AlliedSignal's New AS907 Turbofan Selected To Power The Bombardier Continental All-Business Jet.

LAS VEGAS--(BUSINESS WIRE)--Oct. 20, 1998--AlliedSignal Inc. (NYSE:ALD) Tuesday announced that its new AS907 turbofan engine, rated at 7,595 pounds of thermodynamic thrust, has been selected to power Bombardier Aerospace's new Continental All-Business Jet(tm) aircraft.

"Bombardier's selection of the AS907 for the aircraft is a strong vote of confidence in this new engine and in AlliedSignal," said Dominique Hedon, Vice President and General Manager, Commercial Propulsion, AlliedSignal Engines. "Our customers told us that new propulsion engines must set new paradigms in balancing competitive performance and operating economics, and the AS907 will do just that. In fact, we have already defined the engine growth steps to achieve a 25% increase in thrust output in preparation for meeting future customer requirements."

"We are pleased to announce AlliedSignal as our first partner for our new business jet and we look forward to working closely with them," said Michael Graff, president, Bombardier Aerospace, Business Aircraft.

The AS907 has a bypass ratio of 4.2 for the Continental application and is flat rated to 6,500 lbs of thrust at take-off up to ISA +15 degrees Celsius. The engine is designed with large temperature margins for reliability, durability and growth potential. The AS907 is scheduled for FAA certification in the first quarter of 2001.

The AS907 is configured with four axial compressor stages, including two variable-geometry stators, a single centrifugal compressor, an effusion-cooled combustor, a two-stage high-pressure turbine and a three-stage low-pressure turbine driving a high-efficiency fan.

"We have paid a great deal of attention to reliability and maintainability aspects in response to customer requests for engine durability and economy," said T.K. Kallenbach, AS900 Program Director. "We designed all the AS907 discs for a 15,000-cycle life and the engine will be offered with an on-condition maintenance program from introduction into service, or, for those choosing fixed maintenance periods, hot section and compressor zone inspection intervals set at 3,500 hours and 7,000 hours respectively, at maturity."

The axial compressor features integrally bladed rotors for lower parts count and improved life properties. The effusion-cooled combustor provides uniform temperature profiles and reduces the output of undesirable emissions. Large temperature margins allow the AS907 turbines to use conventional materials and avoid the high cost of single-crystal alloys. The engine has only two lubrication sumps located in cooler engine zones for improved reliability and durability.

The engine control system features a dual-channel electronic control with extensive built-in diagnostic and troubleshooting capabilities.

The AS907 is being designed as an integrated powerplant system (IPPS) including nacelle, thrust reverser and all engine mounted accessories for aircraft manufacturers wishing to purchase a complete system from AlliedSignal. Optimized component matching, accessibility and functionality are some of the benefits afforded by the AS907 fully-integrated powerplant system.

AlliedSignal designed the AS907 for easy maintenance. Technicians will be able to perform an unprecedented amount of on-wing engine work including hot section inspections and replacement of the: engine fan, low pressure turbine, accessory gearbox and main shaft bearings and seals. Each of the AS907 Line Replaceable Units may be exchanged in no more than 20 minutes using only 13 standard tools.

More than 50,000 mission cycles will be accumulated in over 10,000 hours planned in the AS907 development program, prior to entry into service. This unprecedented amount of testing is key to demonstrating the engine integrity and reliability goals. Eleven test engines will be dedicated to this effort using six test facilities and AlliedSignal's Boeing 720 flying test bed. Three of these engines will perform accelerated mission testing, a rigorous program simulating the effect of real-life operations on engine, accessories and thrust reverser wear and tear, to substantiate the AS907 durability objectives.

AlliedSignal will build the AS900 in partnership with other global partners. Aerospace Industry Development Corporation of Taiwan will be responsible for the engine fan and other partners will be announced in the future. AlliedSignal's partners will provide approximately 35% of all AS900 engine parts. AlliedSignal is currently in final discussions with an Integrated Power Plant Supplier.

The AS900 is backed by a comprehensive warranty plan and an extensive array of support services that include AlliedSignal's Maintenance Service Plan, which offers operators guaranteed maintenance costs and the use of worldwide AlliedSignal-owned and authorized independent repair facilities for engine support and parts distribution.

Extensive spare engine coverage, worldwide parts distribution and maintenance cost guarantees tailored to specific customer needs form a comprehensive customer support program designed to satisfy the most stringent business aviation requirements.

Preceding the launch of the AS907 full-scale development program, AlliedSignal conducted a comprehensive technology validation program to demonstrate the mechanical integrity and performance of critical engine components. The compressor, combustor and high-pressure turbine were thoroughly tested, then integrated into an engine core that successfully ran for the first time last December.

AlliedSignal Engines is the world's leading designer and manufacturer of auxiliary power units; turbofan engines for commercial, regional and business aviation; turboshaft engines for helicopters; industrial power applications and marine and land propulsion.

The parent company, AlliedSignal Inc., is an advanced technology and manufacturing company serving customers worldwide with aerospace and automotive products, chemicals, fibers, plastics and advanced materials. The company employs 70,500 people worldwide and is a component of the Dow Jones Industrial Average and Standard and Poor's 500 Index. AlliedSignal is the largest supplier of equipment and systems for commercial transport, regional, business, general aviation and military aircraft. More information on AlliedSignal is on the World Wide Web at http://www.alliedsignal.com.

This release contains forward-looking statements as defined in Section 21E of the Securities Exchange Act of 1934, including statements about future business operations, financial performance and market conditions. Such forward-looking statements involve risks and uncertainties inherent in business forecasts.