Exhibit 99.1

Media Relations

News release

FOR IMMEDIATE RELEASE

Media Contact:	Investor Relations Contact:
James Fetig	Greg Smith
781-522-5111	781-522-5141

Raytheon Reports Strong Third Quarter 2005 EPS of $0.51 from Continuing Operations, up 24 percent

• Sales of $5.3 billion, up 8 percent

• Free cash flow from continuing operations of $702 million

• Increased 2005 guidance for full-year EPS, bookings and free cash flow

WALTHAM, Mass., (Oct. 27, 2005) – Raytheon Company (NYSE: RTN) reported third quarter 2005 income from continuing operations of $231 million or $0.51 per diluted share compared to $186 million or $0.41 per diluted share in the third quarter 2004. Third quarter 2005 income from continuing operations was higher due to better operating results in both the Government and Defense businesses and at Raytheon Aircraft Company (RAC) combined with lower interest expense.

Third quarter 2005 net income was $228 million or $0.50 per diluted share compared to $152 million or $0.34 per diluted share in the third quarter 2004. Net income for the third quarter of 2005 included a $3 million after-tax loss in discontinued operations or $0.01 per diluted share versus a $34 million after-tax loss or $0.07 per diluted share in the third quarter 2004.

“Our performance and operating results this quarter continue to demonstrate the strength of the Company,” said William H. Swanson, Raytheon’s Chairman and CEO. “This strength is reflected in our increased 2005 guidance for full-year EPS, bookings and free cash flow from continuing operations.”

Net sales for the third quarter 2005 were $5.3 billion, up 8 percent from $4.9 billion in the 2004 comparable quarter. Government and Defense sales for the quarter (after the elimination of intercompany sales) increased 9 percent to $4.5 billion from $4.1 billion in the 2004 comparable quarter. RAC sales for the quarter increased 3 percent to $642 million from $624 million in the 2004 comparable quarter.

Free cash flow from continuing operations for the third quarter 2005 was $702 million versus $268 million for the 2004 comparable quarter. In the third quarter 2004, the Company made a $210 million payment to settle a shareholder lawsuit. Free cash flow is defined by the Company as operating cash flow less capital spending and internal use software spending.

During the third quarter of 2005, the Company repurchased 5 million shares of common stock for $198 million as part of the Company’s previously announced $700 million share repurchase program, bringing the total shares of common stock repurchased year-to-date to 10 million for $390 million.

Net debt was $4.2 billion at the end of the third quarter 2005 compared with $4.6 billion at the end of 2004. After the end of the quarter, the Company initiated the redemption of $196 million of 7.375% debentures due July 15, 2025.

Summary Financial Results

	3rd Quarter				% Change		Nine Months				% Change
(in millions, except per share data)	2005		2004				2005		2004
Net Sales	$	5,331	$	4,936	8	%	$	15,684	$	14,541	8	%
Total Operating Expenses		4,917		4,579				14,466		13,593
Operating Income		414		357	16	%		1,218		948	28	%
Non-operating Expenses		61		94				212		661
Income from Cont. Ops. before Taxes	$	353	$	263	34	%	$	1,006	$	287	251	%
Income from Continuing Operations	$	231	$	186	24	%	$	660	$	193	242	%
Net Income	$	228	$	152	50	%	$	595	$	172	246	%
Diluted EPS from Continuing Operations	$	0.51	$	0.41	24	%	$	1.45	$	0.44	230	%
Diluted EPS	$	0.50	$	0.34	47	%	$	1.31	$	0.39	236	%
Free Cash Flow from Cont. Operations	$	702	$	268			$	1,100	$	888

Bookings and Backlog

Bookings

	3rd Quarter				Nine Months
(in millions)	2005		2004		2005		2004
Bookings
Government and Defense	$	3,422	$	4,770	$	15,317	$	17,667
Commercial		737		969		2,187		2,558
Total Bookings	$	4,159	$	5,739	$	17,504	$	20,225

Backlog

	Period ending
(in millions)	09/25/05		12/31/04
Backlog	$	33,122	$	32,543
Funded Backlog	$	17,430	$	18,403

The Government and Defense businesses recorded third quarter 2005 bookings of $3.4 billion compared to bookings of $4.8 billion in the third quarter of 2004.

Raytheon Aircraft Company’s third quarter 2005 bookings were $572 million compared to $704 million in the 2004 comparable quarter.

The Company ended the quarter with a backlog of $33.1 billion compared to $32.5 billion at the end of 2004. The Government and Defense businesses ended the quarter with a backlog of $30.7 billion compared to $29.6 billion at the end of 2004.

Outlook

2005 Financial Outlook

	Prior*	Current
Bookings	$23.7B - $24.7B	$24.5B - $25.0B
Net Sales	$21.6B - $22.1B	$21.6B - $22.1B
FAS/CAS Pension Expense	$463M	$465M
Interest Expense, net	$285M - $300M	$265M - $275M
Diluted Shares	455M	454M
EPS from Cont. Ops.	$1.90 - $2.00	$2.00 - $2.05
Cont. Ops./Total Free Cash Flow	$1.3B - $1.5B	$1.6B - $1.8B

* As of July 28, 2005

The Company has increased full-year 2005 guidance for earnings per share from continuing operations, bookings, and free cash flow from operations. The Company has decreased full-year 2005 guidance for net interest expense. Charts containing additional information on the Company’s guidance are available on the Company’s website at www.raytheon.com.

2006 Financial Outlook

Bookings	$22.B - $23.B
Net Sales
Government and Defense	$20.8B - $21.3B
Eliminations of Intercompany Sales	($1.6B)
Government and Defense after Elims	$19.2B - $19.7B
Raytheon Aircraft	$3.0B - $3.2B
Other	$0.7B - $0.8B
Total Company	$23.1B - $23.6B
EPS from Cont. Ops.	$2.40 - $2.50
Free Cash Flow	$1.2B - $1.4B

Charts containing additional information on the Company’s 2006 guidance are available on the Company’s website at www.raytheon.com.

Segment Results

Integrated Defense Systems

	3rd Quarter						% Change		Nine Months						% Change
(in millions, except margin percent)	2005			2004					2005			2004
Net Sales	$	919		$	833		10	%	$	2,765		$	2,542		9	%
Operating Income	$	134		$	100		34	%	$	394		$	298		32	%
Operating Margin		14.6	%		12.0	%				14.2	%		11.7	%

Integrated Defense Systems (IDS) had third quarter 2005 net sales of $919 million, up 10 percent compared to $833 million in the third quarter 2004, primarily due to growth in international programs and the Cobra Judy program partially offset, as expected, by lower sales on the Sea-Based Radar program. IDS recorded $134 million of third quarter 2005 operating income compared to $100 million in the comparable quarter a year ago. Operating income was higher primarily due to increased sales on international programs and program performance improvements.

Intelligence and Information Systems

	3rd Quarter						% Change		Nine Months						% Change
(in millions, except margin percent)	2005			2004					2005			2004
Net Sales	$	649		$	597		9	%	$	1,821		$	1,704		7	%
Operating Income	$	57		$	53		8	%	$	166		$	150		11	%
Operating Margin		8.8	%		8.9	%				9.1	%		8.8	%

Intelligence and Information Systems (IIS) had third quarter 2005 net sales of $649 million, up 9 percent compared to $597 million in the third quarter 2004, primarily due to continued growth in classified programs. IIS recorded $57 million of operating income compared to $53 million in the comparable quarter a year ago.

During the quarter, IIS booked $537 million on a number of classified contracts.

As previously announced, during the quarter the Company acquired UTD, Inc., a privately held science and engineering company, which will add to Raytheon’s capabilities in mission support.

Missile Systems

	3rd Quarter						% Change		Nine Months						% Change
(in millions, except margin percent)	2005			2004					2005			2004
Net Sales	$	1,005		$	928		8	%	$	3,002		$	2,832		6	%
Operating Income	$	104		$	109		-5	%	$	313		$	322		-3	%
Operating Margin		10.3	%		11.7	%				10.4	%		11.4	%

Missile Systems (MS) had third quarter 2005 net sales of $1,005 million, up 8 percent compared to $928 million in the third quarter 2004, primarily due to a ramp up on Tactical Tomahawk and several developmental programs. MS recorded $104 million of operating income compared to $109 million in the comparable quarter a year ago. Last year’s third quarter operating income included cost recovery for previous years’ restructuring actions.

During the quarter, MS booked $98 million for the Javelin Supplemental for the U.S. Army. MS also booked $86 million for the production of Standard Missile-3 (SM-3) for the U.S. Navy and the Missile Defense Agency.

Network Centric Systems

	3rd Quarter						% Change		Nine Months						% Change
(in millions, except margin percent)	2005			2004					2005			2004
Net Sales	$	833		$	764		9	%	$	2,399		$	2,226		8	%
Operating Income	$	87		$	64		36	%	$	244		$	182		34	%
Operating Margin		10.4	%		8.4	%				10.2	%		8.2	%

Network Centric Systems (NCS) had third quarter 2005 net sales of $833 million, up 9 percent compared to $764 million in the third quarter 2004 primarily due to increased effort on development programs and communication programs. NCS recorded operating income of $87 million compared to $64 million in the comparable quarter a year ago. Operating income was higher due to improved performance.

Space and Airborne Systems

	3rd Quarter						% Change		Nine Months						% Change
(in millions, except margin percent)	2005			2004					2005			2004
Net Sales	$	1,013		$	929		9	%	$	3,030		$	2,927		4	%
Operating Income	$	143		$	138		4	%	$	444		$	409		9	%
Operating Margin		14.1	%		14.9	%				14.7	%		14.0	%

Space and Airborne Systems (SAS) had third quarter 2005 net sales of $1,013 million, up 9 percent compared to $929 million in the third quarter 2004 primarily due to growth in ATFLIR production and airborne radar programs. SAS recorded $143 million of operating income compared to $138 million in the comparable quarter a year ago.

During the quarter, SAS booked $551 million on a number of classified contracts.

Technical Services

	3rd Quarter						% Change		Nine Months						% Change
(in millions, except margin percent)	2005			2004					2005			2004
Net Sales	$	479		$	489		-2	%	$	1,455		$	1,417		3	%
Operating Income	$	38		$	38		0	%	$	107		$	104		3	%
Operating Margin		7.9	%		7.8	%				7.4	%		7.3	%

Technical Services (TS) had third quarter 2005 net sales of $479 million compared to $489 million in the third quarter 2004. TS recorded operating income of $38 million in the third quarter of 2005 and in the comparable quarter a year ago.

During the quarter, TS was awarded an additional $62 million in orders, with a potential value of $564 million, from the Defense Threat Reduction Agency (DTRA) for work in the former Soviet Union.

Aircraft

	3rd Quarter						% Change		Nine Months						% Change
(in millions, except margin percent)	2005			2004					2005			2004
Net Sales	$	642		$	624		3	%	$	1,771		$	1,568		13	%
Operating Income	$	34		$	21		62	%	$	69		$	16		331	%
Operating Margin		5.3	%		3.4	%				3.9	%		1.0	%

Raytheon Aircraft Company (RAC) had third quarter 2005 net sales of $642 million compared to $624 million in the third quarter 2004. RAC recorded operating income of $34 million in the quarter compared to $21 million in the comparable quarter in 2004. Operating income was higher due to commercial and Special Mission delivery mix, higher revenue from other government programs, and continued improved operating performance.

Other

Net sales for the Other segment in the third quarter 2005 were $185 million compared to $164 million in the third quarter 2004. The segment recorded an operating loss of $25 million in the third quarter 2005 compared to $7 million in the comparable quarter in 2004.

Discontinued Operations

During the quarter, the Company recorded an after-tax loss from discontinued operations of $3 million or $0.01 per diluted share related to its former engineering and construction and Aircraft Integration Systems businesses.

Raytheon Company (NYSE: RTN), with 2004 sales of $20.2 billion, is an industry leader in defense and government electronics, space, information technology, technical services, and business and special mission aircraft. With headquarters in Waltham, Mass., Raytheon employs 80,000 people worldwide.

Disclosure Regarding Forward-looking Statements

Certain statements included in this release, including any statements relating to the Company’s future plans, objectives, and projected future financial performance, contain or are based on, forward-looking statements within the meaning of the federal securities laws. Specifically, statements that are not historical facts, including statements accompanied by words such as “believe,” “expect,” “estimate,” “intend,” or “plan,” and variations of these words and similar expressions, are intended to identify forward-looking statements and convey the uncertainty of future events or outcomes. The Company cautions readers that any such forward-looking statements are based on assumptions that the Company believes are reasonable, but are subject to a wide range of risks, and actual results may differ materially. The Company expressly disclaims any current intention to provide updates to forward-looking statements, and the estimates and assumptions associated with them, after the date of this release. Important factors that could cause actual results to differ include, but are not limited to: the ability to obtain or the timing of obtaining future government awards; the availability of government funding; changes in government or customer priorities due to program reviews or revisions to strategic objectives; difficulties in developing and producing operationally advanced products and technology systems; termination of government contracts; program performance, including resolution of claims; timing of contract payments; the performance of critical subcontractors; government import and export policies and other government regulations; the ultimate resolution of contingencies and legal matters, including government investigations; the ultimate resolution of insurance coverage for class action shareholder and derivative lawsuits against the Company; the effect of regulatory actions and market conditions, particularly in relation to the general aviation, commuter, and fractional aircraft businesses; cost growth risks inherent with large long-term fixed price contracts; conflicts with other investors and business risks in joint ventures and less than wholly-owned businesses; and risks associated with our former engineering and construction business related to outstanding letters of credit, surety bonds, guarantees and similar agreements and the resolution of claims and litigation. Further information regarding the factors that could cause actual results to differ materially from the projected results can be found in the Company’s filings with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2004 and quarterly reports on Form 10-Q, copies of which may be obtained at the Company’s website at www.raytheon.com.

Conference Call on the Third Quarter 2005 Financial Results

Raytheon’s financial results conference call will be Thursday, October 27, 2005 at 9 a.m. EDT. Participants will be William H. Swanson, Chairman and CEO, Biggs C. Porter, vice president and corporate controller, and acting CFO, and other Company executives.

The dial-in number for the conference call will be (800) 265 - 0241. The conference call will also be audiocast on the Internet at www.raytheon.com. Individuals may listen to the call and download charts that will be used during the call. These charts will be available for printing prior to the call.

Interested parties are urged to check the website ahead of time to ensure their computers are configured for the audio stream. Instructions for obtaining the free required downloadable software are posted on the site.

# # #

Attachment A

Raytheon Company

Financial Information

Third Quarter 2005

	Three Months Ended						Nine Months Ended
(In millions except per share amounts)	25-Sep-05			26-Sep-04			25-Sep-05			26-Sep-04
Net sales	$	5,331		$	4,936		$	15,684		$	14,541
Cost of sales		4,445			4,129			13,053			12,242
Administrative and selling expenses		348			327			1,053			986
Research and development expenses		124			123			360			365
Total operating expenses		4,917			4,579			14,466			13,593
Operating income		414			357			1,218			948
Interest expense		79			100			237			326
Interest income		(14	)		(11	)		(38	)		(33	)
Other expense, net		(4	)		5			13			368
Non-operating expense, net		61			94			212			661
Income from continuing operations before taxes		353			263			1,006			287
Federal and foreign income taxes		122			77			346			94
Income from continuing operations		231			186			660			193
Loss from discontinued operations, net of tax		(3	)		(34	)		(65	)		(62	)
Income before accounting change		228			152			595			131
Cumulative effect of change in accounting principle, net of tax		—			—			—			41
Net income	$	228		$	152		$	595		$	172
Earnings per share from continuing operations
Basic	$	0.52		$	0.41		$	1.47		$	0.44
Diluted	$	0.51		$	0.41		$	1.45		$	0.44
Loss per share from discontinued operations
Basic	$	(0.01	)	$	(0.08	)	$	(0.14	)	$	(0.14	)
Diluted	$	(0.01	)	$	(0.07	)	$	(0.14	)	$	(0.14	)
Earnings per share from cumulative effect of change in accounting principle
Basic	$	—		$	—		$	—		$	0.09
Diluted	$	—		$	—		$	—		$	0.09
Earnings per share
Basic	$	0.51		$	0.34		$	1.33		$	0.40
Diluted	$	0.50		$	0.34		$	1.31		$	0.39
Average shares outstanding
Basic		445.6			449.2			448.4			434.1
Diluted		452.1			453.5			454.4			437.3

Attachment B

Raytheon Company

Segment Information

Third Quarter 2005

	Net Sales Three Months Ended						Operating Income Three Months Ended						Operating Income As a Percent of Sales Three Months Ended
(In millions)	25-Sep-05			26-Sep-04			25-Sep-05			26-Sep-04			25-Sep-05		26-Sep-04
Integrated Defense Systems	$	919		$	833		$	134		$	100		14.6	%	12.0	%
Intelligence and Information Systems		649			597			57			53		8.8	%	8.9	%
Missile Systems		1,005			928			104			109		10.3	%	11.7	%
Network Centric Systems		833			764			87			64		10.4	%	8.4	%
Space and Airborne Systems		1,013			929			143			138		14.1	%	14.9	%
Technical Services		479			489			38			38		7.9	%	7.8	%
Aircraft		642			624			34			21		5.3	%	3.4	%
Other		185			164			(25	)		(7	)	-13.5	%	-4.3	%
FAS/CAS Pension Adjustment		—			—			(117	)		(117	)
Corporate and Eliminations		(394	)		(392	)		(41	)		(42	)
Total	$	5,331		$	4,936		$	414		$	357		7.8	%	7.2	%
	Net Sales Nine Months Ended						Operating Income Nine Months Ended						Operating Income As a Percent of Sales Nine Months Ended
	25-Sep-05			26-Sep-04			25-Sep-05			26-Sep-04			25-Sep-05		26-Sep-04
Integrated Defense Systems	$	2,765		$	2,542		$	394		$	298		14.2	%	11.7	%
Intelligence and Information Systems		1,821			1,704			166			150		9.1	%	8.8	%
Missile Systems		3,002			2,832			313			322		10.4	%	11.4	%
Network Centric Systems		2,399			2,226			244			182		10.2	%	8.2	%
Space and Airborne Systems		3,030			2,927			444			409		14.7	%	14.0	%
Technical Services		1,455			1,417			107			104		7.4	%	7.3	%
Aircraft		1,771			1,568			69			16		3.9	%	1.0	%
Other		566			492			(66	)		(29	)	-11.7	%	-5.9	%
FAS/CAS Pension Adjustment		—			—			(349	)		(356	)
Corporate and Eliminations		(1,125	)		(1,167	)		(104	)		(148	)
Total	$	15,684		$	14,541		$	1,218		$	948		7.8	%	6.5	%

Attachment C

Raytheon Company

Other Information

Third Quarter 2005

	Backlog (In millions)				Funded Backlog (In millions)
	25-Sep-05		31-Dec-04		25-Sep-05		31-Dec-04
Integrated Defense Systems	$	7,004	$	6,628	$	3,178	$	3,454
Intelligence and Information Systems		4,153		4,066		612		811
Missile Systems		8,011		8,341		4,395		4,517
Network Centric Systems		4,175		3,587		2,881		2,623
Space and Airborne Systems		5,690		5,216		2,957		3,127
Technical Services		1,635		1,773		953		939
Aircraft		2,203		2,638		2,203		2,638
Other		251		294		251		294
	$	33,122	$	32,543	$	17,430	$	18,403
Government and Defense businesses	$	30,668	$	29,611	$	14,976	$	15,471
U.S. government backlog included above	$	26,960	$	25,525

	Bookings (In millions) Three Months Ended
	25-Sep-05		26-Sep-04
Government and Defense businesses	$	3,422	$	4,770
Commercial businesses		737		969
	$	4,159	$	5,739
	New Aircraft Deliveries (Units) Three Months Ended
	25-Sep-05		26-Sep-04
Hawker 800XP		13		13
Premier I / IA		2		11
Hawker 400XP		14		5
King Air		27		31
Pistons		8		25
T-6A		16		18
Total		80		103
	New Aircraft Bookings (Units) Three Months Ended
	25-Sep-05		26-Sep-04
Horizon		—		1
Hawker 800XP		11		20
Premier I / IA		9		9
Hawker 400XP		11		4
King Air		38		46
Pistons		13		78
Total		82		158

Attachment D

Raytheon Company

Preliminary Financial Information

Third Quarter 2005

(In millions)	25-Sep-05		31-Dec-04
Balance sheets
Assets
Cash and cash equivalents	$	820	$	556
Accounts receivable		452		478
Contracts in process		3,676		3,514
Inventories		2,014		1,745
Deferred federal and foreign income taxes		420		469
Prepaid expenses and other current assets		316		343
Assets from discontinued operations		15		19
Total current assets		7,713		7,124
Property, plant and equipment, net		2,591		2,738
Deferred federal and foreign income taxes		—		71
Goodwill		11,549		11,516
Other assets, net		2,471		2,704
Total assets	$	24,324	$	24,153
Liabilities and Stockholders’ Equity
Notes payable and current portion of long-term debt	$	472	$	516
Subordinated notes payable		408		—
Advance payments and billings in excess of costs incurred		2,056		1,900
Accounts payable		964		867
Accrued salaries and wages		968		934
Other accrued expenses		1,317		1,403
Liabilities from discontinued operations		29		24
Total current liabilities		6,214		5,644
Accrued retiree benefits and other long-term liabilities		3,145		3,224
Deferred federal and foreign income taxes		150		—
Long-term debt		4,170		4,229
Subordinated notes payable		—		408
Minority interest		140		97
Stockholders’ equity		10,505		10,551
Total liabilities and stockholders’ equity	$	24,324	$	24,153

Attachment E

Raytheon Company

Preliminary Cash Flow Information

Third Quarter 2005

	Three Months Ended						Nine Months Ended
(In millions)	25-Sep-05			26-Sep-04			25-Sep-05			26-Sep-04
Cash flow information
Income from continuing operations	$	231		$	186		$	660		$	193
Depreciation		86			93			262			267
Amortization		23			19			65			54
Working capital		245			(62	)		(106	)		215
Discontinued operations		(4	)		(16	)		(56	)		(32	)
Capital spending		(71	)		(75	)		(183	)		(209	)
Internal use software spending		(25	)		(23	)		(61	)		(73	)
Net activity in financing receivables		(12	)		48			79			145
Other		225			82			384			296
Subtotal - free cash flow (a)		698			252			1,044			856
Sale of short-term investments		—			—			—			(74	)
Acquisitions		(39	)		—			(99	)		(70	)
Investment activity and divestitures		—			—			7			4
Dividends		(99	)		(90	)		(289	)		(258	)
Issuance of common stock		—			—			—			867
Repurchase of common stock		(198	)		—			(390	)		—
Debt repayments		(31	)		(143	)		(93	)		(1,001	)
Other		35			26			84			64
Total cash flow	$	366		$	45		$	264		$	388
	Three Months Ended						Nine Months Ended
	25-Sep-05			26-Sep-04			25-Sep-05			26-Sep-04
Segment free cash flow information
Integrated Defense Systems	$	115		$	80		$	275		$	273
Intelligence and Information Systems		48			78			63			112
Missile Systems		16			28			298			220
Network Centric Systems		215			139			217			67
Space and Airborne Systems		198			50			20			157
Technical Services		58			17			72			20
Aircraft		(75	)		86			(82	)		133
Other		18			13			42			(37	)
Discontinued operations		(4	)		(16	)		(56	)		(32	)
Corporate		109			(223	)		195			(57	)
Total free cash flow	$	698		$	252		$	1,044		$	856

(a) See Attachment F for a description of free cash flow.

Attachment F

Raytheon Company

Non-GAAP Financial Measures

Third Quarter 2005

Free cash flow is a “non-GAAP” financial measure under SEC regulations. The Company defines free cash flow as operating cash flow less capital spending and internal use software spending. Our definition may differ from similarly titled measures used by others. The Company uses free cash flow to facilitate management’s internal comparisons to the Company’s historical operating results and to competitors’ operating results and as an element of management incentive compensation. The Company believes disclosure of free cash flow performance provides investors greater transparency with respect to information used by management in its financial and operational decision making. While this information may be useful in evaluating the Company, it should be considered supplemental to and not as a substitute for financial information prepared in accordance with generally accepted accounting principles.

Free cash flow

	Three Months Ended						Nine Months Ended
	25-Sep-05			26-Sep-04			25-Sep-05			26-Sep-04
Operating cash flow	$	794		$	350		$	1,288		$	1,138
Less: Capital spending		(71	)		(75	)		(183	)		(209	)
Internal use software spending		(25	)		(23	)		(61	)		(73	)
Free cash flow		698			252			1,044			856
Plus: Discontinued operations		4			16			56			32
Free cash flow from continuing operations	$	702		$	268		$	1,100		$	888
Free cash flow guidance
	Current Guidance						Prior Guidance
	Low end of range			High end of range			Low end of range			High end of range
2005
Full year
Operating cash flow	$	2,105		$	2,260		$	1,735		$	1,895
Less: Capital and internal software spending		(500	)		(450	)		(500	)		(450	)
Free cash flow		1,605			1,810			1,235			1,445
Plus: Discontinued operations		40			35			80			75
Free cash flow from continuing operations	$	1,645		$	1,845		$	1,315		$	1,520

	Guidance
	Low end of range			High end of range
2006
Full year
Operating cash flow	$	1,700		$	1,855
Less: Capital and internal software spending		(530	)		(480	)
Free cash flow		1,170			1,375
Plus: Discontinued operations		30			25
Free cash flow from continuing operations	$	1,200		$	1,400