American Eurocopter Receives Contract for the Re-engining of U.S. Coast Guard HH-65 Dolphin Helicopters.

COLUMBUS, Miss. -- American Eurocopter, a subsidiary of Eurocopter, the largest manufacturer of commercial helicopters in the world, and a business unit of EADS North America, has signed a contract to provide re-engining kits for 95 U.S. Coast Guard HH-65 Dolphins. The contract was announced at the Grand Opening ceremonies for American Eurocopter's new production facility in Columbus, MS.

The contract was signed with Lockheed Martin, a partner in Integrated Coast Guard Systems (ICGS), a joint venture of Lockheed Martin and Northrop Grumman, and is part of the Integrated Deepwater System (IDS) Program, a multi-year program to modernize and replace the Coast Guard's aging ships and aircraft, and improve command and control and logistics systems. The initial release against this contract is $22M.

American Eurocopter will supply re-engining kits, spare parts and technical assistance/support. Turbomeca USA provides the Arriel 2C2 turboshaft engine. The multi-year upgrade program for the U.S. Coast Guard Helicopter fleet will significantly improve the maritime service's operational capabilities.

"The U.S. Coast Guard is one of our most important customers and we are totally committed to support this contract, which will improve the HH-65's ability to meet the new homeland security challenges," said Marc Paganini, American Eurocopter's President and CEO.

This contract is in compliance with the Coast Guard's request for immediate re-engining action to ensure safe and reliable operations with its HH-65s. The first re-engined helicopter was recently delivered to the Coast Guard and was completed in only 109 days.

The re-engining work is carried out at the Coast Guard Aircraft Repair and Supply Center (AR&SC) in Elizabeth City, North Carolina, where an American Eurocopter technical team has been located for on-site support.

"The HH-65 re-engining program was begun immediately in support of the Coast Guard's requirement. We at EADS North America and American Eurocopter are very pleased to provide the U.S. Coast Guard with maximum helicopter resources to complete the re-engining on time," said Ralph D. Crosby, Jr., Chairman and CEO, EADS North America.

EADS North America companies constitute one of the largest subcontractors to the Deepwater Program, supplying products and services from several EADS divisions. In addition to American Eurocopter's HH-65 modernization support, EADS CASA North America is supplying the fleet of CN-235 Maritime Patrol Aircraft. The Deepwater equipment replacement program demonstrates the effectiveness of transatlantic agreements and is reflective of EADS's long-term working relationship with Lockheed Martin and Northrop Grumman, who lead the Deepwater Program effort in partnership with the Coast Guard.

About American Eurocopter (www.eurocopterusa.com)

American Eurocopter Corporation (AEC) is the American subsidiary of Eurocopter, the largest helicopter manufacturer in the world, and EADS North America, the North American operations of EADS, the second largest aerospace and defense company in the world. AEC markets, sells and supports the broadest range of civil and para-public helicopters offered by any manufacturer. The product line represents the most cost-effective, technologically-advanced helicopters, ranging from light single to heavy twin, serving all markets and missions. American Eurocopter's headquarters and main facility are in Grand Prairie, Texas, with a large new factory in Columbus, Mississippi, inaugurated on October 20, 2004.

About EADS North America (www.eadsnorthamerica.com)

EADS North America is the North American operations of EADS, the second largest aerospace and defense company in the world. As a leader in all sectors of aerospace, defense and homeland security, EADS North America and its parent company, EADS, contribute more than $6 billion to the U.S. economy annually, and support more than 100,000 American jobs through its network of suppliers and services. With 12 operating companies located in 39 American cities and 21 states, EADS North America offers a broad array of advanced solutions to its customers in commercial, civil, para-public and defense markets across the United States.