Flight Options Press Release

CAE and Flight Options sign five-year maintenance technician training agreement

Montreal, and Cleveland, May 21, 2007 - CAE (NYSE: CGT; TSX: CAE) and Flight Options today announced the two companies have signed a five-year contract for CAE to become the exclusive provider for all Flight Options maintenance technician training until 2012. 

“Flight Options appreciates the quality of CAE SimuFlite’s facilities, technology, and the professionalism of the instructors,” said S. Michael Scheeringa, Chief Executive Officer, Flight Options, LLC. “We are excited to further strengthen our industry leading partnership by making CAE SimuFlite our exclusive training provider, adding maintenance training to our existing pilot training relationship.”

Maintenance technician training will be provided at CAE training centers in Dallas and at the new North East Training Center located near Morristown, NJ. Training will also be provided at any of Flight Options primary bases.

“By naming CAE as the exclusive provider for maintenance technician training, Flight Options has once again placed its trust in CAE and in our ability to deliver a comprehensive and tailored training program that has been recognized as truly setting the standard for best practices in the fractional aviation industry,” said Jeff Roberts, CAE’s Group President, Innovation and Civil Training & Services.

Maintenance technician courses will be taught using CAE Simfinity®, a suite of training devices using the same high-fidelity simulation software found in CAE’s full-flight simulators. CAE will provide Flight Options with CAE Simfinity solutions in the classroom or via the Web, making this technology available to their technicians and partners at any time, anywhere in the world.  This tool gives them the ability to trouble shoot aircraft problems via the web, allowing for a faster repair and less down time.

Flight Options, LLC offers the complete spectrum of programs from Fractional First™ ownership to leasing to JetPASS Ultimate Travel membership to Aircraft Management. As the first fractional provider selected by the FAA to participate in the Aviation Safety Action Program and to partner in the development of the Safety Management System prototype, Flight Options’ industry leading safety status is evident. The Flight Options fleet of over 140 aircraft includes the world’s largest fleets of Beechjet 400As and Legacy Executive aircraft. Flight Options’ fleet consists of the Beechjet 400A, Hawker 400XP, Hawker 800XP, Citation X and Legacy. More information is available at www.flightoptions.com or by calling 877.703.2348.

CAE is a world leader in providing simulation and modelling technologies, and integrated training services to the civil aviation industry and defence forces around the globe. We design, manufacture and supply simulation equipment and offer training and services. This includes integrated modelling, simulation and training solutions for commercial airlines, business aircraft operators, aircraft manufacturers and military organizations and a global network of training centres for pilots, and in some instances, cabin crew and maintenance workers.

With annual revenues of over C$1 billion, CAE operates in 19 countries around the world. CAE has sold nearly 700 simulators and training devices to airlines, aircraft manufacturers, training centres and defence forces for air and ground purposes in more than 40 countries. We have over 110 full-flight simulators in more than 20 aviation training centres, serving approximately 3,500 airlines, aircraft operators and manufacturers around the globe. CAE licenses its simulation software to various market segments and has a professional services division assisting customers with a wide range of simulation-based needs.

Nextant 400XT Citation X Legacy 600