of phantom stock
credited to your account under Section 5.2(c)(2) on the date your termination becomes effective by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for the date on which your
termination becomes effective, or if it is not a trading day, on the last trading day before that date. In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation
and Benefits’ office, your payment will be made to your estate. 

 Award Date: January 28, 2008 
 Page 10 
  

 (5) No Shareholder Rights. Units credited to your Phantom Stock Account are bookkeeping
entries only and do not entitle you to any shares of the Corporation’s common stock or to any voting or other rights associated with shares of such stock. 
 (d) Special Rule. If you terminate employment during the Performance Period but are eligible to receive a portion of your Potential Award as a result of an exception under Section 5.1(b), payment of such
portion of your Potential Award shall be in full satisfaction of all rights you have under this Award Agreement; in such circumstances, you will not be eligible for a payment of the Deferred Portion under Section 5.2(c) and no other amounts
will be payable to you or on your behalf. The portion of your Potential Award payable to you following a termination of employment during the Performance Period under circumstances described in Section 5.1(b) shall be paid to you or, in the
event of your death, to your designated beneficiary for the Award, in cash as soon as practicable after the Committee certifies in writing (for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the
Performance Period, but in no event later than March 15, 2011 (subject to section 5.2(e)). In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation and
Benefits’ office, your payment will be made to your estate. 
 (e) Further Deferral. You will be given an opportunity to elect to
defer any amounts payable under Sections 5.2(b) and 5.2(d) of this Award Agreement and to further defer any amounts payable under Section 5.2(c)(3). Such election shall be irrevocable, shall be made in accordance with the terms of the Lockheed
Martin Corporation Deferred Management Incentive Compensation Plan and the requirements of Code section 409A, and shall be subject to such additional terms and conditions as are set by the Committee. A deferral election form and the terms and
conditions for any deferral will be furnished to you in due course. 
 5.3. Cutback. Any payment called for under Section 5.2(b)
will be reduced to the extent that such payment together with payments attributable to any other Cash-Based Awards that are granted during 2008 as Performance Based Awards exceeds $5,000,000 and, further, any credit of phantom shares called for
under Section 5.2(c)(2) shall be reduced to the extent that the number of phantom shares credited to you together with the number of shares of Stock and Share Units in respect of Share-Based Awards that are granted to you during 2008 as
Performance Based Awards exceeds 1,000,000. To the extent that any payment called for under Section 5.2(b) would exceed the $5,000,000 limit and therefore must be reduced, the amount in excess of $5,000,000, shall be deferred and credited as
phantom shares under Section 5.2(c)(2) unless such crediting would result in the crediting of phantom shares that would otherwise be prohibited by this 

 Award Date: January 28, 2008 
 Page 11 
  

 
Section 5.3. To the extent that any crediting called for under Section 5.2(c)(2) would exceed the 1,000,000 limit and therefore must be reduced,
the units in excess of 1,000,000, shall not be credited and shall instead be paid in cash under Section 5.2(b) unless such payment would result in a payment that would otherwise be prohibited by this Section 5.3. 
 5.4. Withholding. Any payment made in respect of your Award will be subject to income tax withholding at the minimum rate prescribed by law. You
may owe taxes in addition to the amount withheld and may request that tax be withheld from any payment at a greater rate. In addition, FICA tax will be withheld, as required under the law, when any portion of an award becomes vested for tax purposes
prior to payment and shall reduce the amount of such Award. If prior to payment of the Immediate Portion, you become eligible for retirement, then any FICA tax due on your Deferred Portion will be withheld from the Immediate Portion. If you become
retirement eligible following payment of the Immediate Portion, then FICA taxes will be withheld from your Deferred Portion. 
 5.5. Means
of Satisfying Code Section 409A. If any payment that would otherwise be made under this Award Agreement is required to be delayed by reason of Section 13, such payment shall be made at the earliest date permitted by Code section 409A.
The amount of any delayed payment shall be the amount that would have been paid prior to the delay adjusted to include interest from the original payment date to the actual payment date, compounded daily, at a rate equivalent to the then published
rate for computing the present value of future benefits at the time cost is assignable under Cost Accounting Standard 415, Deferred Compensation, as determined by the Secretary of the Treasury on a semi-annual basis pursuant to Pub. L. 92-41, 85
Stat. 97. 
 Section 6. No Assignment – General Creditor Status. 
 You shall have no right to assign any interest you might have in all or any part of the Target Award or Potential Award which has been granted to you
under this Award Agreement and any attempt to do so shall be null and void and shall have no force or effect whatsoever. Furthermore, all payments called for under this Award Agreement shall be made in cash from the Corporation’s general
assets, and your right to payment from the Corporation’s general assets shall be the same as the right of a general and unsecured creditor of the Corporation. 
 Section 7. Plan. 
 This Award Agreement shall be subject to all of the terms and
conditions set forth in the Plan. 

 Award Date: January 28, 2008 
 Page 12 
  

 Section 8. Change in Control. 
 8.1. Change in Control During Performance Period. If during the Performance Period, a Change in Control (as defined in Section 7 of the Plan)
occurs, the Performance Period will terminate. Notwithstanding any deferral election or term of this Award Agreement to the contrary, a pro rata portion of your Award will be paid to you within 15 days of the Change in Control. The prorated portion
will be the sum of (i) the result obtained by first multiplying your Target Award by the External Performance Factor calculated under Section 3.2(b), but determined as of the last day of the year immediately preceding the Change in
Control, and then further multiplying that product by a fraction, the numerator of which is the number of whole calendar years of the Performance Period that were completed prior to the Change in Control and the denominator of which is three; and
(ii) the product of your Target Award and a fraction, the numerator of which is the number of days preceding the Change in Control that occur in the calendar year in which the Change in Control occurs and the denominator of which is 1095.

 8.2. Change in Control After Performance Period. If a Change in Control occurs after the end of the Performance Period but before
December 31, 2012, notwithstanding any deferral election or term of this Award Agreement to the contrary, the Deferred Portion of your Potential Award described in Section 5.2(c) will be paid to you within 15 days of the Change in Control.
The amount payable shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported
on the New York Stock Exchange for the date on which the Change in Control occurs, or if it is not a trading day, on the last trading day before that date. 
 8.3. Special Rule. Notwithstanding Section 8.1 or Section 8.2, if a payment in accordance with those provisions would result in a nonexempt short-swing transaction under Section 16(b) of the
Securities Exchange Act of 1934, then the date of distribution to you shall be delayed until the earliest date upon which the distribution either would not result in a nonexempt short-swing transaction or would otherwise not result in liability
under Section 16(b) of the Securities Exchange Act of 1934. 
 Section 9. Amendment and Termination. 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall amend Sections 1, 2, 3, 4, or 5 in a manner adverse to you or reduce the amount payable hereunder in a material manner without
your written consent. For this purpose, a change in the amount payable hereunder that occurs solely by reason of a change in the date or form of payment shall in no case be treated as a reduction prohibited by this Section 9. Thus, for example,
if an amount payable by reason of Section 8 is delayed by an amendment to this Award Agreement or other action undertaken to comply with Section 409A of the Internal Revenue Code and the amount payable is reduced solely by reason of a
corresponding delay in the date of valuation of a share of the Corporation’s common stock, such a change shall not be treated as a reduction prohibited by this Section 9. This Section 9 shall be construed and applied so as to permit
the Committee to amend this Award Agreement at any time in any manner reasonably necessary or appropriate in order to comply with the requirements of Code section 409A, including amendments regarding the timing and form of payments hereunder.

 Award Date: January 28, 2008 
 Page 13 
  

 Section 10. No Right to an Award. 
 Your status as an Employee shall not be construed as a commitment that any one or more awards shall be made under the Plan to you or to Employees
generally. Your status as a Participant shall not entitle you to any additional award. 
 Section 11. No Assurance of
Employment. 
 Nothing contained in the Plan or in this Award Agreement shall confer upon you any right to continue in the employ or
other service of the Corporation or constitute any contract (of employment or otherwise) or limit in any way the right of the Corporation to change your compensation or other benefits or to terminate your employment with or without cause.

 Section 12. Conflict. 
 In the event of a conflict between this Award Agreement and the Plan, the Plan document shall control. 
 Section 13. Compliance with Section 409A of the Internal Revenue Code. 
 Notwithstanding any other provision
of this Award Agreement to the contrary, to the extent that this Award Agreement constitutes a nonqualified deferred compensation plan to which Code section 409A applies, payments under this Award Agreement shall be made at a time and in a manner
that satisfies the requirements of Code section 409A and guidance of general applicability issued thereunder, including the provisions of 409A(a)(2)(B) (i)to the extent distributions to any key employee are required to be delayed six months.

 Section 14. Post-Employment Covenants. 
 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 Section 15. Execution. 
 You must execute one copy of this Award Agreement and return it to the Office of the Vice President of Compensation and Benefits (Mail Point 123) as soon as possible as a condition to the Award becoming effective. In order for this Award to
be effective, you must execute and return this Award Agreement promptly. Your execution of this Award Agreement constitutes your consent to and acceptance of any action taken under the Plan consistent with its terms with respect to your Award and
your agreement to the Post-Employment Covenants contained in Section 14 and Exhibit A. 

 Award Date: January 28, 2008 
 Page 14 
  

 By signing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
Award from the Corporation’s intranet site http://www.etrade.com/stockplans as well as to electronic delivery of the Corporation’s annual report on Form 10-k, annual proxy and quarterly reports on Form 10-Q. This consent can only be
withdrawn by written notice to the Corporate Secretary, Lockheed Martin Corporation, 6801 Rockledge Drive, Bethesda, MD 20817. 
 A
pre-addressed envelope has been enclosed for your convenience to return with a copy of this Award Agreement, as acknowledged by you below. 
  

	
	Sincerely,
	
	  
	 Kenneth J. Disken
 Sr. Vice President, Human Resources

  

					
	Enclosures	 		 	
			
	ACKNOWLEDGEMENT:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	 
	Print or type name	 		 	

 Award Date: January 28, 2008 
 Page 15 
  

 Appendix A 
 Capitalized Terms 
  

			
	Award	 	2nd¶
	Band	 	§3.2(b)
	Cash Flow	 	§4.1(b)
	Cash Flow Performance Factor	 	§4.2
	Cash Flow Performance Amount	 	§2.1(c)
	Cell	 	§4.1(c)
	Change of Control	 	IPA
	Committee	 	1st ¶
	Corporation	 	2nd¶
	Deferred Portion	 	§2.2
	External Performance Amount	 	§2.1(a)
	External Performance Factor	 	§3.1
	Immediate Portion	 	§2.1(c)
	Internal Performance Amount	 	§2.1(b)
	Internal Performance Factors	 	§4
	Peer Performance Group	 	§3.1
	Percentile Ranking	 	§3.2(b)
	Performance Period	 	§1¶
	Phantom Stock Account	 	§5.2(c)(2)
	Plan	 	1st ¶
	Potential Award	 	§2.1(c)
	ROIC	 	§4.1(a)
	ROIC Performance Factor	 	§4.1
	ROIC Performance Amount	 	§2.1(b)
	Share Units	 	IPA
	Share-Based Awards	 	IPA
	Stock	 	IPA
	Target Award	 	2nd¶, §1
	Total Stockholder Return	 	IPA

 Award Date: January 28, 2008 
 Page 16 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (LTIP Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of a Long Term Incentive Performance Award to me under the Award Agreement (the “LTIP”) pursuant to the Lockheed Martin Corporation
Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). By accepting the LTIP, I agree as follows: 
 1.
Protective Covenants 
 (a) Protection of Proprietary Information, including Trade Secrets and Confidential
Information – Except to the extent required by law, following my Termination Date, and in conformance with the provisions of the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.) and the California
Unfair Competition Law (Cal. Business and Professional Code § 17220 et seq.), I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation
committing to hold confidential the “Confidential or Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners,
contractors or agents, in each case in accordance with the terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity, for the purpose or effect of competing unfairly with the Corporation,
of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition,
interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the
existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me
in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a
copy of which has been made available to me), including but not limited to information that a person or entity desires to protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or
economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s
interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

 Award Date: January 28, 2008 
 Page 17 
  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. Or 

  

	 	(iii)	any information protected by the California Uniform Trade Secrets Act (Cal. Civil Code § 3426, et seq.). 

 (b) Non-Solicit - Without the express written consent of the Senior Vice
President, Human Resources of the Corporation, during the one-year period following the Termination Date, I will not induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than
the Corporation. This provision does not prevent the hiring of such persons so long as they are not induced to be one employed in violation of this provision. 
 (c) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or
reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 
 (d) Cooperation in Litigation and Investigations - Following the Termination Date, I will, to the extent reasonably requested,
cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or affiliates is a party or is required or requested to
provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or investigation. Notwithstanding any other provision of this PECA,
nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 

 Award Date: January 28, 2008 
 Page 18 
  

 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and
compensation opportunities being made available to me under the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and
that the grant of the LTIP is expressly made contingent upon my agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and
reasonable in light of the value of the benefits and compensation opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with
the Corporation and the access to and extensive knowledge of the Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s
legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment.

 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and
Proceeds” (as defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

 (b) The remedy provided in Section 3(a) shall not be the exclusive remedy available to the
Corporation for any of the conduct described in Section 3(a) and shall not limit the Corporation from seeking damages or injunctive relief. 
 (c) For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the LTIP, any cash paid to me, whether paid currently or deferred; and (ii) to the extent I have not earned
the LTIP fully, all of my remaining rights, title or interest in the LTIP. 

 Award Date: January 28, 2008 
 Page 19 
  

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be
inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available
to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its favor and to specific performance without proof of actual damages
and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and
intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to
delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the LTIP to me. 
 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. Any enforcement of, or challenge to, this Agreement may only be brought in the Circuit Court of Maryland or
the United States District Court for the District of Maryland. Both parties consent to the proper jurisdiction and venue of the Circuit Court of Maryland and the United States District Court for the District of Maryland for the purpose of enforcing
or challenging this Agreement. 
 (c) This PECA shall inure to the benefit of the Corporation’s successors and assigns
and may be assigned by the Corporation without my consent. 
 (d) This PECA provides for certain obligations on my part
following the Termination Date and shall not, by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and
me, the provisions of applicable Corporate policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the acceptance by me of the award of an LTIP under the Award Agreement. 

 LTIP-Attorney 
 Award Date: January 28, 2008 
 Lockheed Martin Corporation 
 6801 Rockledge Drive, Bethesda, MD 20817 
 Telephone 301-897-6000 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE
BEEN REGISTERED UNDER THE 
 SECURITIES ACT OF 1933 
 «Name» 
 «Street» 
 «City», «State» «Zip» 
  

	 	Re:	Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan: Long-Term Incentive Performance Award (2008-2010 Performance Period) 

 Dear «Call_By_Name»: 
 On behalf of the Management Development and Compensation Committee (the “Committee”) of the Board of Directors of Lockheed Martin Corporation, I am pleased to tell you that you have been granted a Long-Term Incentive Performance
Award under the Corporation’s Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). The purpose of this letter is to serve as the Award Agreement under such Plan and to set forth your Target Award as well as the
terms and conditions to the payment of your Target Award. Additional terms and conditions are set forth in the Plan and in the Prospectus relating to the Plan of which the Plan document and this Award Agreement are a part. The Prospectus is
available at http://www.etrade.com/stockplans. You should retain the Prospectus and the attached copy of the Plan in your records. 
 IN ORDER FOR THIS
AWARD TO BE EFFECTIVE, YOU MUST PROMPTLY SIGN AND RETURN A COPY OF THIS AWARD AGREEMENT. PLEASE NOTE THAT BY ACCEPTING THE AWARD YOU AGREE TO BE BOUND BY THE RESTRICTIONS CONTAINED IN SECTION 14, “POST-EMPLOYMENT COVENANTS” AND IN
EXHIBIT A ATTACHED TO THIS AGREEMENT. 
 Capitalized terms used in this letter which have a special meaning either shall be defined in
this letter or if not defined in this letter shall have the meaning ascribed to the term in the Plan. The term “Target Award” as used in this Award Agreement refers only to the Target Award awarded to you under this Award Agreement and the
term “Award” refers only to the Long Term Incentive Performance Award set forth in this Award Agreement. References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. Appendix A contains an index of
all capitalized terms used in this Agreement. 

 Award Date: January 28, 2008 
 Page 2 
  

 Section 1. Target Award. Performance Period. 
 1.1 Target Award. Your Target Award for the Performance Period under this Award Agreement shall be [Target]. 
 1.2 Performance Period. The Performance Period under this Award Agreement is a three-year performance period that runs from January 1, 2008,
until December 31, 2010. 
 1.3 Payment of Award. The amount payable to you under your Award is dependent upon the
Corporation’s performance as compared to the internal and external metrics described in this Award Agreement and your continued employment with the Corporation in accordance with Section 5 of this Agreement. As a result of these
requirements, any payments you receive may be larger or smaller than your Target Award (e.g., the performance factors could result in no payment in respect of your Award). 
 Section 2. Calculation of Award Payments. 
 2.1 End of Performance Period Calculation. Following the end of the Performance Period and prior to any payments being made, 
 (a) The Committee will calculate the External Performance Factor based on the Corporation’s performance during the Performance Period relative to the performance of other corporations which compose the
Standard & Poor’s Industrials Index reported under symbol S5INDU by Bloomberg, L.P. One-half of your Target Award will be multiplied by the External Performance Factor, with the resulting dollar amount to be known as the External
Performance Amount. 
 (b) The Committee will also calculate the ROIC Performance Factor based on the Corporation’s ROIC during the
Performance Period as compared to the projected ROIC for the Performance Period in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will be multiplied by the ROIC Performance Factor, with the
resulting dollar amount to be known as the ROIC Performance Amount. 
 (c) The Committee will also calculate the Cash Flow Performance Factor
based on the Corporation’s cumulative Cash Flow during the Performance Period as compared to the projected cumulative Cash Flow in the 2008 Long Range Plan as presented at the February 2008 Board meeting. One-quarter of your Target Award will
be multiplied by the Cash Flow Performance Factor, with the resulting dollar amount to be known as the Cash Flow Performance Amount. 

 Award Date: January 28, 2008 
 Page 3 
  

 (d) Your External Performance Amount, your ROIC Performance Amount, and your Cash Flow Performance
Amount will then be added together, with the sum of those three amounts known as your “Potential Award”. Assuming you satisfy the continued employment requirements set forth in Section 5 of this Award Agreement, one-half of your
Potential Award (the “Immediate Portion”) will be paid to you (or deferred to a later payment date specified at your election subject to the rules on deferrals set forth below) as soon as practicable after the Committee completes its
calculations in 2011, but in no event later than March 15, 2011. 
 2.2 Two Year Deferral Period. The remaining one-half of your
Potential Award (the “Deferred Portion”) will be deferred and paid as soon as practicable in January 2013, but in no event later than March 15, 2013. 
 (a) Between December 31, 2010, and December 31, 2012, the Deferred Portion will be treated as though it was invested by the Corporation on December 31, 2010, in the Corporation’s common stock and
will be adjusted to reflect dividends, gains, and losses to reflect the performance of the Corporation’s common stock, as further specified in Section 5.2(c)(2). 
 (b) Assuming you satisfy the continued employment requirements set forth in Section 5.2(c) of this Award Agreement, the Deferred Portion (as adjusted) will be paid to you as soon as practicable in January 2013,
but in no event later than 
 March 15, 2013 or deferred to a later payment date specified at your election subject to the rules on
deferrals set forth below. 
 You must (except as specified in Section 5) remain employed by the Corporation through December 31, 2010, to receive
a payment of any portion of your Award and through December 31, 2012, to receive payment of the Deferred Portion. 
 Section 3.
External Performance Factor. 
 3.1. External Performance Factor – Peer Performance Group. The External Performance
Factor will be based upon the relative ranking of the Corporation’s Total Stockholder Return (as defined in the Plan and assuming the reinvestment of any cash dividends) for the Performance Period to the Total Stockholder Return for such Period
for the corporations which compose the Standard & Poor’s Industrials Index as reported under symbol S5INDU by Bloomberg, L.P. (“Peer Performance Group”) at the beginning of the Performance Period. The Corporation shall be
included as a member of the Peer Performance Group. The Corporation’s Total Stockholder Return will be based on the performance of its common stock, par value $1.00. The Total Stockholder Return of each corporation that is taken into account in
computing the Peer Performance Group Total Stockholder Return will be based on the equity security of the relevant corporation that is used in computing the Standard & Poor’s Industrials Index. 

 Award Date: January 28, 2008 
 Page 4 
  

 3.2. Calculation of External Performance Factor. 
 (a) Calculation of Total Stockholder Return. After the end of the Performance Period, the Committee shall compute the Total Stockholder Return for
the Corporation for such Period and shall compute and rank the Total Stockholder Return for each corporation in the Peer Performance Group. Each corporation’s Total Stockholder Return shall be ranked among the Total Stockholder Return for each
other corporation in the Peer Performance Group on a percentile basis. Each such Total Shareholder Return shall be computed from data available to the public. 
 (b) Percentage Level of Target Award. Your External Performance Factor, expressed as a percentage, will be determined under this Section 3.2(b) (and 3.2(c) to the extent interpolation is necessary) based
on the percentile ranking of the Corporation’s Total Stockholder Return for the Performance Period under the following chart – 
  

						
	 Band
	  	Percentile
Ranking	  	External
Performance
Factor	 
	 One
	  	75th or higher	  	200	%
	 Two
	  	60th	  	150	%
	 Three
	  	50th	  	100	%
	 Four
	  	40th	  	50	%
	 Five
	  	35th	  	25	%
	 Six
	  	Below 35th	  	0	%

 (c) External Performance Factor Interpolation. If the Corporation’s Total Stockholder
Return puts the Corporation over the listed Percentile Ranking for the applicable Band (other than Band One) in Section 3.2(b), your External Performance Factor under Section 3.2(b) shall be interpolated on a linear basis. 

 Award Date: January 28, 2008 
 Page 5 
  

 Section 4. Internal Performance Factors. 
 4.1 ROIC Performance Factor. The ROIC Performance Factor will be determined by comparing the Corporation’s ROIC for the Performance Period to
ROIC as forecasted for the Performance Period in the Corporation’s 2008 Long Range Plan and then identifying the ROIC Performance Factor based upon the factor associated with the difference on the following table: 
  

				
	 Change from 2008 LRP ROIC
	  	ROIC
Performance
Factor	 
	 Plan + 40 or more basis points
	  	200	%
	 Plan + 30 basis points
	  	175	%
	 Plan + 20 basis points
	  	150	%
	 Plan + 10 basis points
	  	125	%
	 Plan
	  	100	%
	 Plan - 10 basis points
	  	75	%
	 Plan - 20 basis points
	  	50	%
	 Plan - 30 basis points
	  	25	%
	 Plan - 40 or more basis points
	  	0	%

  

	 	(a)	ROIC Definition. For purposes of this Award Agreement, “ROIC” means return on invested capital for the Performance Period calculated as (A) average annual
(i) net income plus (ii) interest expense times one minus the highest marginal federal corporate tax rate over the three year Performance period (“Return”), divided by (B) the average of the four year-end investment balances
(beginning with December 31, 2007 year-end balance) consisting of (i) debt (including current maturities of long-term debt) plus (ii) stockholders’ equity plus the postretirement plans amounts determined at year-end as included
in the Corporation’s Statement of Stockholder Equity. 

  

	 	(b)	ROIC Determination. Each component of ROIC and the calculation of any postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity shall be
determined by the Committee in accordance with generally accepted accounting principles in the United States and be based upon the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited
financial statements are not available for the date or period on which ROIC is being determined, the Committee shall make its determination in a manner consistent with the historical practices used by the Corporation in determining the components of
ROIC and postretirement plans amounts recorded in the Corporation’s Statement of Stockholder Equity for purposes of reporting those items on its audited financial statements, as modified by this paragraph. Notwithstanding the foregoing, ROIC
will be adjusted to exclude the impact of any change in accounting standards or adoption of any new accounting standards that is required under generally accepted accounting principals in the United States and that is reported in the
Corporation’s filings with the Securities and Exchange Commission as having a material effect on the Corporation’s consolidated financial statements. ROIC as included in the 2008 Long Range Plan and the change in ROIC for purposes of the
ROIC Performance Factor will be determined in accordance with this Section 4.1(b). 

 Award Date: January 28, 2008 
 Page 6 
  

 4.2 Cash Flow Performance Factor. The Cash Flow Performance Factor will be determined by
comparing the Corporation’s cumulative Cash Flow during the Performance Period to the projected cumulative Cash Flow of the Corporation as forecasted in the Corporation’s 2008 Long Range Plan. and then identifying the Cash Flow Performance
Factor based upon the factor associated with the change from the 2008 Long Range Plan on the following table: 
  

				
	 Change From 2008 LRP Cash Flow
	  	Cash Flow
Performance
Factor	 
	 Plan + $1B or more
	  	200	%
	 Plan + $ .75B
	  	175	%
	 Plan + $ .5B
	  	150	%
	 Plan + $ .25B
	  	125	%
	 Plan
	  	100	%
	 Plan - $ .25B
	  	75	%
	 Plan - $ .5B
	  	50	%
	 Plan - $1B
	  	25	%
	 Plan - more than $1B
	  	0	%

  

	 	(a)	Cash Flow Defintion. For purposes of this Award Agreement, Cash Flow means net cash flow from operations but not taking into account: (i) the aggregate difference
between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the Performance Period and the actual amounts contributed by the
Corporation during the Performance Period; (ii) any tax payments or benefits during the Performance Period associated with the divestiture of business units. 

  

	 	(b)	Cash Flow Determination. Cash Flow shall be determined by the Committee based upon the comparable numbers reported on the Corporation’s audited consolidated financial
statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Committee shall determine Cash Flow in a manner consistent with the historical practices used by the Corporation in
determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph. 

 4.3 Interpolation of ROIC and Cash Flow Metrics. If the change in ROIC or Cash Flow falls between two numbers listed in the applicable table in
section 4.1 or 4.2, the appropriate factor will be interpolated on a linear basis. Notwithstanding the foregoing, the ROIC Performance Factor will always be zero if the ROIC for the Performance Period is less than ROIC forecasted for the Performance
Period in the 2008 Long Range Plan by 40 basis points or more and the Cash Flow Performance Factor will always be zero if the aggregate Cash Flow for the Performance Period is less than what was forecasted for the Performance Period in the 2008 Long
Range Plan by more than $1 billion. 

 Award Date: January 28, 2008 
 Page 7 
  

 Section 5. Payment of Award: Potential Award, Mandatory Portion 
 5.1. Employment Requirement. 
 (a)
General Rule. In order to be eligible to receive payment of any portion of your Potential Award as determined under Section 2.1(d), you must remain actively employed by the Corporation through the last day of the Performance Period. If
your employment as an Employee terminates during the Performance Period, you shall forfeit your right to receive all or any part of your Potential Award. 
 (b) Exceptions. Notwithstanding Section 5.1(a), if the Committee determines 
 (1) that your
employment as an Employee terminated as a result of your death, “Divestiture”, “Disability” or “Retirement” or 
 (2) that the Corporation terminated your employment involuntarily as a result of a layoff, 
 you shall retain a fraction of your
Potential Award. The numerator of such fraction shall equal the number of days in the Performance Period before your employment as an Employee terminated, and the denominator shall equal the total number of days in the Performance Period. The
Committee shall have complete and absolute discretion to make the determinations called for under this Section 5.1(b), and all such determinations shall be binding on you and on any person who claims all or any part of your Potential Award on
your behalf as well as on the Corporation. 
 (c) Special Definitions. For purposes of this Award Agreement: 
 (1) Your employment as an Employee shall be treated as terminating because of a Disability on the date you become eligible for a benefit under the
Corporation’s long-term disability plan in which you participate, or if you are not enrolled in a long-term disability plan, the date on which long-term disability benefits would commence under the plan under which you would have been covered,
had you enrolled; 
 (2) Your employment as an Employee shall be treated as terminating as a result of Divestiture if the Corporation divests
all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation and a transfer of such employment to the other party in the divestiture. A divestiture shall
mean a transaction which results in the transfer of control of the business operation to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting stock
or other equity interests are owned or controlled by the Corporation; and 

 Award Date: January 28, 2008 
 Page 8 
  

 (3) Your employment as an Employee shall be treated as terminating because of Retirement if
(a) you participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates on or after the date on which you satisfy the plan’s age and service requirements for commencing receipt of an early
retirement benefit under the plan or (b) you do not participate in a defined benefit pension plan maintained by the Corporation, and your employment terminates after you reach age 55 and have completed five years of service. 
 5.2. Payment Rules. 
 (a) General
Rule. If you are eligible to receive your Potential Award under Section 5.1(a), the Immediate Portion of your Potential Award shall be fully vested and shall be either paid in cash to you or deferred in accordance with Section 5.2(e).
The Deferred Portion of your Potential Award shall remain subject to forfeiture and shall be governed by the provisions of Section 5.2(c). 
 (b) Immediate Portion. Subject to section 5.2(e), you shall have the right to receive the Immediate Portion of your Potential Award currently in cash as soon as practicable after the date on which the Committee certifies in writing
(for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the Performance Period, but in no event later than the March 15 next following the end of the Performance Period. 
 (c) Deferred Portion Subject to Forfeiture. 
 (1) Deferral and Forfeiture. If you are eligible to receive your Potential Award under Section 5.1(a), the payment of the Deferred Portion of your Potential Award shall be deferred through December 31, 2012, and paid as
specified below. You shall forfeit your right to the payment of the Deferred Portion of your Potential Award if you do not remain actively employed by the Corporation through December 31, 2012. 
 (2) Phantom Stock Account. The Committee shall establish a bookkeeping account (a “Phantom Stock Account”) on your behalf under this
Section 5.2(c)(2) and shall credit such account with a number of units equal to the number of whole shares (and any fractional share) of the Corporation’s common stock which could have been purchased by the Deferred Portion of your
Potential Award described in Section 5.2(c)(1) based on the closing price for a share of the Corporation’s common stock as reported on the New York Stock 

 Award Date: January 28, 2008 
 Page 9 
  

 
Exchange for the last trading day of the Performance Period, subject to the Committee’s certification in writing (for purposes of Section 162(m) of
the Code) that your Target Award has become a Potential Award for the Performance Period. Thereafter the Committee shall make such credits or debits to the units previously credited to such account as the Committee deems appropriate in light of any
transaction described in Section 7(a) of the Plan (such as a stock split or stock dividend) or any cash dividends paid on the Corporation’s common stock, which dividends shall increase the number of units credited to such account as if
such dividends had been reinvested in the Corporation’s common stock at the closing price of a share of the Corporation’s common stock as reported on The New York Stock Exchange for the last trading day of the quarter in which such
dividend is declared by the Board of Directors. 
 (3) Payment. Unless you forfeit your right to the Deferred Portion of your Potential
Award described in this Section 5.2(c), you shall have the right to receive the payment of the value of your Phantom Stock Account as determined as of December 31, 2012, as soon as practicable after December 31, 2012, but in no event
later than March 15, 2013 (subject to section 5.2(e)). The amount payable under this Section 5.2(c) shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under
Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for December 31, 2012, or, if it is not a trading day, on the last trading day before December 31,
2012. 
 (4) Special Payment Rule For Certain Terminated Employees. Notwithstanding Section 5.2(c)(1), if your employment
terminates after the close of the Performance Period but prior to December 31, 2012, and the Committee determines that your employment terminated under circumstances described in Sections 5.1(b)(1) or (2), then the Deferred Portion of your
Potential Award described in this Section 5.2(c) shall be paid to you or, in the event of your death, to your designated beneficiary, in cash as soon as practicable following your termination of employment, but in no event later than
March 15 of the year following your termination of employment (subject to Section 5.2(e)). The amount payable under this Section 5.2(c)(4) shall be determined by multiplying the number of units representing shares of phantom stock
credited to your account under Section 5.2(c)(2) on the date your termination becomes effective by the closing price for a share of the Corporation’s common stock as reported on the New York Stock Exchange for the date on which your
termination becomes effective, or if it is not a trading day, on the last trading day before that date. In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation
and Benefits’ office, your payment will be made to your estate. 

 Award Date: January 28, 2008 
 Page 10 
  

 (5) No Shareholder Rights. Units credited to your Phantom Stock Account are bookkeeping
entries only and do not entitle you to any shares of the Corporation’s common stock or to any voting or other rights associated with shares of such stock. 
 (d) Special Rule. If you terminate employment during the Performance Period but are eligible to receive a portion of your Potential Award as a result of an exception under Section 5.1(b), payment of such
portion of your Potential Award shall be in full satisfaction of all rights you have under this Award Agreement; in such circumstances, you will not be eligible for a payment of the Deferred Portion under Section 5.2(c) and no other amounts
will be payable to you or on your behalf. The portion of your Potential Award payable to you following a termination of employment during the Performance Period under circumstances described in Section 5.1(b) shall be paid to you or, in the
event of your death, to your designated beneficiary for the Award, in cash as soon as practicable after the Committee certifies in writing (for purposes of Section 162(m) of the Code) that your Target Award has become a Potential Award for the
Performance Period, but in no event later than March 15, 2011 (subject to section 5.2(e)). In the event of your death and you do not have a properly completed beneficiary designation form on file with the Vice President of Compensation and
Benefits’ office, your payment will be made to your estate. 
 (e) Further Deferral. You will be given an opportunity to elect to
defer any amounts payable under Sections 5.2(b) and 5.2(d) of this Award Agreement and to further defer any amounts payable under Section 5.2(c)(3). Such election shall be irrevocable, shall be made in accordance with the terms of the Lockheed
Martin Corporation Deferred Management Incentive Compensation Plan and the requirements of Code section 409A, and shall be subject to such additional terms and conditions as are set by the Committee. A deferral election form and the terms and
conditions for any deferral will be furnished to you in due course. 
 5.3. Cutback. Any payment called for under Section 5.2(b)
will be reduced to the extent that such payment together with payments attributable to any other Cash-Based Awards that are granted during 2008 as Performance Based Awards exceeds $5,000,000 and, further, any credit of phantom shares called for
under Section 5.2(c)(2) shall be reduced to the extent that the number of phantom shares credited to you together with the number of shares of Stock and Share Units in respect of Share-Based Awards that are granted to you during 2008 as
Performance Based Awards exceeds 1,000,000. To the extent that any payment called for under Section 5.2(b) would exceed the $5,000,000 limit and therefore must be reduced, the amount in excess of $5,000,000, shall be deferred and credited as
phantom shares under Section 5.2(c)(2) unless such crediting would result in the crediting of phantom shares that would otherwise be prohibited by this 

 Award Date: January 28, 2008 
 Page 11 
  

 
Section 5.3. To the extent that any crediting called for under Section 5.2(c)(2) would exceed the 1,000,000 limit and therefore must be reduced,
the units in excess of 1,000,000, shall not be credited and shall instead be paid in cash under Section 5.2(b) unless such payment would result in a payment that would otherwise be prohibited by this Section 5.3. 
 5.4. Withholding. Any payment made in respect of your Award will be subject to income tax withholding at the minimum rate prescribed by law. You
may owe taxes in addition to the amount withheld and may request that tax be withheld from any payment at a greater rate. In addition, FICA tax will be withheld, as required under the law, when any portion of an award becomes vested for tax purposes
prior to payment and shall reduce the amount of such Award. If prior to payment of the Immediate Portion, you become eligible for retirement, then any FICA tax due on your Deferred Portion will be withheld from the Immediate Portion. If you become
retirement eligible following payment of the Immediate Portion, then FICA taxes will be withheld from your Deferred Portion. 
 5.5. Means
of Satisfying Code Section 409A. If any payment that would otherwise be made under this Award Agreement is required to be delayed by reason of Section 13, such payment shall be made at the earliest date permitted by Code section 409A.
The amount of any delayed payment shall be the amount that would have been paid prior to the delay adjusted to include interest from the original payment date to the actual payment date, compounded daily, at a rate equivalent to the then published
rate for computing the present value of future benefits at the time cost is assignable under Cost Accounting Standard 415, Deferred Compensation, as determined by the Secretary of the Treasury on a semi-annual basis pursuant to Pub. L. 92-41, 85
Stat. 97. 
 Section 6. No Assignment – General Creditor Status. 
 You shall have no right to assign any interest you might have in all or any part of the Target Award or Potential Award which has been granted to you
under this Award Agreement and any attempt to do so shall be null and void and shall have no force or effect whatsoever. Furthermore, all payments called for under this Award Agreement shall be made in cash from the Corporation’s general
assets, and your right to payment from the Corporation’s general assets shall be the same as the right of a general and unsecured creditor of the Corporation. 
 Section 7. Plan. 
 This Award Agreement shall be subject to all of the terms and
conditions set forth in the Plan. 

 Award Date: January 28, 2008 
 Page 12 
  

 Section 8. Change in Control. 
 8.1. Change in Control During Performance Period. If during the Performance Period, a Change in Control (as defined in Section 7 of the Plan)
occurs, the Performance Period will terminate. Notwithstanding any deferral election or term of this Award Agreement to the contrary, a pro rata portion of your Award will be paid to you within 15 days of the Change in Control. The prorated portion
will be the sum of (i) the result obtained by first multiplying your Target Award by the External Performance Factor calculated under Section 3.2(b), but determined as of the last day of the year immediately preceding the Change in
Control, and then further multiplying that product by a fraction, the numerator of which is the number of whole calendar years of the Performance Period that were completed prior to the Change in Control and the denominator of which is three; and
(ii) the product of your Target Award and a fraction, the numerator of which is the number of days preceding the Change in Control that occur in the calendar year in which the Change in Control occurs and the denominator of which is 1095.

 8.2. Change in Control After Performance Period. If a Change in Control occurs after the end of the Performance Period but before
December 31, 2012, notwithstanding any deferral election or term of this Award Agreement to the contrary, the Deferred Portion of your Potential Award described in Section 5.2(c) will be paid to you within 15 days of the Change in Control.
The amount payable shall be determined by multiplying the number of units representing shares of phantom stock credited to your account under Section 5.2(c)(2) by the closing price for a share of the Corporation’s common stock as reported
on the New York Stock Exchange for the date on which the Change in Control occurs, or if it is not a trading day, on the last trading day before that date. 
 8.3. Special Rule. Notwithstanding Section 8.1 or Section 8.2, if a payment in accordance with those provisions would result in a nonexempt short-swing transaction under Section 16(b) of the
Securities Exchange Act of 1934, then the date of distribution to you shall be delayed until the earliest date upon which the distribution either would not result in a nonexempt short-swing transaction or would otherwise not result in liability
under Section 16(b) of the Securities Exchange Act of 1934. 
 Section 9. Amendment and Termination. 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall amend Sections 1, 2, 3, 4, or 5 in a manner adverse to you or reduce the amount payable hereunder in a material manner without
your written consent. For this purpose, a change in the amount payable hereunder that occurs solely by reason of a change in the date or form of payment shall in no case be treated as a reduction prohibited by this Section 9. Thus, for example,
if an amount payable by reason of Section 8 is delayed by an amendment to this Award Agreement or other action undertaken to comply with Section 409A of the Internal Revenue Code and the amount payable is reduced solely by reason of a
corresponding delay in the date of valuation of a share of the Corporation’s common stock, such a change shall not be treated as a reduction prohibited by this Section 9. This Section 9 shall be construed and applied so as to permit
the Committee to amend this Award Agreement at any time in any manner reasonably necessary or appropriate in order to comply with the requirements of Code section 409A, including amendments regarding the timing and form of payments hereunder.

 Award Date: January 28, 2008 
 Page 13 
  

 Section 10. No Right to an Award. 
 Your status as an Employee shall not be construed as a commitment that any one or more awards shall be made under the Plan to you or to Employees
generally. Your status as a Participant shall not entitle you to any additional award. 
 Section 11. No Assurance of
Employment. 
 Nothing contained in the Plan or in this Award Agreement shall confer upon you any right to continue in the employ or
other service of the Corporation or constitute any contract (of employment or otherwise) or limit in any way the right of the Corporation to change your compensation or other benefits or to terminate your employment with or without cause.

 Section 12. Conflict. 
 In the event of a conflict between this Award Agreement and the Plan, the Plan document shall control. 
 Section 13. Compliance with Section 409A of the Internal Revenue Code. 
 Notwithstanding any other provision
of this Award Agreement to the contrary, to the extent that this Award Agreement constitutes a nonqualified deferred compensation plan to which Code section 409A applies, payments under this Award Agreement shall be made at a time and in a manner
that satisfies the requirements of Code section 409A and guidance of general applicability issued thereunder, including the provisions of 409A(a)(2)(B) (i)to the extent distributions to any key employee are required to be delayed six months.

 Section 14. Post-Employment Covenants. 
 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 Section 15. Execution. 
 You must execute one copy of this Award Agreement and return it to the Office of the Vice President of Compensation and Benefits (Mail Point 123) as soon as possible as a condition to the Award becoming effective. In order for this Award to
be effective, you must execute and return this Award Agreement promptly. Your execution of this Award Agreement constitutes your consent to and acceptance of any action taken under the Plan consistent with its terms with respect to your Award and
your agreement to the Post-Employment Covenants contained in Section 14 and Exhibit A. 

 Award Date: January 28, 2008 
 Page 14 
  

 By signing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
Award from the Corporation’s intranet site http://www.etrade.com/stockplans as well as to electronic delivery of the Corporation’s annual report on Form 10-k, annual proxy and quarterly reports on Form 10-Q. This consent can only be
withdrawn by written notice to the Corporate Secretary, Lockheed Martin Corporation, 6801 Rockledge Drive, Bethesda, MD 20817. 
 A
pre-addressed envelope has been enclosed for your convenience to return with a copy of this Award Agreement, as acknowledged by you below. 
  

	
	Sincerely,
	
	  
	Kenneth J. Disken
Sr. Vice President, Human Resources

  

					
	Enclosures	 		 	
			
	ACKNOWLEDGEMENT:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	 
	Print or type name	 		 	

 Award Date: January 28, 2008 
 Page 15 
  

 Appendix A 
 Capitalized Terms 
  

			
	Award	 	2nd ¶
	Band	 	§ 3.2(b)
	Cash Flow	 	§ 4.1(b)
	Cash Flow Performance Factor	 	§ 4.2
	Cash Flow Performance Amount	 	§ 2.1(c)
	Cell	 	§ 4.1 (c)
	Change of Control	 	IPA
	Committee	 	1st ¶
	Corporation	 	2nd ¶
	Deferred Portion	 	§ 2.2
	External Performance Amount	 	§ 2.1(a)
	External Performance Factor	 	§ 3.1
	Immediate Portion	 	§ 2.1(c)
	Internal Performance Amount	 	§ 2.1(b)
	Internal Performance Factors	 	§ 4
	Peer Performance Group	 	§ 3.1
	Percentile Ranking	 	§ 3.2(b)
	Performance Period	 	§ 1¶
	Phantom Stock Account	 	§ 5.2(c)(2)
	Plan	 	1st ¶
	Potential Award	 	§ 2.1(c)
	ROIC	 	§ 4.1(a)
	ROIC Performance Factor	 	§ 4.1
	ROIC Performance Amount	 	§ 2.1(b)
	Share Units	 	IPA
	Share-Based Awards	 	IPA
	Stock	 	IPA
	Target Award	 	2nd ¶, § 1
	Total Stockholder Return	 	IPA

 Award Date: January 28, 2008 
 Page 16 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (LTIP Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of a Long Term Incentive Performance Award to me under the Award Agreement (the “LTIP”) pursuant to the Lockheed Martin Corporation
Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). By accepting the LTIP, I agree as follows: 
 1. Post
Termination Activity. 
 (a) Post-employment Activity As a Lawyer – I acknowledge that as counsel to Lockheed
Martin Corporation (the “Corporation”), I owe ethical and fiduciary obligations to the Corporation and that at least some of these obligations will continue even after the date of my termination of employment with the Corporation
(“Termination Date”). I agree that after my Termination Date I will comply fully with all applicable ethical and fiduciary obligations that I owe to the Corporation. To the extent permitted by applicable law, including but not limited to
any applicable rules governing attorney conduct, I agree that I will not 
  

	 	(i)	Represent any client adversely to the Corporation; 

  

	 	(ii)	Reveal to any third party any information learned by me during the course of my employment with the Corporation except for information that is or becomes generally known;

  

	 	(iii)	Encourage or solicit any present or future agents or employees of the Corporation to terminate their employment for the purpose of competing with the Corporation; or

  

	 	(iv)	Whether as a lawyer or non-lawyer, accept a position (whether as agent, employer, part or sole owner or in any other capacity) with any person or entity whose interests are adverse
to the Corporation’s interests if that adverse position is related in any way to my present or past work with the Corporation. 

 (b) No disparagement – Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or reasonably may be interpreted to disparage the Corporation or its
stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Award Date: January 28, 2008 
 Page 17 
  

 (c) Cooperation in Litigation and Investigations - Following the Termination
Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or
affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or
investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the LTIP is expressly made contingent upon my
agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and compensation
opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive knowledge of the
Corporation’s confidential or proprietary information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies for Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, to the extent permitted by applicable law, including but not limited to any applicable rules governing attorney conduct, that
upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1 (and in the case of 1(a), the breach occurs prior to the second anniversary of my Termination Date);

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

 Award Date: January 28, 2008 
 Page 18 
  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the LTIP, any cash paid to me, whether paid currently or
deferred; and (ii) to the extent I have not earned the LTIP fully, all of my remaining rights, title or interest in the LTIP. 

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in
Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to
the granting of injunctive relief in its favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA shall be enforced to the fullest
extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only
with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Definitions.
Capitalized terms not defined in this PECA have the meaning given to them in the Plan, as applicable. 

 Award Date: January 28, 2008 
 Page 19 
  

 7. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the LTIP to me.

 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. 

(c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation
without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not,
by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate
policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of the
acceptance by me of the award of an LTIP under the Award Agreement. 

 PECA Stock Option 
 Grant Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Mr. Stevens: 
 The Management Development and Compensation Committee (the “Committee”) of Lockheed Martin Corporation’s Board of Directors has awarded to you options to purchase shares of Lockheed Martin Common Stock
(“Stock”) under the Lockheed Martin Corporation Amended and Restated 2003 Incentive Performance Award Plan (the “Plan”). 
 This letter is your Award Agreement and sets forth some of the terms and conditions of your award. Additional terms and conditions are contained in the Plan and in the Prospectus relating to the Plan of which the Plan document and this
Award Agreement are a part. By accepting this Award Agreement electronically, you consent to electronic delivery of the Prospectus applicable to these Options. You should retain the Prospectus in your records. 
 The term “Options” as used in this Award Agreement refers only to the nonqualified stock options awarded to you under this Award Agreement.
References to the “Corporation” include Lockheed Martin Corporation and its subsidiaries. 
 Your Award is not effective or
enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as instructed below as
soon as possible. Please note that by accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in Exhibit A attached to this Agreement. 
 EXERCISE PRICE 
 The exercise price of the Options
granted hereunder is $106.87 per Option. Under certain circumstances set forth in the Plan and this Award Agreement, this exercise price may be subject to adjustment. 
 The Committee presently allows the exercise price of an Option to be paid in cash, by the tender of Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment, nor will
fractional shares be issued. The Committee retains the discretion to, at any time, limit the method of payment to cash. If you elect to pay with Stock, you must have owned the shares tendered for at least six months. If Stock is tendered, it will be
valued at its Fair Market Value on the date of tender. 

 Grant Date: January 28, 2008 
 Page 2 
  

 VESTING/EXPIRATION/FORFEITURE 
 General Rule - An Option may not be exercised until it has vested, nor may an Option be exercised after its expiration or forfeiture. Subject to certain special rules discussed below, if you remain in the
employ of the Corporation until the applicable date of vesting, the vesting schedule for your Options is as follows: 
 First Vesting Date: January 28, 2009 – One-Third 
 Second Vesting Date: January 28, 2010 – One-Third 
 Third Vesting Date: January 28, 2011
– One-Third 
 If the number of Options granted cannot be evenly divided by three into whole shares, the fractional shares will vest on
the Third Vesting Date. If you leave the employ of the Corporation before the date on which an Option vests, that Option is forfeited. 
 Vested Options, except as otherwise provided in this letter, or in the Plan, or as may be restricted by law, may be exercised for a period ending on January 26, 2018. Options not exercised by that date will be forfeited. 
 You should make every effort to keep the Vice President of Compensation and Benefits’ office informed of your current address so that we may
communicate with you about your options and their current status. The Corporation cannot exercise the options for you, and so you must pay close attention to their terms and any impending expiration. 
 SPECIAL RULES AS TO VESTING 
 Retirement - If
you retire before the First Vesting Date, you will forfeit all of the Options in accordance with the general rule set forth above. If you retire on or after the First Vesting Date, you will vest in the remaining Options on the Second Vesting Date
and the Third Vesting Date as though you had remained in the employ of the Corporation through those dates. For the purposes of this provision, the term “retirement” means retirement from service under the terms of the Corporation’s
pension plan in which you are a participant or following attainment of age 55 and five years of service if you do not participate in one of the Corporation’s defined benefit pension plans. 
 Death or Disability - Your Options will immediately vest and no longer be subject to the continuing employment requirement if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 Grant Date: January 28, 2008 
 Page 3 
  

 SPECIAL RULES AS TO EXPIRATION AND FORFEITURE 
 Death or Disability - Options will expire at the end of their remaining term on January 26, 2018. 
 Resignation, Lay-Off or Termination for Cause - If you resign or otherwise terminate, whether voluntarily or by action of the Corporation and in
the latter case whether with or without “cause,” unvested Options will be forfeited upon your termination. Vested Options will expire at the end of their remaining term or 30 calendar days following your resignation or termination,
whichever is shorter. If you are laid off, your options will be unaffected, and will vest and be exercisable until the end of their remaining term, in accordance with the terms of the Plan. 
 Divestiture - If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such
divestiture results in the termination of your employment with the Corporation or its subsidiaries and transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Following a divestiture, you
will continue to vest in your unvested options as though you had remained in the employ of the Corporation. Your vested options will be exercisable until the first to occur of (i) the fifth anniversary of the effective date of the divestiture;
or (ii) the original expiration date (“Divestiture Expiration Date”). If you die following divestiture but prior to the Divestiture Expiration Date, all unvested options will immediately vest as of the date of death and be exercisable
by your beneficiary until the Divestiture Expiration Date. For the purposes of this provision, the term “divestiture” shall mean a transaction which results in the transfer of control of the business operation divested to any person,
corporation, association, partnership, joint venture or other business entity of which less than 50% of the voting stock or other equity interests (in the case of entities other than corporations) is owned or controlled directly or indirectly, by
the Corporation, one or more of the Corporation’s subsidiaries or by a combination thereof. 
 LIMITATIONS ON EXERCISE 
 Notwithstanding any other provision herein, no Option may be exercised less than six months nor more than ten years after the date of grant. Further, from
time to time, your ability to exercise Options which otherwise would be exercisable may be restricted, if in the opinion of counsel for the Corporation, this is necessary or advisable in order to ensure compliance with applicable Federal or state
law, rules or regulations. 

 Grant Date: January 28, 2008 
 Page 4 
  

 ASSIGNMENT/TRANSFERABILITY/BENEFICIARIES 
 Options may not be pledged, assigned or transferred except that Options may be transferred by will or by the laws of descent and distribution or you may
provide that, upon your death, the Options are to be transferred to a beneficiary or beneficiaries that you designate. To designate a beneficiary or beneficiaries, please complete the Beneficiary Designation located at
http://www.etrade.com/stockplans and return an originally executed copy to the Vice President of Compensation and Benefits’ office (Mail Point 123). 
 During your lifetime, only you may exercise your Options. In the event of your death or disability, your Options may be exercised by a qualified representative of your estate, a properly designated beneficiary or
beneficiaries or your guardian or authorized representative, as applicable. 
 TAX WITHHOLDING 
 When you exercise an Option, the Corporation will withhold applicable taxes as required by law. The Committee presently allows you to pay the withholding
tax in cash, by tendering Stock or through a combination of Stock and cash. No fractional shares of Stock may be tendered in payment. The Committee retains the discretion to, at any time, limit the method of payment to cash. Unlike payment of the
exercise price of the Options, if you elect to pay withholding taxes with Stock, you need not have owned the shares tendered for at least six months. Payment must be made at the time of exercise. To the extent that cash is not tendered, the
Corporation will retain from the shares of Stock that you would otherwise receive upon exercise of the Option that number of shares sufficient to satisfy the withholding obligation. If Stock is tendered or is deemed to have been tendered, it will be
valued at its Fair Market Value. 
 Withholding will be at the minimum rate prescribed by law. Therefore, you may owe taxes relating to the
exercise in addition to the amount withheld by the Corporation. If you desire, you may request that tax be withheld at greater than the minimum rate. 
 Special Note for Section 16 Insiders - The Corporation’s Section 16 Insiders have been informed of this fact by the Board of Directors. If you are a Section 16 Insider, your ability to
satisfy your withholding obligations through the tender of Stock may be limited by the Federal securities laws. In these situations, having such treatment deemed to occur may have adverse consequences. The Corporation recommends that you consult
with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any transactions involving your Options or Stock. 
 CHANGE IN CONTROL 
 In the event of a change in control of the Corporation, as defined in Section 7 of the Plan, the
vesting date of all outstanding options shall be accelerated so as to cause all outstanding options to become exercisable. 

 Grant Date: January 28, 2008 
 Page 5 
  

 AMENDMENT AND TERMINATION OF THE PLAN OR AWARDS 
 As provided in Section 9 of the Plan, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any time
amend this Award Agreement. Notwithstanding the foregoing, no such action by the Board of Directors or the Committee shall affect this Award Agreement or the award made hereunder in any manner adverse to you without your written consent. 

ACCEPTANCE OF AWARD 
 No award is enforceable until
you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and Benefits’ office as soon as possible. Acceptance of this Award
Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this award. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. You must acknowledge
your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows: 
  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Point 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acceptance of this Award Agreement as described, this award will be effective as of the date of grant. If you
do not acknowledge acceptance of your award, it will not be effective and you will not be able to exercise the options. 
 POST-EMPLOYMENT COVENANTS 

 By accepting this Agreement through the procedure described above, you agree to the terms of the Post-Employment Covenants contained in
Exhibit A to this Agreement. 
 MISCELLANEOUS 
 For the purpose of calculating the expiration date of the Options, all Options will be deemed to expire on January 26, 2018 at the close of trading in Lockheed Martin Corporation common stock on the New York Stock Exchange (or, if the
security is not so listed or if the principal market on which it is traded is not the New York Stock Exchange, such other reporting system as shall be selected by the Committee). If you are on leave of absence, for the purposes of the Plan, you will
be considered to still be in the employ of the Corporation unless otherwise provided in an agreement between you and the Corporation. 

 Grant Date: January 28, 2008 
 Page 6 
  

 Your participation in the Plan, anything contained in this Award Agreement, or the grant of Options
does not confer upon you any right of continued employment or limit in any way the right of the Corporation to terminate your employment at any time. 
 You have no rights as a stockholder to any securities covered by this Award Agreement until the date on which you become the holder of record of such securities. Capitalized terms used, but not defined herein, shall
have the meanings ascribed to them in the Plan. In the event of a conflict between this Award Agreement and the Plan, the Plan document will control. 
  

	
	Sincerely,
	
	  
	 David Filomeo
 (On behalf of the Management
Development and Compensation Committee)

  

					
	(For written acceptance, please complete, sign and return by mail.)
	
	Acknowledged by:
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Grant Date: January 28, 2008 
 Page 7 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (Stock Option Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with a Grant Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of stock options to me under the Award Agreement (the “Options”) pursuant to the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (the “Plan”). By accepting the Options, I agree as follows: 
 1. Restrictions Following
Termination of Employment. 
 (a) Covenant Not To Compete - Without the express written consent of the Management
Development and Compensation Committee of the Board of Directors of the Corporation, during the two-year period following the date of my termination of employment (the “Termination Date”) with Lockheed Martin Corporation (the
“Corporation”), I will not, directly or indirectly, be employed by, provide services to, or advise a “Restricted Company” (as defined in Section 6 below), whether as an employee, advisor, director, officer, partner or
consultant, or in any other position, function or role that, in any such case, 
  

	 	(i)	oversees, controls or affects the design, operation, research, manufacture, marketing, sale or distribution of “Competitive Products or Services” (as defined in
Section 6 below) of or by the Restricted Company, or 

  

	 	(ii)	would involve a substantial risk that the “Confidential or Proprietary Information” (as defined in Section 1(c) below) of the Corporation (including but not limited
to technical information or intellectual property, strategic plans, information relating to pricing offered to the Corporation by vendors or suppliers or to prices charged or pricing contemplated to be charged by the Corporation, information
relating to employee performance, promotions or identification for promotion, or information relating to the Corporation’s cost base) could be used to the disadvantage of the Corporation. 

 (b) Non-Solicit - Without the express written consent of the Management
Development and Compensation Committee of the Board of Directors of the Corporation, during the two-year period following the Termination Date, I will not (i) interfere with any contractual relationship between the Corporation and any customer,
supplier, distributor or manufacturer of or to the Corporation to the detriment of the Corporation or (ii) induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the
Corporation. 

 Grant Date: January 28, 2008 
 Page 8 
  

 (c) Protection of Proprietary Information – Except to the extent required
by law, following my Termination Date, I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the “Confidential or
Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in accordance with the
terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for
creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or
confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to
protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of
this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been made available to me), including but not limited to information that a person or entity desires to
protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or
entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. 

 (d) No disparagement – Following the Termination Date, I will not make any statements, whether verbal or written, that
disparage or reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Grant Date: January 28, 2008 
 Page 9 
  

 (e) Cooperation in Litigation and Investigations - Following the Termination
Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or
affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or
investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the Options is expressly made contingent upon
my agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and
compensation opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive
knowledge of the Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as
defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

 Grant Date: January 28, 2008 
 Page 10 
  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have exercised any of the Options and continue to own the shares of Common
Stock of the Corporation issued or issuable upon exercise of the Options, the shares of Common Stock so acquired upon exercise; (ii) to the extent I have exercised any of the Options and no longer own the shares of Common Stock of the
Corporation issued or issuable upon exercise of the Options, cash in an amount equal to the fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development
and Compensation Committee of the Board of Directors of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not
exercised the Options fully, all of my remaining rights, title or interest in the Options. 

 4. Injunctive Relief. I
acknowledge that the Corporation’s remedies at law may be inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without
prejudice to any other rights and remedies otherwise available to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its
favor and to specific performance without proof of actual damages and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to
be invalid or unenforceable, this PECA shall be deemed amended to delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such
adjudication is made. 

 Grant Date: January 28, 2008 
 Page 11 
  

 6. Definitions. Capitalized terms not defined in this PECA have the meaning given to them in
the Plan, as applicable. For purposes of this PECA, the following terms have the meanings given below: 
 (a) “Restricted
Company” means The Boeing Company, General Dynamics Corporation, Northrop Grumman Corporation, the Raytheon Company, United Technologies Corporation, Honeywell International Inc., BAE Systems Inc., L-3 Communications Corporation, the Harris
Corporation, Thales, EADS North America and (i) any entity directly or indirectly controlling, controlled by, or under common control with any of the foregoing, and (ii) any successor to all or part of the business of any of the foregoing
as a result of a merger, reorganization, consolidation, spin-off, split-up, acquisition, divestiture, or similar transaction. 
 (b) “Competitive Products or Services” means products or services that compete with, or are an alternative or potential alternative to, products sold or services provided by a subsidiary, business area, division or operating unit
or business of the Corporation as of the Termination Date and at any time within the two-year period ending on the Termination Date; provided, that, (i) if I had direct responsibility for the business of, or function with respect to, a
subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so
provided during that two-year period by the subsidiary, business area, division or operating unit of the Corporation for which I had responsibility, and (ii) if I did not have direct responsibility for the business of, or function with respect
to, a subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services
so provided by a subsidiary, business area, division or operating unit of the Corporation for which I had access (or was required or permitted such access in the performance of my duties or responsibilities with the Corporation) to Confidential or
Proprietary Information of the Corporation at any time during the two-year period ending on the Termination Date. 
 7. Miscellaneous.

 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the
Options to me. 
 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of
law. 
 (c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the
Corporation without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date
and shall not, by implication or otherwise, affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable
Corporate policies that may be adopted from time to time or applicable law or regulation. 
 This PECA is effective as of
the acceptance by me of the award of stock options under the Award Agreement. 

 RSU–RJS 
 Award Date: January 28, 2008 
 THIS DOCUMENT CONSTITUTES PART OF A PROSPECTUS COVERING 
 SECURITIES THAT HAVE BEEN REGISTERED UNDER 
 THE SECURITIES ACT OF 1933 
 Dear Mr. Stevens: 
 The Management Development and Compensation Committee of the Board of Directors (“Committee”) has awarded you Restricted Stock Units (“RSUs”). Each RSU entitles you, upon satisfaction of the
continued employment and other requirements set forth in this letter and the Plan, to receive from Lockheed Martin Corporation (“Corporation”) (i) one (1) share of the Corporation’s common stock, par value $1.00 per share,
(“Stock”); and (ii) quarterly cash payments equivalent to any cash dividends paid to stockholders of the Corporation, each in accordance with the terms of this letter, the Lockheed Martin Corporation Amended and Restated 2003
Incentive Performance Award Plan (“Plan”), and any rules and procedures adopted by the Committee. 
 This letter constitutes the
Award Agreement for your RSUs and sets forth some of the terms and conditions of your Award under the Plan, as determined by the Committee. Additional terms and conditions are described in the Plan and in the Prospectus relating to the Plan of which
the Plan and this Award Agreement are a part. In the event of a conflict between this letter and the Plan, the Plan document will control. The Prospectus is available at http://www.etrade.com/stockplans. 
 Capitalized terms not defined in this Agreement will have the meaning ascribed to them in the Plan. The term Restricted Stock Unit or RSU as used in this
Award Agreement refers only to the Restricted Stock Units awarded to you under this Award Agreement. 
 CONSIDERATION FOR AWARD 
 The consideration for the Restricted Stock Units is your continued service to the Corporation as an employee during the Restricted Period set forth below.
If you do not continue to perform services for the Corporation as an employee during the entire Restricted Period, your Award will be forfeited in whole or in part. 
 Your Award is not effective or enforceable until you properly acknowledge your acceptance of the Award by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President
of Compensation and Benefits’ office as instructed below as soon as possible. The Committee has authorized electronic means for the delivery and acceptance of this Award Agreement. Assuming prompt and proper acknowledgment of this Award
Agreement as described, this Award will be effective as of the Award Date. Acceptance of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. Please note that by
accepting the award you agree to be bound by the restrictions contained under the heading below “Post-Employment Covenants” and in Exhibit A attached to this Agreement. 

 Award Date: January 28, 2008 
 Page 2 
  

 For your acceptance to be effective and for the Award to be enforceable, you must return your
acknowledgment (either in written form or by electronic receipt). If your acknowledgement is not received, your Award will not be effective. 
 RIGHTS OF
OWNERSHIP/RESTRICTIONS ON TRANSFER 
 During the Restricted Period, your RSUs will be subject to forfeiture. Until the Restricted Period
ends with respect to a particular RSU and a share of Stock is delivered to you, you generally will not have the rights and privileges of a stockholder. In particular, you will not have the right to vote your RSUs on any matter put to the
stockholders of the Corporation and you may not sell, transfer, assign, pledge, use as collateral or otherwise dispose of or encumber RSUs. You will, however, have the right to receive a cash payment for each RSU equivalent to the cash dividend paid
to stockholders on a share of Stock at the time the corresponding dividend is paid to stockholders and this right continues until the expiration of the Restricted Period and until the date that Stock is deliverable to you. 
 Upon expiration or termination of the Restricted Period with respect to your RSUs, and subject to the forfeiture provisions set forth below, each RSU for
which the restrictions have lapsed will be exchanged for a certificate (either in paper or book entry form) evidencing one (1) share of Stock issued in your name (or other name(s) designated by you). Your shares will be delivered to you as soon
as practicable upon the expiration or termination of the Restricted Period. In the event Code section 409A(a)(2)(B)(i) applies because you are a key employee receiving a distribution on account of a termination of employment, delivery of stock may
be delayed for six months from such date; similarly, if you are an Insider subject to the reporting provisions of Section 16(a) of the Securities Exchange Act of 1934, delivery of Stock following the expiration of the Restricted Period for any
reason may be delayed for six months. The certificates delivered to you may contain any legend the Corporation determines is appropriate under the securities laws. At the time the Restricted Period for your RSUs terminates, the Corporation is
required to collect from you the appropriate amount of Federal, state and local taxes. The Corporation may be required to collect FICA taxes from you prior to the termination of the Restricted Period if you become eligible for retirement prior to
the termination of that period. In this regard, please see “Timing of Taxation and Withholding” below. 
 After the Stock is
delivered to you, you (or your designee(s)) will enjoy all of the rights and privileges associated with ownership of the shares, including the right to vote on any matter put to stockholder vote, to receive dividends, and to encumber, sell or
otherwise transfer the shares. You should note, however, that, while the shares would thus be free of the restrictions imposed during the Restricted Period, your ability to sell the shares may be limited under the Federal securities laws.

 Award Date: January 28, 2008 
 Page 3 
  

 You have the right to designate a beneficiary (or beneficiaries) to receive your shares in exchange
for your RSUs in the event of your death during the Restricted Period by completing a beneficiary designation form available at http://www.etrade.com/stockplans and returning it to the Vice President of Compensation and Benefits’ office
at the address below. 
 If, at your death, a completed beneficiary designation form is not on file at the Vice President of Compensation and
Benefits’ office (or if your designated beneficiary predeceases you), the Stock in respect of your RSUs will be transferred to the personal representative of your estate. 
 RESTRICTED PERIOD, FORFEITURE 
 The vesting of the RSUs awarded under this Award Agreement is subject
to satisfaction of a performance goal as well as your continued employment with the Corporation from the Award Date until January 28, 2011 (the “Restricted Period”). If either of these requirements is not satisfied, you may forfeit
all or part of your RSUs. Upon forfeiture, you will no longer have the right to receive Stock for forfeited RSUs or to receive cash payments as dividend equivalents. 
 1. Performance Goal 
 At its first meeting after the Corporation finalizes the financial
results for the year ending December 31, 2008, the Committee will multiply the number of RSUs awarded to you under this Award Agreement by the Fair Market Value of Stock on the Award Date ($106.87) (“RSU Award Value”). The Committee
will then compare your RSU Award Value to the product of 0.2% and the Corporation’s Cash Flow for the year ending December 31, 2008 (with the product being referred to as the “RSU Performance Goal”). If your RSU Award Value
exceeds your RSU Performance Goal (with the amount of that excess referred to as the “Performance Shortfall”) then you will forfeit the number of whole RSUs that are equal to the Performance Shortfall divided by the Fair Market Value of
Stock on the Award Date ($106.87). 
 For purposes of this Award Agreement, Cash Flow for any period means net cash flow from operations but
not taking into account: (i) the aggregate difference between the amount forecasted in the Corporation’s 2008 Long Range Plan to be contributed by the Corporation to the Corporation’s defined benefit pension plans during the period
and the actual amounts contributed by the Corporation during the period; and (ii) any tax payments or tax benefits during the period associated with the divestiture of business units. Cash Flow shall be determined by the Committee based upon
the comparable numbers reported on the Corporation’s audited consolidated financial statements or, if audited financial statements are not available for the period for which Cash Flow is being determined, the Subcommittee shall determine Cash
Flow in a manner consistent with the historical practices used by the Corporation in determining net cash provided by operating activities as reported in its audited consolidated statement of cash flows, in either case as modified by this paragraph.

 Award Date: January 28, 2008 
 Page 4 
  

 2. Employment Requirement 
 Regardless of the satisfaction of the RSU Performance Goal, all of your RSUs will be forfeited and all of your rights to the RSUs and to receive Stock for
your RSUs will cease without further obligation on the part of the Corporation unless you continue to provide services to the Corporation as an Employee of the Corporation until the expiration or termination of the Restricted Period, which will
occur on January 28, 2011, subject only to the specific exceptions provided below. 
 DEATH, DISABILITY, LAYOFF 
 1. Death and Disability 
 Your
RSUs will immediately vest and no longer be subject to the continuing employment requirement or the potential forfeiture to the extent of a Performance Shortfall if: 
  

	 	(i)	you die while still employed by the Corporation; or 

  

	 	(ii)	you terminate employment as a result of becoming totally disabled as evidenced by commencement of benefits under the Corporation’s long-term disability plan in which you are
enrolled (or, if you are not a participant of the Corporation’s long-term disability plan, when you would have been eligible for benefits using the standards set forth in that plan). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following the date of your termination of employment on account of death or disability, but
in no event later than the March 15 next following the year in which such termination occurs. 
 2. Lay Off 
 If you are laid off prior to January 28, 2009, you will forfeit all of your RSUs in accordance with the general rule requiring continued employment
during the Restricted Period. If you are laid off on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such date; however, you will
not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in your RSUs as follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your layoff is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your layoff is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 Award Date: January 28, 2008 
 Page 5 
  

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following your layoff, but in no event
later than the March 15 next following the year in which you are laid off. You will forfeit your remaining RSUs on the date you are laid off. 
 RETIREMENT 
 If your retirement is effective before January 28, 2009, you will forfeit all of your RSUs in accordance
with the general rule set forth above. If you retire with an effective date on or after January 28, 2009, your RSUs will continue to be subject to forfeiture to the extent of any Performance Shortfall certified by the Committee on or after such
date; however, you will not be subject to the continued employment requirement and, subject to any Performance Shortfall that may occur, the Restricted Period will end for a portion of your RSUs and you will vest in a portion of your RSUs as
follows: 
  

	 	(i)	you will vest in one third (1/3) of your RSUs if your retirement is effective on or after the first anniversary of the Award Date (January 28, 2009), but before the second
anniversary of the Award Date (January 28, 2010); and 

  

	 	(ii)	you will vest in two thirds (2/3) of your RSUs if your retirement is effective on or after the second anniversary of the Award Date (January 28, 2010) but before the third
anniversary of the Award Date (January 28, 2011). 

 The vested RSUs will be exchanged for shares of Stock as soon as practicable following
your retirement, but in no event later than the March 15 next following the year in which you retire. You will forfeit the remaining RSUs on the date of your termination of employment. For purposes of this provision, the term
“retirement” means retirement from service under the terms of the Corporation’s defined benefit pension plan in which you are a participant or following attainment of age 55 and five years of service if you do not participate in one
of the Corporation’s defined benefit pension plans. 
 RESIGNATION OR TERMINATION WITH OR WITHOUT CAUSE 
 If you resign or your employment otherwise terminates before January 28, 2011, other than on account of death, disability, layoff, or retirement, (or
Divestiture or Change in Control as described below) whether voluntarily or by action of the Corporation and in the latter case whether with or without “cause,” you will forfeit your RSUs on the date of your termination. 

 Award Date: January 28, 2008 
 Page 6 
  

 DIVESTITURE 
 If the Corporation divests (as defined below) all or substantially all of a business operation of the Corporation and such divestiture results in the termination of your employment with the Corporation or its
subsidiaries and the transfer of such employment to the other party to the divestiture, the special rules in this paragraph will apply. Your RSUs will vest immediately and you will receive shares of Stock in exchange for RSUs as soon as practicable
following your termination of employment with the Corporation, but in no event later than the March 15 next following the year in which your employment terminates. For the purposes of this provision, the term “divestiture” shall mean
a transaction which results in the transfer of control of the business operation divested to any person, corporation, association, partnership, joint venture, limited liability company or other business entity of which less than 50% of the voting
stock or other equity interests (in the case of entities other than corporations), is owned or controlled directly or indirectly by the Corporation, by one or more of the Corporation’s subsidiaries or by a combination thereof. 
 CHANGE IN CONTROL 
 In the event your employment is
terminated by the Corporation (or its successor) following a Change in Control, your RSUs will vest and the Restricted Period shall terminate on the date of your termination following the Change in Control. You will vest in your entire Award under
this Agreement and without regard to any forfeiture that might otherwise occur because of a Performance Shortfall. 
 CHANGES IN CAPITALIZATION

 In the event of a stock split, stock dividend or other similar action resulting in additional shares of Stock being issued to existing
stockholders during the Restricted Period or in the event of a reverse stock split resulting in a contraction in the number of shares outstanding during the Restricted Period, the number of your RSUs will be adjusted in the same manner as if you
held actual shares of Stock. 
 TIMING OF TAXATION AND WITHHOLDING 
 Upon the expiration or termination of the Restricted Period, the Fair Market Value of the Stock deliverable to you in respect of the RSUs will be taxable to you as compensation income, based on the Fair Market Value
of Stock on the day the Stock is deliverable to you, and withholding of Federal, state, and local taxes will apply at the minimum rate prescribed by law. FICA tax withholding also will apply except to the extent FICA taxes have already been
collected in the case of retirement-eligible employees as described below. (If Code section 409A(a)(2)(B)(i) applies because you are a key employee receiving Stock on account of a termination of employment or if you are an Insider, your Stock may
not be deliverable to you for six months following such date of termination and, accordingly, the Fair Market Value of the Stock on that date shall be used for purposes of determining your compensation income.) 

 Award Date: January 28, 2008 
 Page 7 
  

 Your tax basis in shares of Stock delivered to you in respect of the RSUs will be equal to the Fair
Market Value of such shares on the day the Stock is deliverable to you. Your holding period for purposes of determining long-term capital gain or loss treatment on any subsequent sale of such Stock will begin on that day. 
 You will be deemed to have elected to pay any withholding tax on Stock deliverable to you by means of the Corporation’s reducing the number of RSUs
and shares of Stock deliverable to you in respect of vested RSUs, based upon the minimum rate of withholding prescribed by law. 
 Any cash
paid to you as dividend equivalents with respect to RSUs during the Restricted Period will be taxable to you as compensation income and subject to withholding of Federal, state and local income taxes, and FICA taxes. 
 In the event you are or become eligible for retirement during the Restricted Period, a portion of your Award will become subject to FICA
taxes prior to the termination of the Restricted Period, and FICA taxes will be withheld with respect to the number of RSUs on which the Restricted Period would terminate if you were to retire. FICA taxes will be computed based upon the Fair Market
Value of the Stock on the date of withholding. For example, if you are eligible to retire during the Restricted Period, then you would become subject to FICA taxes on the later of the first anniversary of the Award Date or the date that you become
retirement eligible, and FICA taxes would be withheld even though Stock would not be deliverable to you until the close of the Restricted Period. The Corporation will withhold such FICA tax from your regular wages or MICP payment. The Corporation
may collect the FICA withholding from you either shortly before or after the date it is due and in the case of Insiders may require delivery of a check to satisfy any shortfall in the withholding.  
 Since we will withhold at the minimum rate prescribed by law for these awards, you may owe additional taxes as a result of the termination or expiration
of the Restricted Period. 
 AMENDMENT AND TERMINATION OF PLAN OR AWARDS 
 As provided in Section 9 of the Plan, subject to certain limitations contained within Section 9, the Board of Directors may at any time amend, suspend or discontinue the Plan and the Committee may at any
time alter or amend all Award Agreements under the Plan. Notwithstanding Section 9 of the Plan, no such amendment, suspension or discontinuance of the Plan or alteration or amendment of Award Agreements will, except with your express written
consent, adversely affect your rights under this Award Agreement. This Award Agreement shall not be amended or interpreted in a manner that is reasonably believed to result in the imposition of tax under Code section 409A. 

 Award Date: January 28, 2008 
 Page 8 
  

 ACCEPTANCE OF AWARD 
 No Award is enforceable until you properly acknowledge your acceptance by completing the electronic receipt or returning an executed copy of this Award Agreement to the Vice President of Compensation and
Benefits’ office as soon as possible. Acceptance of this Award Agreement constitutes your consent to any action taken under the Plan consistent with its terms with respect to this Award. The Committee has authorized electronic means for the
delivery and acceptance of this Award Agreement. If you desire to accept this Award, you must acknowledge your acceptance and receipt of the Award Agreement, either electronically or by signing and returning a copy of this letter as follows:

  

	 	•	 	 Electronic Acceptance: Go to http://www.etrade.com/stockplans 

  

	 	•	 	 By Mail: Mr. David Filomeo, Vice President of Compensation and Benefits, Lockheed Martin Corporation, Mail Stop 123, 6801 Rockledge Drive, Bethesda MD 20817

 Assuming prompt and proper acknowledgment of this Award Agreement as described, this Award will be effective as of the date of grant.

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this RSU Award from this internet site
(http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
 POST-EMPLOYMENT COVENANTS 
 By accepting this Agreement through the procedure described above, you
agree to the terms of the Post-Employment Covenants contained in Exhibit A to this Agreement. 
 MISCELLANEOUS 
 Nothing contained in this Award Agreement shall confer upon you any right of continued employment by the Corporation or guarantee that any future awards
will be made to you under the Plan. In addition, nothing in this Award Agreement limits in any way the right of the Corporation to terminate your employment at any time. The value of the RSUs awarded to you will not be taken into account for other
benefits offered by the Corporation, including but not limited to pension benefits. Notwithstanding any other provision of the Award Agreement to the contrary, no Stock will be issued to you within six months from the Award Date. 
 The Corporation recommends that Insiders consult with the Office of the General Counsel or the Office of the Corporate Secretary before entering into any
transactions involving Stock even after the expiration or termination of the Restricted Period. 

 Award Date: January 28, 2008 
 Page 9 
  

 By executing this Award Agreement, you consent to receive copies of the Prospectus applicable to this
RSU Award from this internet site (http://www.etrade.com/stockplans). This consent can only be withdrawn by written notice to the Vice President of Compensation and Benefits at the address noted above. 
  

	
	Sincerely,
	
	  
	 David Filomeo
 (On behalf of the Management
Development and Compensation Committee)

 (For written acceptance, please complete, sign and return by mail.) 
  

					
	Acknowledged by:	 		 	
			
	  	 		 	  
	Signature	 		 	Date
			
	  	 		 	  
	Print Name	 		 	U.S. Social Security Number or Employee ID

 Award Date: January 28, 2008 
 Page 10 
  

 Exhibit A 
 Post Employment Conduct Agreement 
 (RSU Grant) 
 This Post Employment Conduct Agreement (this “PECA”) attached as Exhibit A to the Award Agreement with an Award Date of January 28, 2008
(the “Award Agreement”) is entered into in consideration of, among other things, the grant of restricted stock units to me under the Award Agreement (the “RSUs”) pursuant to the Lockheed Martin Corporation Amended and Restated
2003 Incentive Performance Award Plan (the “Plan”). By accepting the RSUs, I agree as follows: 
 1. Restrictions Following
Termination of Employment. 
 (a) Covenant Not To Compete - Without the express written consent of the Management
Development and Compensation Committee of the Board of Directors of the Corporation, during the two-year period following the date of my termination of employment (the “Termination Date”) with Lockheed Martin Corporation (the
“Corporation”), I will not, directly or indirectly, be employed by, provide services to, or advise a “Restricted Company” (as defined in Section 6 below), whether as an employee, advisor, director, officer, partner or
consultant, or in any other position, function or role that, in any such case, 
  

	 	(i)	oversees, controls or affects the design, operation, research, manufacture, marketing, sale or distribution of “Competitive Products or Services” (as defined in
Section 6 below) of or by the Restricted Company, or 

  

	 	(ii)	would involve a substantial risk that the “Confidential or Proprietary Information” (as defined in Section 1(c) below) of the Corporation (including but not limited
to technical information or intellectual property, strategic plans, information relating to pricing offered to the Corporation by vendors or suppliers or to prices charged or pricing contemplated to be charged by the Corporation, information
relating to employee performance, promotions or identification for promotion, or information relating to the Corporation’s cost base) could be used to the disadvantage of the Corporation. 

 (b) Non-Solicit - Without the express written consent of the Management Development and Compensation Committee of the Board of
Directors of the Corporation, during the two-year period following the Termination Date, I will not (i) interfere with any contractual relationship between the Corporation and any customer, supplier, distributor or manufacturer of or to the
Corporation to the detriment of the Corporation or (ii) induce or attempt to induce any person who is an employee of the Corporation to perform work or services for any entity other than the Corporation. 

 Award Date: January 28, 2008 
 Page 11 
  

 (c) Protection of Proprietary Information - Except to the extent required by
law, following my Termination Date, I will have a continuing obligation to comply with the terms of any non-disclosure or similar agreements that I signed while employed by the Corporation committing to hold confidential the “Confidential or
Proprietary Information” (as defined below) of the Corporation or any of its affiliates, subsidiaries, related companies, joint ventures, partnerships, customers, suppliers, partners, contractors or agents, in each case in accordance with the
terms of such agreements. I will not use or disclose or allow the use or disclosure by others to any person or entity of Confidential or Proprietary Information of the Corporation or others to which I had access or that I was responsible for
creating or overseeing during my employment with the Corporation. In the event I become legally compelled (by deposition, interrogatory, request for documents, subpoena, civil investigative demand or otherwise) to disclose any proprietary or
confidential information, I will immediately notify the Corporation’s Senior Vice President and General Counsel as to the existence of the obligation and will cooperate with any reasonable request by the Corporation for assistance in seeking to
protect the information. All materials to which I have had access, or which were furnished or otherwise made available to me in connection with my employment with the Corporation shall be and remain the property of the Corporation. For purposes of
this PECA, “Confidential or Proprietary Information” means Proprietary Information within the meaning of CPS 710 (a copy of which has been made available to me), including but not limited to information that a person or entity desires to
protect from unauthorized disclosure to third parties that can provide the person or entity with a business, technological, or economic advantage over its competitors, or which, if known or used by third parties or if used by the person’s or
entity’s employees or agents in an unauthorized manner, might be detrimental to the person’s or entity’s interests. Confidential or Proprietary Information may include, but is not limited to: 
  

	 	(i)	existing and contemplated business, marketing and financial business information such as business plans and methods, marketing information, cost estimates, forecasts, financial
data, cost or pricing data, bid and proposal information, customer identification, sources of supply, contemplated product lines, proposed business alliances, and information about customers or competitors, or 

  

	 	(ii)	existing or contemplated technical information and documentation pertaining to technology, know how, equipment, machines, devices and systems, computer hardware and software,
compositions, formulas, products, processes, methods, designs, specifications, mask works, testing or evaluation procedures, manufacturing processes, or production processes. 

 (d) No disparagement - Following the Termination Date, I will not make any statements, whether verbal or written, that disparage or
reasonably may be interpreted to disparage the Corporation or its stockholders, directors, officers, employees, agents, attorneys, representatives, technology, products or services with respect to any matter whatsoever. 

 Award Date: January 28, 2008 
 Page 12 
  

 (e) Cooperation in Litigation and Investigations - Following the Termination
Date, I will, to the extent reasonably requested, cooperate with the Corporation in any pending or future litigation (including alternative dispute resolution proceedings) or investigations in which the Corporation or any of its subsidiaries or
affiliates is a party or is required or requested to provide testimony and regarding which, as a result of my employment with the Corporation, I reasonably could be expected to have knowledge or information relevant to the litigation or
investigation. Notwithstanding any other provision of this PECA, nothing in this PECA shall affect my obligation to cooperate with any governmental inquiry or investigation or to give truthful testimony in court. 
 2. Consideration and Acknowledgement. I acknowledge and agree that the benefits and compensation opportunities being made available to me under
the Award Agreement are in addition to the benefits and compensation opportunities that otherwise are or would be available to me in connection with my employment by the Corporation and that the grant of the RSUs is expressly made contingent upon my
agreements with the Corporation set forth in this PECA. I acknowledge that the scope and duration of the restrictions in Section 1 are necessary to be effective and are fair and reasonable in light of the value of the benefits and compensation
opportunities being made available to me under the Award Agreement. I further acknowledge and agree that as a result of the high level executive and management positions I hold with the Corporation and the access to and extensive knowledge of the
Corporation’s Confidential or Proprietary Information, employees, suppliers and customers, these restrictions are reasonably required for the protection of the Corporation’s legitimate business interests. 
 3. Remedies For Breach of Section 1; Additional Remedies of Clawback and Recoupment. 
 (a) I agree, upon demand by the Corporation, to forfeit, return or repay to the Corporation the “Benefits and Proceeds” (as
defined below) in the event any of the following occur: 
  

	 	(i)	I breach any of the covenants or agreements in Section 1; 

  

	 	(ii)	The Corporation determines that either (a) my intentional misconduct or gross negligence, or (b) my failure to report another person’s intentional misconduct or gross
negligence of which I had knowledge during the period I was employed by the Corporation, contributed to the Corporation having to restate all or a portion of its financial statements filed for any period with the Securities and Exchange Commission;
or 

  

	 	(iii)	The Corporation determines that I engaged in fraud, bribery or any other illegal act or that my intentional misconduct or gross negligence (including the failure to report the acts
of another person of which I had knowledge during the period I was employed by the Corporation) contributed to another person’s fraud, bribery or other illegal act, which in any such case adversely affected the Corporation’s financial
position or reputation. 

 Award Date: January 28, 2008 
 Page 13 
  

	 	(iv)	The remedy provided in Section 3(a) shall not be the exclusive remedy available to the Corporation for any of the conduct described in Section 3(a) and shall not limit the
Corporation from seeking damages or injunctive relief. 

  

	 	(v)	For purposes of this Section 3, “Benefits and Proceeds” means (i) to the extent I have earned any of the RSUs and continue to own the shares of Common Stock of
the Corporation issued or issuable in respect of the RSUs, the shares of Common Stock so acquired; (ii) to the extent I have earned any of the RSUs and no longer own the shares of Common Stock of the Corporation issued or issuable in respect of
the RSUs, cash in an amount equal to the fair market value of such shares on the date of the event set forth in Section 3(a) (which, unless otherwise determined by the Management Development and Compensation Committee of the Board of Directors
of the Corporation, shall be equal to the closing price of the shares of Common Stock as finally reported by the New York Stock Exchange on such date), and (iii) to the extent I have not earned the RSUs fully, all of my remaining rights, title
or interest in the RSUs. 

 4. Injunctive Relief. I acknowledge that the Corporation’s remedies at law may be
inadequate to protect the Corporation against any actual or threatened breach of the provisions of Section 1 or the conduct described in Section 3(a), and, therefore, without prejudice to any other rights and remedies otherwise available
to the Corporation at law or in equity (including but not limited to, an action under Section 3(a), the Corporation shall be entitled to the granting of injunctive relief in its favor and to specific performance without proof of actual damages
and without the requirement of the posting of any bond or similar security. 
 5. Invalidity; Unenforceability. It is the desire and
intent of the parties that the provisions of this PECA shall be enforced to the fullest extent permissible. Accordingly, if any particular provision of this PECA is adjudicated to be invalid or unenforceable, this PECA shall be deemed amended to
delete the portion adjudicated to be invalid or unenforceable, such deletion to apply only with respect to the operation of this provision in the particular jurisdiction in which such adjudication is made. 
 6. Definitions. Capitalized terms not defined in this PECA have the meaning given to them in the Plan, as applicable. For purposes of this PECA,
the following terms have the meanings given below: 
 (a) “Restricted Company” means The Boeing Company, General
Dynamics Corporation, Northrop Grumman Corporation, the Raytheon Company, United Technologies Corporation, Honeywell International Inc., BAE Systems Inc., L-3 Communications 

 Award Date: January 28, 2008 
 Page 14 
  

 
Corporation, the Harris Corporation, Thales, EADS North America and (i) any entity directly or indirectly controlling, controlled by, or under common
control with any of the foregoing, and (ii) any successor to all or part of the business of any of the foregoing as a result of a merger, reorganization, consolidation, spin-off, split-up, acquisition, divestiture, or similar transaction.

 (b) “Competitive Products or Services” means products or services that compete with, or are an alternative or
potential alternative to, products sold or services provided by a subsidiary, business area, division or operating unit or business of the Corporation as of the Termination Date and at any time within the two-year period ending on the Termination
Date; provided, that, (i) if I had direct responsibility for the business of, or function with respect to, a subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year period
ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so provided during that two-year period by the subsidiary, business area, division or operating unit of the Corporation for which I had
responsibility, and (ii) if I did not have direct responsibility for the business of, or function with respect to, a subsidiary, or for a business area, division or operating unit or business of the Corporation at any time within the two-year
period ending on the Termination Date, Competitive Products or Services includes the products so sold or the services so provided by a subsidiary, business area, division or operating unit of the Corporation for which I had access (or was required
or permitted such access in the performance of my duties or responsibilities with the Corporation) to Confidential or Proprietary Information of the Corporation at any time during the two-year period ending on the Termination Date. 
 7. Miscellaneous. 
 (a) The Plan, the Award Agreement and this PECA constitute the entire agreement governing the terms of the award of the RSUs to me. 
 (b) This PECA shall be governed by Maryland law, without regard to its provisions governing conflicts of law. 
 (c) This PECA shall inure to the benefit of the Corporation’s successors and assigns and may be assigned by the Corporation without my consent. 
 (d) This PECA provides for certain obligations on my part following the Termination Date and shall not, by implication or otherwise,
affect in any way my obligations to the Corporation during the term of my employment by the Corporation, whether pursuant to written agreements between the Corporation and me, the provisions of applicable Corporate policies that may be adopted from
time to time or applicable law or regulation. 
 This PECA is effective as of the acceptance by me of the award of RSUs
under the Award Agreement.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00137-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00137-of-00352.parquet"}]]