Charts used in senior executive presentations

Energy | Environment | National Security | Health | Critical Infrastructure

2009 Science Applications International Corporation. All rights reserved. SAIC, the SAIC logo, and "From Science to Solutions" are trademarks or registered trademarks of Science Applications International Corporation in the United States and/or other countries.

Conference Materials

•

Day 1 Book

•

Day 2 Book

–

Management

Presentations

–

Presenter

Biographies

–

Acronym Glossary

•

Both books and the

replay of today’s

event are available on

SAIC’s

Investor

Relations website

Energy | Environment | National Security | Health | Critical Infrastructure

Agenda

LUNCH

12:00 PM

Panel

Energy Campaign

11:35 AM

Joe Craver

Infrastructure, Logistics and Product Solutions Group

11:15 AM

Charles Koontz

IT and Network Solutions Group

10:50 AM

Stu Shea

Intelligence, Security and Technology Group

10:25 AM

Deb Alderson

Defense Solutions Group

10:00 AM

BREAK

9:45 AM

Corporate Q&A

9:15 AM

Amy Alving

Technology Programs and Discriminators

9:00 AM

Mark Sopp

Financial Overview

8:40 AM

Walt Havenstein

Enterprise Outlook

8:20 AM

Ken Dahlberg

Enterprise Update

8:05 AM

Stuart Davis

Welcome and Introduction

8:00 AM

Energy | Environment | National Security | Health | Critical Infrastructure

Certain statements in these presentations contain forward-looking statements within the

meaning of Section 27A of the Securities Act of 1933, as amended. The forward-looking

statements

involve

number

risks

and

uncertainties.

number

factors

could

cause

our actual results, performance, achievements, or industry results to be materially different

from any future results, performance, or achievements expressed or implied by these

forward-looking statements. Some of these factors include, but are not limited to, the risk

factors

set

forth

SAIC’s

Annual

Report

Form

10-K

for

the

year

ended

January

31,

2009, and other filings that SAIC makes with the SEC from time to time. Due to these

uncertainties and risks, persons who view these presentations are cautioned not to place

undue reliance on such forward-looking statements, which speak only as of October 14,

2009. SAIC disclaims any duty to update guidance or any other forward-looking statement

provided in these presentations to reflect subsequent events, actual results or changes in

expectations.

Forward Looking Statements

These presentations describe financial results through 7/31/09 (FY2010 Q2)

Energy | Environment | National Security | Health | Critical Infrastructure

Company’s Ethos

•

Demonstrated ability to execute

–

Delivered on growth promises

–

Built credibility through transparent shareholder communications

•

Positioning, agility, and ability to compete to ensure growth

–

Little exposure to platforms that could come under pressure

–

Significant exposure to higher growth markets

–

Winning larger programs

–

Excellent IDIQ portfolio, aggressive task order marketing, and high win rates

•

Key discriminators in a tough market

–

Scale to generate significant discretion and management efficiencies

–

Technical talent to create innovative, fast response solutions

•

To understand us, you need to understand our major themes:

–

From Science to Solutions

–

Smart People Solving Hard Problems

Our Growth Prospects Remain Solid

Energy | Environment | National Security | Health | Critical Infrastructure

From Science to Solutions

Energy and the Environment: Smart Grid Solutions

•

Combining engineering, IT, and scientific solutions to next-generation grid

•

R.W. Beck acquisition/BPLG alliance create real presence in emerging market

•

Cyber

security,

weather

analytics,

s/w

solutions

create

differentiators

09-1844-ID-01

National Security: MRAP C3 and Logistics Integration

•

Rapidly engineered and deployed 15K+ vehicles to meet Army’s #1 threat

•

Collaborated to propose and deliver integrated in-theater logistics solution

•

Leverage to M-ATVs (engineering) and USMC counter-IED (logistics)

Critical Infrastructure: Products for Border and Port Security

•

Suite of inspection and detection products to protect the nation

•

VACIS

combines accuracy with speed and low footprint to facilitate commerce

•

Robust military and civil markets with breakout opportunity (SFI, Mexico)

Health: Military Health Records Management

•

Invested IR&D to create SOA-based solution to share data across DoD/VA

•

Operating prototype at shared DoD/VA facility (Great Lakes)

•

Serves as foundation for Obama’s Virtual Lifetime Electronic Record initiative

Energy | Environment | National Security | Health | Critical Infrastructure

Smart People Solving

Hard Problems

Energy and Environment: Michael Mondshine (Climate Change)

•

Climate

change

policy

expert;

developed

greenhouse

gas

reporting

standards

•

Named to UN Framework Convention on Climate Change roster of experts

•

Recognized by Intergovernmental Panel on Climate Change (IPCC) for

contributions leading to their 2007 Nobel Peace Prize

National Security: Chris McClone

(Geospatial Modeling)

•

Fusing LiDAR-based 3-D urban models and remote sensing imagery

•

Internationally recognized authority on remote sensing and published author of

the authoritative manual on photogrammetry

Critical Infrastructure: William Salazar (Cyber Security)

•

Prepares network defenders for actual attacks by simulating adversaries

•

Directs incident response team to respond to successful cyber attacks

•

Built best-of-breed D2R (Detect, Diagnose and Respond) system

Health: Laura Peitersen (Biosurveillance)

•

Coordinated public-private field avian influenza virus surveillance network

•

Couples behavioral monitoring of wildlife with the use of state-of-the-art,

real-time pathogen detection and rapid analysis technologies

Energy | Environment | National Security | Health | Critical Infrastructure

SAIC Organization

CEO

Walt Havenstein

Chairman

Ken Dahlberg

Mark Sopp

CFO

Defense

Solutions

Deb Alderson

Information Technology

and Network Solutions

Charles Koontz

Infrastructure, Logistics

and Product Solutions

Joe Craver

Intelligence, Security

and Technology

Stu Shea

Gov’t

Affairs,

Communication

and Support Ops

Arnold Punaro

Legal and Audit

Doug Scott

Human

Resources

Brian Keenan

Strategic

Initiatives and

Investments

Joe Walkush

Business

Development

Jim Cuff

Technology

Amy Alving

Energy | Environment | National Security | Health | Critical Infrastructure

Major Accomplishments

•

Corporate Governance

–

Hired ideal CEO replacement to extend the business momentum

–

Received shareholder approval to eliminate dual-class share structure

•

Financial Performance

–

TTM internal revenue growth of 9%, 40 bps margin expansion, 17% EPS growth

–

Excellent program performance with virtually no program write-downs

•

Business Growth

–

Positioned for future growth with aggressive submittals and competitive win rates

–

Increased traction in all major campaigns, especially cyber, energy, and logistics

–

Acquired significant new capability in energy, live training, and translation and analysis

•

Employee Engagement

–

Significantly improved voluntary attrition—9.2% FY10 YTD; 11.9% FY09; 13.9% in FY08

–

Successfully implemented several engagement initiatives; validated by survey results

•

Management Efficiency

–

track

for

successful

transition

Costpoint

Deltek

for

gov’t

business

year-end

–

Continued transition to shared services model throughout the organization

Energy | Environment | National Security | Health | Critical Infrastructure

Business Development Successes

•

Protracted procurement cycle has led to H1 book-to-bill of 0.9

–

Pace

has

picked

since

and

track

for

record

year

IDIQ

vehicle

awards

–

High YTD win rates on recompetes (90%+) and new business (60%+)

•

Large awards tracking higher

–

24 $100M+ wins YTD (11 in Q3) vs. 27 in FY09 and 17 in FY08

–

42 more $100M+ decisions expected this year, including 32 pending awards

•

Pending proposals and fully qualified pipeline at all-time highs

–

$9.3 billion pending standard contract/task order proposals ($8.5 billion at Q2)

–

$16.6

billion

pending

including

IDIQs

($13.0

billion

Q2)

–

$91

billion

qualified

pipeline

($83

billion

Q2,

$70

billion

year

ago)

–

Another

$90B

potential

opportunities

“track”

status

•

Expect significant stimulus awards by year-end (>$100M)

–

Many smart grid opportunities with utilities awaiting decision at DOE

–

Also pursuing opportunities in energy efficiency, infrastructure, homeland security, IT solutions,

health, and environmental

•

Major improvements to business development infrastructure

–

New leadership emphasizing collaboration (BD Council, Account Mgmt)

Energy | Environment | National Security | Health | Critical Infrastructure

Major FY10 Wins

•

Securing Base Business

–

ARMY AMCOM SED ($848M Single-Award IDIQ): Software engineering support

–

ARMY STOC II ($17.5B Multiple-Award IDIQ): Simulation and training support to warfighter

–

MRAP JLI II ($357M Single-Award IDIQ/$357M TO): Joint Logistics Integrator for MRAP

–

MHS Support ($159M): Onsite support for Military Health System clinical IT systems

–

Classified ($158M Multiple-Award IDIQ): Information assurance services for Intelligence Agency

•

Expanding Current Work

–

DGS ($1.2B Single-Award IDIQ Extension/$113M TO): Lifecycle mgmt of DISA Network

–

MRAP JLI ($142M Single-Award IDIQ Extension/$106M TO): Expansion of MRAP JLI

–

Classified ($117M): Integrate and deploy solutions in support of

NSA missions

•

Building New Business

–

SPAWAR Tactical C2 ($197M Multiple-Award IDIQ): Command and control integration support

–

EPA IT ($955M Multiple-Award IDIQ): IT Services for the EPA Office of Environmental Information

–

ARMY ASC DMC ($128M): Logistics support for Reset/Army Force Generation cycle

–

FEMA ITD ($500M Multiple-Award IDIQ): O&M support to FEMA CIO and IT Division

–

ARMY TARDEC OMNIBUS ($500M Multiple-Award IDIQ): RD&E services

–

USMC CREW ($120M Single-Award IDIQ): Logistics lifecycle support

–

AIR FORCE FPS2 ($495M Multiple-Award IDIQ): Force protection security services

Note: Q3 Awards listed in bold

Energy | Environment | National Security | Health | Critical Infrastructure

Building Credibility

•

Targeting 15% Long-Term EPS Growth

•

Execute corporate campaigns around energy, health, cyber security,

and space superiority

•

Addressable market growth will flatten, but market remains large

•

Industry must navigate increasingly hostile environment

–

Wartime Commission

–

Congressional hearings

–

Organizational Conflicts of Interest

•

Manpower entitlements limit funds available for contractors; major

platforms, including FCS, come under pressure

–

Desire to “in-source”

–

Populist rhetoric

–

Anti-contractor bias

IPO

2007 Conference

2008 Conference

Energy | Environment | National Security | Health | Critical Infrastructure

Enterprise Summary

•

Well-established rhythm as a public company

–

3 years since IPO

–

Hallmark of steady, solid performance

–

Transparency and thought leadership

•

Significant businesses in known growth markets

–

Campaign investments paying off

–

Early identification and pursuit has been critical

•

Our technology discriminators will become even more important

–

75% solutions demand quick response versus long production cycles

–

Increased IR&D investments by 38% since going public

•

When markets are tough, SAIC can thrive and grow

–

We compete well—we have high win rates and an excellent IDIQ portfolio

–

We have the scale to invest and are leveraging fixed infrastructure costs

–

Our heritage of entrepreneurial spirit provides market agility

–

Our innovative people create business differentiators

Energy | Environment | National Security | Health | Critical Infrastructure

My Background

•

BAE Systems

–

COO/board member of $34B global aerospace and defense company

–

President and CEO of $20B wholly-owned U.S. subsidiary

–

President of Electronics & Integrated Solutions Operating Group

–

President

Information

and

Electronic

Warfare

Systems

business

unit

–

Deployed $10B on 20 acquisitions in 8 years; grew subsidiary from $2B to $20B in 5 years

•

Prior Industry Experience

–

President of the Sanders defense electronics business

–

Vice president and general manager of the Strategic Systems Division for Raytheon

–

Various business development/program management roles at ITT

•

Military Background

–

Active duty in U.S. Marine Corps, specializing in tactical communications and systems acquisition mgmt

–

Retired from Marine Corps Reserve as a colonel

–

Bachelor's degree in aerospace engineering from the U.S. Naval Academy

–

Master's degree in electrical engineering from the Naval Postgraduate School

•

Other Leadership Positions

–

Member of Executive Committee, Council on Competitiveness

–

Board

directors

for

FIRST

(For

Inspiration

and

Recognition

Science

and

Technology)

–

Board

advisors

for

the

University

New

Hampshire,

Whittemore

School

Business

Energy | Environment | National Security | Health | Critical Infrastructure

My Impressions of SAIC

•

45K people doing great work on our nation’s toughest problems

•

Entrepreneurial spirit runs deeps within employees

•

Strong science and technology capability

•

But, not yet maximizing our potential

–

Not punching our weight

–

Not leveraging the strength of our people

–

Not

perceived

big

are

(e.g.,

largest

employer

the

NCR)

–

Not thinking big enough

•

Tremendous balance sheet offers great flexibility

–

Limited capital requirements or pension exposure

Energy | Environment | National Security | Health | Critical Infrastructure

Evolving Market Focus

C4ISR

Intelligence

CBRNE / Homeland Security

Logistics

Space Superiority

Cyber

Energy

Health

ISR

Telcordia

AMSEC

ProcureNet

Geo-Centers

Benham

Atlan

BD Systems

Beck DR

Beck Consulting

$1.7B

Varec

BPLG

Global Information Grid

NATO C2

CENTCOM IT

Tires

POL-Chem

MRAP JLI

Contract Win

Acquisition

IR&D Investment

$1.2B

$600M

$700M

$800M

$850M

$400M

VA/DoD Sharing

MHS Wins

DOE ESPC

Security Product Enhancements

GPS SE&I

Guardian

SBOC

Cyber Tools

$250M

$450M

$170M

$160M

Energy | Environment | National Security | Health | Critical Infrastructure

Enterprise Market Segments

15% of revenue in C4

•

Moderate investments

•

Large addressable market

•

Large opportunities

•

Demonstrated ability to compete

43% of revenue in major

growth campaigns

•

Focus of investments

•

End-market growth

generally >10%

•

Differentiated offerings

•

Support margin

expansion goals

10-1230-IC-10

42% of revenue

in core business

•

Limited investments

•

Create discretion to fund

campaigns

•

Significant overhead

absorption

•

SAIC legacy

•

Includes some group-level

focus areas

ISR

Cyber

CBRNE/HLS

Energy

Logistics

Health

Core

Energy | Environment | National Security | Health | Critical Infrastructure

120-Day Plan

•

Deliver on fiscal year 2010 financial commitments

•

Set fiscal year 2011 operational plan

•

Accelerate cost reductions to create strategic runway

–

Invest more in technology, people, and capability and less in oversight

•

Establish corporate cadence

•

Set strategic direction

–

Go live by Q1 of FY11

•

Crystallize roles and responsibilities

–

Assess organization based on strategy

–

Assess people based on organization

•

Connect with major stakeholders

Energy | Environment | National Security | Health | Critical Infrastructure

Strategic Summary

•

I will be focused on growth

•

I expect to leverage our balance sheet and be more aggressive in

M&A

–

Reliability and predictability in core business allows us to take on more risk

–

Once we articulate our strategy, we will be disciplined enough to adhere to it

•

I believe science and technology dominates regardless of market conditions

•

I am excited by the challenge to maximize the performance of a company

unique in the government services market

–

Driven by science and technology

–

Motivated by an entrepreneurial spirit

–

Of sufficient scale to compete for the most demanding contracts

–

Capitalizing on the strategic flexibility from public and employee ownership

Energy | Environment | National Security | Health | Critical Infrastructure

Guidance

•

Executing long-term earnings model in place since the IPO

–

6%-9% internal revenue growth

–

20-30 bps operating margin improvement

–

11%-18% EPS growth with target of 15%

•

9/2

earnings

call,

reaffirmed

that

expect

meet

these

long-term

goals for FY10

•

Today we reaffirm this guidance for FY10

–

We expect to provide FY11 guidance on our Q3 earnings call

Energy | Environment | National Security | Health | Critical Infrastructure

Revenue Growth Trend

Key Growth Drivers

•

Increasing B&P and IR&D by 45% since FY07 (19% in FY10)

•

Investing in high growth areas and discriminating technologies

•

Enhancing collaboration and focus on larger programs ($100M+)

–

FY10 YTD: 24 >$100M wins

–

FY10 remainder: 42 >$100M

decisions expected (32 pending)

10-1230-IC-03

–

FY08: 17 >$100M wins

–

FY09: 27 >$100M wins

Energy | Environment | National Security | Health | Critical Infrastructure

Revenue Breakout

•

Higher growth in larger systems integration and logistics:

–

Higher non-SAIC labor content

–

Greater fixed price mix

•

Continued migration towards IDIQs

32%

33%

36%

Standard Contract

67%

15%

27%

25%

19%

33%

48%

41%

59%

14%

23%

31%

32%

FY09

Revenue

64%

14%

26%

24%

18%

35%

47%

39%

61%

17%

22%

29%

32%

FY08

Revenue

68%

Subtotal Master and Schedule Agreements

14%

GSA Schedule

27%

Multiple-Award IDIQ TO

27%

Single-Award IDIQ TO

Contract Source

21%

31%

Time and Materials

48%

Cost-Reimbursement

Contract Type

42%

58%

Labor-Related

Revenue Type

14%

IT & Network Solutions

22%

Infrastructure, Logistics and Product Solutions

33%

31%

Intelligence, Security and Technology

Organization

FY10 H1

Revenue

Attribute

Defense Solutions

Material and Subcontract

Fixed Price

Energy | Environment | National Security | Health | Critical Infrastructure

Operating Margin Improvement

100

120

140

160

Option Reductions

Higher Contract Fees/Shift to Fixed Price

Improved Indirect Rate Management

Business Process Improvement

IT Modernization Spend Reductions

Facilities Consolidation

Higher Margin Markets

7.7%

7.9%-

8.0%

8.2%

8.4%

8.6%

FY08

FY09

FY10

FY11

FY12

FY13

7.5%

Containment of Unallowable Costs

Project

Alignment

Activities

Consistent and steady margin improvement to FY13 and beyond

Energy | Environment | National Security | Health | Critical Infrastructure

Potential Non-Recurring

Income Events

•

Upside:

–

FCS Fee Recognition (if contract modification = material change in terms)

–

Greek Olympics Contract—filed for arbitration in June 2009

–

Real Estate Monetization—significant value in McLean and San Diego

–

Telkom South Africa Settlement—currently in arbitration; discontinued operations

•

Downside:

–

FCS

Fee

Recognition

(if

contract

modification

material

change

terms)

–

NCCIPS—in early phase of DoJ

False Claims Act case

–

Scottish Power—pension charges with contract termination/renewal (March 2010)

–

DCAA—cost accounting structure, incurred cost claims, systems audits

Energy | Environment | National Security | Health | Critical Infrastructure

Capital Deployment and Liquidity

•

Business model funds growth and generates significant operating cash flow

–

Operating Cash Flow = Net Income + D&A + Special Items

–

Capital expenditures less than 1% of revenues

•

Deploy capital on a rational, disciplined basis to build long-term value

for our stockholders

–

Internal growth initiatives

–

Strategic acquisitions

–

Share repurchases

•

Conservative liquidity posture

–

Invested primarily in Treasury

and Government money

market funds

•

Currently “A-”; maintain

investment grade credit rating

in this market

–

Estimated funds available for

M&A —

$1.1B at A-, $1.9B at

BBB+, $2.9B at BBB

244

524

285

Free Cash Flow

1,096

(14)

(10)

(215)

(145)

(61)

346

FY08

936

(93)

(113)

(382)

(204)

(59)

583

FY09

951

(16)

(250)

(1)

(28)

272

FY10 H1

Ending Cash Position

Cash From Continuing Ops

Other

Payment of Debt

Public Stock Repurchases

Acquisitions

Capital Expenditures

Operating Cash Flow

Capital Deployment ($M)

Energy | Environment | National Security | Health | Critical Infrastructure

Deltek Costpoint

Implementation

Benefits achieved or anticipated

•

Burn off of $30M annual

implementation cost

•

More automated A/R, job cost,

indirect rate management

–

Lower cost, greater speed

•

More efficient O&M support function

•

Supports various business structures

10-1230-IC-04

Commercial

& Subs

11%

Waves 1-2

(Completed)

55%

Wave 3

(End FY10)

34%

Energy | Environment | National Security | Health | Critical Infrastructure

Project Alignment Update

Comprehensive, multi-year program to:

•

Streamline and standardize processes

•

Establish Shared Service Center

•

Consolidate support functions

•

Leverage scale for buying power

Overall Benefits:

•

Allows line management to focus on

running and growing business

•

Provides additional funds for

reallocation and/or profit

$100M+ Expected Annual Savings:

•

Lower wrap rates to increase

competitiveness

•

Increase investment to drive growth

and profitability

–

B&P to increase volume and win

probability

–

IR&D to build discriminators

•

Improve op margin

–

Higher fees on fixed price and T&M

Energy | Environment | National Security | Health | Critical Infrastructure

Financial Summary

•

Sustainable shareholder value creation

–

Maintain steady internal revenue growth

–

Continue to improve operating margins

–

Low asset intensity

–

Predictable and growing free cash flow

–

More aggressive deployment of capital with significant capacity

•

Consistent, demonstrated progress on all financial fronts

•

Realistic and achievable path

–

Culture of discipline and collaboration

–

Building pipeline of large opportunities

–

Investing in infrastructure and people to support sustainable growth

Energy | Environment | National Security | Health | Critical Infrastructure

Commitment to Technology

•

From Science to Solutions

–

Technological innovation is our heritage…

and our future.

•

Smart People Solving Hard Problems

–

Our people are our strongest asset

•

We will leverage our existing expertise to new customers and markets

–

The depth and breadth of our technical expertise, deep customer understanding,

and

operational

experience

provide

the

foundation

for

our

future

growth

Be the leading systems, solutions, and technical services company,

solving our customers’

most important business and mission-critical problems

through innovative applications of technology and domain knowledge

Energy | Environment | National Security | Health | Critical Infrastructure

Investing to Leverage “One SAIC”

Disease Surveillance, Epidemiology

Specialized Medical Knowledge

Neuroscience

Advanced

Bio

and

Chem

Sensors

Medical Research

Macro Financial Energy Models

Energy Transmission and Distribution

Fuel and Energy Sources

Neutron and Gamma Physics

Cryptology and Cyber

RF and Optical Physics

Command and Control

Modeling, Simulation and Training

Biometrics

ISR Enablers

Defense

Solutions

Deb Alderson

Intelligence,

Security and

Technology

Stu Shea

Information

Technology and

Network Solutions

Charles Koontz

Infrastructure,

Logistics and

Product Solutions

Joe Craver

Energy | Environment | National Security | Health | Critical Infrastructure

Sensors and Analysis;

Modeling and Simulation

•

ISR Enablers

–

Advanced detectors and sensors

–

Advanced signal and image processing

–

Advanced analytics

–

Scalable comms and ISR architectures

•

Biometrics

–

Sensor integration, DB management

–

Identity resolution, link analysis

–

Language services, sound/speaker ID

•

Modeling, Simulation and Training

–

Physics-based models

–

Full-spectrum simulation

–

Composable systems

•

Command and Control

–

Automated course-of-action tools

–

Service-oriented architectures

The

elimination

a mortal blow to radical

Zionism and provided a fitting

revenge for the assassination

of the martyr Abu Ali Mustafa.

Zeevy

dealt

Energy | Environment | National Security | Health | Critical Infrastructure

•

RF and Optical Physics

–

Directed-energy technologies (RF, lasers)

–

High-energy power conditioning

–

Advanced optics (non-linear optics,

adaptive optics, optical communications)

•

Cryptology and Cyber

–

Efficient and low-power encryption

solutions

–

Cyber vulnerability and exploitation

(research, modeling and simulation)

–

Information assurance testing and

certification (Common Criteria Test Lab)

–

Detection/diagnosis/remediation tools

–

Real-time, quantitative cyber training

environment

Electromagnetics;

Next-Gen Information Technology

Energy | Environment | National Security | Health | Critical Infrastructure

Particle Physics;

Fuel and Energy

•

Neutron and Gamma Physics

–

Patented photon-counting technologies

–

High-energy imaging

–

Spectroscopic analysis

•

Fuel and Energy Sources

–

Geophysics of oilfields

–

Carbon capture and sequestration

–

Algae biofuels

•

Energy Transmission and Distribution

–

Demand/response analytics, fault

prediction

–

Renewables

integration, microgrids

–

Cyber security for SCADA systems

•

Macro Financial Energy Models

BPL Global Power SG

Am-241

Cs-137

Ra-226

Energy (keV)

Energy | Environment | National Security | Health | Critical Infrastructure

Medicine, Biology and Chemistry

•

Medical Research

–

Cancer and AIDS research

–

Translational medicine

–

Bioinformatics, genomic analysis

•

Advanced Bio and Chem

Sensors

–

Exploiting genomic insight; biomimicry

•

Neuroscience

–

Augmented cognition; brain-computer

interface

–

Psychological health, warfighter

trauma

•

Disease Surveillance, Epidemiology

•

Specialized Medical Knowledge

Energy | Environment | National Security | Health | Critical Infrastructure

Enabling our Technology Strategy

10-1230-IC11

Career Path

Technical

Fellows

Interns

IR&D

University

Alliances

System

Engineering

Program

Management

Contract

Performance

Passion

for Mission

Customer

Understanding

Collaboration

People

Science and

Technology Core

Flawless

Execution

Innovation

Aggressive, Agile, Adaptive

Small Business

Partners

Energy | Environment | National Security | Health | Critical Infrastructure

Focused on the Mission

Begins and Ends with the Partnership

Energy | Environment | National Security | Health | Critical Infrastructure

Tom Baybrook

$700M

John Gully

$700M

Peter Dube

$650M

Bev Seay

$550M

Debbie James

$450M

Ground Forces Integration

& Thru Life Support

Army C3 (SE&I, S/W, SOA)

High-end Engineering

Services to Solutions

C2 & C3/4 Systems

Net-centric

Communications

IT Services & Enterprise

Solutions

Modeling, Simulation

& Training (Products)

C2 SE&I (Systems &

Infrastructure)

Global Challenges & Threat

Reduction (Services)

Aviation C4ISR

Platform Integration;

Tactical Vehicle

Integration

Enterprise Arch. & IT

C4IT

Integrated Security

& Surveillance

Naval and Joint Ops

•

Army

•

Air Force

•

NATO

•

Navy

•

Marines

•

Coast Guard

•

DISA

•

National Guard

•

City of New York

•

Navy

•

Marines

•

State & Local

•

Army

•

Missile Defense Agency

•

Navy

DSG Structure and Customers

Systems and

Technology

Solutions

Enterprise and

Mission Solutions

Analysis, Simulations,

Systems Engineering

and Training

C4IT

Defense and

Maritime Solutions

$3,050M

Defense Solutions Group

Deb Alderson

Group President

Note:

All figures represent FY09 revenue

Energy | Environment | National Security | Health | Critical Infrastructure

DSG Accomplishments

•

People First

–

Aggressive expansion of professional qualifications & certifications

–

Voluntary terminations below 10%

–

Leadership development

•

Strong Financial Performance

–

Internal revenue growth rate of 19% in FY09 and 16% in FY10H1

•

Excellent Program Execution

–

Integrated

and

delivered

15K

MRAPs

ahead

schedule;

M-ATV

ramp-up

now

completed

–

Successful execution of large FY09 awards (e.g., AITS, CENTCOM IT, Army HRIT)

–

Expanded

SE&I

into

DARPA

with

Algae-Biofuel

work

–

Continued to execute on legacy programs (e.g., FCS, DGS, OneSAF)

–

Serving

the

needs

warfighter

AMCOM

and

SPAWAR

•

Growing the Business

–

Won 97% of all recompetes

–

Pipeline at 10x revenue

–

Excellent task order marketing with ITES, SeaPort-e, AMCOM EXPRESS

–

Significantly expanded COCOM and National Guard business

–

International Command and Control

–

Electronic Warfare at NSWC Crane

Energy | Environment | National Security | Health | Critical Infrastructure

Market Imperatives

SAIC Approach

Customer Change

•

Irregular Warfare

•

QDR

SE&I Agent

Buying it Differently

•

75% Solutions

The Network as the

Platform for Innovation

Building it Differently

•

Integrated Solutions

DSG Driving Force:

Taking Services to Solutions

Product

Independence

Flagship

Programs

Customer

Knowledge

Enablers

•

Irregular Warfare

•

QDR

Using it Differently

Enabling innovation in

Doctrine & Organization

Energy | Environment | National Security | Health | Critical Infrastructure

Opportunities

•

SE&I Agent Approach/Network as

Platform for Innovation

•

Hardware-independent

–

proprietary

lock-in…differentiated from the Primes

•

Applying Modeling and Simulation

expertise to C4

•

$20B Pipeline

•

Higher end fixed price solution

opportunities with margins approaching

10%

•

Market stable; growing with inflation

•

Systems Engineering and Integration;

high end technical and engineering

services

NATO AIR C2IS

AOC WSI

GSM Recompete

SNEP

SAIC Differentiators

C4 Campaign

•

SE&I

•

Network Integration

•

SOA Expertise

•

Network Modeling and Simulation

and Training

•

Information Assurance

•

Port Security Solutions

SAIC Capabilities

COCOMS

Army

Navy

DISA

Customers

Energy | Environment | National Security | Health | Critical Infrastructure

•

Systems Engineering/Integration

•

MRAP/Joint Logistics Integration

expertise

•

Integrated hybrid power train

expertise

•

Advanced Armor taking science to

solutions

•

Tactical Vehicle Modeling and

Simulation

•

Mission Knowledge

•

MRAP/JLI

•

Product independent

•

Life-cycle capability management across

different customer bases

–

Army, Navy, AF

•

Key Strategic Partnerships

–

Gov’t

and private sector

•

$13B Pipeline

•

Integrated solutions offer 10% market

growth; 8% profit before tax

•

Reset and sustainment across the

entire life cycle…services to solutions

•

International

Ground Forces Integration

Future Vehicle Integration

ABCTM

JBC-P

BETSS-C Phase 2

SAIC Capabilities

Opportunities

SAIC Differentiators

Other

Allied

Militaries

Army

USMC

UK/

French

MoDs

National

Guard

Customers

Energy | Environment | National Security | Health | Critical Infrastructure

•

40 Years of MS&T experience

•

Live: MILES and range

instrumentation

•

Virtual: Common Driver Trainer,

All Terrain Vehicle, SE Core

ground trainer

•

Constructive: Leadership in

OneSAF

Army contract

•

Gaming: Gaming Center of

Excellence

•

Physics Based Modeling: Foundation

of Missile Defense M&S

•

MS&T Subject Matter Expertise

–

Top 3 in Live

–

Leadership in virtual & constructive

•

Composable

simulated solutions

•

NATO C2…command & control modeling

•

Range systems and products

•

$6.5B mature, stabilized market with

potential upside to $9B; $4B pipeline

over next three years

•

M&S capabilities, technologies, and

toolsets provide entry into emerging

adjacent markets in cyber, energy, and

medical modeling & simulation

Modeling, Simulation, & Training

Synthetic Env. Core

Virtual Driver Trainers

USMC Squad

Immersive Training

SAIC Capabilities

Opportunities

SAIC Differentiators

Int’l

Army

National

Guard

Medical/

Energy/

Cyber

Navy/AF

Simulators

Customers

OneSAF

Energy | Environment | National Security | Health | Critical Infrastructure

President’s Summary

Leverage the power of our people, culture, and technology to drive

our market position beyond services to delivering solutions

Energy | Environment | National Security | Health | Critical Infrastructure

Focused on the Mission

10-1230-IC-17

Protecting and Promoting Freedom

Energy | Environment | National Security | Health | Critical Infrastructure

IS&T Group Structure and Customers

Intelligence and

Information Systems

Technology and

Advanced Systems

Mission

Integration

Space and

Geospatial Intelligence

Operations, Intelligence

and Security

Larry Cox

$600M

John Fratamico

$700M

John Hynes

$500M

Tony Moraco

$550M

John Thomas

$800M

Signals Intelligence,

Cyber Security,

Information Assurance,

Tactical Integration

S&T for Analysis,

Design, Prototyping

and Implementation

of ISR and CBRNE

Systems

Intel Mission and

Technical Support,

Advanced Analytics

and Linguistics,

Education/Training

National Security

Space SE&I and

Airborne Integration,

GEOINT Production

Defense Intel

Operations Support,

Intel Fusion, Identity

Management

•

SAR

•

NCTC

•

ODNI

•

OSC

•

DIA

•

FBI

•

NGA

•

US Air Force

•

NRO

•

DIA

•

SAR

•

DARPA

•

US Navy

•

US Air Force (AFRL)

•

US Army (TEC)

•

DARPA

•

DTRA

•

DHS

•

US Army

•

US Air Force

•

US Navy

•

Combatant Commands

•

DIA

•

DHS

•

NSA

•

SAR

•

DISA

•

DHS

•

DSS

•

State/Local

Note:

All figures represent FY09 revenue

$3,200M

Intelligence, Security and Technology Group

Stu Shea

Group President

Energy | Environment | National Security | Health | Critical Infrastructure

IS&T Group Accomplishments

Mission Success

Down-Range Warfighter Support

•

Persistent surveillance

•

Intelligence processing, exploitation and dissemination

•

Biometrics/identity management

Definitive Strategies

Portfolio Management

•

Operating as an enterprise

•

From science to solutions

•

Cyber and ISR focus –

high growth markets

•

Key wins, key acquisitions

Execution Excellence

Flawless Execution

•

High award fees

•

Strong fee generation

Top and Bottom-Line Growth

High Energy Business Development

•

3-year revenue CAGR: >10%

•

92% recompete win rate, 66%

new win rate

•

Non-IDIQ pipeline: $14B, IDIQ

pipeline: $9B

•

Submits awaiting award: $4.7B

($2.6B non-IDIQ, $2.1B IDIQ)

Commitment to our People

•

People First! Initiatives

•

Attrition <12%

•

>240 people redeployed

Energy | Environment | National Security | Health | Critical Infrastructure

Market Trends:

Uncertainties and Opportunities

Uncertainties

•

Economic malaise

•

New administration

–

Leadership voids / changes

–

Shift in war operations from Iraq to Afghanistan

–

Shift from global war on terror (GWOT) to

overseas contingency operations

•

New procurement directions

–

Shifting / confirming defense priorities

–

Program restructuring, delays, and cancellations

–

Delays in contract awards / movement to IDIQ

–

Reductions in defense supplemental budgets

–

Acquisition and contract reform

Opportunities

•

Cyber: Major administration priority

–

Landscape dominated by core customers

with core contract enablers

–

Need for appropriately trained, experienced,

and cleared cyber workforce

–

Products are not enough; moving to integrated,

multi-faceted solutions

–

Solutions across .ic, .mil, .gov, and .com

•

ISR: Major administration priority

–

Significant emphasis on quick reaction

capabilities (QRC)

–

75% solution vs. exquisite

system

–

State change with airborne ISR

–

Increased emphasis on ground operations

–

Finding disruptive technologies for NexGen

–

Risk reduction for current system upgrades

–

Being agile in a budget constrained environment

Energy | Environment | National Security | Health | Critical Infrastructure

Core Business Areas

“A leader in the integration of technology, systems and operational solutions

across intelligence disciplines in all domains…air, land, sea, and space…to

deliver full spectrum mission performance.”

10-1230-IC-16

Science &

Technology

Intelligence

Solutions

Integration for

Full Spectrum

Mission

Performance

Cyber Security

(Computer

Network Attack,

Defense, And

Exploitation)

Intelligence,

Surveillance and

Reconnaissance

(ISR)

Energy | Environment | National Security | Health | Critical Infrastructure

Intelligence, Surveillance and Reconnaissance

“A leader in the integration of technology, systems and operational solutions

across air, land, sea, and space to deliver full spectrum ISR mission performance.”

Surveillance and

Reconnaissance

Payloads for

Air, Ocean and

Space

Platforms

Airborne and

Ground Based

Collection

Systems

Ground

Control Stations

and Operations

Centers

Exploitation

Systems

and Tools

Integration for

Full Spectrum

ISR

Mission

Performance

10-1230-IC-16

Energy | Environment | National Security | Health | Critical Infrastructure

Cyber Security

“A leader in the integration of technology, systems and operational solutions

across cyberspace in all its domains…air, land, sea, space…

to deliver full spectrum mission performance.”

Advanced

Analytics and

Operations

(Exploitation,

Defense,

Attack)

Managed

Security

Services

(Network and

Security

Ops)

Training and

Education, and

Accredited

Testing and

Evaluation

Design

and Build

of Enterprise

IT Solutions

Integration for

Full Spectrum

Cyber

Mission

Performance

10-1230-IC-16

Energy | Environment | National Security | Health | Critical Infrastructure

Intelligence Solutions

“A leader in the integration of technology, systems and operational solutions

across intelligence disciplines in all domains…air, land, sea, and space…to

deliver full spectrum mission performance.”

10-1230-IC-16

Mission

Support:

Geospatial

Production,

Advanced

Analytics and

Linguistics

Biometrics

and Identity

Management

Integration for

Full Spectrum

Intel

Mission

Performance

Intelligence

analysis, threat

assessments,

counter-IED

systems

Systems

Engineering

& Integration

(SE&I) for

Complex

Systems

Energy | Environment | National Security | Health | Critical Infrastructure

Mission

Experience

Integrated

Systems

Solutions

R&D

Prototypes

Component,

Systems &

Subsystems

Quick

Reaction

Capability

Engineering &

Analytic Support

Thought

Leadership

People, Processes, and Tools

Mission

Operations

The performance value chain

Maturing Capabilities

Deep Customer Understanding

Cyber

D2R

Digital Echo

RTRG

CyberNEXS

NOC/SOC

10-1230-IC-09

New Approaches to Augment Proven Ones

•

Expand and evolve our

offerings

–

Sub to Prime Contractor

–

SETA to SE&I

–

Expand IP ownership

–

Prototypes to

subsystems

to systems solutions

•

Double-down on high-

growth markets

•

Pursue more large,

integrated systems

solutions programs

•

Leverage entrepreneurial

spirit

–

Expand intelligence

solutions, science and

technology

–

Focus on DARPA,

IARPA and AFRL

ISR

TRITON

Radiant Falcon

Night Eagle

Desert Owl

Highlighter

Buckeye

Blue Devil

Angel Fire

3GIRS, CHIRP

DCGS-A

GEAR

Energy | Environment | National Security | Health | Critical Infrastructure

President’s Summary

•

We have a passion for executing the mission and a commitment to take on tasks of vital interest

to the nation…our people are mission-critical

•

We have deep domain expertise in every mission area we support and we are the best at what we

do…

recognized national treasures walk our hallways

•

We apply creative science and disciplined engineering to create innovative solutions for our

customers

–

people

for

whom

care

and

strive

for

their

success

•

We work as imaginative, driven,

entrepreneurial teams and we

move mountains to deliver results

•

We share in our customers’

successes, and we thrive on

the hard work that gets us there

•

At the same time, we take pride in

our high ethical standards and

joy in doing good deeds for our

communities, families, friends,

neighbors and fellow employees

•

Our work enriches us, and it is an

honor to be part of SAIC

10-1230-IC-15

Energy | Environment | National Security | Health | Critical Infrastructure

Focused on the Mission

Accelerating R&D by bringing partners together

Energy | Environment | National Security | Health | Critical Infrastructure

IT&NS Group and Customers

•

DHS

•

NASA

•

EPA

Managed IT, Infrastructure

Services and Software

Development to DHS, NASA

and Civilian Agencies

•

Sole Source Contractor

for the National Cancer

Institute

Technology Development

and Science Discovery for

Diagnosis and Treatment

of Cancer and AIDS

•

MHS

•

HHS

•

Health IT, Military Health and

Public Health and Biomedical

Research

•

Scottish Power

•

Entergy

Global Energy and Life

Sciences Solutions and

Integration Services

Homeland and

Civilian Solutions

Doug Wagoner

$600M

Commercial Business

Services

Rex Ballard

$500M

Health Solutions

Tony Hess

$350M

SAIC

NCI / Frederick

Larry Arthur

$1,450M Revenue

Information Technology and Network Solutions Group

Charles Koontz

Group President

Note:

All figures represent FY09 revenue

Energy | Environment | National Security | Health | Critical Infrastructure

IT&NS Group Accomplishments

•

Health

–

Leading Federal initiatives in VA/DoD data sharing and electronic health records

–

Established

health

information

exchange

(HIE)

pilots

multiple

regions

–

Expanded Footprint in Military Health IT, becoming the #1 Provider

–

Key player in Post-Traumatic Stress Disorder

–

National leadership in cancer and infectious disease R&D; $305M in ARRA funding for SAIC-Frederick

•

Energy IT

–

Digital Oil Field success—BP renewal, growth at Chevron and Shell, and new accounts at TOTAL and ADCO

–

Wins at Florida Power & Light and EDF (France) for asset management

–

Invited

bring

our

Smart

Grid

offerings

team

with

Sempra,

Entergy,

Oncor

their

DOE/ARRA

bids

–

Invested in beachhead market position in Middle East generating wins in ADCO and PDO (Oman)

–

Added new SAIC India contracts with Halliburton and Port Authorities in NY, NJ

–

5-year sole source extension of IT outsourcing contract at Entergy

•

Federal Civilian

–

Double digit YoY

growth against $9B DHS addressable market

–

Multiple extensions on our $220M NASA UNITeS

contract

–

Won a large EPA program displacing an incumbent

–

IRS transformation thought leader

–

Awarded IDIQ supporting the FEMA CIO and Information Technology Division ($500M ceiling)

Energy | Environment | National Security | Health | Critical Infrastructure

The Federal Health Market Today

Health

•

Quality, Cost and Access to Care

•

Privacy of Health Data

•

Health IT Systems Standards

•

Translational

Medicine

Improve

R&D ROI “From Bench to Bedside”

•

Biosurveillance system development (NIH, CDC)

•

Vaccine development (PanFlu, Malaria, SMA, CBMS etc),

•

Nurse Advice Line (MHS)

•

Quality measures / comparative effectiveness research

(CMS, AHRQ)

•

Fraud and abuse detection (CMS)

•

Telehealth

infrastructure support (VA, IHS)

•

Reducing the stigma of seeking help for mental illness

(PTSD/TBI —

Armed Services)

•

HIPAA (MHS, VA, CMS)

•

Infrastructure modernization (CMS, NIH, CDC)

•

Grants management systems (NIH, CDC, HRSA)

•

NHSN —

Adverse event / infection tracking systems (FDA, CDC)

•

EHR/EMR interoperability (VA/DoD Sharing, HIEs) / National

Health Information Network (NHIN) (ONC)

•

Legacy systems modernization (VA, DoD)

Customer Initiatives

Energy | Environment | National Security | Health | Critical Infrastructure

•

Electronic Health Records are one

of the cornerstones of healthcare

transformation

•

Health IT enables improvement in

quality and access to care while

supporting reduced costs

•

HITECH Act allocated $18B in EHR

adoption incentives and created

$2B in new funding for the Office of

the National Coordinator (ONC) to

facilitate the Nationwide Health

Information Network (NHIN)

Health IT:

Electronic Health Record (EHR) Interoperability

•

Developing and supporting the operation

of the Military Health System for 20+

years

•

Nationally recognized experts in

interoperable health record systems

standards

•

Unique insight into the VA and DoD EHR

systems and their use

•

Internationally recognized thought

leadership in meaningful privacy and

security standards

SAIC Differentiators

•

Health Data Management

•

Security and Privacy

•

Infrastructure Lifecycle Management

•

Systems Integration

•

Software Lifecycle Management

Opportunities

SAIC Capabilities

•

Current pipeline includes $568M in

ARRA funded health opportunities

with more anticipated

•

VA/DoD sharing is a Congressional

priority and SAIC is positioning for

a leadership role

•

Over the next five years, expect

federal health IT market to exceed

$20B and state and local market to

exceed $9B

HHS

DVA

MHS

SSA

OPM

Customers

Market Drivers

Energy | Environment | National Security | Health | Critical Infrastructure

•

Infectious diseases cause massive

economic losses; monitoring and

public awareness are critical to

control costs and avoid loss of life

•

Seasonal flu and emerging variants

form one of the most pressing global

health problems today

•

Public health and infectious disease

surveillance spending and research

has grown to meet the challenge

•

EHR spending will drive

biosurveillance

spending as new

data sources become available

Public Health:

Biosurveillance and Infectious Disease Control

•

HHS: NIH and CDC

–

National Institute of Allergy and

Infectious Diseases

–

National Cancer Institute

–

Center for Disease Control and

Prevention

–

BARDA

•

DoD USAMRAA and Chemical

Biological Medical Systems

•

SAIC accessible market ~$2.8B in

FY11

•

Epidemiologists and biological scientists

who understand this domain and create

solutions that work

•

Laboratory information management

•

Data warehouse and data mart design

and development

•

Statistical analysis and decision support

•

Years of experience building and

operating nationwide biosurveillance

systems gives SAIC staff valuable insight

into what makes an effective system

•

Signature

systems

such

BioFlu

—

open source system that graphically

visualizes CDC approved flu data from

various sources

•

Tools to quickly deploy and evaluate all

types of flu data, including social networks

and news feeds, at a fraction of the cost of

proprietary solutions

SAIC Differentiators

SAIC Capabilities

Opportunities

CDC

NIH

Customers

Market Drivers

Energy | Environment | National Security | Health | Critical Infrastructure

•

Combat Stress Education and Self-

Help

Strategies

Graphic

novel

(prepares personnel for service)

•

Naval Center for Combat and

Operational Stress Control

(Research, Communication

Knowledge Management)

•

Mental Health Care Access Initiative

Current Programs

Market Drivers

Military Health:

Psychological Health Maintenance

•

Psychological Health Maintenance

–

Post Traumatic Stress Disorder

(PTSD)

–

Traumatic Brain Injury (TBI)

–

Combat Stress, Depression,

Suicide

•

Psychological health effects are the

chronic disease of the war fighter

•

Approximately 30% of war veterans

suffer from PTSD

•

1.4 million sustain a TBI each year

in the United States

SAIC Capabilities

•

Behavioral Sciences and Epidemiology

•

Psychology

•

Physiology

•

Injury Prevention

•

Biomechanics Counseling

•

Family Therapy

•

Combat & Operational Stress

•

Training & Education

Opportunities

•

Executing on a $100M+ pipeline

•

DVA requested $5B for behavioral

health in FY10

•

DoD services requested an additional

$650M for behavioral health in FY10

•

Exploring opportunities with NIMH

and SAMHSA

Energy | Environment | National Security | Health | Critical Infrastructure

HHS

DVA

MHS

SSA

OPM

SAIC-Frederick

Differentiators

Major Focus Area

Health Sciences:

Translational Research and Personalized Medicine

SAIC-Frederick Capabilities

•

Research and Bioinformatics

•

Biotechnology

•

Genetics and Genomics

•

Proteomics and metabolomics

•

Super computing and biological imaging

•

Taking a drug from discovery to market

requires 15 years and costs $800M

•

Translational Medicine rapidly moves

discoveries

made

the

“bench”

therapies at the “bedside”

•

Tomorrow’s therapies based on an

individual’s biochemistry avoid serious

adverse reactions to broad-based

therapies in many patients

•

Translational & Personalized Medicine

is the mission of the National Institute of

Health –

ARRA added $10B to NIH

•

Genomics, proteomics and metabolomics

•

Molecular diagnostics, and

nanotechnology

•

Rapid development of vaccines and

therapies for cancer, AIDS and other

diseases

•

1,750 full-time employees including

highly skilled life scientists and

physician scientists

•

Core corporate competencies in

vaccine research and production and

regulatory affairs

•

Molecular biology including genomics,

proteomics and metabolomics

•

Bioinformatics and biomedical

computing expertise

Customers

Market Drivers

Energy | Environment | National Security | Health | Critical Infrastructure

President’s Summary

Mission

•

Enterprise growth engine for Homeland Security, Federal Civilian, Health

and Energy IT markets

•

Lead our health campaign march toward a ~$1B enterprise

Strategy

•

Capitalize

health

reform

and

market

disruptions

fill

“white

space”

opportunities

•

Commercial energy upstream oil and gas and utilities solutions development

•

Differentiate DHS & Federal Civilian offerings with mission driven IT modernization

Energy | Environment | National Security | Health | Critical Infrastructure

Focused on the Mission

Boral Bricks –

Energy Efficiency/Management

MRAP Joint Logistics Integrator

High Energy VACIS

Energy | Environment | National Security | Health | Critical Infrastructure

John Ferriter

$450M

Alex Preston

$200M

J.T. Grumski

$550M

Glenn

Sangiacomo

$700M

Chuck Zang

$450M

IL&PS Group Structure and Customers

CBRN and

Preparedness Services

and Solutions

Non-Intrusive

Inspection and

Radiation Detection

Products

Energy, Environment

and Infrastructure

Logistics and

Support Solutions

Systems Engineering,

Mission Support,

and OT&E

•

Commercial

•

Department of Energy

•

DoD

•

States

•

Defense Logistics

Agency

•

US Army

•

US Air Force

•

US Army

•

DHS CBP

•

Department of Energy

•

International

•

NASA

•

AFOTEC

•

FAA

•

NOAA

•

US Army

•

DHS FEMA CDP

•

State/Local

Homeland

Protection and

Preparedness

Security and

Transportation

Technology

Energy, Environment

and Infrastructure

Logistics and

Engineering

Solutions

Science and Systems

Engineering Solutions

$2,350M

Infrastructure, Logistics and Product Solutions Group

Joe Craver

Group President

Note:

All figures represent FY09 revenue

Energy | Environment | National Security | Health | Critical Infrastructure

IL&PS Group Accomplishments

•

Acquisition / Business Model / Branding Leadership for SAIC

–

Acquired R.W. Beck with Beck Disaster Recovery

–

Successfully integrating Benham acquisition

–

Executing

BPL

Global

“smart

grid”

strategic

alliance

–

Launched SAIC energy branding campaign

•

New Business Performance

–

Won DOE and DoD Energy Savings Performance Contracts ($5B / $50M)

–

Won MRAP Joint Logistics Integrator II Program ($450M), USMC CREW ($120M), and Army Sustainment

Command (ASC) Distribution Management Center (DMC) ($130M)

–

Maintained preparedness leadership position with key wins (CDP, Guardian II, CBRN PV and JECP)

•

CDP ($104M), Guardian II ($250M), CBRN PV ($97M) and JECP ($40M)

–

Improved overall pipeline trends and win rates (increased logistics pipeline to over $8B)

•

Execution Excellence

–

Completed Lake Erie Bio Fuels ($70M) & Boral Brick Bio Mass/Indiana Landfill Gas ($60M) Plants

–

Executing $110M NASA VTC Program by leveraging Design/Build/Systems Engineering capabilities

–

Successful contract start up for DLA Tires and POLCHEM outsourcing contracts

–

Developed and implemented High Energy Product Line and ASP

–

Continued leadership position in Military Force Protection NII and integrated inspection

Energy | Environment | National Security | Health | Critical Infrastructure

IL&PS Group Strategic Focus

•

Global Climate Change

–

Water

–

Weather

•

Smart Power

Primary Focus:

Logistics

Event Driven

Energy

HLS

Option Value:

Emerging Markets:

10-1230-IC-12

Energy | Environment | National Security | Health | Critical Infrastructure

Customers

Opportunities

Market Drivers

SAIC Capabilities / Differentiators

Energy Campaign

Commercial

States

Utilities

Federal

Local

•

Integrated Energy Management / Efficiency

•

Smart Grid Integration / Cyber Security

•

Design / Build

•

Energy IT / Digital Oil Field

•

Renewable Energy Project Implementation

•

Independent Engineering

•

Energy / Carbon Modeling

•

Due diligence and owner’s advisory for

lenders, investors, and developers

•

Technology Evaluation

•

Water Management

•

Economy / Stimulus Impact

–

Smart Grid Acceleration

–

Distributed Energy Resources

–

Tax Credit Impact

•

Utility Delays

•

Carbon Cap and Trade

•

DOE Workload

•

Water Management Needs

•

Expand Energy Management /

Efficiency Services

•

Capture Smart Grid Market Share

•

Alternative / Clean Energy Projects

•

Expand Engineering / Design/Build

Presence

•

Sell-out DoE

ESPC Contract

Competition

Energy | Environment | National Security | Health | Critical Infrastructure

Federal

Civil

DOD

State &

Local

Commercial

Int’l

Opportunities

Market Drivers

SAIC Capabilities / Differentiators

Homeland Security

•

Terror Event Timing

•

Secure Freight Initiative

•

Military Force Protection

•

Distributed Threat versus Point

•

Mexico Drug / Security

•

HLS / DOE Radiation Detection Strategy

•

Global Climate Change / Impacts

•

Shift to All Hazards

•

All Hazards Preparedness / CBRNE

•

Disaster Planning and Response

•

Training and Equipment

•

Logistics Support

•

Non Intrusion Inspection

•

Integrated Security and Engineering

•

Distributed Complex Program Management

•

Integrated Customer Mission

Understanding

•

Expand attractive margin product

solutions

•

Capture greater share of increased

State and Local preparedness needs

•

Broaden our TSA footprint

•

Respond to event driven needs

Customers

Competition

Energy | Environment | National Security | Health | Critical Infrastructure

DLA

DOD

Civil

DHS

Opportunities

Market Drivers

SAIC Capabilities / Differentiators

Logistics Campaign

•

# 1 Defense Logistics Agency Prime

Vendor / Integrated Supplier

•

Joint Logistics Integrator Model

•

PurchasePlace

E-Procurement Platform

•

Global logistics network / presence

supporting customer mission needs

•

Unbiased Integrator

•

DLA outsourcing and expansion

•

Weapon systems platform extensions

•

Large primes moving in aggressively

•

UAV proliferation lacks program of record

and associated logistics support/

CONOPS

•

Product support integrator (PSI)

•

75% solution in months versus 100%

in years

•

Executing on $8B pipeline

•

Extending Joint Logistics Integrator

concept to new customers

•

Capitalizing on logistics and

sustainment focus across DoD/DHS

Customers

Competition

Energy | Environment | National Security | Health | Critical Infrastructure

IL&PS Group Portfolio Management

Professional Services Base

Advanced Science Support and Engineering

(SAIC Heritage)

Product Leverage

Larger Scale

Systems Development

and Integration

Managed Services

Energy | Environment | National Security | Health | Critical Infrastructure

President’s Summary

Three Thrusts:

Energy / HLS / Logistics

Paying Off

Focused On:

Reducing Reliance

on Traditional DoD Budgets

Growth

Moving to New Business Models /

Approaches

Customer Acceptance

and Profitability

Developing Leadership to Sustain Growth

SAIL Program