Northstar Electronics Subsidiary Receives Additional $9.1 Million to Its P-3 Master Purchase Order with Lockheed Martin

VANCOUVER, British Columbia--(BUSINESS WIRE)--Northstar Electronics, Inc. (OTCBB: NEIK) today announced that its wholly owned subsidiary, Northstar Network Ltd. (NNL), has received a revised Master Purchase Order from Lockheed Martin to increase the value of NNL’s P-3 contract by US $9.1 million, to a total of US $16.4 million. This new work is to be completed within two years.

“We appreciate their support and look forward to continued growth with their aeronautics projects.”

“This significant production increase, the largest order that Northstar has received to date, further defines and strengthens the position of Northstar as a serious contender in aerospace manufacturing,” said Terry McLeod, Northstar’s Vice-President, Development & Operations.

Under the Lockheed Martin P-3 Mid-Life Upgrade (MLU) Program, NNL manufactures finished components and assemblies for new production service life extension kits for the P-3 Orion wing upgrade. The MLU adds more than 15,000 flying hours to each aircraft, representing 15 to 20 additional years of service for this critical maritime patrol and reconnaissance resource.

Northstar is responsible for supplying approximately 400 parts and assemblies per aircraft, or about one-fifth of the total parts required under the wing upgrade program. These parts and assemblies primarily include machined parts and formed sheet metal assemblies of various levels of complexity in aluminium and alloy steel, and range from simple structural members to flight critical components.

“Northstar has worked rigorously to maintain productivity and quality since this project began in 2007 and the awarding of this contract clearly demonstrates Lockheed Martin’s commitment to us,” said Mr. McLeod. “We appreciate their support and look forward to continued growth with their aeronautics projects.”

Dr. Wilson Russell, Northstar’s CEO, added, “This increase in our involvement in Lockheed Martin’s P-3 MLU Program is an important step in Northstar’s ongoing transformation into a much larger, world-class company. With many additional business opportunities available to us, and several significant contract awards pending, we expect shortly to further diversify our customer base and accelerate our expansion.”

For further information contact Rich Kaiser, Investor Relations, YES INTERNATIONAL, [e-mail], #800-631-8127 and/or Beverly Jedynak, Media Relations, Martin E. Janis & Co, Inc., [e-mail], 312-943-1123

About Northstar Electronics, Inc.:

Northstar Electronics, Inc., through its subsidiary, Northstar Network Ltd., provides engineering, systems integration, prototyping and production services to the defense and Homeland Security industries. NNL is a systems integrator and supply chain manager that, together with its 25+ affiliated companies and educational institutions, offers industry-leading capabilities in systems integration, design engineering, precision machining, mechanical fabrication, electronic contract manufacturing, e-learning and information technology. www.northstarelectronics.com

About Lockheed Martin:

Headquartered in Bethesda, Md., Lockheed Martin employs about 136,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The corporation reported 2009 sales of $45.2 billion.

Safe Harbor: Included in release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1993, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and is subject to the safe harbor created by those sections. Although the Company believes such expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations reflected in such forward-looking statements will prove correct. The Company's actual results could differ materially.