SAIC Announces Financial Results for Second Quarter Fiscal Year 2009

SAN DIEGO and MCLEAN, Va. , Sept. 3 /PRNewswire-FirstCall/ -- SAIC, Inc. (NYSE: SAI), a leading provider of research, engineering, and technology services and solutions, today announced financial results for the second quarter of fiscal year...


-- Chemical, Biological, Radiological, and Nuclear (CBRN) -- Installation Protection Program (IPP). SAIC will support the CBRN-IPP through a five-year, $500 million single-award contract from the U.S. Army Space and Missile Defense Command. SAIC will design, procure, integrate, and field enhanced CBRN capabilities and provide logistical support services for the Joint Project Manager Guardian IPP.

-- Command, Control, Communications, Computers, Cryptology, Intelligence, Surveillance, and Reconnaissance (C5ISR) Program. SAIC received an eight-year, $221 million single-award contract from the Space and Naval Warfare Systems Center, Charleston (SSCC) to support C5ISR programs. SAIC will provide production engineering, integration, product improvement, technology insertion, test and evaluation, and maintenance support services.

The company's backlog of signed business orders at the end of the second quarter of fiscal year 2009 was $15.9 billion, of which $5.4 billion was funded. Compared to the second quarter of fiscal year 2008, total backlog increased 13 percent and funded backlog increased 20 percent. The negotiated unfunded backlog of $10.5 billion represents the estimated amount to be earned in the future from firm orders for which funding has not been appropriated or otherwise authorized and unexercised priced contract options. Negotiated unfunded backlog does not include any estimate of future expected task orders to be awarded under IDIQ or other master agreement contract vehicles.

Forward Guidance

Given the company's strong operating results in the first half of the year, recent contract wins, and share repurchases to date, the company expects to achieve all of its long-term financial goals in fiscal year 2009:

About SAIC

SAIC is a FORTUNE 500(R) scientific, engineering, and technology applications company that uses its deep domain knowledge to solve problems of vital importance to the nation and the world, in national security, energy and the environment, critical infrastructure, and health. The company's approximately 44,000 employees serve customers in the Department of Defense, the intelligence community, the U.S. Department of Homeland Security, other U.S. Government civil agencies and selected commercial markets. SAIC had annual revenues of $8.9 billion for its fiscal year ended January 31, 2008 . For more information, visit www.saic.com.

SAIC: From Science to Solutions(R)

Forward-Looking Statements

Certain statements in this release contain or are based on "forward-looking" information within the meaning of the Private Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by words such as "expects," "intends," "plans," "anticipates," "believes," "estimates," "guidance" and similar words or phrases. Forward-looking statements in this release include, among others, estimates of future revenues, earnings, backlog, outstanding shares and cash flows. These statements reflect our belief and assumptions as to future events that may not prove to be accurate. Actual performance and results may differ materially from the guidance and other forward-looking statements made in this release depending on a variety of factors, including: changes in the U.S. Government defense budget or budgetary priorities or delays in the U.S. budget process; changes in U.S. Government procurement rules and regulations; our compliance with various U.S. Government and other government procurement rules and regulations; the outcome of U.S. Government audits of our company; our ability to win contracts with the U.S. Government and others; our ability to attract, train and retain skilled employees; our ability to maintain relationships with prime contractors, subcontractors and joint venture partners; our ability to obtain required security clearances for our employees; our ability to accurately estimate costs associated with our firm-fixed-price and other contracts; resolution of legal and other disputes with our customers and others; our ability to successfully acquire and integrate businesses; our ability to manage risks associated with our international business; our ability to compete with others in the markets in which we operate; and our ability to execute our business plan effectively and to overcome these and other known and unknown risks that we face. These are only some of the factors that may affect the forward-looking statements contained in this release. For further information concerning risks and uncertainties associated with our business, please refer to the filings we make from time to time with the SEC, including the "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Legal Proceedings" sections of our latest annual report on Forms 10-K and 10-K/A and quarterly report on Forms 10-Q and 10-Q/A, which may be viewed or obtained through the Investor Relations section of our Web site at www.saic.com.