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CAE awarded ?13 million in U.K. contracts

CAE : 25 September, 2006  (New Product)
CAE awarded £13 million in U.K. contracts
Burgess Hill, U.K., September 25, 2006 (NYSE: CGT; TSX: CAE) CAE has been awarded two contracts valued at more than 13 million (C$28 million) to provide the British Army with Warrior Gunnery Turret Trainers and provide maintenance and support services for the Royal Navy's Merlin Training System.

As part of a programme to improve Armoured Vehicle Training, CAE UK plc has won a contract valued at more than 6 million (C$13M) to provide the British Army with 36 Warrior Infantry Fighting Vehicle (IFV) Gunnery Turret Trainers. These trainers will be used to train British Army crewmen and commanders in the gunnery operations of the Warrior IFV. The initial delivery of four trainers is scheduled for the Armoured Fighting Vehicle (AFV) Gunnery School in Lulworth U.K. in early 2007. The other 32 will be delivered throughout 2007 to British Army Armoured Infantry Units deployed across the U.K. and Germany. In addition, the Warrior IFV Gunnery Turret Trainers will be Network-Enabled, allowing for a Platoon Trainer Capability.

In support of the AgustaWestland Integrated Merlin Operational Support (IMOS) prime contract, Lockheed Martin UK has awarded CAE a contract valued at more than 7 million (C$15 million) over the next five years. This contract will bring the logistics support of the CAE-built training devices within Lockheed Martin's EH101 Merlin Training System located at Royal Navy Air Station (RNAS) Culdrose under the IMOS programme. CAE employees on-site at RNAS Culdrose will provide turnkey maintenance and support services, including maintenance of the simulators and other training devices as well as logistics support. CAE is also under contract to Lockheed Martin UK to upgrade the suite of Merlin simulators and training devices as part of the Merlin Capability Sustainment Programme.

'We are extremely pleased the British Army recognized CAE's expertise and experience related to the Warrior Infantry Fighting Vehicle and the training systems required to support this platform,' said Nic Anderson, CAE's Managing Director of CAE UK plc. 'We are also pleased to play a key role in supporting the Royal Navy's Merlin helicopter, one of the world's most capable maritime helicopters.'

CAE is a world leader in providing simulation and modelling technologies, and integrated training services to the civil aviation industry and defence forces around the globe. We design, manufacture and supply simulation equipment and offer training and services. This includes integrated modelling, simulation and training solutions for commercial airlines, business aircraft operators, aircraft manufacturers and military organizations and a global network of training centres for pilots, and in some instances, cabin crew and maintenance workers.

With annual revenues of over C$1 billion, CAE operates in 19 countries around the world. CAE has sold nearly 700 simulators and training devices to airlines, aircraft manufacturers, training centres and defence forces for air and ground purposes in more than 40 countries. We have over 100 full-flight simulators in more than 20 aviation training centres, serving approximately 3,500 airlines, aircraft operators and manufacturers across the globe. CAE licenses its simulation software to various market segments and has a professional services division assisting customers with a wide range of simulation-based needs.
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