Hewson said Lockheed recently reentered discussions with the Polish defense ministry about the MEADS system, but gave no further details. Poland's former center-right government last year chose Raytheon Co's (>> Raytheon Company) Patriot missile defense system, but the new Polish government is now reconsidering that decision.

Hewson said Turkey was also looking at the medium-range air- and missile-defence system, which was developed jointly by the United States, Italy and Germany.

Hewson said that Europe's focus on collective defense had led to an increase in demand for the system.

"The expansion of Russia’s military presence in Eastern Europe continues to drive concerns about regional stability – and has also revitalized NATO, with a clear threat and purpose," Hewson said.

(Reporting by Andrea Shalal and Idrees Ali; Editing by Chizu Nomiyama, Bernard Orr)

Stocks treated in this article : Lockheed Martin Corporation, Raytheon Company