An Introduction to Orbital Sciences Corporation

8-LSG-Generic No License-0044

Orbital Space Launch & The Changing Landscape of Commercial Space

May 2012

John Steinmeyer

Alan Shepard – 1st American In Space

 Mercury Redstone Rocket Launch - May 5, 1961

 Freedom 7 Mission

 15-minute Suborbital Flight  Altitude of 116 statute miles (187 km)  Splashdown point 302 statute miles (486 km) down range in Atlantic Ocean

 Also Later Became Apollo 14 Commander and the 5th Person to Walk on the Moon

Yuri Gagarin – 1st Man in Space

 Vostok-3KA (Vostok 1) launch, April 12, 1961  Mission Duration – 108 minutes  One Orbit

Sergey Korolyov General Designer

America’s Achievements In Space

 Developed a Series of Higher Performing Launch Vehicles, Culminating in Saturn V, the Most Powerful Rocket Ever Produced

 Executed a Well Planed Series of Missions Concurrent with Launch Vehicle Development Which Enabled Manned Expeditions to the Moon

 Developed Manned Orbiting Laboratories, First Skylab and Then, Though Collaboration, the International Space Station

 Developed a Partially Reusable Launch System to Support Station Development and Habitation Which Made 135 Flights with a 98.5% Success Record

 Developed a Series of Expendable Launch Vehicles to Support Deployment of USAF and National Security Systems

 An Extensive Series of Robotic and Exploratory Missions to Better Understand our Planet, Our Solar System, our Galaxy, and Universe

 By Extension, Supported Unprecedented Technological Development in Information Systems, Electronics, Life Support and Countless Other Areas, and Stimulated Technology Education

The “Present”

 Still Only Two Countries in the World with the Capability of Launching Humans into Space – But the U.S. Is Not One of Them  Or – Perhaps More Accurately, the U.S. Currently pays Russia for this Capability

 NASA has Finally Announced Plans for a New Exploration-Class Vehicle but it is at Best Six to Seven Years Away – Even if Its Development Can Survive Political and Economic Turmoil

 NASA Science Missions, While Boasting Significant Recent Accomplishments, Are Now Being Severely Curtailed Just When We Are Beginning to “Know What We Didn’t Know”

 The U.S. Still Retains An Impressive Set of Vehicles for Military Applications, and Retains Dominance in Military Space, But the Cost of These Systems is Unsustainable, and Large, Monolithic Spacecraft are Now Vulnerable Targets

 Despite the Voracious Consumption of and Reliance on Bandwidth, the Vast Majority of Commercial Launches are Contracted with Foreign Commercial Companies

How Did We Get Here and Where are We Going?

Changing Priorities In Space Development  Simultaneous US Investment in Apollo, ICBMs and SLBMs in 1960s and 70s  Large Government Spending as % of Budget – “Vital Importance”  Robust US Industrial Base  Establishment of U.S. as Predominate Space Power Both Manned and Un-Manned

 Waning Investment and National Interest in 80’s and 90’s  Reduced Government Spending as % of Budget – “Priority” NASA Budget < 1% of Federal Budget  Consolidation of Industrial Base  Advent of “Commercial Space” market

 “Evaporation” of Investment and National Interest in 2000s  Extremely Limited Government Investment in Technology Deployment Lack of Clear Direction  Anemic Industrial Base; Loss of Skilled Personnel  Significant Increases in Cost

“The U.S. is at a Crossroads and Facing An Uncertain Future Unlike any We Have Seen in Decades” - Jim Maser, President, PWR to Committee on Science, Space & Technology , 3/2011

The Changing Landscape of Commercial Space

 While U.S. Interest in Space has Continued to Decline, It’s Relative Importance and Necessity for Everyday Life has Increased  Military – Drones, Surveillance, Secure Communications, Troop Correspondence, etc  Commercial – Telcom, GPS, Satellite TV, Google Maps, Zillow, VSAT transactions, etc.

 Many New Markets In Commercial Space  COTS/CRS, CCDev,Tourism, Exploration, Mining, Etc.

 Many New Entrants into Emerging Commercial Space Launch Industry

 NASA Now Realizes that They Must Partner with Industry

 Private Industry Must Now Take the Lead for Major Space Development Programs

 Space Exploration Must Become a Cooperative, International Endeavor

What is “Commercial Space”?

 Private and Publicly Traded Companies Supported American Space Development Activities (Boeing, McDonnell Douglas, Martin, Lockheed, Grumman, etc.)

 First Commercial Spacecraft – Telstar 1 – Launched July 10, 1962 (Government Funded)

 First Commercial Launch Company – Arianespace – 1980

 First “Entrepreneurial” Commercial Space Company – Orbital Sciences Corp. – 1982  Transfer Orbit Stage (TOS) for Shuttle Bay Satellite Deployments

 First U.S. Commercial Launch – Delta II BSB-R1 satellite launch Aug 27, 1989

 First Privately-Funded Space Launch Vehicle –Pegasus – Orbital Sciences Corp. -1990

 First Strictly Commercial Launch Company – Sea Launch, Formed April 1995  First Launch March 27, 1999

 First Privately Financed, New Development Space Company – Space Exploration Technologies (Space X) - 2002

NASA’s Commercial Programs

 Commercial Orbital Transportation Services (COTS)  Demonstration of Orbital Transportation Services from Commercial Providers.  Contracts Initially Awarded 8/2006 to Two Companies – Space X and Kistler (RpK)  Kistler Contract Canceled Based on In-ability to Meet Contract Milestones  Re-competed and Awarded to Orbital 2/2008

 Commercial Re-Supply Service (CRS) Programs  Contracts Based Upon Total Cargo to Station  Fixed-price, Milestone Based Payments  Contracts Awarded to Orbital (8 Missions) and Space X (12 Missions)

 Commercial Crew Development Program (CCDev)  Manned Launch to Space Station  Phased Contracts Awarded to Multiple Companies  Boeing, Space X, Blue Origin, Sierra Nevada  Funding Also Provided to ULA for Atlas V Man Rating

Orbital Overview

 Leading Developer and Manufacturer of Small- and Medium-Class Space Systems  30-Year Record of Reliable, Rapid and Affordable Development and Production  Serving Customers in Commercial, National Security and Civil Government Markets

 Over 1,000 Satellites and Launch Vehicles Built or Under Contract for Customers  205 Satellites and Space Systems  165 Space and Strategic Launch Vehicles  635 Target Vehicles and Sounding Rockets

 3,800 Employees and 1.7 Million Square Feet of State-of-the-Art Facilities

 Revenues of About $1.5 Billion Expected in 2012

 Contract Backlog Totals $5.2 Billion for Delivery Through 2018

 Conservative Balance Sheet With Strong Liquidity

Well-Balanced Business Segments

Launch Vehicles Satellites and Space Systems Advanced Space Programs

38%

32% 30%

2012 Revenues ~$1.5 Billion Overview - Apr2012-r1 11 8-LSG-Generic No License-0044

Over 735 Space Missions Since 1982*

71 Commercial Satellites 67 Government Satellites 40 Space Payloads

70 Space Launch Vehicles 186 Interceptor & Target Vehicles 303 Sounding Rockets

*April 1982-March 2012 12 Overview - Apr2012-r1 8-LSG-Generic No License-0044

State-of-the-Art R&D and Production Facilities

Dulles, Virginia Chandler, Arizona • Headquarters and Satellite Development and Production • Launch Vehicle Development and Production • 1,800 Employees • 1,300 Employees

Gilbert, Arizona Greenbelt, Maryland • Satellite Development and Production • Space Technical Services • 300 Employees • 400 Employees Overview - Apr2012-r1 13 8-LSG-Generic No License-0044

High-Caliber Engineering-Centric Workforce

Program Managers Designers General Managers, System Marketing Managers Engineers Other 6% 5% Engineers 3% (GN&C, RF/ Business 15% Support Optical, Aero, 16% Specialists 22% Mission Ops)

50% Technical Staff 24% 10% 25% Software Mechanical Engineers/ 24% Engineers Scientists Manufacturing/Test/ Engineers QA Specialists Electrical Engineers

3,800 Employees* 1,885 Engineers/Scientists*

*As of April 1, 2012

Overview - Apr2012-r1 14 8-LSG-Generic No License-0044 Two Decades…12 Space and Strategic Launch Vehicles

BUILDING ON A HERITAGE OF SUCCESS • Orbital has Successfully Developed More Launch Vehicles During the Last 20 Years Than Any Other Organization

• Antares is Being Developed, Manufactured and Launched Using Proven Management Approaches, Engineering Standards, and Manufacturing and Test Processes Common to Orbital’s Other Major Launch Vehicles

Orbital’s Major Launch Vehicle Programs

Pegasus XL

Minotaur I

Minotaur II

Antares Minotaur IV 12 Different Space and Strategic Minotaur V Launch Vehicles Developed

Over 70 Space Missions Taurus XL Launched Over the Last 20 Years

Minotaur

 100% Mission Success over 23 Launches

 More on Contract, Including NASA LADEE Mission Scheduled for Next Year

 Utilizes Retired USAF Assets with New Upper Stages, Avionics and Orbital Integration

 Available, Reliable, Cost Effective Solution for Government Missions

Antares Launch Vehicle

Designed to Provide Versatile, Flexible, Cost-effective Access to Space for Medium-Class Payloads • Currently Under Contract to Support NASA’s Future International Space Station (ISS) Re-supply Missions

• Intended to Also Serve Medium-Class Science, Defense, and Commercial Launch Markets

Building on Experience • Antares Leverages Orbital’s Experience in developing over 1000 Space Launch Systems including Pegasus, Taurus and Minotaur Space Launch Vehicles.

• Developed, Manufactured and Launched using Management Approaches, Engineering Standards, and Production and Test Processes Common to Orbital’s Other Major Launch Vehicles.

Antares Launch Vehicle Overview

Designed to Provide PAYLOAD FAIRING • 3.9 meter diameter by 9.9 meter envelope Versatile, Cost-effective • Composite Construction Access to Space for • Non-contaminating Separation Systems

Medium-Class Payloads STAGE 2 • ATK CASTOR® 30/30B/30XL Solid Motor with Active Thrust Vectoring • Orbital MACH avionics module Currently Under Contract • Cold-gas 3-axis Attitude Control System to Support 10 NASA International Space Station (ISS) Re-supply Missions

STAGE 1 • Liquid Oxygen/RP-1 fueled VEHICLE PARAMETERS • Two AJ26 engines with independent thrust vectoring • Gross Liftoff Mass: 290,000 kg • 3.9 meter booster derived from heritage Zenit design • Vehicle Length: 40 m

• Vehicle Diameter: 3.9 m

• Mass to ISS Orbit: 5000 kg Baseline 6265 kg Enhanced

Antares Main Systems Suppliers

Medium-Lift Performance Fairing and Primary Composite Utilizing Largely Payload Structures Proven Elements From Separation Systems Heritage, World-Class Stage 2 CASTOR® 30 Suppliers Solid Motor

Attitude Control System Thrusters & Upper Stage TVC System

Frangible Joint Separation Systems

Avionics & Guidance Stage 1 Core Structures Control Systems and Tanks

Antares Hardware Status – Boosters

Antares Stage-Fire Test and Test Launch Boosters Being Processed In Horizontal Integration Facility

COTS and ORB-1 Boosters In Storage Near WFF

Antares Hardware Status – Main Engines

1st Six Engines Successfully Hot-fire Tested @ Stennis

 1st Four Engines Delivered to Wallops

 Hot Fire Test Engines Integrated into Booster

Antares Hardware Status – Upper Stage

Antares Test Launch Upper Stage Being Processed In Horizontal Integration Facility

2nd CASTOR 30 ® Successful Qualification Test at AEDC

Separation System and Avionics Section

Launch Facilities at Wallops Nearly Complete

H-100 Cargo Processing Facility

Pad 0A

Horizontal Integration Facility (HIF)

V-55 Payload Fueling Facility

Cygnus Status

Cygnus Service Modules for Demo and 1st Operational Mission at Dulles VA

Demo Mission Pressurized Cargo Module at Wallops Flight Facility

Orbital ISS Cargo Resupply Integrated Schedule

20122012  Launch Complex Construction Q1Q1 Q2Q2 Q3Q3 Q4Q4 Substantially Completed by Late March

Launch Pad Construction  Launch Complex Check-out & Launch Pad Certification On-Going, Certification Complete ECD June Stage –Fire Booster Assembly/Testing Antares Stage 1 Static Fire Test  On-Stand Main Engine Static Fire Test – July Vehicle #1 Assembly/Testing

 Test Launch – August Antares COTS Test Demonstration Flight Mission

 COTS Demonstration Launch

~ Two to Three Month After Cygnus #1 Testing

Test Launch Cygnus

Cygnus Integration

Antares Near Term Planned Enhancements

West Coast Launch Site Performance Improvement

Star 48TM V High Energy Kodiak Launch 3rd Stage Complex (KLC) •High Inclination, Sun-Synch Missions Bi-Propellant Injection -or- Stage

Western Range (VAFB) • High Inclination, Sun-Synch Missions

CASTOR ® 30XL Motor

Orbital Contracted Space Launch Manifest

Antares Antares Antares Antares Antares E Antares E Antares E Antares E Antares E Antares E

Antares (WFF)

Test COTS ORB-1 ORB-2 ORB-3 ORB-4 ORB-5 ORB-6 ORB-7 ORB-8

2012 2013 2014 2015 2016

NuSTAR IRIS LADEE ORS-3 CSM Other

Pegasus Pegasus Kwajalein VAFB

Minotaur V Minotaur 1 Minotaur IV -Lite WFF WFF VAFB

LSP NSS 4-12 29 8-LSG-Generic No License-0044 Orbital’s Integrated Space Product Capabilities

Environmental

LEO Systems GEO Systems

Mini Small Medium Mini Small Medium

Mission Capability • 150 kg/500W Payload • 150 kg/1.5kW Payload • 2,000 kg/4.0 kW Payload • 100 kg/1.5 kW Payload • 500 kg/5.0 kW Payload • 700 kg/7.5 kW Payload • Low Attitude Control • Med Attitude Control • High Control/Agility • High Stability/Control • High Stability Control • High Stability/Control • 3-Year Life • 5-7 Year Life • 7-10 Year Life • 5-7 Year Life • 15-18 Year Life • 15-18 Year Life • 24-27 Month Delivery • 30-36 Month Delivery • 33-39 Month Delivery • 27-30 Month Delivery • 24-27 Month Delivery • 27-30 Month Delivery

Satellite Bus LEOStar-1 LEOStar-2 LEOStar-3 GEOStar-1 GEOStar-2 GEOStar-3

Launch Vehicle Pegasus Pegasus, Minotaur I Minotaur IV Minotaur V Antares E(Future) External Launch or or or or or Vehicles Minotaur I Minotaur IV Antares Antares External Launch Vehicles

Ground Software Spacecraft Control Spacecraft Control Spacecraft Control Spacecraft Control Spacecraft Control Spacecraft Control

Price Range* $45-70M $60-120M $110-240M $90-155M $150-180M $170-220M

*Plus Mission-Unique Payload(s) and Ground Control/Processing Services

Orbital Space Launch Summary

 30 Years of Successful Space Launch System Development and Launch

 Prime Provider in US for Small/Medium Launch

 Antares Integration and Testing is Nearing Completion with ILC within 3 Months

 Antares Will Meet U.S. Medium Lift Launch Capability Needs

 Near term Launches  Pegasus, Nustar June  Antares Test Launch Summer 2012

Orbital’s Objective Is To Be The Best Value Provider In the Small and Medium Class

Commercial Space Launch Summary

 Many New (and Old) Entrants into Emerging Commercial Space Launch Industry

 Many New Markets In Commercial Space  Commercial Cargo / Crew, Tourism, Imaging, Exploration, Mining, Etc.

 U.S. Government Looking to Commercial Space Companies to Develop Solutions to Enable Future, Affordable Capabilities  Hosted Payloads  Commercial Vehicles  Commercial Spacecraft Buses  Shared Launch

America’s Future in Space Will Depend On Commercial Companies

www.orbital.com

COTS & CRS Vehicles

Cygnus capsule Dragon capsule Length: 6.7m Length: 5.2m Diameter: 3m Diameter: 3.6m Upmass: 2.7t Upmass: 6t Press. Volume: 27m3 3 Press. Volume: 10m Cygnus is destroyed on re-entry The capsule is re-usable Antares launch vehicle Falcon 9 launch vehicle Design: Two stages Design: Two stages Mass: 240t Mass: 334t Thrust at lift-off: 3,000kN Thrust at lift-off: 5,000kN Fuel: Liquid oxygen/kerosene Fuel: Liquid oxygen/kerosene

34 8-LSG-Generic No License-0044

Cygnus Overview

 The Cygnus vehicle is comprised of two major modules -

 Service Module (SM)  Heritage: STAR Bus, LEO Star  Gross Mass: 1,800 kg  Power Generation: 2 Fixed Wing Solar Arrays, UTJ Gallium Arsenide Cells  Power Output: 3.5 kW (sun-pointed)

 Propellant: Dual-mode N2H2/NTO +X  Compatible with Antares

 Pressurized Cargo Module (PCM)  Heritage: Multi-Purpose Logistics Module  Gross Mass: 3,500 kg (Standard)

 Total Payload Mass and Volume 120.9” – Up to 2000 kg, 18.9 m3 Standard 150.1” – Up to 2700 kg, 26.2 m3 Enhanced 200.2“  Berthing at ISS: Node 2 Common Berthing Mechanism