AIRBUS AND CAE JOIN FORCES FOR HIGH QUALITY TRAINING SERVICES

7 August 2002

CAE, the civil flight simulator and integrated training solutions provider and Airbus have entered into a ten-year renewable co-operation agreement for the development of a global network of training centres with the largest fleet of Airbus full flight simulators in the world, offering the highest quality of Airbus flight crew training.

According to this agreement, CAE will provide equipment, facilities and advanced training technologies while Airbus will provide its courseware and training expertise, including Airbus qualified instructors ensuring that its very high training standards are maintained. The result will be a worldwide global network of training centres combining the North American Miami Airbus facilities with those of CAE in Denver and Toronto, as well as the Toulouse Airbus facilities with those of CAE in Madrid, Brussels, Rome, Dubai, Singapore and Sao Paulo. CAE will be responsible for adding flight simulators and related training technologies in line with Airbus standards, expanding the global network according to market demand.

This will allow Airbus customers and operators to benefit from top quality training at more convenient locations closer to their home-base, leading to savings in time and travel expenses for their personnel, and allowing better planning flexibility. This network will offer the whole range of integrated training solutions, from simulator availability to complete training for initial, recurrent, transition and specialty training. This cooperation agreement is to be extended to maintenance training prior to mid-2004.

"The combination of our respective strengths will make this cooperation the most significant force in the provision of Airbus training in the industry," says CAE's President and CEO, Derek H. Burney. "With this strategic cooperation, we expect to more than double our Airbus-related training revenues in the next five years".

"With this agreement, Airbus matches two of our major Customer Services objectives: improve customer satisfaction by providing our operators with training at their door steps, and contribute even better to the safe operation of our products by broadening the application of our training standards along with Airbus qualified instructors into the network," says, Airbus Executive Vice President Customer Services, Patrick Gavin.

CAE is the world leader in the sale of civil flight simulators and the second largest independent civil aviation training provider. With a network of aviation training centres strategically located around the world, CAE already offers training in 16 locations, with a fleet of 68 full flight simulators serving major and regional airlines, business aircraft and helicopter operators. CAE expects to have an installed base of more than 80 full flight simulators in its training locations by the end of March 2003.

CAE is a global leader in providing advanced simulation and controls equipment and integrated training solutions for customers in the civil aviation, military and marine markets. With annual revenues in excess of C$1 billion, CAE employs more than 6,000 people in Canada, the United States and around the globe.

Airbus Customer Services cover all areas of support and are dedicated to enhance safety and to helping airlines get the most out of their Airbus aircraft at optimised costs. Over the years, Airbus has developed an innovative and flexible approach to service, in partnership with its customers and suppliers. Today it provides the most competent front line support available and an ever-increasing range of customized support services that help airlines increase safety, achieve their goals and enhance the profitability of their fleets.

A leading aircraft manufacturer with the most modern and comprehensive product line on the market, Airbus is a global company with design and manufacturing facilities in France, Germany, Spain and the U.K. as well as subsidiaries in the U.S., China and Japan. Headquartered in Toulouse, France, Airbus is an EADS joint Company with BAE SYSTEMS.