CAE Wins C$106M Defense Contracts 

August 15, 2008

CAE has won a series of military contracts valued at up to C$106 million. The contracts are with Canada’s Department of National Defense, L-3 Communications, the United States Navy, Eurofighter Simulation Systems (ESS), and small business prime contractor C2 Technologies. The contracts include more than C$71 million in firm orders with an additional C$35 million in contract options.

“We continue to see strong opportunities in the global military market for our portfolio of products and services, as evidenced by these contracts valued at up to C$106 million in addition to our Rotorsim announcement last week which is worth more than C$40 million to CAE,” said Marc Parent, CAE’s Group President, Simulation Products and Military Training & Services. “It is encouraging to see defence forces looking more and more to modelling, simulation and support services to address challenges such as maintaining readiness, high operational demand on aircraft and increasing fuel costs. With our global footprint and expanding capabilities to serve the entire defence systems lifecycle, CAE is well-placed for success in our military business.”

CAE was selected as prime contractor in Canada for a program called the Air Force Integrated Information and Learning Environment (AFIILE). Under this program, CAE’s Professional Services group will provide an integrated information and learning environment that gives the Air Force a common operating platform for training. CAE has assembled a team of service and technology partners to deliver the AFIILE solution, including xwave, Saba, Outstart Evolution, Britannica Fox Knowledge Systems Fox, Atlantis-Eduplus, and NGRAIN.

“The AFIILE program helps further establish CAE’s leadership position in military training services in Canada,” said Parent. “We will deliver a performance-oriented training solution to Canada’s Department of National Defence that will reduce the training time required to achieve proficiency while increasing overall training capacity.”