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CAE to Provide Automation Systems for U.S. Navy’s Next-Generation Destroyer­ DD(X)

Leesburg, Virginia, June 3, 2003 – (NYSE: CGT; TSX: CAE) – CAE has been selected to provide its integrated platform management system for the U.S. Navy’s DD(X) program. The three contracts, consisting of the engineering control system, the autonomic fire suppression system, and the damage decision assessment system, are valued at C$30-40 million.

“The technology being developed for the DD(X) has the capacity to automate nearly all engineering functions in the first major surface combatant of the 21st century,” stated Joe Lee Frank, president, CAE USA, Marine Systems. “We are proud to provide our technical expertise for the work on the engineering development models for these important contracts.”

CAE is a leading provider of integrated training solutions and advanced simulation and controls technologies to marine, civil aviation and military customers. The company generates annual revenues in excess of C$1 billion and employs more than 6,000 people in Canada, the United States and around the globe.

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