Raytheon's Risk Doctor(TM) Solution Selected by University of North Carolina Health Care to Meet HIPAA Security Requirements

FALLS CHURCH, Va., May 9, 2003 -- The University of North Carolina Health Care System (UNC Health Care) has selected Risk Doctor(TM) to identify compliance issues with the security rule of the Health Insurance Portability and Accountability Act (HIPAA). Risk Doctor(TM) is Raytheon Company's diagnostic tool for performing gap analyses and risk assessments for the healthcare industry, and this is the first major sale of this new program. This contract is part of the new Raytheon Information Solutions business unit that provides a wide range of information technology capabilities to the federal government.

Risk Doctor(TM) is an automated, survey-based tool that simultaneously performs the required HIPAA security gap analysis and risk assessment. It also clearly outlines the required corrective actions necessary for HIPAA security compliance and offers additional recommendations with commercial best practices.

"The flexibility of the Risk Doctor(TM) tool proved especially useful in allowing us to perform gap analysis [and risk assessment] against both HIPAA compliance standards and industry best practices, while simultaneously 'fine- tuning' our acceptable levels of risk," said David Houlette, the security officer for UNC's Physicians & Associates.

"Raytheon brings a powerful combination of relevant technical skills and extensive security expertise to provide custom solutions to meet the healthcare community's unique needs," said John Carroll, director of Raytheon's Enterprise Information Systems.

Raytheon's security expertise, the result of working with the Centers for Medicare and Medicaid Services, the Department of Defense, and other agencies, was applied to the healthcare community to meet HIPAA's special security requirements. Powered by commercial off-the-shelf software, Risk Doctor(TM) is based on HIPAA security regulations and modified input from the North Carolina Healthcare Information and Communications Alliance's (NCHICA) HIPAA EarlyView(TM) Security, a gap analysis tool.

Raytheon Company (NYSE: RTN), with 2002 sales of $16.8 billion, is an industry leader in defense, government and commercial electronics, space, information technology, technical services, and business and special mission aircraft. With headquarters in Lexington, Mass., Raytheon employs more than 76,000 people worldwide.

Note to Editors: For more information about Raytheon's Risk Doctor(TM), visit http://www.raytheon.com/riskdoctor.

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     Louise Muniak
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