CAE SimuFlite expands business aviation training with Gulfstream G550 training

NBAA, Orlando, FL, October 17, 2006 --

(NYSE: CGT; TSX: CAE) - CAE SimuFlite is-expanding its business aviation training by offering Gulfstream G550 operators training on full-flight simulators at Emirates-CAE Flight Training in Dubai as well as CAE’s new North East Training Centre, located in New Jersey near the Morristown airport.  Pilots will begin training as early as spring 2007 in Dubai and fall 2007 in Morristown .

The G550 for the North East Training Centre is a new CAE-built full-flight simulator, while the G550 for Dubai will be an upgrade to an existing Gulfstream GV simulator.  CAE is updating the avionics on the existing simulator in Dubai to operate in either the GV or G550 mode.  Both G550 simulators will include the PlaneView avionics suite and CAE will ensure that the training teaches and reinforces the advantages of the PlaneView cockpit.

“This latest Gulfstream training program extends our suite of offerings for business aircraft operators and is another example of CAE’s commitment to better serve the business aviation market,” said Jeff Roberts , CAE’s Group President, Innovation and Civil Training & Services.  “This is part of our growth strategy to address the current boom in production of business aircraft and to provide training in locations most convenient to our customers.”

CAE is now operating four major business aviation training centres, strategically located around the world. The two newest centres are the CAE North East Training Centre in New Jersey, and CAE’s Burgess Hill Training Centre in the UK . These training facilities join Emirates-CAE Flight Training in Dubai and CAE SimuFlite, the Company’s flagship facility in Dallas, Texas , home of the world’s largest business aviation training facility with 36 simulators.

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 100 full-flight simulators in more than 20 aviation training centres, serving approximately 3,500 airlines, aircraft operators and manufacturers across 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.

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