ITEC 2009, Brussels, Belgium, May 12, 2009 – (NYSE: CGT; TSX: CAE) – CAE announced today at ITEC 2009 that it is collaborating with the National Aerospace Laboratory (NLR) in the Netherlands, an independent technological institute responsible for applied research in aerospace and defence, on a wide range of research and development (R&D) projects designed to expand the role of modelling and simulation at the NLR.

CAE has signed an R&D and technology cooperation contract with NLR to advance the state of modelling and simulation across a range of technologies. Specifically, CAE is working with NLR in the following areas:

* Training needs analysis so that NLR can advance its training needs expertise;
* Synthetic environment database development, consisting of CAE Medallion™-6000 image generator, and CAE’s visual database generation tools;
* Synthetic mission environment development, consisting of CAE STRIVE™ software framework and computer-generated forces;
* Collaborating with NLR to further advance the modelling of rotorcraft aerodynamics to enhance the realism of training for helicopter aircrews.

“There is an increasing importance on modelling and simulation being used for the training and instruction of military aircrews as well as mission preparation,” said Dr. F. Abbink, Chief Executive Officer of NLR. “By working closely with CAE, we are able to leverage the latest technologies and industry expertise as part of our research initiatives, which will provide NLR with additional capabilities.”

CAE has been working closely with the Royal Netherlands military for decades, and is currently designing the C-130H and KDC-10 full-mission simulators for the Royal Netherlands Air Force.

“For more than 90 years, the National Aerospace Laboratory has carried out research projects for the advancement of the aerospace and defence sectors,” said Martin Gagné, CAE’s Group President, Military Simulation Products and Training & Services. “We are pleased to collaborate with such a world-renowned and prestigious research organization by offering our expertise as well as world-class simulation technologies.”

CAE is a world leader in providing simulation and modelling technologies and integrated training solutions for the civil aviation industry and defence forces around the globe. With annual revenues exceeding C$1.4 billion, CAE employs approximately 7,000 people at more than 75 sites and training locations in 20 countries. We have the largest installed base of civil and military full-flight simulators and training devices. Through our global network of 27 civil aviation and military training centres, we train more than 75,000 crewmembers yearly. We also offer modelling and simulation software to various market segments and, through CAE’s professional services division, we assist customers with a wide range of simulation-based needs.
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CAE contacts:
Nathalie Bourque, Vice President, Public Affairs and Global Communications, +1-514-734-5788, nathalie.bourque@cae.com

Trade media: Chris Stellwag, Director, Marketing Communications, Simulation Products and Military Training & Services, +1-813-887-1242, chris.stellwag@cae.com

Investor relations: Andrew Arnovitz, Vice President, Investor Relations and Strategy,
+1-514-734-5760, andrew.arnovitz@cae.com

CAE collaborates with the Netherlands National Aerospace Laboratory