Rolls-Royce Success on U.S. Navy MissionCare Contract Leads to Expanded $90 Million Award

Rolls-Royce Corporation ~ October 28, 2009
INDIANAPOLIS--(BUSINESS WIRE)--Rolls-Royce, the global power systems company, has been awarded a $90 million MissionCare™ contract by the U.S. Department of Defense (DoD) at NATC Patuxent River to provide support for the F405-RR-401 (Adour) engines that power the U.S. Navy’s T-45 training aircraft.

This contract exercises the first of four option years to the base contract signed last year. MissionCare is utilized within the Rolls-Royce Defense sector to apply commercial Power By The Hour® principles to the unique requirements of the defense business.

Under the terms of the agreement, which is administered by the Naval Air Systems Command (NAVAIR) at NATC Patuxent River, Md., Rolls-Royce will provide all maintenance, support, trouble-shooting, parts supply and logistics for both the F405 engine and the aircraft gas turbine starting system. This contract provides comprehensive propulsion services to more than 200 aircraft, operating at three main Naval Air Stations - Kingsville, Texas; Meridian, Miss. and Pensacola, Fla.

David Waggoner, President of Rolls-Royce Defense Services Inc., said, “This contract demonstrates the customer’s satisfaction with our performance. We are very proud of our partnership with the U.S. Navy and look forward to the opportunity to continue providing engine readiness and availability which allows the U.S. Navy to accomplish their critical training mission.”

Rolls-Royce manufactures the F405-RR-401 (Adour) engine in partnership with Turbomeca. Rolls-Royce has been involved with T-45 program support since inception through a variety of contracts awarded by both the U.S. Navy and Boeing.

Aftermarket services, of which MissionCare is an important part, account for more than 50 percent of the Group's underlying revenues.

NOTES TO EDITORS

1. Rolls-Royce, a leading provider of power systems and services for use on land, at sea and in the air, has established a strong position in global markets - civil aerospace, defense aerospace, marine and energy.

2. The company has a broad customer base including more than 600 airlines, 4,000 corporate and utility aircraft and helicopter operators, 160 armed forces, more than 2,000 marine customers, including 70 navies, and energy customers in nearly 120 countries. With facilities in 50 countries, Rolls-Royce employs more than 39,000 people worldwide and has businesses headquartered in the UK, US, Canada, Germany, Scandinavia and China. This global presence allows the Group to access long-term international growth opportunities with its technology, presence, partnerships and people.

3. The T-45 is used for intermediate and advanced portions of the Navy-Marine Corps pilot training program for jet carrier aviation and tactical strike missions. Currently the T-45 is scheduled to remain in service with the Navy until 2035. As the primary jet trainer for the Chief of Naval Air Training (CNATRA), the T-45 is used to produce approximately 325 strike aviators per year for the F/A-18, EA-6B, E-2C, and S-3B pipelines.

4. The F405 is the U.S. designation of the Adour engine, which powers the trainer fleet. More than 2,900 Adours have been delivered to date, clocking up more than 7.7 million flying hours.

5. The F405 contract is truly “power by the hour’ – a single contract line item number is used to pay a fixed price per aircraft hours flown at each operating base. Contract performance is measured almost exclusively against the fleet-driven performance metric of engine and starter system availability.

6. In 2008, Rolls-Royce and its partners invested $1.4 billion in research and development, two thirds of which had the objective of further improving the environmental aspects of its products, in particular the reduction of emissions.

Contact:
Rolls-Royce Corporation
Karin Ricketts
Manager, Corporate Communications
+1 317-230-8774
karin.ricketts@rolls-royce.com
www.Rolls-Royce.com