Bangalore, India, July 14, 2009 – (NYSE: CAE; TSX: CAE) – CAE today announced that effective immediately, Bangalore, India-based Macmet Technologies Pvt Ltd (CAE Macmet), acquired by CAE in July of 2007, will now operate under the name CAE India Private Limited. The change has been formally approved by the Indian Registrar of Companies (ROC).

“CAE India Private Limited will continue to provide leading-edge virtual training and simulation-based solutions to India’s defence forces by leveraging its local presence and past performance,” said H.J. Kamath, President of CAE India Pvt. Ltd. “We are now in a position to expand our offerings by leveraging the full breadth of CAE’s world-class simulation solutions portfolio and experience that spans more than 60 years. The Indian market is of strategic importance to CAE and this importance is demonstrated in the significant investments CAE has made in India.”

CAE acquired Macmet Technologies in July 2007. The company has operated under the CAE Macmet banner while retaining its original legal name for two years as agreed at the time of the acquisition.

Prior to the acquisition, Macmet had been serving the Indian market with simulation solutions for more than 10 years. The company manufactures, maintains and upgrades full-flight simulators, tank and gunnery trainers and naval tactical trainers, as well as developing software required for a range of simulation applications.

CAE’s recent investments in India include the formation of a joint venture with HAL called the Helicopter Academy to Train by Simulation of Flying (HATSOFF), which is currently designing and building a new helicopter training centre in Bangalore. CAE also operates a 150-person engineering simulation centre of excellence in Bangalore. Recently, CAE was awarded a contract from Lockheed Martin to design and manufacture a C-130J full-mission simulator for the Indian Air Force.

“With the Indian defence and homeland security forces facing severe growth and transformational challenges, CAE believes modeling, simulation, and training solutions will become a centerpiece in all training segments,” said Martin Gagne, CAE’s Group President, Military Simulation Products, Training & Services. “Virtual training is the perfect tool for enhancing operational readiness and mission preparedness, which is critical for ensuring the success of India’s defence forces as they face new and ever evolving threats in protecting the nation.”

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$1.6 billion, CAE employs more than 6,500 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 29 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, (514) 734-5788, nathalie.bourque@cae.com

Trade media:

Chris Stellwag, Director, Marketing Communications, Military and Civil, (813) 887-1242, chris.stellwag@cae.com

Investor relations:

Andrew Arnovitz, Vice President, Investor Relations and Strategy,
(514) 734-5760, andrew.arnovitz@cae.com

CAE Macmet, formerly Macmet Technologies Pvt. Ltd., will now operate as CAE India Pvt Ltd.