CAE Wins Military Contracts Valued at More Than C$100 M

• CAE to upgrade Puma helicopter simulator and training services at MSHATF

CAE awarded contract to design and manufacture C-130H full-mission simulator for undisclosed customer

(Montreal, June 16, 2010) -- (NYSE: CAE; TSX: CAE) - CAE today announced it has won several recent military contracts valued at more than C$100 million, including a contract to perform a major upgrade to the Puma helicopter training program at CAE's Medium Support Helicopter Aircrew Training Facility (MSHATF) in the United Kingdom as well as a contract to build a new C-130H simulator for an undisclosed customer.

"We are continuing to see excellent opportunities for CAE's extensive portfolio of products and services as militaries extend their use of modelling and simulation to support analysis, training and operations," said Martin Gagne, CAE's Group President, Military Products, Training and Services. "We are pleased that the UK MoD has chosen to further invest in MSHATF to provide a significant enhancement to RAF Puma aircrew training. Our long term partnership with the MoD helps us to continue adapting our training services to ensure RAF aircrews experience contemporary training relevant to current operations."

United Kingdom Ministry of Defence

The United Kingdom Ministry of Defence (UK MoD) has awarded CAE a contract to perform a major upgrade on the Puma helicopter simulator located at CAE's MSHATF at Royal Air Force (RAF) Base Benson.

The UK MoD is upgrading 28 helicopters as part of the Puma life extension program. The RAF's fleet of Puma helicopters will be upgraded with new and more powerful engines, new flight control equipment and modern cockpit and communications technologies. CAE will upgrade the Puma simulator and related training services at MSHATF to ensure concurrency with the new Puma helicopter.

C-130H full mission simulator sale

CAE has won a contract to design and manufacture a C-130H full-mission simulator for an undisclosed customer. CAE has delivered more training systems and services for the C-130 Hercules aircraft than any other company.

Source : CAE