News
CAE awarded contracts for four full-flight simulators and training devices valued at $52 million

Feb. 28, 2008, Montreal – CAE has signed contracts to design and manufacture four full-flight simulators (FFSs) and associated CAE Simfinity(TM) training devices valued at C$52 million at list prices. The contracts are with Lufthansa Flight Training and Xiamen Airlines
and bring the total FFS sales that CAE has announced year to date in fiscal
2008 to 35.
    
Lufthansa Flight Training GmbH (LFT) has ordered a CAE 5000 Series Airbus
A320 full-flight simulator (FFS) and a CAE 7000 Series Boeing 747-8
Intercontinental FFS. China-based Xiamen Airlines has ordered two CAE 7000
Series Boeing 737-800 full-flight simulators (FFSs) along with a suite of CAE
Simfinity(TM) training devices.
    
"We are delighted that Lufthansa Flight Training and Xiamen Airlines have
placed their trust and confidence in CAE as the industry's premier provider of
true fidelity simulation equipment to support pilot training programs," said
Marc Parent, CAE's Group President, Simulation Products and Military Training
 Services.

     Lufthansa Flight Training

    
The CAE 5000 Series A320 FFS for LFT will be delivered this summer to
LFT's training centre in Frankfurt, Germany and will be used for jet
orientation training of Lufthansa's student pilots as well as for third-party
training programs. The simulator will feature the CAE True(TM) electric motion
system and CAE Tropos(TM)-6000 visual system. In addition, LFT will also
receive the CAE True(TM) Airport service with their CAE 5000 Series A320 FFS.
CAE True Airport is a new subscription-based service designed to keep
customers' visual databases current with constantly changing airport
environments. The CAE True Airport service offers airlines and third-party
training providers operating CAE visual systems concurrency of the airport
scenes in the visual databases used for flight training.
    
The CAE 7000 Series Boeing 747-8I FFS for Lufthansa will be delivered in
2010 to LFT's training centre in Frankfurt. In addition, CAE will provide LFT
with a Boeing 747-400 CAE Simfinity IPT, which can be reconfigured to the
B747-8I configuration. LFT is the launch customer for the passenger version of
the new Boeing 747-8I aircraft.
    
"CAE's market leadership in developing the prototype Boeing 747-8
simulators made them a clear choice for our future 747-8 training needs," said
Florian Hamm, CEO of Lufthansa Flight Training GmbH. "CAE's 7000 Series B747-8
full-flight simulator will meet the specific Lufthansa training requirements
and be available prior to this new aircraft entering service."
    
"CAE and LFT have a strong and valued business relationship, and we truly
appreciate their continued input in our simulation product developments," said
Parent. "We're particularly pleased that LFT has once again selected the new
5000 Series, as well as adding LFT to our list of customers for the prototype
Boeing 747-8I passenger aircraft."
    
FT has now ordered a total of 30 CAE flight simulators since 1980.

     Xiamen Airlines

    
The two B737-800 FFSs for Xiamen Airlines will be delivered in 2009 to
the airline's new training centre near the Gaoqi International Airport. The
two B737-800 FFSs will feature the CAE True electric motion system and CAE's
next-generation visual solution, which includes the CAE Tropos-6000 image
generator and liquid crystal on silicon (LCoS) projectors. The suite of
training devices includes two CAE Simfinity(TM) B737-800 Integrated Procedures
Trainers (IPT), a CAE Simfinity(TM) B737-800 and B757 Virtual Simulator (VSIM)
and a CAE Simfinity(TM) Virtual Maintenance Trainer (VMT) for the B737-800.
    
"CAE has a well-earned reputation for industry-leading simulation
technology and quality which has played a key role in our success in the
Chinese market," said Parent. "Our true-fidelity suite of simulation equipment
will help Xiamen Airlines prepare its pilots to fly its growing fleet of
Boeing 737 aircraft as the airline expands in the world's fastest-growing
aviation market."
    
Xiamen Airlines, founded in 1984, is the first airline in China organized
as a business enterprise with an independently operating legal entity. The
company now stands as a medium-sized airline with a fleet of 47 Boeing
aircraft, which will expand to 69 by 2010. Having been profitable for
21 consecutive years, the airline is one of the best-performing airlines in
China's civil aviation community for flight safety, passenger service and
economic benefits. Since CAAC set up flight safety awards in 1995, which many
airlines compete to win, Xiamen Airlines has won the Jinyan Cup from 1995 to
1997, and won the Jinying Cup in 1998 and 2001 and retained that award from
2004 to 2006. It is the only airline in the Chinese aviation industry to win
both Cups for three consecutive years. In 2007, Xiamen Airlines successfully
finished 159,300 hours of safe flight. Until recently, the airline has
maintained a safe flight record of over one million hours. From its main hubs
in Xiamen, Fuzhou, Jinjiang, Wuyishan, Hangzhou, Nanchang and Tianjin, it
operates over 150 domestic and international routes to most major cities in
China and Singapore, Malaysia, Japan and the Republic of Korea. The airline
carried nearly 10 million passengers last year.