EADS and General Electric Team for the Definition Phase of the Mako Advanced Trainer and Light Aircraft Family; EADS Demonstrates Transatlantic Industry Collaboration.

Business Editors

MUNICH, Germany & EVENDALE, Ohio--(BUSINESS WIRE)--Dec. 9, 2002

EADS, one of the world's leading aerospace and defense companies, Monday confirmed that its military aircraft division has signed a teaming agreement for the definition phase of the Mako advanced trainer and light combat aircraft with General Electric's Aircraft Engine division.

This cooperative effort between EADS and GE will define the integration of a derivative of the GE fighter engine F414-GE-400 aboard the Mako.

Working together, EADS Military Aircraft and GE will specify the technical details of the Mako powerplant installation and the single-engine features for the F414. In addition, the team will develop all specifications and documentation necessary to prepare the launch of the development phase, planned for mid - 2004. The 22,000 pounds-class propulsion system for the Mako aircraft family is designated F414M (M for Mako) and will incorporate the single-engine features of the basic F414, which is in service with the U.S. Navy's F/A-18E/F 'Super Hornet' since 2000.

Ralph Crosby, Chairman and CEO of EADS North America, commented on the collaboration, "EADS is proud to partner with GE on the Mako advanced trainer. We think that defense cooperation going both directions is critically important to transatlantic security. It is our goal to nurture relationships with American industry leaders like GE, and to strategically bolster our position as the partner of choice for the transatlantic defense and aerospace market."

"General Electric Aircraft Engines is thrilled with the opportunity to collaborate on a European-designed high-performance aircraft family," said George Bolln, general manager of the F414/F404 Programs at GE Aircraft Engines. "GEAE has a fantastic record of industrial collaboration on military and commercial aircraft programs in Europe. Consistent with our commitment to EADS, and similar to our approach on other military applications in Europe, some F414M engine work for the Mako program will be provided by European jet engine manufacturers and suppliers. We are convinced that the F414 will greatly complement the performance and cost-of-ownership features inherent in EADS' Mako aircraft concept."

"The F414 derivative engine is based upon its successful predecessor, the F404. The engine when analyzed, shows impressive performance and comes closest to the Mako design criteria. The efficiency of the engine promises to deliver a significant reduction in life-cycle cost, compared to other advanced trainers either on the market or at the drawing board," commented Max Heyder, Mako Program Manager at EADS Military Aircraft, on the technical aspects of the agreement.

Mako is one of the contenders for the future Advanced European Jet Pilot Training (AEJPT). The Mako Advanced Trainer is designed to ensure an optimum transition to the newest-generation high-end combat aircraft. Thanks to its high performance level together with its leading-edge cockpit design, the aircraft will open a new dimension of economic lead-in fighter training and companion training. The Air Forces will be offered an advanced trainer which is highly representative of their high-end fighters, e.g., the Eurofighter Typhoon, F-22 or F-35.

About EADS

EADS is the world's second largest aerospace and defense company, offering a broad array of products and services. With total annual revenues of nearly $30 billion, and annual defense revenues of $6 billion, EADS is a market leader in the defense and aerospace market worldwide. EADS contributes over $6 billion to the U.S. economy annually, supports more than 100,000 U.S. jobs, and maintains subsidiary locations in 35 U.S. cities in 20 states and the District of Columbia, as well as hundreds of suppliers across North America. To learn more, visit the EADS Web site at www.eads.net.