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2009

16.04.2009, SAFRAN
First-quarter 2009 consolidated revenue

PRESS RELEASE

In line with targets

Paris, April 16, 2009

Key figures and significant events

• €2,487 million in ajusted consolidated revenue for the first quarter, up 2.4% over the year-earlier period on pro forma data, or 0.5% at comparable scope and exchange rates
• A firm showing from the services business, which accounted for 48% of Aerospace Propulsion revenue (compared with 45% in the first quarter of 2008) and 31.5% of Aircraft Equipment revenue (versus 31% in first-quarter of 2008)
• Sustained growth reported by the Defense Security branch, led notably by Security operations

Jean-Paul Herteman, Chief Executive Officer, stated:

“Against the backdrop of the current economic turbulence, SAFRAN’s business model has proved its resilience. The firm showing by services, including sales of spare parts and maintenance-repair operations, enabled the Aerospace Propulsion branch to hold up well. Revenue generated by the Aircraft Equipment branch was also driven by this solid services performance. Lastly, Security operations – particularly identity solutions – also helped to ensure that our first-quarter revenue figure was in line with our full-year targets. We therefore consider that our Group is well positioned to face the current unsettled environment."

Group revenue at March 31, 2009

In € millions	2009	2008(*)	Year-on-year change (pro forma)	Year-on-year change at comparable scope and exchange rates
Aerospace Propulsion	1,334	1,395	-4.4%	-7.2%
Aircraft Equipment	700	658	+6.4%	+2.5%
Defense Security	442	372	+18,8%	+23,7%
* Of which Defense	238	214	+11.2%	+9.0%
* Of which Security	204	158	+29.1%	43.5%
Holding and other	11	3	ns	ns
Group total	2,487	2,428	+2.4%	+0.5%

* The 2008 first quater revenue in adjusted data is represented without Communication activities sold in 2008, and take into account the internal reorganization realized between the branches during the 2009 first quater.

SAFRAN’s consolidated revenue for the first quarter of 2009 totaled €2,487 million, up 2.4% on the equivalent prior-year period based on pro forma data, and representing organic growth of 0.5%. This figure is in line with our revenue guidance for full-year 2009.

• Currency hedging

Our management of currency options enabled us to improve the hedging rate for 2009, from €1 = $1.45 to €1 = $1.43.

Revenue by branch

• Aerospace Propulsion

First-quarter 2009 adjusted revenue for this branch came to €1,334 million, down 4.4% on the first quarter of 2008. The slower pace of deliveries of (i) aircraft engines, partly due to the consequences of the strike at Boeing in 2008, and (ii) civil helicopter engines weighed on the Group’s original equipment revenue. However, service operations for civil aircraft engines reported growth for the period, with the rise in revenue per shop visit more than offsetting the fall off in the number of shop visits since the second half of 2008. Consequently, the contribution of services to the branch’s overall revenue climbed once again and accounted for 48% of the total compared with 45% at end of March 2008.

More than 2,500 ground test hours were accumulated for the TP400 engine for the A400M program, with a full success rate. Furthermore, the flight tests on Airbus’s C130 flying testbed aircraft are progressing well.

In the civil aircraft engines business, the development of the SaM 146 is also proceeding favorably, with SSJ 100 aircrafts having completed 140 flights and accumulating 970 hours of engine flight testing. The aircraft is expected to be shown at the next Le Bourget air show. In the helicopters sector, SAFRAN signed in February a contract with Kamov and Russian Helicopters for developing a new Arrius 2G1 engine designed for the Kamov 226 helicopter used by the Russian government. In March 2009, the Ardiden 1H1 engine for the DHRUV helicopter in India received EASA certification.

In civil space propulsion, SAFRAN has signed contracts with EADS Astrium and Europropulsion to produce a new batch of 35 Ariane 5 ECA launchers covering the period from 2010 to 2014.

In the solid propulsion sector, SAFRAN registered satisfactory growth for its military programs (M51 boosters).

• Aircraft Equipment

Adjusted revenue generated by this branch came to €700 million, up 6.4% on the first quarter of 2008. Both original equipment (excluding business and regional aircraft) and services reported growth. Concerning original equipment, deliveries of nacelles for the A380 increased in line with the pace of production of the aircraft. The wiring business also reaped the benefits of the program’s ramp-up during the period. Services revenue rose at a slightly higher pace than that for original equipment.

The sales campaigns for wheels and carbon brakes for the B737, in which the Group currently enjoys an exclusive positioning, are proving particularly satisfactory.

• Defense Security

Defense
Defense adjusted revenue climbed 11.2%, sustained by avionics operations, notably sales of inertial units, seekers for tactical missiles and computer systems. SAFRAN has been selected to supply onboard computers for the Airbus A350. In optronics, land combat equipment (including the FELIN program) posted a satisfactory growth rate.

Security
Taking into account the changes in scope of consolidation resulting from the sale of the Group’s Monetel business in March 2008 and the consolidation of Sagem Identification in September 2008, adjusted revenue from Security operations rose 29.1% to €204 million in the first quarter of 2009. Based on a comparable scope and exchange rates the increase was 43.5%. The Security business now accounts for 8.2% of the Group’s total revenue against 6.5% in the first quarter of 2008.

In France, the system for acquiring secure electronic documents (TES) from local councils is now up and running in six départements. Some 1,500 new data collection systems have been ordered, bringing the total number of orders to 2,800.

Financial agenda:

• Annual General Meeting of Shareholders: May 28, 2009
• First-half 2009 results announcement: July 31, 2009

***

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs 54,000 people in over 30 countries. It comprises many companies bearing prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and forms part of the SBF 120 and Euronext 100 indices.

PRESS RELEASE

24.04.2009, SAFRAN
SAFRAN acquires majority stake in GE Homeland Protection, bolstering ties with General Electric

Paris, April 24, 2009

SAFRAN announced today that it has acquired 81% of GE Homeland Protection, a wholly owned affiliate of the General Electric Company (NYSE:GE). GE Homeland Protection is a leader in tomography-based detection systems for hazardous or illicit substances in baggage. Through this acquisition Sagem Sécurité, a wholly owned subsidiary of SAFRAN becomes a leading global player in airport security solutions.

SAFRAN is carrying out this acquisition in partnership with General Electric, which retains a 19% stake in the company and a seat on the Board of Directors. Through this new partnership, the Homeland Protection business will continue to benefit from the advanced technologies developed by GE Healthcare and from the expertise of the GE research center.

SAFRAN is acquiring an 81% stake in GE Homeland Protection for $580 million.

Homeland Protection provides equipment and services to protect airports, ports, borders and critical infrastructures, for Government, military and commercial customers. It is a leader in tomography-based technology for detection of hazardous or illicit substances in checked baggage, with the largest worldwide installed base of approximately 1,600 machines. The business also provides services for its installed base, which generate approximately 60% of total revenues. Homeland Protection’s latest product, the CTX 9800, certified by the Transportation Security Administration (TSA) in March 2009, offers the highest resolution and the highest throughput system in the industry. Homeland Protection is also a leading provider of Trace equipment.

GE Homeland Protection has approximately 780 employees, including 150 in Research & Development, located in the U.S., Europe and Asia, and posted sales of about $260 million in 2008. It has posted sales in 2009 in line with growth objectives for the year.

By acquiring GE Homeland Protection, SAFRAN also acquires leading-edge technology to support its development in an industry characterized by:

• Recurring revenue generated by service of the installed base.

• Growth: the explosives and narcotics detection market, today estimated at approximately $2.4 billion, is headed for strong short and medium-term growth. The U.S. stimulus package includes a budget of approximately $700 million for checked baggage infrastructure and equipment, while new regulations in Europe require Standard 3 (tomography-like) detection equipment to be purchased from 2012 with complete replacement to Standard 3 equipment by 2018.

Combining Homeland Protection’s detection capabilities with Sagem Sécurité’s (SAFRAN Group) identity solutions will enable SAFRAN to provide a differentiated, seamless and integrated offering to customers.

Jean-Paul Herteman, CEO of SAFRAN, said: “Following our 2008 acquisitions of SDU-Identification (a Dutch manufacturer of secure passports and ID documents) and Motorola’s biometrics business (Printrak brand), adding GE Homeland Protection will significantly bolster our Group’s third core business. This makes SAFRAN a pivotal player in the security market, a business that will generate 20% of the Group’s total revenues in the medium term, with double-digit profit perspectives and reducing exposure to aerospace cycles. Furthermore, this transaction is the latest step in our long-standing relationship of mutual trust and partnership with GE that reaches back some 35 years.”

Jean-Paul Jainsky, Chairman and CEO of Sagem Sécurité, added: “There is growing demand from both governments and private industry for cutting-edge security solutions, based on long-term projects anchored in advanced, very-high-reliability technologies. From this standpoint, the SAFRAN Group is in a perfect position to meet today’s most demanding public security requirements.”

Dennis Cooke, President and CEO of GE Homeland Protection said: “This is a great move for our Homeland Protection business. Our business has a strong leadership team, dedicated and talented employees, innovative technology, a large installed base and a strong brand. This move aligns Homeland Protection with a business that is committed to globalization and further investment in new detection technologies and new products for the Homeland Security space.”

The transaction is expected to be finalized by mid 2009, pending customary regulatory approvals.

*****

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs about 54,000 people in over 30 countries and generates revenue of more than €10 billion. It comprises many companies with prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and its share is included in the SBF 120 and Euronext 100 indices.

Sagem Sécurité (SAFRAN Group) is a high-technology company. One of the world’s leading suppliers of identity solutions, Sagem Sécurité focuses on applications including personal rights and flow management, in particular based on biometrics, a sector in which it is the world leader, secure terminals and smart cards. Its integrated systems and equipment are deployed worldwide and contribute to the safety and security of transportation, data, people and states. Sagem Sécurité has 4,300 employees in over 24 countries in 2008.

GE Security, Inc. is a wholly owned affiliate of the General Electric Company (NYSE: GE) focused on communication and information technologies for security and life safety solutions. GE Security has more than 5700 employees with operations in over 26 countries and is represented by some of the best-known brand names for intrusion and fire detection, access and building control, video surveillance, explosives and drug detection, key management and structured wiring. GE Homeland Protection, Inc. is focused on explosives and narcotics detection and has approximately 780 employees worldwide.

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Caution Concerning Forward-Looking Statements This document contains "forward-looking statements" - that is, statements related to future, not past, events. In this context, forward-looking statements often address our expected future business and financial performance, and often contain words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," or "will." Forward-looking statements by their nature address matters that are, to different degrees, uncertain. For us, particular uncertainties which could adversely or positively affect our future results include: the behavior of financial markets, including fluctuations in interest rates and commodity prices; strategic actions, including dispositions; future integration of acquired businesses; future financial performance of major industries which we serve, including, without limitation, the air and rail transportation, energy generation, media, real estate and healthcare industries; unanticipated loss development in our insurance businesses; and numerous other matters of national, regional and global scale, including those of a political, economic, business, competitive and regulatory nature. These uncertainties may cause our actual future results to be materially different than those expressed in our forward-looking statements. We do not undertake to update our forward-looking statements.

PRESS RELEASE

28.05.2009
Ordinary and extraordinary shareholders’ meeting

All of the resolutions were adopted Dividend payment of €0.25 per share

Paris, May 28, 2009

SAFRAN’s Ordinary and Extraordinary Shareholders’ Meeting, chaired by Mr Francis Mer, took place today at Théâtre Marigny in Paris on May 28, 2009

All of the resolutions submitted to shareholders for approval at the meeting were adopted by a large majority.

SAFRAN shareholders approved the 2008 consolidated financial statements and decided on the payment of a dividend of €0.25 per share. After taking into account the interim dividend of €0.08 per share paid on December 15, 2008, a balance of €0.17 per share remains to be paid. This balance will be paid on June 8, 2009.

Financial agenda :

Ex-dividend: June 3, 2009 Payment of the balance of dividend: June 8, 2009 2009 interim results: July 30, 2009

***

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs about 54,000 people in over 30 countries. It comprises many companies bearing prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and forms part of the SBF 120 and Euronext 100 indices.

PRESS RELEASE

18.02.2009, SAFRAN
Results for full-year 2008 in line with forecasts - Major strengths to meet the challenges of 2009

Paris, 18 February 2009

Key figures 2008(*) All figures in this press release represent adjusted data (see appendix).

(As of 31 December)

(1) Reported revenue for the year ended December 31, 2007, which included the communication branch, amounted to €12,003 million and profit from operations totaled €706 million. The 2007 results presented above have been restated for the purpose of meaningful comparison with results for 2008.
(2) €146 million gain arising on the transfer of Monetel business to Ingénico.
(3) loss and exit cost of the divestment of the communication branch

(*) Data presented in accordance with IFRS 5, with the communication branch reclassified in discontinued operations

Jean-Paul Herteman, SAFRAN’s Chief Executive Officer, stated:

"The Group met its financial and strategic targets for 2008. Profit from recurring operations amounted to €652 million including a €646 million negative currency effect. Orders remained very strong and we took a number of significant steps during the year to implement our strategy of refocusing and expanding our business as a major equipment supplier (Tier-1) for the aeronautics, defense and security sectors.
These steps included:

• Definitively withdrawing from the communications, ie broadband and mobile phone businesses, which was achieved in line with the planned financial and social conditions.
• Adapting the Group’s organizational structure in order to consolidate its skills in embedded electronical systems and power electronics, and to combine services and OE activities in civil engine business.
• Carrying out targeted acquisitions in the security industry via the purchase of SDU, a leading European supplier of secure identification documents, and Printrak (Motorola’s US-based biometrics business).

The size of the Group’s installed fleet, the competitive positioning of its products and technologies and the excellence of its transatlantic partnership with GE, which has been recently renewed until 2040, are all major strengths for SAFRAN in the current economic situation. In addition, Group’s improvement plan has been reinforced to reduce structural costs and enhance manufacturing productivity. 2009 will be a year of challenges which SAFRAN will be able to face and will emerge from even stronger."

Group results

CFM56 order backlog amounted to 6,600 engines, more than 5 years’ worth of production, and revenue generated by services in aeronautics, up in 2008, accounted for 46% of overall revenue for Aerospace Propulsion and 31% for Aircraft Equipment.

Revenue increased 9.4% year-on-year at comparable scope and exchange rates, driven by the Aircraft Equipment and Security businesses.
Profit from recurring operations came to €652 million compared with €787 million in 2007. It included a €646 million negative US dollar currency impact (€1 = $1.45 in 2008 versus €1 = $1.21 in 2007).
Net profit totaled €256 million vs €406 million in 2007. It has been negatively impacted by a €233 million expense arising on the divestment of the mobile phones business.
Net debt amounted to €635 million compared with €169 million at December 31, 2007. This increase was mainly due to the share buyback program and the acquisition of SDU Identification, which has been renamed Sagem Identification.
A dividend of €0.25 per share (including an €0.08 interim dividend paid in December 2008) will be submitted to shareholders for approval at the Annual General Meeting to be held on May 28, 2009.

Results by branch

• Aerospace Propulsion Revenue amounted to €5,803 million vs 5,917 million in 2007. Year-on-year revenue growth came to 5.5% at comparable scope and exchange rates. Sales volumes for spare parts rose 12% despite the more difficult economic context in the second half of the year. Profit from operations amounted to €584 million, representing 10.1% of revenue, taking into account a negative currency effect of €422 million, vs €636 million in 2007, representing 10.7% of revenue.

• Aircraft Equipment Revenue amounted to €2,856 million vs €2,703 million in 2007, up 17.5% at comparable scope and exchange rates. The year 2008 saw strong growth in this branch. Profit from operations was impacted by additional delays in certain new Airbus and Boeing programs in the second half of the year. It totaled €60 million, representing 2.1% of revenue, after an negative currency effect of €213 million, vs €112 million in 2007, representing 4.1% of revenue.

• Defense Security Revenue amounted to €1,646 million vs €1,596 million in 2007, up 9.2% at comparable scope and exchange rates. This rise was spurred, on the one hand by land combat business (the Félin infantry soldier system) and optronic sight equipment, which posted growth of 23% and 17% respectively, and on the other hand by identification solutions activities which posted a 33% surge in revenue. Profit from operations totaled €72 million (excluding €146 million gain arising on the transfer of Monetel business to Ingénico) representing 4.4% of revenue, vs €75 million in 2007, representing 4.7% of revenue.

Outlook

The Group is undertaking new large-scale measures to consolidate efficiency gains in the current air transport environment – notably concerning structural costs and manufacturing productivity – as part of the new “SAFRAN +” progress plan.
Currency hedges have been set up for the next three fiscal years. In light of the current unprecedented economic environment and barring any major degradation of the backdrop, SAFRAN envisages:

• 2009 revenue to be on the same scale as for 2008
• Profit from operations to represent between 5% and 6% of revenue.

Appendix

Reconciliation between reported and adjusted data

(1)Restatement of foreign-currency revenue net of purchases (by currency) at the hedged rate, through the reclassification of gains and losses on hedges allocated to cash flows for the period.
(2)Gains and losses on hedges allocated to future cash flows (€545 million before tax) deferred in equity and impact of the inclusion of hedges in the valuation of provisions for losses to completion for €17 million.
(3)Cancellation of amortization / impairment of intangible assets relating to the remeasurement of aircraft programs pursuant to application of IFRS 3, as of April 1, 2005.

The audit of the consolidated financial statements has been completed. Specific procedures and the review of subsequent events after February 17th, 2009 will be performed after the Supervisory board’s meeting on April 15th, 2009. The reader is reminded that only the consolidated financial statements are audited by the group’s statutory auditors and that adjusted financial data is verified with respect to an overall reading of the information that will be provided in the 2008 reference document.

* * *

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs 54,000 people in over 30 countries. It comprises many companies bearing prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and forms part of the SBF 120 and Euronext 100 indices.

PRESS RELEASE

31.07.2009
First half results : proving resilience Confident in achieving upper end of 2009 objectives

Paris, 31 July 2009

The Safran Supervisory Board met on Wednesday, July 29, 2009, with Chairman Francis Mer presiding, to approve the financial statements for the first half of 2009.

Acting on a proposal by Chief Executive Officer Jean-Paul Herteman, and after reading a report by the Appointment Committee, the Supervisory Board appointed four new members to the Executive Board.

First-half 2009 results

All figures in this press release represent adjusted data (see Appendix 1).

• €5,149 million in adjusted consolidated revenue, up 1.8% on the first half of 2008
• Services share of revenues increased to 47% in Aerospace Propulsion revenue and 32% in Aircraft Equipment
• Very strong organic growth in Security business (+30%)
• Profit from recurring operations €324 million, representing 6.3% of revenue
• Earnings per share of €0.70 versus €0.38 in first-half 2008
• Free cash flow up sharply to €164 million, from €39 million in first-half 2008
• Net debt roughly stable at €690 million (representing a gearing of 16%)
  
  Jean-Paul Herteman, Safran’s Chief Executive Officer, stated: "Our first-half 2009 results – which were achieved in a difficult operating environment in the civil aviation sector – are in line with our objectives for the full year and illustrate how resilient the Group’s business model is. The first six months of 2009 saw services increase their share of Aerospace Propulsion and Aircraft Equipment revenue. At the same time, our Security business expanded considerably, resulting in strong organic growth of 30% in a market that gained 15% worldwide. It also saw a sharp rise in profitability, with operating margin coming in at 7.7%. During the period, the Security business also announced the imminent acquisition of GE Homeland Protection, a worldwide leader in airport detection systems.

Jean-Paul Herteman added : "Based on our first-half performance – which was bolstered by the steps we have taken to adapt our cost structure (such as by reducing overheads and streamlining our employee base) – and despite the challenging economic context we feel confident that the Group’s operating margin will come in at around 6%, ie the upper end of the target range set for full-year 2009."

Appointments to the Executive Board

• Ross McInnes, Executive Vice President, Finance

• Olivier Andriès, Yves Leclère et Marc Ventre, Executive Vice Presidents in charge of the Group’s three business branches, respectively Defense – Security, Aircraft Equipment, and Aerospace Propulsion.

These new members join the current members of the Executive Board:

• Jean-Paul Herteman, Chairman
• Dominique-Jean Chertier, Executive Vice President, Social and Institutional Affairs
• Xavier Lagarde, Executive Vice President, Quality, Audit and Risk Management

Analysis of the Group’s results and financial position for the first half 2009 result

Income statement (adjusted data)
(in € millions)	First-Half 2008	First-Half 2008 pro forma**	First-Half 2009
Revenue	5,057	5,017	5,149
Profit from operations*	474		324
Profit from recruiting operations	328	321	324
as a % of revenue	6.5%	6.4%	6.3%
Net financial income/(expense)	(143)		48
of which cost of debt	(3)		(16)
of which other finance costs/income	(140)		64
income from associates	3		7
Income tax expense	(51)		(99)
Profit/(loss) from discontinued operations	(119)		6
Minority interests	(8)		(5)
Net profit attributable to equity holders of the parent	156		281
Earnings per share (in €)	0.38		0.70

* including the €146 million gain arising on the transfer of Monetel business to Ingenico. ** excluding Monetel business sold in April 2008, which results in negative impacts of €40 million on revenue and €7 million on profit from recurring operations for H1 2008.

In first-half 2009, adjusted consolidated revenue rose 1.8% to €5,149 million from €5,057 million in the year-earlier period. At a constant Group structure and exchange rates (like-for-like), revenue contracted 2.6%, reflecting the combination of the following impacts:

Total like-for-like change	-2.6%
Currency impact	+3.8%
Impact of acquisitions	+1.4%
Pro forma growth:	+2,6%
Sale of the electronic payment solutions business in 2008	-0.8%
Reported growth	+1.8%

The impact of acquisitions primarily reflects the first-time consolidation of Sagem Identification (formerly SDU) from September 1, 2008 and Printrak from April 1, 2009 as well as the sale of Monetel business in April 2008. After restatement of H1 2008 by excluding Monetel business, revenue growth was 2.6%.

Despite variable aviation market conditions and declining air traffic levels, consolidated revenue climbed 1.8% on a reported basis, spurred by favorable US dollar exchange rates and a resilient performance from aeronautics services which posted a 3.5% rise in revenue. During the first half of 2009, services contributed 47% to Aerospace Propulsion revenue and 32% to Aircraft Equipment revenue, versus 45% and 31% respectively in the same period of 2008.

These positive factors more than offset the 5% decline in aeronautics original equipment revenue* stemming primarily from lower deliveries of civil aircraft engines, which had been expected after the very high levels achieved in recent periods and the Boeing strike in late 2008.

The Group’s revenue was particularly buoyed by the Security business which reported organic growth of 30% and has incorporated new companies that are high-performing leaders in their sectors, such as Sagem Identification in the Netherlands and Printrak in the United States.

Adjusted profit from recurring operations remained stable in the six months ended June 30, 2009, coming in at €324 millionand representing 6.3% of revenue. It rose €3 million, however, after adjusting first-half 2008 data for the April 2008 sale of Monetel business. During the period, profit from operations felt the benefit of a favorable €38 million currency effect, arising mainly from changes in the hedged EUR/USD rate – which went from 1.46 in first-half 2008 to 1.43 in first-half 2009 – as well as the positive €11 million impact from change in Group scope. Excluding these effects, profit from operations decreased by €46 million. However, this cannot be considered a structural trend, as the basis of comparison (first-half 2008) was particularly strong. The decrease reflects a decline in sales of civil aircraft engines at constant dollar rates together with a slump in original equipment sales in regional and business aircraft segment. It also takes into account the €33 million provision for depreciation of intangible assets linked with the engine program of the A400M. Productivity gains, such as significant overheads savings achieved during the period, mitigated the majority of these effects.

Adjusted net financial result is a positive amount of €48 million versus a negative amount of €143 million in the first half of 2008. The main cash item corresponds to interest charge on net debt which rose to €16 million from €3 million due to the year-on-year change in the amount of net debt. Net financial result for the period also includes the unwinding effect on repayable advances and provisions (a €50 million charge in first-half 2009 compared with a €28 million charge one year earlier). Other components of this line item mainly correspond to the ineffective portion of currency hedging instruments. In first-half 2009 this amount represented a gain of €129 million versus a loss of €109 million in the first six months of 2008. The positive swing in the first half of 2009 primarily arose from (i) the contraction in the difference between EUR and USD interest rates which pushed up the fair value of Group currency hedging instruments during the period; and (ii) the reduction of our portfolio of options which were out of the money throughout the entire period and therefore deemed to be ineffective.

The adjusted income tax expense figure increased to €99 million for first-half 2009 from €51 million in the first six months of 2008 and the effective tax rate was 26%. The higher tax charge is attributable to the rise in net profit from ordinary activities before tax (excluding capital gains), which increased to €372 million from €185 million. The €146 million gain on the sale of the Monetel business to Ingenico was taxed at the reduced rate of 1.72% in first-half 2008.

The rise in income from associates mainly comes from Safran’s 22.3% interest in Ingenico which has been consolidated since the second quarter of 2008.

* also including revenues from R&D contracts and miscellaneous

The Group ended the period with €281 million in net profit attributable to equity holders of the parent versus €156 million in the first six months of 2008. In addition to the rise in net profit from ordinary activities before tax this robust performance reflects the one-off impact in first-half 2008 of losses and restructuring costs recorded in relation to withdrawing from the Communications business.

Earnings per share almost doubled to €0.70.

Research & Development

At €294 million, self-funded R&D (before research tax credits awarded to companies based on their R&D outlay) were slightly lower than the first-half 2008 figure of €305 million and represented 5.7% of consolidated revenue compared with 6.0%. The decrease was mainly due to the tailing off of the R&D program for the SaM146 engine designed for the Russian regional jet, the Sukhoi SSJ 100, whose certification is pending.

Cash flow and financial position

Cash flow and financial position
(in € millions)	First-Half 2008	First-Half 2009
Adjusted attributable net profit	156	281
Depreciation, amortization and provisions	180	304
Other	-103	67
Elimination of discontinued operations	129	4
Cash flow from operations	362	656
Of which premiums on unwound options	(85)	37
Changes in working capital	(42)	(249)
Purchases of intangible assets	(95)	(111)
Purchases of tangible assets	(186)	(132)
Free Cash flow	39	164
Dividends paid (including interim dividends)	(170)	(73)
Divestments/acquisitions and others	199	(146)
Net change in cash and cash equivalents	68	(55)
Net debt at January 1	(169)	(635)
Net debt at June 30	(101)	(690)

Cash flow from operations increased sharply in the first half of 2009, to €656 million from €362 million in the comparable prior-year period. This strong performance mainly reflects the increase in depreciation, amortization and provisions, the positive cash impact of favorable movements in option premiums and significant net repayments of tax surplus.

Free cash flow came to €164 million vs €39 million in the comparable prior-year period, due to sharp increase in cash flow from operations, and despite increase in working capital by €249 million. The latter reflects the impact of the Boeing strike in late 2008 and the one-off effect arising from the implementation in France of the Economic Modernization Act (LME) which imposed a reduction in supplier payment times and is expected to have an adverse €150 million effect on the Group’s working capital for full-year 2009.

Net debt amounted to €690 million, representing 16% of shareholders’ equity (which totaled €4,279 million). The overall stability during the period was primarily due to a good level of free cash flow (€164 million) which globally covered the Group’s main cash outflows, corresponding to the €133 million payment for the acquisition of Printrak and €73 million in remaining dividend payments made in June for fiscal 2008.

Revenue and profit by branch

In order to facilitate comparisons of the Group’s financial performance, the Group has prepared pro-forma figures for first-half 2008 in addition to making adjustments to reflect the sale of Monetel business in April 2008. These pro-forma data factor in the inter-branch reorganisation that have taken place since the beginning of 2009, but have no impact on profit from operations reported by each activity.

All of the following comments are based on pro-forma data.

Aerospace Propulsion :

Adjusted consolidated revenue for Aerospace Propulsion came to €2,769 million in first-half 2009, down 2.8% on the same period of 2008, or 6.9% like-for-like. After two exceptional years, business in the first six months of 2009 was hit by (i) a falloff in the number of CFM engine deliveries (597 units delivered compared with 683 in first-half 2008), which was partly due to the strikes at Boeing in late-2008; and (ii) a limited slowdown in the services business (with worldwide revenue generated by CFM International joint venture in spare parts operations for CFM engines, down 1%). The total number of shop visits for civil aircraft CFM engines decreased to 1,145 in first-half 2009 from 1,228 in the corresponding prior-year period, reflecting a sharp drop in the number of flight hours for first-generation engines versus a 25% increase for more recent models.

Aerospace Propulsion recorded a satisfactory level of profitability during the period considering the current backdrop in the aviation market, with profit from operations coming in at €259 million (9.4% of revenue) against €278 million (9.8% of revenue) in first-half 2008. The decline primarily stemmed from a lower coverage of fixed costs by sales of civil aircraft engines but this impact was partly offset by a favorable currency effect and a robust showing from the military engines business.

Although weighed down by current market conditions, the first-half performance of Aerospace Propulsion testifies to the long-term sustainability of the Group’s business model. The total fleet of delivered CFM engines, net of announced groundings, amounted to 19,200 units compared with around 18,000 in first-half 2008, confirming the future revenue potential of the services business. Services accounted for 47% of total revenue during the period, up from 45% for the first six months of 2008. The proportion of second-generation CFM civil engines (CFM 56 – 5B and 7) out of the total fleet of delivered CFM engines was up significantly, from 48% to 52%; these engines generate much higher service revenue than first-generation engines (primarily the CFM 56 – 3), which represented a lower proportion of the total fleet than in first-half 2008.

Aircraft Equipment :

The Aircraft Equipment activities reported adjusted consolidated revenue of €1,413 million in the six months ended June 30, 2009, up 2.0% on first-half 2008. On a like-for-like basis, however, activities revenue edged back 3.0%. The main positive impacts during the period were (i) a ramp-up in deliveries of A380 nacelles from 30 to 41 units; (ii) a solid performance by services for landing gear, brakes for recent generation aircraft, wheels and related systems, particularly internationally (Asia); and (iii) landing gear and systems designed for the military market.

Conversely, the second-quarter slump in the market for equipment for business and regional aircraft – which account for around 15% of Aircraft Equipment business – adversely affected revenue and profitability during the period. The number of deliveries of nacelles for business and regional aircraft fell to 165 from 285 in first-half 2008. Wiring and landing systems also suffered from the depressed market conditions in this segment.

Profit from operations for the Aircraft Equipment was relatively stable, coming in at €44 million and representing 3.1% of revenue. A favorable currency effect coupled with a good performance from services for landing gear, brakes, wheels and related systems were able to offset the impact of the collapse in the business and regional aircraft market.

Defense :

Adjusted consolidated revenue generated by the Defense branch came to €511 million, up 3.7% on first-half 2008, or 1.8% like-for-like. At €18 million, or 3.6% of revenue, profit from operations for the first six months of 2009 was on a par with the corresponding prior-year period. Avionics reported growth of over 10%, reflecting the smooth roll-out of programs for navigation systems (with deliveries of inertial units up 16%) and guidance systems (AASM, OSF and Mistral 2 missile programs). Optronic applications turned in an overall performance that was on a par with first-half 2008, with the positive impact of firm sales momentum for goggles offset by lower deliveries of land sights.

Security:

Adjusted consolidated revenue for the Security branch jumped to €434 million, up 54.4% on first-half 2008 or 30.4% like-for-like. The main impact of changes in Group structure stemmed from the consolidation of Sagem Identification from September 1, 2008 and Printrak from April 1, 2009. Profit from operations climbed to €33 million from €9 million in the same period of 2008 and operating margin rose to 7.7% from 3.3%.

The branch’s strong performance during the period was driven by (i) sales growth for identity solutions both internationally and in France with the introduction of the new biometric passport by local councils; (ii) the first-time consolidation of new profit-making companies; and (iii) economies of scale. Altogether, these achievements demonstrate how the Group has got its strategy right for the Security business.

Expansion in the Security business with the acquisition of GE Homeland Protection

In April 2009, Safran announced the acquisition of GE Homeland Protection (GE HLP), a global leader in baggage screening equipment. Following the acquisition of Sagem Identification and Printrak, adding GE Homeland will considerably bolster the Group’s position in Security in line with its long term objective for this activity to generate 20% of total consolidated revenue. The transaction is expected to be completed before the end of summer 2009, according to the conditions initially communicated by Safran, and integrated into the Group’s financial results in the second half.

GE HLP – which reported revenue of $260 million in 2008 – provides a range of equipments and services to protect airports, ports, borders and critical infrastructures, for government, military and commercial customers. By acquiring GE HLP, Safran has gained access to tomography, a key technology for detecting explosives and narcotics in baggage, in a move that will foster synergies with the Group’s identity solutions and access control capabilities. GE HLP currently operates around 1,600 machines, representing the world’s largest installed based of computed tomography units and generating a significant stream of service revenue.

GE HLP’s growth outlook is good with a forecast EBITDA margin of 25% for 2009 and average annual revenue growth of over 15% over medium term.

Outlook

Currency hedges

The Group has set up currency hedges for the next three years. At June 30, 2009 the hedging portfolio amounted to €13,700 million with the following average EUR/USD exchange rates: €1 < $1.43 in 2009 €1 < €1.525 in 2010 (40% options) €1 < $1.40 in 2011 €1 < $1.32 in 2012 (partial hedging)

The Group’s objective is to reduce its exchange rate to at least $1.48 in 2010 (versus $1.5250).

Moving ahead and preparing for the future

In early 2009, Safran + set up a new efficiency plan in order to adapt its business to the new economic environment. This plan generated efficiency gains as of the first half of 2009 and enabled the Group to partly offset the impact of lower business volumes. The measures put in place included:

• Optimizing the supply chain: Safran has stepped up its supplier development program enabling it to reduce prices, improve quality and ensure on-time deliveries. In addition, new supply sources in the dollar zone and emerging markets have made the Group less sensitive to fluctuations in the dollar exchange rate and have reduced purchasing costs (particularly in Taiwan and the USA).
• Enhancing productivity: Safran has started to roll out the "Lean Sigma" business improvement model at all of its units and for all of its operations (manufacturing, management and development). Over 200 Green Belt/Black Belt certifications have already been received. In addition, during the period, reorganization plans continue to be implemented at a number of plants (Dijon, Poitiers, Montluçon, Mantes and Fougères in France). Lastly, existing facilities in countries with low labor costs (Poland and Morocco) are strengthened.
• Reducing overheads: the Group has scaled back overheads by cutting travel expenses and increasing the use of Group-wide logistics contracts. Recurring savings amounting to about €20 million were achieved during the period.
• Selling more effectively and accelerating the pace of growth in services: the Group is successfully rolling out Global Care offers for systems services with the objective of generating an additional 20% in revenue from systems support business.

The Group has also taken measures to adapt its cost base in order to counter any further worsening of the economic environment in the near future. These measures include:

• Negotiating with employee representatives with a view to optimizing available human resources in line with changing needs.
• Voluntary retirement for employees aged over 60 – 2,000 people concerned over a two-year period.
• Restricting new hires to key competencies.
• Continuing to selectively use reduced working time.

Outlook for full-year 2009

In an economic environment that remains difficult and volatile, Safran is maintaining its full-year targets for 2009, namely:

• Revenue to be on the same scale as for 2008
• Operating margin coming in at about 6% at the upper range set at the beginning of the year.

These objectives are based on the following assumptions for the full year:

• A forecast 4%-5% reduction in air traffic
• An exchange rate of $1.43 to the euro
• A slight decrease in original equipment business on a constant dollar basis
• Sales of services at constant dollars remaining stable or edging back slightly
• Strong and profitable growth for the Security business
• Ongoing measures to enhance profitability and reduce overheads

In view of the current economic environment the Group does not wish to give any forecasts for 2010 at this stage.

****

APPENDIX 1

Reconciliation between reported and adjusted data

In order to reflect the true economic performance of the Group and enable this performance to be monitored and compared with that of competitors, in addition to its statutory consolidated interim financial statements, Safran prepares an income statement presenting adjusted data.

The Safran group:

• is the result of the May 11, 2005 merger of the Sagem and Snecma groups accounted for in accordance with IFRS 3, Business Combinations, in its statutory consolidated financial statements,
• has recorded, since July 1, 2005, all fair value gains and losses on currency derivatives in net financial income/(expense), in accordance with the provisions of IAS 39 applicable to transactions not qualifying for hedge accounting.
  Consequently, the financial information extracted from the Safran group statutory consolidated financial statements has been adjusted for:
• the impact of applying hedge accounting to currency financial instruments, which better reflects the results of the Group’s overall foreign currency risk management policy
• the impact of amortization charges for intangible assets relating to aircraft programs revalued at the time of the Sagem/Snecma merger in accordance with IFRS 3

The impact of these adjustments on the Group’s income statement items is as follows

(1) Restatement of foreign-currency denominated revenue net of purchases (by currency) at the hedged rate (including premiums on unwound options), through the reclassification of gains and losses on hedges of cash flows for the period. (2) Gains and losses on hedges of future cash flows (a negative €310 million before tax), deferred in equity and the impact of the inclusion of hedges in the valuation of provisions for losses to completion for a negative €3 million. (3) Cancellation of amortization/impairment of intangible assets relating to the revaluation of aircraft programs pursuant to application of IFRS 3 at April 1, 2005.

Only the consolidated interim financial statements are subject to a limited review by the Group’s Statutory Auditors. The adjusted data are verified by the Auditors as part of their review of all of the information contained in the interim report for the six months ended June 30, 2009.

APPENDIX 2

Revenue and Profit from operations by activity

* Adjustments made to reflect the sale of the electronic payment solutions business had negative impacts of €40 million on revenue and €7 million on profit from operations.

PRESS RELEASE

08.09.2009
Safran completes acquisition of 81% of GE Homeland Protection

Paris and Fairfield, CT, September 8, 2009

Safran and GE (NYSE: GE) announced today that they have completed the transaction originally announced on April 24, 2009, for Safran to acquire 81% of GE’s Homeland Protection business (GE Homeland Protection). GE will retain a 19% stake in the company, as well as a seat on the Board of Directors. Homeland Protection is a leader in explosive and narcotics detection for aviation safety, checked baggage screening, military & critical infrastructure protection and new growth platforms in Chem/Bio, X-ray and Radiation/Nuclear detection. Safran group’s subsidiary Sagem Sécurité will operate the new business.

***

Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defense and Security. Operating worldwide, the Safran group has 54,500 employees and generated sales exceeding 10 billion euros in 2008. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.2 billion euros in 2008. Safran is listed on NYSE Euronext Paris and its share is part of the SBF 120 and Euronext 100 indexes.
For more information, www.safran-group.com

Sagem Sécurité(Safran Group) is a high-technology company. One of the world’s leading suppliers of identity solutions, Sagem Sécurité focuses on applications including personal rights and flow management, in particular based on biometrics, a sector in which it is the world leader, secure terminals and smart cards. Its integrated systems and equipment are deployed worldwide and contribute to the safety and security of transportation, data, people and states.
For more information, www.sagem-securite.com

GE (NYSE: GE) is a diversified infrastructure, finance and media company taking on the world’s toughest challenges. From aircraft engines and power generation to financial services, medical imaging, and television programming, GE operates in more than 100 countries and employs about 300,000 people worldwide.
For more information, visit the company’s Web site at www.ge.com

PRESS RELEASE

16.10.2009
Safran reports nine-month revenue 2009 (ended September 30, 2009)

• Solid performance in an uncertain civil aerospace environment with nine-month revenue 2009 at Euro 7.5 billion, up 1.2% year-on-year on a reported basis.
  
  
• Services (rechanges et MRO) share of revenue increased to 49% in Aerospace Propulsion and 32% in Aircraft Equipment.
  
  
• Security delivered strong organic and acquisition-driven growth resulting in a reported sales increase of more than 30% at Euro 640 million.
  
  
• Outlook for full year 2009 is confirmed..

---

Paris, October 16, 2009 - Safran (NYSE Euronext Paris: SAF) today reported its revenue for the first nine months of 2009.

All figures in this press release represent adjusted data. In order to reflect the actual economic performance of the Group and enable this performance to be monitored and compared, statutory revenue has been adjusted for the accounting impact of application of hedge accounting to currency financial instruments in order to better reflect the result of the Group’s overall foreign currency risk management.

Third quarter 2009 revenue is provided in Note [1].

Nine-month revenue 2009

For the first nine months of 2009, Safran’s revenue was Euro 7,533 million, compared to a pro-forma Euro 7,406 million, a 1.7% year-over-year increase. Group revenue organically declined by 3.5%. Organic revenue was determined by deducting from 2009 pro-forma figures the contribution of Security activities acquired in 2008 and 2009 and by applying constant exchange rates. Hence, the following calculations were applied:

Acquisitions had an impact of Euro 133 million during the first nine months of 2009, which mainly included the consolidation of:

• Nine months of Sagem Identification (formerly SDU): Euro 86 million
• Six months of Printrak (now MorphoTrack): Euro 22 million
• One month of GE Homeland Protection (now MorphoDetection): Euro 19 million
  
  The favourable currency impact of Euro 252 million for nine months 2009 was mostly a combination of an improvement in the Group’s hedged rate (USD1.43 to the Euro vs. USD1.46 in the year ago period) and of the improved spot rate (USD1.35 to the Euro vs. USD1.52) on sales which are naturally hedged (sales and purchases in the same currency).

Executive commentary

CEO Jean-Paul Herteman commented:

“ Safran recorded a solid performance for the first nine months of 2009 against the backdrop of a weak civil aerospace environment, which demonstrates the resilience of the Group’s business model.

Early in October, we reached the historic landmark of 20,000 CFM engines delivered, making it by far the world’s best selling aircraft engine. In what remains a long cycle industry, we are well positioned to deliver profitable organic growth with more than 6,000 CFM engines in the order book and a large installed base of CFM engines yet to receive their first service.

During the third quarter of 2009, we completed the 81% acquisition of the GE Homeland Protection business, a new milestone in our strategic move into fast growing and profitable Security activities.

Based on the performance for the first nine months of the year, we reiterate our full-year guidance for 2009. ”

Outlook

For full-year 2009, the Group expects revenue to be on the same scale as for 2008 and operating margin to come in at about 6% of revenue.

These objectives are based on several assumptions, unchanged as compared to the end of July (See Note [3]).

Business commentary

Aerospace Propulsion

Revenue for the first nine months of 2009 was down 2.3% pro-forma at Euro 4,113 million, or -6.2% on an organic basis, compared to the year-ago period. After record deliveries in the past two years, OEM CFM engine deliveries stabilized at 918 units compared to 1,013 units in the year ago period, a decline attributed to the impact of the Boeing strike in late 2008 and to the current market environment. The order flow remained satisfactory by historic standards for the nine-month period.

The service growth for recent engine programs (CFM56 –5B/-7) partly offset the quicker than anticipated erosion of services for older generation engines (CFM56 –2/-3/-5A/-5C). The total number of shop visits for CFM-equipped civil aircraft decreased to 1,745 as compared to 1,856 in 2008, the sales impact of which was partly offset by a favourable mix towards a higher proportion of second generation engines with higher material revenue per shop visit.

The slowdown in the service business remains limited with worldwide CFM International spare parts revenue down 2.6% in USD terms.

For the first nine months of 2009, service revenue increased from 45.0% to 49.0% of Aerospace Propulsion sales, benefiting from a robust contribution from military and helicopter engines, as well as from high-thrust recent civil engines.

Aircraft Equipment

The Aircraft Equipment segment reported nine-month 2009 revenue of Euro 2,021 million, almost flat on a pro-forma basis (-0.1%), or 4.4% lower on an organic basis, compared to the year-ago period. Revenue was affected by the depressed market conditions in the business aircraft segment, which account for 10% of Aircraft Equipment business. The number of deliveries of small nacelles fell to 256 units from 450 in 2008.

These impacts were partially mitigated during the period by a continued ramp-up in deliveries of A380 nacelles from 44 units in 2008 to 64 units this year, and a solid performance in services particularly in Asia (landing gear, brakes, wheels).

For the first nine months of 2009, service revenue increased from 31.5% to 31.9% of Aerospace Equipment sales, benefiting from a strong contribution from landing gear and braking systems.

Defence

Nine-month 2009 revenue was up 2.1% pro-forma at Euro 727 million, showing 0.5% organic growth, compared to the same period last year.

Security

The Security branch reported nine-month 2009 revenue of Euro 640 million, up 43.8% on a pro-forma basis, which was partly due to the consolidation of Sagem Identification, Printrak and GE Homeland Protection. Organic growth was 15.7% thanks to ID solutions (French and international contracts). An organic slowdown was registered in the third quarter of 2009 compared to the same period a year ago, however, this was not unexpected considering the lumpy nature of the phasing of certain long-term government contracts.

Upcoming events

Full year 2009 results : February 25, 2010
Annual Shareholders Meeting : May 27, 2010

Safran will host today an audio webcast for analysts and investors at 9:00 a.m. Paris time (8:00 a.m. London), which can be accessed at +33 1 72 28 08 88 from France and +44 161 601 8912 from the UK. A replay will be available until October 30, 2009 at +44 207 075 3214 or +1 866 828 2261; access code is 302044#.

Notes

(1) - Revenue for the third quarter 2009

(2) - Pro-forma data

The pro-forma data reflects

• The exit of the Monetel business (Security branch) for the first quarter 2008 revenue (Euro 40 million).
• The reclassification of certain activities further to the internal reorganization realized between the branches in the first quarter 2009
  
  

(3) - Underlying assumptions for the full year 2009 outlook

• A forecast 4-5% reduction in air traffic
• An hedged rate of USD1.43 to the Euro
• A slight decrease in original equipment business on a constant dollar basis
• Sales of services at constant dollars remaining stable or edging back slightly
• Strong and profitable growth for the Security business
• On-going measures to enhance profitability and reduce overheads

(4) - 2009 revenue data by quarter

****

Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defence and Security. Operating worldwide, the Safran group has 54,500 employees and generated sales exceeding 10 billion euros in 2008. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.2 billion euros in 2008. Safran is listed on NYSE Euronext Paris and is part of the SBF 120 and Euronext 100 indexes.

PRESS RELEASE

13.11.2009
Safran : bond issue project

Paris, November 13, 2009

In the context of a potential bond issue, Safran has updated the public information related to the Group in a presentation available in the “Finance” section on the Group’s website: www.safran-group.com.

This press release does not constitute an offer of securities for sale nor the solicitation of an offer to purchase securities in the United States or in any other jurisdiction. The securities may not be offered or sold in the United States, except pursuant to an exemption from the registration requirements of the Securities United States Securities Act of 1933, as amended. Safran does not intend to register any portion of an offering in the United States or to conduct a public offering in the United States.

****

Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defense and Security. Operating worldwide, the Safran group has 54,500 employees and generated sales exceeding 10 billion euros in 2008. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.2 billion euros in 2008. Safran is listed on NYSE Euronext Paris and its share is part of the SBF 120 and Euronext 100 indexes.

For more information, www.safran-group.com

PRESS RELEASE

19.11.2009
Safran successfully launches its inaugural bond issue: Euro 750 million five-year bonds

Paris, November 19, 2009 - Safran (NYSE Euronext Paris : SAF) today launched and priced successfully a Euro 750 million, five-year inaugural bond issue (due in November 2014), with an annual coupon of 4.00%.

The order book reached more than Euro 2.3 billion in one hour, demonstrating the confidence that investors have in the Group’s strategy and development.

This bond issue will enable Safran to diversify its funding sources, to lengthen the maturity of its debt profile and to give the Group the means to continue its growth. The funds will be used for the Group’s general corporate purposes.

The long-term debt of the Group is not rated and Safran has not asked for a rating of this issue.

The bonds will be listed on Euronext Paris from November 26, 2009.

The Joint-Bookrunners of this bond issue are BNP PARIBAS, CALYON Crédit Agricole CIB, The Royal Bank of Scotland and Société Générale Corporate & Investment Banking.

****

Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defence and Security. Operating worldwide, the Safran group has 54,500 employees and generated sales exceeding 10 billion euros in 2008. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.2 billion euros in 2008. Safran is listed on NYSE Euronext Paris and is part of the SBF 120 and Euronext 100 indexes.
For more information, www.safran-group.com

PRESS RELEASE

18.02.2009
Safran wheels, carbon brakes and electrical wiring chosen for Airbus A350XWB

Paris, February 18, 2009

Airbus has selected two SAFRAN Group companies, Messier-Bugatti and Labinal, to design, develop and manufacture critical systems and equipment for its new A350XWB long-haul commercial jet.

Messier-Bugatti will supply the wheels and carbon brakes, based on Sepcarb®III OR carbon disks, today’s benchmark, with the lowest rate of wear and best friction performance in the world. Messier-Bugatti will also supply the two nose wheels and eight main wheels for the different versions of this aircraft. The wheels and brakes for the A350XWB will be “eco-designed” and “eco-produced”, in particular using hydro-soluble paints and completely eliminating chrome.

Messier-Bugatti had already been selected in February 2008 to provide all landing and braking control systems for this new family of commercial jets: braking, steering, landing gear extension/retraction and wheel, brake and landing gear monitoring.

The contract won by Labinal covers a comprehensive electrical package for the new A350XWB. The company is responsible for the integrated design and build of the Electrical Wiring Interconnect System package for the entire A350XWB fuselage.

Labinal’s proven production and engineering capabilities, end-to-end processes and technological expertise were decisive factors in the decision by Airbus to award this large-scale contract.

“We are very proud to be selected as a key partner on the A350XWB program,” said Yves Leclère, SAFRAN Executive Vice President, Aircraft Equipment branch. “SAFRAN’s major role on this aircraft, reflected in these two latest contracts, clearly confirms the longstanding relationship of mutual trust between our two companies.”

With these two contracts, along with that won by Messier-Dowty for the landing gear, the A350XWB will generate total sales for SAFRAN of approximately $11 billion.

***

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs about 54,000 people in over 30 countries and generates revenue of more than €10 billion. It comprises many companies with prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and its share is included in the SBF 120 and Euronext 100 indices.

PRESS RELEASE

06.04.2009
SAFRAN completes acquisition of Motorola’s biometrics business

Paris and Schaumburg, IL - April 7, 2009

SAFRAN and Motorola, Inc. (NYSE: MOT) announced today that they have completed the previously-announced sale of Motorola’s biometric business unit, including the Printrak trademark, to SAFRAN through its wholly owned subsidiary, Sagem Sécurité.

SAFRAN, with approximately $15 billion in revenue in 2008, is an international high-technology group. SAFRAN has been operating in the U.S. for 30 years and is a world leader in a number of industrial segments, including aircraft engines through the 35-year CFM International Joint Venture with General Electric Company, and also supplies aircraft components used on many U.S. military platforms as well as civil aviation customers. Its largest U.S. customer is Boeing and it has significant relationships with other U.S. aerospace companies. SAFRAN operates in aerospace propulsion, aircraft equipment, and defense and security.

Products incorporating SAFRAN’s technology have been used for over 20 years by the U.S. Air Force, U.S. Navy, U.S. Army, U.S. Marine Corps, U.S. Coast Guard and NASA. Representative products today include KC-135R Stratotanker C-17 Globemaster, F/A-18, F-16, F-22, V-22 and C-130. SAFRAN is party to over 100 technical assistance agreements (TAAs) and manufacturing licence agreements (MLAs), has 22 empowered corporate officials dedicated to export control and regulations and is committed to full compliance to such requirements and implements internal policies and procedures to this end.
SAFRAN has more than 54,000 employees in over 30 countries, including 3,200 employees in the U.S. with facilities and offices in 42 locations across 19 states.

Sagem Sécurité is one of the world’s leading suppliers of identity systems, Sagem Sécurité focuses on applications including personal rights and flow management, in particular based on biometrics, secure terminals and smart cards. Its integrated solutions are deployed worldwide and contribute to the safety and security of transportation, data, people and states. Sagem Sécurité is a fast growing company with an annual growth over 15 % in the last two years.
Sagem Sécurité is already present in the US through Sagem Morpho, Inc. which develops and sells secure identification systems incorporating various biometric technologies including fingerprint, palm prints, iris and facial recognition either through OEM relationships with major U.S. integrators such as Northrop Grumman and Lockheed Martin, or through its own direct relationships with customers. SMI’s U.S. customers for these systems include both law enforcement and civil agencies such as New York State Division of Criminal Justice Services, Missouri State Highway Patrol, New York State Office of Temporary and Disability Assistance, U.S. Drug Enforcement Agency, New York Police Department Central Records Division,, FBI Latent Laboratory, FBI Criminal Justice Information Services, U.S. Army Crime Lab).
Sagem Sécurité has 4,300 employees in over 24 countries in 2008.

Motorola is known around the world for innovation in communications and is focused on advancing the way the world connects. From broadband communications infrastructure, enterprise mobility and public safety solutions to high-definition video and mobile devices, Motorola is leading the next wave of innovations that enable people, enterprises and governments to be more connected and more mobile. Motorola (NYSE: MOT) had sales of US $30.1 billion in 2008.

PRESS RELEASE

05.05.2009
Ross McInnes named SAFRAN Executive Vice President, Economic and Financial Affairs

Paris, 5 May 2009

Ross McInnes will join the SAFRAN group as Executive Vice President, Economic and Financial Affairs. A specialist in major international industrial groups, Ross McInnes, 55, holds dual French-Australian citizenship. He will replace Noël Gauthier in this position.

Ross McInnes’ appointment as Executive Vice President, Economic and Financial Affairs will take effect following the Annual General Meeting of Shareholders on May 28, 2009.

After graduating from Oxford, Ross McInnes started his career with Kleinwort Benson in London. From 1980 to 1989 he held several positions in the corporate finance arm of Continental Bank (which became part of Bank of America), working in London, Chicago and Paris. In 1989 he moved to the industrial sector by joining Eridania Beghin-Say. He was named chief financial officer of this company in 1991, and was appointed to the Board of Directors in 1999. The following year he moved to Thomson-CSF (now Thales) as Senior Vice President and CFO, playing a major role in the company’s transformation. In 2005 he moved to PPR as senior vice president for finance and strategy, before joining the Supervisory Board of Générale de Santé in 2006. On request from this Board he served as interim Chairman of the Management Board from March to June 2007.

From then until this latest appointment, Ross McInnes was Vice Chairman of Macquarie Capital Europe, a company specialized in infrastructure investments.

Commenting on this appointment, SAFRAN CEO Jean-Paul Herteman said: “Ross McInnes has had a sterling career at both major industrial groups and financial establishments. His international profile will be a significant advantage for our development, and makes him the perfect successor to Noël Gauthier, who had held this position since the creation of the Group in 2005.”

Noël Gauthier, 63, will carry out a major international mission for the Group following the Annual General Meeting of Shareholders.

***

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs about 54,000 people in over 30 countries and generates revenue of more than €10 billion.
It comprises many companies with prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and its share is included in the SBF 120 and Euronext 100 indices.

PRESS RELEASE

18.06.2009
SAFRAN receives 300 millions euros loan from European Investment Bank to develop even cleaner engines

18 June 2009

At the 2009 Paris Air Show, European Investment Bank Vice President Philippe de Fontaine Vive and SAFRAN Chief Executive Officer Jean-Paul Herteman signed a contract to provide 300 million euros in financing to the SAFRAN group for the development of a new generation of cleaner aircraft engines.

The EIB loan will be used to finance Research & Development on aircraft engines that use less fuel and are friendlier to the environment. SAFRAN group company Snecma is aiming to develop a successor to the CFM56 engine (jointly produced with General Electric), designed for single-aisle commercial jets with 110 to 210 seats, that will offer a 16% reduction in fuel consumption, 15 to 20 decibel decrease in noise, and 60% reduction in oxides of nitrogen (NOx). At the same time, Snecma is also working on a disruptive technology, the open rotor configuration, that would eventually reduce both fuel consumption and CO2 emissions by more than 25%. The total cost of the R&D project is estimated at 600 million euros.

This is the first loan granted to the aerospace industry that is in line with the European Clean Transport Facility (ECTF), a financing program launched by the EIB last December to support Europe’s economic recovery plan and the long-term fight against climate change. ECTF loans have already been approved for manufacturers of cars and trucks and their suppliers.

“I am delighted that the EIB can support SAFRAN’s efforts to develop cleaner aircraft engines,” said Philippe de Fontaine Vive, who is in charge of EIB financing programs in France. “Europe needs to pursue high value-added research activities despite the recession if we want to remain competitive. Making aviation more environmentally friendly will benefit everybody.”

SAFRAN CEO Jean-Paul Herteman said: “I am very pleased with this latest mark of confidence by the EIB, which will help us finance R&D for a new generation of aircraft engines. The technological breakthroughs in this program, a major one for SAFRAN, are the result of extensive and ongoing basic research. SAFRAN is very proud of our long-term relationship with this prestigious institution, which has already provided financing for several Group projects in the space and civil aviation sectors.”

***

Background:

EIB is the long-term lending arm of the European Union, and is wholly owned by the 27 EU member states. Its aim is to contribute to the integration, balanced economic development and economic and social cohesion of EU member states. It does this mainly by providing loans from funds raised on capital markets on favourable terms thanks to its AAA credit rating. In 2008 the EIB signed loans totalling EUR 57.6 bn; EUR 51.5 bn was for projects within the European Union, of which 4.7 bn in France. The Bank permanently adapts its activity to developments in EU policy. In December 2008 the EIB committed itself to increase exceptionally its lending in the EU by 30 percent in 2009 and 2010 to help offset the effects of the global economic crisis, with a focus on SMEs and mid-cap companies, energy and climate change, including clean transport, and convergence regions. In the first five months of 2009 it has signed loans worth more than EUR 20 bn (or 72 percent more than in the same period in 2008) and has approved EUR 5.2 bn in loans for cleaner vehicles, thereof EUR 3.5 bn under ECTF.

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs about 54,000 people in over 30 countries and generates revenue of more than €10 billion. It comprises many companies with prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and its share is included in the SBF 120 and Euronext 100 indices.

CONTACTS SAFRAN

PRESS RELEASE

21.12.2009
Safran selected as COMAC partner on China’s C919 150-seat aircraft

Paris, December 21, 2009

The advanced new LEAP-X1C engine offered by Safran and General Electric through their CFM International joint venture has been selected as the sole western powerplant by COMAC (Commercial Aircraft Corporation of China, Ltd.) for its new 150-seat aircraft, the C919. COMAC opted for a complete propulsion system including the engine itself, the nacelle and the thrust reversers. The nacelle, an integral part of CFM’s offer, will be produced by Nexcelle, also a joint venture between Safran (Aircelle) and GE (MRAS). COMAC expects its new aircraft to enter service in 2016.

The contract was signed today in Beijing by Eric Bachelet, President and CEO of CFM International, and Zhang Qingwei, Chairman of COMAC. Also attending the ceremony were the prime ministers of France and China, François Fillon and Wen Jiabao.

Jean-Paul Herteman, Chief Executive Officer of Safran, said: “China will represent the world’s largest aviation market within a few years. We are very proud of our selection by COMAC, and of having this opportunity to contribute to the success of a new world-class aircraft. The selection of the Safran-GE alliance on the C919 is the culmination of our strategy based on partnerships and operations in China reaching back over 30 years. Our latest success confirms Safran’s excellent position in the commercial aviation market, especially in the single-aisle jet segment.”

Zhang Qingwei, Chairman of the Board of COMAC, added: “The quality of the proposal was decisive in our selection. We are delighted to form this major partnership with a group that has largely demonstrated its excellence in aeronautical technologies, and has been able to construct a long-standing relationship of mutual trust with our country, spanning both business and industrial aspects.”

* * *

COMAC (Commercial Aircraft Corporation of China, Ltd.) is the Chinese commercial aircraft manufacturer established in May 2008.
For more information, www.comac.cc

Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defense and Security. Operating worldwide, the Safran group has 54,500 employees and generated sales exceeding 10 billion euros in 2008. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.2 billion euros in 2008. Safran is listed on NYSE Euronext Paris and its share is part of the SBF 120 and Euronext 100 indexes.
Safran operates several industrial facilities and joint ventures in China, located in Beijing, Shanghai, Suzhou, Chengdu, Guiyang, Yangzhou.
For more information, www.safran-group.com

CONTACTS SAFRAN

PRESS RELEASE

Top of page

SAFRAN acquires majority stake in GE Homeland Protection, bolstering ties with General Electric

Quy NGUYEN-NGOC | Director, Investor Relations and Financial Communication | Tel +33(0)1 40 60 80 45 | Fax +33 (0)1 40 60 84 36 | Email :quy.nguyen-ngoc@safran.fr



Catherine MALEK | Press Relations Manager | Tél +33 (0)1 40 60 80 28 | Fax +33 (0)1 40 60 80 26 | Email:catherine.malek@safran.fr

SAFRAN Group

2, bd du Général Martial Valin
75724 Paris Cedex 15 – France

Paris, April 24, 2009

SAFRAN announced today that it has acquired 81% of GE Homeland Protection, a wholly owned affiliate of the General Electric Company (NYSE:GE). GE Homeland Protection is a leader in tomography-based detection systems for hazardous or illicit substances in baggage. Through this acquisition Sagem Sécurité, a wholly owned subsidiary of SAFRAN becomes a leading global player in airport security solutions.

SAFRAN is carrying out this acquisition in partnership with General Electric, which retains a 19% stake in the company and a seat on the Board of Directors. Through this new partnership, the Homeland Protection business will continue to benefit from the advanced technologies developed by GE Healthcare and from the expertise of the GE research center.

SAFRAN is acquiring an 81% stake in GE Homeland Protection for $580 million.

Homeland Protection provides equipment and services to protect airports, ports, borders and critical infrastructures, for Government, military and commercial customers. It is a leader in tomography-based technology for detection of hazardous or illicit substances in checked baggage, with the largest worldwide installed base of approximately 1,600 machines. The business also provides services for its installed base, which generate approximately 60% of total revenues. Homeland Protection’s latest product, the CTX 9800, certified by the Transportation Security Administration (TSA) in March 2009, offers the highest resolution and the highest throughput system in the industry. Homeland Protection is also a leading provider of Trace equipment.

GE Homeland Protection has approximately 780 employees, including 150 in Research & Development, located in the U.S., Europe and Asia, and posted sales of about $260 million in 2008. It has posted sales in 2009 in line with growth objectives for the year.

By acquiring GE Homeland Protection, SAFRAN also acquires leading-edge technology to support its development in an industry characterized by:

• Recurring revenue generated by service of the installed base.

• Growth: the explosives and narcotics detection market, today estimated at approximately $2.4 billion, is headed for strong short and medium-term growth. The U.S. stimulus package includes a budget of approximately $700 million for checked baggage infrastructure and equipment, while new regulations in Europe require Standard 3 (tomography-like) detection equipment to be purchased from 2012 with complete replacement to Standard 3 equipment by 2018.

Combining Homeland Protection’s detection capabilities with Sagem Sécurité’s (SAFRAN Group) identity solutions will enable SAFRAN to provide a differentiated, seamless and integrated offering to customers.

Jean-Paul Herteman, CEO of SAFRAN, said: “Following our 2008 acquisitions of SDU-Identification (a Dutch manufacturer of secure passports and ID documents) and Motorola’s biometrics business (Printrak brand), adding GE Homeland Protection will significantly bolster our Group’s third core business. This makes SAFRAN a pivotal player in the security market, a business that will generate 20% of the Group’s total revenues in the medium term, with double-digit profit perspectives and reducing exposure to aerospace cycles. Furthermore, this transaction is the latest step in our long-standing relationship of mutual trust and partnership with GE that reaches back some 35 years.”

Jean-Paul Jainsky, Chairman and CEO of Sagem Sécurité, added: “There is growing demand from both governments and private industry for cutting-edge security solutions, based on long-term projects anchored in advanced, very-high-reliability technologies. From this standpoint, the SAFRAN Group is in a perfect position to meet today’s most demanding public security requirements.”

Dennis Cooke, President and CEO of GE Homeland Protection said: “This is a great move for our Homeland Protection business. Our business has a strong leadership team, dedicated and talented employees, innovative technology, a large installed base and a strong brand. This move aligns Homeland Protection with a business that is committed to globalization and further investment in new detection technologies and new products for the Homeland Security space.”

The transaction is expected to be finalized by mid 2009, pending customary regulatory approvals.

*****

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs about 54,000 people in over 30 countries and generates revenue of more than €10 billion. It comprises many companies with prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and its share is included in the SBF 120 and Euronext 100 indices.

Sagem Sécurité (SAFRAN Group) is a high-technology company. One of the world’s leading suppliers of identity solutions, Sagem Sécurité focuses on applications including personal rights and flow management, in particular based on biometrics, a sector in which it is the world leader, secure terminals and smart cards. Its integrated systems and equipment are deployed worldwide and contribute to the safety and security of transportation, data, people and states. Sagem Sécurité has 4,300 employees in over 24 countries in 2008.

GE Security, Inc. is a wholly owned affiliate of the General Electric Company (NYSE: GE) focused on communication and information technologies for security and life safety solutions. GE Security has more than 5700 employees with operations in over 26 countries and is represented by some of the best-known brand names for intrusion and fire detection, access and building control, video surveillance, explosives and drug detection, key management and structured wiring. GE Homeland Protection, Inc. is focused on explosives and narcotics detection and has approximately 780 employees worldwide.

 o o o o o o o 

Caution Concerning Forward-Looking Statements This document contains "forward-looking statements" - that is, statements related to future, not past, events. In this context, forward-looking statements often address our expected future business and financial performance, and often contain words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," or "will." Forward-looking statements by their nature address matters that are, to different degrees, uncertain. For us, particular uncertainties which could adversely or positively affect our future results include: the behavior of financial markets, including fluctuations in interest rates and commodity prices; strategic actions, including dispositions; future integration of acquired businesses; future financial performance of major industries which we serve, including, without limitation, the air and rail transportation, energy generation, media, real estate and healthcare industries; unanticipated loss development in our insurance businesses; and numerous other matters of national, regional and global scale, including those of a political, economic, business, competitive and regulatory nature. These uncertainties may cause our actual future results to be materially different than those expressed in our forward-looking statements. We do not undertake to update our forward-looking statements.

Ordinary and extraordinary shareholders’ meeting

Quy NGUYEN-NGOC | Director, Investor Relations and Financial Communication | Tel +33(0)1 40 60 80 45 | Fax +33 (0)1 40 60 84 36 | Email :quy.nguyen-ngoc@safran.fr



Catherine MALEK | Press Relations Manager | Tél +33 (0)1 40 60 80 28 | Fax +33 (0)1 40 60 80 26 | Email:catherine.malek@safran.fr

SAFRAN Group

2, bd du Général Martial Valin
75724 Paris Cedex 15 – France

All of the resolutions were adopted Dividend payment of €0.25 per share

Paris, May 28, 2009

SAFRAN’s Ordinary and Extraordinary Shareholders’ Meeting, chaired by Mr Francis Mer, took place today at Théâtre Marigny in Paris on May 28, 2009

All of the resolutions submitted to shareholders for approval at the meeting were adopted by a large majority.

SAFRAN shareholders approved the 2008 consolidated financial statements and decided on the payment of a dividend of €0.25 per share. After taking into account the interim dividend of €0.08 per share paid on December 15, 2008, a balance of €0.17 per share remains to be paid. This balance will be paid on June 8, 2009.

Financial agenda :

Ex-dividend: June 3, 2009 Payment of the balance of dividend: June 8, 2009 2009 interim results: July 30, 2009

***

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs about 54,000 people in over 30 countries. It comprises many companies bearing prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and forms part of the SBF 120 and Euronext 100 indices.

Results for full-year 2008 in line with forecasts - Major strengths to meet the challenges of 2009

Analyst and Investor contact :

Quy NGUYEN-NGOC | Director of Investor Relations and Financial Communication | Tel +33(0)1 40 60 80 45 | Fax +33 (0)1 40 60 84 36 | Email:quy.nguyen-ngoc@safran.fr

Press Contact :

Catherine MALEK | Press relation Manager | Tel +33 (0)1 40 60 80 28 | Fax +33 (0)1 40 60 80 26 | Email:catherine.malek@safran.fr

Groupe SAFRAN, 2, bd du Général Martial Valin 75724 Paris Cedex 15 – France

Paris, 18 February 2009

Key figures 2008(*) All figures in this press release represent adjusted data (see appendix).

(As of 31 December)

(1) Reported revenue for the year ended December 31, 2007, which included the communication branch, amounted to €12,003 million and profit from operations totaled €706 million. The 2007 results presented above have been restated for the purpose of meaningful comparison with results for 2008.
(2) €146 million gain arising on the transfer of Monetel business to Ingénico.
(3) loss and exit cost of the divestment of the communication branch

(*) Data presented in accordance with IFRS 5, with the communication branch reclassified in discontinued operations

Jean-Paul Herteman, SAFRAN’s Chief Executive Officer, stated:

"The Group met its financial and strategic targets for 2008. Profit from recurring operations amounted to €652 million including a €646 million negative currency effect. Orders remained very strong and we took a number of significant steps during the year to implement our strategy of refocusing and expanding our business as a major equipment supplier (Tier-1) for the aeronautics, defense and security sectors.
These steps included:

• Definitively withdrawing from the communications, ie broadband and mobile phone businesses, which was achieved in line with the planned financial and social conditions.
• Adapting the Group’s organizational structure in order to consolidate its skills in embedded electronical systems and power electronics, and to combine services and OE activities in civil engine business.
• Carrying out targeted acquisitions in the security industry via the purchase of SDU, a leading European supplier of secure identification documents, and Printrak (Motorola’s US-based biometrics business).

The size of the Group’s installed fleet, the competitive positioning of its products and technologies and the excellence of its transatlantic partnership with GE, which has been recently renewed until 2040, are all major strengths for SAFRAN in the current economic situation. In addition, Group’s improvement plan has been reinforced to reduce structural costs and enhance manufacturing productivity. 2009 will be a year of challenges which SAFRAN will be able to face and will emerge from even stronger."

Group results

CFM56 order backlog amounted to 6,600 engines, more than 5 years’ worth of production, and revenue generated by services in aeronautics, up in 2008, accounted for 46% of overall revenue for Aerospace Propulsion and 31% for Aircraft Equipment.

Revenue increased 9.4% year-on-year at comparable scope and exchange rates, driven by the Aircraft Equipment and Security businesses.
Profit from recurring operations came to €652 million compared with €787 million in 2007. It included a €646 million negative US dollar currency impact (€1 = $1.45 in 2008 versus €1 = $1.21 in 2007).
Net profit totaled €256 million vs €406 million in 2007. It has been negatively impacted by a €233 million expense arising on the divestment of the mobile phones business.
Net debt amounted to €635 million compared with €169 million at December 31, 2007. This increase was mainly due to the share buyback program and the acquisition of SDU Identification, which has been renamed Sagem Identification.
A dividend of €0.25 per share (including an €0.08 interim dividend paid in December 2008) will be submitted to shareholders for approval at the Annual General Meeting to be held on May 28, 2009.

Results by branch

• Aerospace Propulsion Revenue amounted to €5,803 million vs 5,917 million in 2007. Year-on-year revenue growth came to 5.5% at comparable scope and exchange rates. Sales volumes for spare parts rose 12% despite the more difficult economic context in the second half of the year. Profit from operations amounted to €584 million, representing 10.1% of revenue, taking into account a negative currency effect of €422 million, vs €636 million in 2007, representing 10.7% of revenue.

• Aircraft Equipment Revenue amounted to €2,856 million vs €2,703 million in 2007, up 17.5% at comparable scope and exchange rates. The year 2008 saw strong growth in this branch. Profit from operations was impacted by additional delays in certain new Airbus and Boeing programs in the second half of the year. It totaled €60 million, representing 2.1% of revenue, after an negative currency effect of €213 million, vs €112 million in 2007, representing 4.1% of revenue.

• Defense Security Revenue amounted to €1,646 million vs €1,596 million in 2007, up 9.2% at comparable scope and exchange rates. This rise was spurred, on the one hand by land combat business (the Félin infantry soldier system) and optronic sight equipment, which posted growth of 23% and 17% respectively, and on the other hand by identification solutions activities which posted a 33% surge in revenue. Profit from operations totaled €72 million (excluding €146 million gain arising on the transfer of Monetel business to Ingénico) representing 4.4% of revenue, vs €75 million in 2007, representing 4.7% of revenue.

Outlook

The Group is undertaking new large-scale measures to consolidate efficiency gains in the current air transport environment – notably concerning structural costs and manufacturing productivity – as part of the new “SAFRAN +” progress plan.
Currency hedges have been set up for the next three fiscal years. In light of the current unprecedented economic environment and barring any major degradation of the backdrop, SAFRAN envisages:

• 2009 revenue to be on the same scale as for 2008
• Profit from operations to represent between 5% and 6% of revenue.

Appendix

Reconciliation between reported and adjusted data

(1)Restatement of foreign-currency revenue net of purchases (by currency) at the hedged rate, through the reclassification of gains and losses on hedges allocated to cash flows for the period.
(2)Gains and losses on hedges allocated to future cash flows (€545 million before tax) deferred in equity and impact of the inclusion of hedges in the valuation of provisions for losses to completion for €17 million.
(3)Cancellation of amortization / impairment of intangible assets relating to the remeasurement of aircraft programs pursuant to application of IFRS 3, as of April 1, 2005.

The audit of the consolidated financial statements has been completed. Specific procedures and the review of subsequent events after February 17th, 2009 will be performed after the Supervisory board’s meeting on April 15th, 2009. The reader is reminded that only the consolidated financial statements are audited by the group’s statutory auditors and that adjusted financial data is verified with respect to an overall reading of the information that will be provided in the 2008 reference document.

* * *

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs 54,000 people in over 30 countries. It comprises many companies bearing prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and forms part of the SBF 120 and Euronext 100 indices.

First half results : proving resilience Confident in achieving upper end of 2009 objectives

Investors and Analysts contact :

Quy NGUYEN-NGOC

Director, Investor Relations and Financial Communication

Tel +33(0)1 40 60 80 45

Fax +33 (0)1 40 60 84 36

quy.nguyen-ngoc@safran.fr



Press Contact:

Catherine MALEK

Media Relations Manager

Tél +33 (0)1 40 60 80 28

Fax +33 (0)1 40 60 80 26

catherine.malek@safran.fr



Safran Group

2, bd du Général Martial Valin

75724 Paris Cedex 15 – France

Paris, 31 July 2009

The Safran Supervisory Board met on Wednesday, July 29, 2009, with Chairman Francis Mer presiding, to approve the financial statements for the first half of 2009.

Acting on a proposal by Chief Executive Officer Jean-Paul Herteman, and after reading a report by the Appointment Committee, the Supervisory Board appointed four new members to the Executive Board.

First-half 2009 results

All figures in this press release represent adjusted data (see Appendix 1).

• €5,149 million in adjusted consolidated revenue, up 1.8% on the first half of 2008
• Services share of revenues increased to 47% in Aerospace Propulsion revenue and 32% in Aircraft Equipment
• Very strong organic growth in Security business (+30%)
• Profit from recurring operations €324 million, representing 6.3% of revenue
• Earnings per share of €0.70 versus €0.38 in first-half 2008
• Free cash flow up sharply to €164 million, from €39 million in first-half 2008
• Net debt roughly stable at €690 million (representing a gearing of 16%)
  
  Jean-Paul Herteman, Safran’s Chief Executive Officer, stated: "Our first-half 2009 results – which were achieved in a difficult operating environment in the civil aviation sector – are in line with our objectives for the full year and illustrate how resilient the Group’s business model is. The first six months of 2009 saw services increase their share of Aerospace Propulsion and Aircraft Equipment revenue. At the same time, our Security business expanded considerably, resulting in strong organic growth of 30% in a market that gained 15% worldwide. It also saw a sharp rise in profitability, with operating margin coming in at 7.7%. During the period, the Security business also announced the imminent acquisition of GE Homeland Protection, a worldwide leader in airport detection systems.

Jean-Paul Herteman added : "Based on our first-half performance – which was bolstered by the steps we have taken to adapt our cost structure (such as by reducing overheads and streamlining our employee base) – and despite the challenging economic context we feel confident that the Group’s operating margin will come in at around 6%, ie the upper end of the target range set for full-year 2009."

Appointments to the Executive Board

• Ross McInnes, Executive Vice President, Finance

• Olivier Andriès, Yves Leclère et Marc Ventre, Executive Vice Presidents in charge of the Group’s three business branches, respectively Defense – Security, Aircraft Equipment, and Aerospace Propulsion.

These new members join the current members of the Executive Board:

• Jean-Paul Herteman, Chairman
• Dominique-Jean Chertier, Executive Vice President, Social and Institutional Affairs
• Xavier Lagarde, Executive Vice President, Quality, Audit and Risk Management

Analysis of the Group’s results and financial position for the first half 2009 result

Income statement (adjusted data)
(in € millions)	First-Half 2008	First-Half 2008 pro forma**	First-Half 2009
Revenue	5,057	5,017	5,149
Profit from operations*	474		324
Profit from recruiting operations	328	321	324
as a % of revenue	6.5%	6.4%	6.3%
Net financial income/(expense)	(143)		48
of which cost of debt	(3)		(16)
of which other finance costs/income	(140)		64
income from associates	3		7
Income tax expense	(51)		(99)
Profit/(loss) from discontinued operations	(119)		6
Minority interests	(8)		(5)
Net profit attributable to equity holders of the parent	156		281
Earnings per share (in €)	0.38		0.70

* including the €146 million gain arising on the transfer of Monetel business to Ingenico. ** excluding Monetel business sold in April 2008, which results in negative impacts of €40 million on revenue and €7 million on profit from recurring operations for H1 2008.

In first-half 2009, adjusted consolidated revenue rose 1.8% to €5,149 million from €5,057 million in the year-earlier period. At a constant Group structure and exchange rates (like-for-like), revenue contracted 2.6%, reflecting the combination of the following impacts:

Total like-for-like change	-2.6%
Currency impact	+3.8%
Impact of acquisitions	+1.4%
Pro forma growth:	+2,6%
Sale of the electronic payment solutions business in 2008	-0.8%
Reported growth	+1.8%

The impact of acquisitions primarily reflects the first-time consolidation of Sagem Identification (formerly SDU) from September 1, 2008 and Printrak from April 1, 2009 as well as the sale of Monetel business in April 2008. After restatement of H1 2008 by excluding Monetel business, revenue growth was 2.6%.

Despite variable aviation market conditions and declining air traffic levels, consolidated revenue climbed 1.8% on a reported basis, spurred by favorable US dollar exchange rates and a resilient performance from aeronautics services which posted a 3.5% rise in revenue. During the first half of 2009, services contributed 47% to Aerospace Propulsion revenue and 32% to Aircraft Equipment revenue, versus 45% and 31% respectively in the same period of 2008.

These positive factors more than offset the 5% decline in aeronautics original equipment revenue* stemming primarily from lower deliveries of civil aircraft engines, which had been expected after the very high levels achieved in recent periods and the Boeing strike in late 2008.

The Group’s revenue was particularly buoyed by the Security business which reported organic growth of 30% and has incorporated new companies that are high-performing leaders in their sectors, such as Sagem Identification in the Netherlands and Printrak in the United States.

Adjusted profit from recurring operations remained stable in the six months ended June 30, 2009, coming in at €324 millionand representing 6.3% of revenue. It rose €3 million, however, after adjusting first-half 2008 data for the April 2008 sale of Monetel business. During the period, profit from operations felt the benefit of a favorable €38 million currency effect, arising mainly from changes in the hedged EUR/USD rate – which went from 1.46 in first-half 2008 to 1.43 in first-half 2009 – as well as the positive €11 million impact from change in Group scope. Excluding these effects, profit from operations decreased by €46 million. However, this cannot be considered a structural trend, as the basis of comparison (first-half 2008) was particularly strong. The decrease reflects a decline in sales of civil aircraft engines at constant dollar rates together with a slump in original equipment sales in regional and business aircraft segment. It also takes into account the €33 million provision for depreciation of intangible assets linked with the engine program of the A400M. Productivity gains, such as significant overheads savings achieved during the period, mitigated the majority of these effects.

Adjusted net financial result is a positive amount of €48 million versus a negative amount of €143 million in the first half of 2008. The main cash item corresponds to interest charge on net debt which rose to €16 million from €3 million due to the year-on-year change in the amount of net debt. Net financial result for the period also includes the unwinding effect on repayable advances and provisions (a €50 million charge in first-half 2009 compared with a €28 million charge one year earlier). Other components of this line item mainly correspond to the ineffective portion of currency hedging instruments. In first-half 2009 this amount represented a gain of €129 million versus a loss of €109 million in the first six months of 2008. The positive swing in the first half of 2009 primarily arose from (i) the contraction in the difference between EUR and USD interest rates which pushed up the fair value of Group currency hedging instruments during the period; and (ii) the reduction of our portfolio of options which were out of the money throughout the entire period and therefore deemed to be ineffective.

The adjusted income tax expense figure increased to €99 million for first-half 2009 from €51 million in the first six months of 2008 and the effective tax rate was 26%. The higher tax charge is attributable to the rise in net profit from ordinary activities before tax (excluding capital gains), which increased to €372 million from €185 million. The €146 million gain on the sale of the Monetel business to Ingenico was taxed at the reduced rate of 1.72% in first-half 2008.

The rise in income from associates mainly comes from Safran’s 22.3% interest in Ingenico which has been consolidated since the second quarter of 2008.

* also including revenues from R&D contracts and miscellaneous

The Group ended the period with €281 million in net profit attributable to equity holders of the parent versus €156 million in the first six months of 2008. In addition to the rise in net profit from ordinary activities before tax this robust performance reflects the one-off impact in first-half 2008 of losses and restructuring costs recorded in relation to withdrawing from the Communications business.

Earnings per share almost doubled to €0.70.

Research & Development

At €294 million, self-funded R&D (before research tax credits awarded to companies based on their R&D outlay) were slightly lower than the first-half 2008 figure of €305 million and represented 5.7% of consolidated revenue compared with 6.0%. The decrease was mainly due to the tailing off of the R&D program for the SaM146 engine designed for the Russian regional jet, the Sukhoi SSJ 100, whose certification is pending.

Cash flow and financial position

Cash flow and financial position
(in € millions)	First-Half 2008	First-Half 2009
Adjusted attributable net profit	156	281
Depreciation, amortization and provisions	180	304
Other	-103	67
Elimination of discontinued operations	129	4
Cash flow from operations	362	656
Of which premiums on unwound options	(85)	37
Changes in working capital	(42)	(249)
Purchases of intangible assets	(95)	(111)
Purchases of tangible assets	(186)	(132)
Free Cash flow	39	164
Dividends paid (including interim dividends)	(170)	(73)
Divestments/acquisitions and others	199	(146)
Net change in cash and cash equivalents	68	(55)
Net debt at January 1	(169)	(635)
Net debt at June 30	(101)	(690)

Cash flow from operations increased sharply in the first half of 2009, to €656 million from €362 million in the comparable prior-year period. This strong performance mainly reflects the increase in depreciation, amortization and provisions, the positive cash impact of favorable movements in option premiums and significant net repayments of tax surplus.

Free cash flow came to €164 million vs €39 million in the comparable prior-year period, due to sharp increase in cash flow from operations, and despite increase in working capital by €249 million. The latter reflects the impact of the Boeing strike in late 2008 and the one-off effect arising from the implementation in France of the Economic Modernization Act (LME) which imposed a reduction in supplier payment times and is expected to have an adverse €150 million effect on the Group’s working capital for full-year 2009.

Net debt amounted to €690 million, representing 16% of shareholders’ equity (which totaled €4,279 million). The overall stability during the period was primarily due to a good level of free cash flow (€164 million) which globally covered the Group’s main cash outflows, corresponding to the €133 million payment for the acquisition of Printrak and €73 million in remaining dividend payments made in June for fiscal 2008.

Revenue and profit by branch

In order to facilitate comparisons of the Group’s financial performance, the Group has prepared pro-forma figures for first-half 2008 in addition to making adjustments to reflect the sale of Monetel business in April 2008. These pro-forma data factor in the inter-branch reorganisation that have taken place since the beginning of 2009, but have no impact on profit from operations reported by each activity.

All of the following comments are based on pro-forma data.

Aerospace Propulsion :

Adjusted consolidated revenue for Aerospace Propulsion came to €2,769 million in first-half 2009, down 2.8% on the same period of 2008, or 6.9% like-for-like. After two exceptional years, business in the first six months of 2009 was hit by (i) a falloff in the number of CFM engine deliveries (597 units delivered compared with 683 in first-half 2008), which was partly due to the strikes at Boeing in late-2008; and (ii) a limited slowdown in the services business (with worldwide revenue generated by CFM International joint venture in spare parts operations for CFM engines, down 1%). The total number of shop visits for civil aircraft CFM engines decreased to 1,145 in first-half 2009 from 1,228 in the corresponding prior-year period, reflecting a sharp drop in the number of flight hours for first-generation engines versus a 25% increase for more recent models.

Aerospace Propulsion recorded a satisfactory level of profitability during the period considering the current backdrop in the aviation market, with profit from operations coming in at €259 million (9.4% of revenue) against €278 million (9.8% of revenue) in first-half 2008. The decline primarily stemmed from a lower coverage of fixed costs by sales of civil aircraft engines but this impact was partly offset by a favorable currency effect and a robust showing from the military engines business.

Although weighed down by current market conditions, the first-half performance of Aerospace Propulsion testifies to the long-term sustainability of the Group’s business model. The total fleet of delivered CFM engines, net of announced groundings, amounted to 19,200 units compared with around 18,000 in first-half 2008, confirming the future revenue potential of the services business. Services accounted for 47% of total revenue during the period, up from 45% for the first six months of 2008. The proportion of second-generation CFM civil engines (CFM 56 – 5B and 7) out of the total fleet of delivered CFM engines was up significantly, from 48% to 52%; these engines generate much higher service revenue than first-generation engines (primarily the CFM 56 – 3), which represented a lower proportion of the total fleet than in first-half 2008.

Aircraft Equipment :

The Aircraft Equipment activities reported adjusted consolidated revenue of €1,413 million in the six months ended June 30, 2009, up 2.0% on first-half 2008. On a like-for-like basis, however, activities revenue edged back 3.0%. The main positive impacts during the period were (i) a ramp-up in deliveries of A380 nacelles from 30 to 41 units; (ii) a solid performance by services for landing gear, brakes for recent generation aircraft, wheels and related systems, particularly internationally (Asia); and (iii) landing gear and systems designed for the military market.

Conversely, the second-quarter slump in the market for equipment for business and regional aircraft – which account for around 15% of Aircraft Equipment business – adversely affected revenue and profitability during the period. The number of deliveries of nacelles for business and regional aircraft fell to 165 from 285 in first-half 2008. Wiring and landing systems also suffered from the depressed market conditions in this segment.

Profit from operations for the Aircraft Equipment was relatively stable, coming in at €44 million and representing 3.1% of revenue. A favorable currency effect coupled with a good performance from services for landing gear, brakes, wheels and related systems were able to offset the impact of the collapse in the business and regional aircraft market.

Defense :

Adjusted consolidated revenue generated by the Defense branch came to €511 million, up 3.7% on first-half 2008, or 1.8% like-for-like. At €18 million, or 3.6% of revenue, profit from operations for the first six months of 2009 was on a par with the corresponding prior-year period. Avionics reported growth of over 10%, reflecting the smooth roll-out of programs for navigation systems (with deliveries of inertial units up 16%) and guidance systems (AASM, OSF and Mistral 2 missile programs). Optronic applications turned in an overall performance that was on a par with first-half 2008, with the positive impact of firm sales momentum for goggles offset by lower deliveries of land sights.

Security:

Adjusted consolidated revenue for the Security branch jumped to €434 million, up 54.4% on first-half 2008 or 30.4% like-for-like. The main impact of changes in Group structure stemmed from the consolidation of Sagem Identification from September 1, 2008 and Printrak from April 1, 2009. Profit from operations climbed to €33 million from €9 million in the same period of 2008 and operating margin rose to 7.7% from 3.3%.

The branch’s strong performance during the period was driven by (i) sales growth for identity solutions both internationally and in France with the introduction of the new biometric passport by local councils; (ii) the first-time consolidation of new profit-making companies; and (iii) economies of scale. Altogether, these achievements demonstrate how the Group has got its strategy right for the Security business.

Expansion in the Security business with the acquisition of GE Homeland Protection

In April 2009, Safran announced the acquisition of GE Homeland Protection (GE HLP), a global leader in baggage screening equipment. Following the acquisition of Sagem Identification and Printrak, adding GE Homeland will considerably bolster the Group’s position in Security in line with its long term objective for this activity to generate 20% of total consolidated revenue. The transaction is expected to be completed before the end of summer 2009, according to the conditions initially communicated by Safran, and integrated into the Group’s financial results in the second half.

GE HLP – which reported revenue of $260 million in 2008 – provides a range of equipments and services to protect airports, ports, borders and critical infrastructures, for government, military and commercial customers. By acquiring GE HLP, Safran has gained access to tomography, a key technology for detecting explosives and narcotics in baggage, in a move that will foster synergies with the Group’s identity solutions and access control capabilities. GE HLP currently operates around 1,600 machines, representing the world’s largest installed based of computed tomography units and generating a significant stream of service revenue.

GE HLP’s growth outlook is good with a forecast EBITDA margin of 25% for 2009 and average annual revenue growth of over 15% over medium term.

Outlook

Currency hedges

The Group has set up currency hedges for the next three years. At June 30, 2009 the hedging portfolio amounted to €13,700 million with the following average EUR/USD exchange rates: €1 < $1.43 in 2009 €1 < €1.525 in 2010 (40% options) €1 < $1.40 in 2011 €1 < $1.32 in 2012 (partial hedging)

The Group’s objective is to reduce its exchange rate to at least $1.48 in 2010 (versus $1.5250).

Moving ahead and preparing for the future

In early 2009, Safran + set up a new efficiency plan in order to adapt its business to the new economic environment. This plan generated efficiency gains as of the first half of 2009 and enabled the Group to partly offset the impact of lower business volumes. The measures put in place included:

• Optimizing the supply chain: Safran has stepped up its supplier development program enabling it to reduce prices, improve quality and ensure on-time deliveries. In addition, new supply sources in the dollar zone and emerging markets have made the Group less sensitive to fluctuations in the dollar exchange rate and have reduced purchasing costs (particularly in Taiwan and the USA).
• Enhancing productivity: Safran has started to roll out the "Lean Sigma" business improvement model at all of its units and for all of its operations (manufacturing, management and development). Over 200 Green Belt/Black Belt certifications have already been received. In addition, during the period, reorganization plans continue to be implemented at a number of plants (Dijon, Poitiers, Montluçon, Mantes and Fougères in France). Lastly, existing facilities in countries with low labor costs (Poland and Morocco) are strengthened.
• Reducing overheads: the Group has scaled back overheads by cutting travel expenses and increasing the use of Group-wide logistics contracts. Recurring savings amounting to about €20 million were achieved during the period.
• Selling more effectively and accelerating the pace of growth in services: the Group is successfully rolling out Global Care offers for systems services with the objective of generating an additional 20% in revenue from systems support business.

The Group has also taken measures to adapt its cost base in order to counter any further worsening of the economic environment in the near future. These measures include:

• Negotiating with employee representatives with a view to optimizing available human resources in line with changing needs.
• Voluntary retirement for employees aged over 60 – 2,000 people concerned over a two-year period.
• Restricting new hires to key competencies.
• Continuing to selectively use reduced working time.

Outlook for full-year 2009

In an economic environment that remains difficult and volatile, Safran is maintaining its full-year targets for 2009, namely:

• Revenue to be on the same scale as for 2008
• Operating margin coming in at about 6% at the upper range set at the beginning of the year.

These objectives are based on the following assumptions for the full year:

• A forecast 4%-5% reduction in air traffic
• An exchange rate of $1.43 to the euro
• A slight decrease in original equipment business on a constant dollar basis
• Sales of services at constant dollars remaining stable or edging back slightly
• Strong and profitable growth for the Security business
• Ongoing measures to enhance profitability and reduce overheads

In view of the current economic environment the Group does not wish to give any forecasts for 2010 at this stage.

****

APPENDIX 1

Reconciliation between reported and adjusted data

In order to reflect the true economic performance of the Group and enable this performance to be monitored and compared with that of competitors, in addition to its statutory consolidated interim financial statements, Safran prepares an income statement presenting adjusted data.

The Safran group:

• is the result of the May 11, 2005 merger of the Sagem and Snecma groups accounted for in accordance with IFRS 3, Business Combinations, in its statutory consolidated financial statements,
• has recorded, since July 1, 2005, all fair value gains and losses on currency derivatives in net financial income/(expense), in accordance with the provisions of IAS 39 applicable to transactions not qualifying for hedge accounting.
  Consequently, the financial information extracted from the Safran group statutory consolidated financial statements has been adjusted for:
• the impact of applying hedge accounting to currency financial instruments, which better reflects the results of the Group’s overall foreign currency risk management policy
• the impact of amortization charges for intangible assets relating to aircraft programs revalued at the time of the Sagem/Snecma merger in accordance with IFRS 3

The impact of these adjustments on the Group’s income statement items is as follows

(1) Restatement of foreign-currency denominated revenue net of purchases (by currency) at the hedged rate (including premiums on unwound options), through the reclassification of gains and losses on hedges of cash flows for the period. (2) Gains and losses on hedges of future cash flows (a negative €310 million before tax), deferred in equity and the impact of the inclusion of hedges in the valuation of provisions for losses to completion for a negative €3 million. (3) Cancellation of amortization/impairment of intangible assets relating to the revaluation of aircraft programs pursuant to application of IFRS 3 at April 1, 2005.

Only the consolidated interim financial statements are subject to a limited review by the Group’s Statutory Auditors. The adjusted data are verified by the Auditors as part of their review of all of the information contained in the interim report for the six months ended June 30, 2009.

APPENDIX 2

Revenue and Profit from operations by activity

* Adjustments made to reflect the sale of the electronic payment solutions business had negative impacts of €40 million on revenue and €7 million on profit from operations.

Safran completes acquisition of 81% of GE Homeland Protection

Media Contacts:

Michelle MAY

GE

+1 989-835-3563

michelle.may@ge.com



Catherine MALEK

Safran

+33 (0)1 40 60 80 28

catherine.malek@safran.fr





Analysts & Investors Contacts:

Joanna Morris

GE

+1203-373-2472

joanna.morris@ge.com



Quy Nguyen-Ngoc

Safran

+33 (0) 1 40 60 80 45

quy.nguyen-ngoc@safran.fr

Paris and Fairfield, CT, September 8, 2009

Safran and GE (NYSE: GE) announced today that they have completed the transaction originally announced on April 24, 2009, for Safran to acquire 81% of GE’s Homeland Protection business (GE Homeland Protection). GE will retain a 19% stake in the company, as well as a seat on the Board of Directors. Homeland Protection is a leader in explosive and narcotics detection for aviation safety, checked baggage screening, military & critical infrastructure protection and new growth platforms in Chem/Bio, X-ray and Radiation/Nuclear detection. Safran group’s subsidiary Sagem Sécurité will operate the new business.

***

Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defense and Security. Operating worldwide, the Safran group has 54,500 employees and generated sales exceeding 10 billion euros in 2008. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.2 billion euros in 2008. Safran is listed on NYSE Euronext Paris and its share is part of the SBF 120 and Euronext 100 indexes.
For more information, www.safran-group.com

Sagem Sécurité(Safran Group) is a high-technology company. One of the world’s leading suppliers of identity solutions, Sagem Sécurité focuses on applications including personal rights and flow management, in particular based on biometrics, a sector in which it is the world leader, secure terminals and smart cards. Its integrated systems and equipment are deployed worldwide and contribute to the safety and security of transportation, data, people and states.
For more information, www.sagem-securite.com

GE (NYSE: GE) is a diversified infrastructure, finance and media company taking on the world’s toughest challenges. From aircraft engines and power generation to financial services, medical imaging, and television programming, GE operates in more than 100 countries and employs about 300,000 people worldwide.
For more information, visit the company’s Web site at www.ge.com

Safran reports nine-month revenue 2009 (ended September 30, 2009)

Investor Relations contact :

Pascal BANTEGNIE

VP, Investor Relations

Tel +33(0)1 40 60 80 45

pascal.bantegnie@safran.fr



Press Contact :

Catherine MALEK

Press Relations Manager

Tél +33 (0)1 40 60 80 28

catherine.malek@safran.fr



Safran Group

2, bd du Général Martial Valin

75724 Paris Cedex 15 – France

• Solid performance in an uncertain civil aerospace environment with nine-month revenue 2009 at Euro 7.5 billion, up 1.2% year-on-year on a reported basis.
  
  
• Services (rechanges et MRO) share of revenue increased to 49% in Aerospace Propulsion and 32% in Aircraft Equipment.
  
  
• Security delivered strong organic and acquisition-driven growth resulting in a reported sales increase of more than 30% at Euro 640 million.
  
  
• Outlook for full year 2009 is confirmed..

---

Paris, October 16, 2009 - Safran (NYSE Euronext Paris: SAF) today reported its revenue for the first nine months of 2009.

All figures in this press release represent adjusted data. In order to reflect the actual economic performance of the Group and enable this performance to be monitored and compared, statutory revenue has been adjusted for the accounting impact of application of hedge accounting to currency financial instruments in order to better reflect the result of the Group’s overall foreign currency risk management.

Third quarter 2009 revenue is provided in Note [1].

Nine-month revenue 2009

For the first nine months of 2009, Safran’s revenue was Euro 7,533 million, compared to a pro-forma Euro 7,406 million, a 1.7% year-over-year increase. Group revenue organically declined by 3.5%. Organic revenue was determined by deducting from 2009 pro-forma figures the contribution of Security activities acquired in 2008 and 2009 and by applying constant exchange rates. Hence, the following calculations were applied:

Acquisitions had an impact of Euro 133 million during the first nine months of 2009, which mainly included the consolidation of:

• Nine months of Sagem Identification (formerly SDU): Euro 86 million
• Six months of Printrak (now MorphoTrack): Euro 22 million
• One month of GE Homeland Protection (now MorphoDetection): Euro 19 million
  
  The favourable currency impact of Euro 252 million for nine months 2009 was mostly a combination of an improvement in the Group’s hedged rate (USD1.43 to the Euro vs. USD1.46 in the year ago period) and of the improved spot rate (USD1.35 to the Euro vs. USD1.52) on sales which are naturally hedged (sales and purchases in the same currency).

Executive commentary

CEO Jean-Paul Herteman commented:

“ Safran recorded a solid performance for the first nine months of 2009 against the backdrop of a weak civil aerospace environment, which demonstrates the resilience of the Group’s business model.

Early in October, we reached the historic landmark of 20,000 CFM engines delivered, making it by far the world’s best selling aircraft engine. In what remains a long cycle industry, we are well positioned to deliver profitable organic growth with more than 6,000 CFM engines in the order book and a large installed base of CFM engines yet to receive their first service.

During the third quarter of 2009, we completed the 81% acquisition of the GE Homeland Protection business, a new milestone in our strategic move into fast growing and profitable Security activities.

Based on the performance for the first nine months of the year, we reiterate our full-year guidance for 2009. ”

Outlook

For full-year 2009, the Group expects revenue to be on the same scale as for 2008 and operating margin to come in at about 6% of revenue.

These objectives are based on several assumptions, unchanged as compared to the end of July (See Note [3]).

Business commentary

Aerospace Propulsion

Revenue for the first nine months of 2009 was down 2.3% pro-forma at Euro 4,113 million, or -6.2% on an organic basis, compared to the year-ago period. After record deliveries in the past two years, OEM CFM engine deliveries stabilized at 918 units compared to 1,013 units in the year ago period, a decline attributed to the impact of the Boeing strike in late 2008 and to the current market environment. The order flow remained satisfactory by historic standards for the nine-month period.

The service growth for recent engine programs (CFM56 –5B/-7) partly offset the quicker than anticipated erosion of services for older generation engines (CFM56 –2/-3/-5A/-5C). The total number of shop visits for CFM-equipped civil aircraft decreased to 1,745 as compared to 1,856 in 2008, the sales impact of which was partly offset by a favourable mix towards a higher proportion of second generation engines with higher material revenue per shop visit.

The slowdown in the service business remains limited with worldwide CFM International spare parts revenue down 2.6% in USD terms.

For the first nine months of 2009, service revenue increased from 45.0% to 49.0% of Aerospace Propulsion sales, benefiting from a robust contribution from military and helicopter engines, as well as from high-thrust recent civil engines.

Aircraft Equipment

The Aircraft Equipment segment reported nine-month 2009 revenue of Euro 2,021 million, almost flat on a pro-forma basis (-0.1%), or 4.4% lower on an organic basis, compared to the year-ago period. Revenue was affected by the depressed market conditions in the business aircraft segment, which account for 10% of Aircraft Equipment business. The number of deliveries of small nacelles fell to 256 units from 450 in 2008.

These impacts were partially mitigated during the period by a continued ramp-up in deliveries of A380 nacelles from 44 units in 2008 to 64 units this year, and a solid performance in services particularly in Asia (landing gear, brakes, wheels).

For the first nine months of 2009, service revenue increased from 31.5% to 31.9% of Aerospace Equipment sales, benefiting from a strong contribution from landing gear and braking systems.

Defence

Nine-month 2009 revenue was up 2.1% pro-forma at Euro 727 million, showing 0.5% organic growth, compared to the same period last year.

Security

The Security branch reported nine-month 2009 revenue of Euro 640 million, up 43.8% on a pro-forma basis, which was partly due to the consolidation of Sagem Identification, Printrak and GE Homeland Protection. Organic growth was 15.7% thanks to ID solutions (French and international contracts). An organic slowdown was registered in the third quarter of 2009 compared to the same period a year ago, however, this was not unexpected considering the lumpy nature of the phasing of certain long-term government contracts.

Upcoming events

Full year 2009 results : February 25, 2010
Annual Shareholders Meeting : May 27, 2010

Safran will host today an audio webcast for analysts and investors at 9:00 a.m. Paris time (8:00 a.m. London), which can be accessed at +33 1 72 28 08 88 from France and +44 161 601 8912 from the UK. A replay will be available until October 30, 2009 at +44 207 075 3214 or +1 866 828 2261; access code is 302044#.

Notes

(1) - Revenue for the third quarter 2009

(2) - Pro-forma data

The pro-forma data reflects

• The exit of the Monetel business (Security branch) for the first quarter 2008 revenue (Euro 40 million).
• The reclassification of certain activities further to the internal reorganization realized between the branches in the first quarter 2009
  
  

(3) - Underlying assumptions for the full year 2009 outlook

• A forecast 4-5% reduction in air traffic
• An hedged rate of USD1.43 to the Euro
• A slight decrease in original equipment business on a constant dollar basis
• Sales of services at constant dollars remaining stable or edging back slightly
• Strong and profitable growth for the Security business
• On-going measures to enhance profitability and reduce overheads

(4) - 2009 revenue data by quarter

****

Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defence and Security. Operating worldwide, the Safran group has 54,500 employees and generated sales exceeding 10 billion euros in 2008. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.2 billion euros in 2008. Safran is listed on NYSE Euronext Paris and is part of the SBF 120 and Euronext 100 indexes.

Safran : bond issue project

Not for distribution, directly or indirectly, in or into the United States, Canada, Australia or Japan

Investor and Analysts contact :

Pascal BANTEGNIE

VP, Investor Relations

Tel +33(0)1 40 60 80 45

pascal.bantegnie@safran.fr



Press Contact :

Catherine MALEK

Press Relations Manager

Tél +33 (0)1 40 60 80 28

catherine.malek@safran.fr



Safran Group

2, bd du Général Martial Valin

75724 Paris Cedex 15 – France

Paris, November 13, 2009

In the context of a potential bond issue, Safran has updated the public information related to the Group in a presentation available in the “Finance” section on the Group’s website: www.safran-group.com.

This press release does not constitute an offer of securities for sale nor the solicitation of an offer to purchase securities in the United States or in any other jurisdiction. The securities may not be offered or sold in the United States, except pursuant to an exemption from the registration requirements of the Securities United States Securities Act of 1933, as amended. Safran does not intend to register any portion of an offering in the United States or to conduct a public offering in the United States.

****

Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defense and Security. Operating worldwide, the Safran group has 54,500 employees and generated sales exceeding 10 billion euros in 2008. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.2 billion euros in 2008. Safran is listed on NYSE Euronext Paris and its share is part of the SBF 120 and Euronext 100 indexes.

For more information, www.safran-group.com

Safran successfully launches its inaugural bond issue: Euro 750 million five-year bonds

This announcement does not constitute an offer of securities in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration under the Securities Act. Safran does not intend to register an offering, in whole or in part, in the United States, nor does it intend to conduct a public offering in the United States.




Investor and Analysts contact :

Pascal BANTEGNIE

VP, Investor Relations

Tel +33(0)1 40 60 80 45

pascal.bantegnie@safran.fr



Press Contact :

Catherine MALEK

Press Relations Manager

Tél +33 (0)1 40 60 80 28

catherine.malek@safran.fr



Safran Group

2, bd du Général Martial Valin

75724 Paris Cedex 15 – France

Paris, November 19, 2009 - Safran (NYSE Euronext Paris : SAF) today launched and priced successfully a Euro 750 million, five-year inaugural bond issue (due in November 2014), with an annual coupon of 4.00%.

The order book reached more than Euro 2.3 billion in one hour, demonstrating the confidence that investors have in the Group’s strategy and development.

This bond issue will enable Safran to diversify its funding sources, to lengthen the maturity of its debt profile and to give the Group the means to continue its growth. The funds will be used for the Group’s general corporate purposes.

The long-term debt of the Group is not rated and Safran has not asked for a rating of this issue.

The bonds will be listed on Euronext Paris from November 26, 2009.

The Joint-Bookrunners of this bond issue are BNP PARIBAS, CALYON Crédit Agricole CIB, The Royal Bank of Scotland and Société Générale Corporate & Investment Banking.

****

Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defence and Security. Operating worldwide, the Safran group has 54,500 employees and generated sales exceeding 10 billion euros in 2008. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.2 billion euros in 2008. Safran is listed on NYSE Euronext Paris and is part of the SBF 120 and Euronext 100 indexes.
For more information, www.safran-group.com

Safran wheels, carbon brakes and electrical wiring chosen for Airbus A350XWB

Investors and Analysts contact:

Quy NGUYEN-NGOC | Director, Investor Relations and Financial Communication | Tel +33(0)1 40 60 80 45 | Fax +33 (0)1 40 60 84 36 | Email :quy.nguyen-ngoc@safran.fr

Press Contact :

Catherine MALEK | Responsable Relations Presse | Tel +33 (0)1 40 60 80 28 | Fax +33 (0)1 40 60 80 26 | Email :catherine.malek@safran.fr

Groupe Safran, 2, bd du Général Martial Valin 75724 Paris Cedex 15 – France

Paris, February 18, 2009

Airbus has selected two SAFRAN Group companies, Messier-Bugatti and Labinal, to design, develop and manufacture critical systems and equipment for its new A350XWB long-haul commercial jet.

Messier-Bugatti will supply the wheels and carbon brakes, based on Sepcarb®III OR carbon disks, today’s benchmark, with the lowest rate of wear and best friction performance in the world. Messier-Bugatti will also supply the two nose wheels and eight main wheels for the different versions of this aircraft. The wheels and brakes for the A350XWB will be “eco-designed” and “eco-produced”, in particular using hydro-soluble paints and completely eliminating chrome.

Messier-Bugatti had already been selected in February 2008 to provide all landing and braking control systems for this new family of commercial jets: braking, steering, landing gear extension/retraction and wheel, brake and landing gear monitoring.

The contract won by Labinal covers a comprehensive electrical package for the new A350XWB. The company is responsible for the integrated design and build of the Electrical Wiring Interconnect System package for the entire A350XWB fuselage.

Labinal’s proven production and engineering capabilities, end-to-end processes and technological expertise were decisive factors in the decision by Airbus to award this large-scale contract.

“We are very proud to be selected as a key partner on the A350XWB program,” said Yves Leclère, SAFRAN Executive Vice President, Aircraft Equipment branch. “SAFRAN’s major role on this aircraft, reflected in these two latest contracts, clearly confirms the longstanding relationship of mutual trust between our two companies.”

With these two contracts, along with that won by Messier-Dowty for the landing gear, the A350XWB will generate total sales for SAFRAN of approximately $11 billion.

***

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs about 54,000 people in over 30 countries and generates revenue of more than €10 billion. It comprises many companies with prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and its share is included in the SBF 120 and Euronext 100 indices.

SAFRAN completes acquisition of Motorola’s biometrics business

Press Contact :

Motorola Inc. | Kelly Harder | +1 312-209-0123 | kelly.harder@motorola.com

SAFRAN | Catherine Malek | +33 (0)1 40 60 80 28 | catherine.malek@safran.fr

Analysts-Investors Contacts :


Motorola Inc. | Dean Lindroth | +1847-576-6899 | dean.lindroth@motorola.com

SAFRAN | Quy Nguyen-Ngoc | +33(0)1 40 60 80 45 | quy.nguyen-ngoc@safran.fr

Paris and Schaumburg, IL - April 7, 2009

SAFRAN and Motorola, Inc. (NYSE: MOT) announced today that they have completed the previously-announced sale of Motorola’s biometric business unit, including the Printrak trademark, to SAFRAN through its wholly owned subsidiary, Sagem Sécurité.

SAFRAN, with approximately $15 billion in revenue in 2008, is an international high-technology group. SAFRAN has been operating in the U.S. for 30 years and is a world leader in a number of industrial segments, including aircraft engines through the 35-year CFM International Joint Venture with General Electric Company, and also supplies aircraft components used on many U.S. military platforms as well as civil aviation customers. Its largest U.S. customer is Boeing and it has significant relationships with other U.S. aerospace companies. SAFRAN operates in aerospace propulsion, aircraft equipment, and defense and security.

Products incorporating SAFRAN’s technology have been used for over 20 years by the U.S. Air Force, U.S. Navy, U.S. Army, U.S. Marine Corps, U.S. Coast Guard and NASA. Representative products today include KC-135R Stratotanker C-17 Globemaster, F/A-18, F-16, F-22, V-22 and C-130. SAFRAN is party to over 100 technical assistance agreements (TAAs) and manufacturing licence agreements (MLAs), has 22 empowered corporate officials dedicated to export control and regulations and is committed to full compliance to such requirements and implements internal policies and procedures to this end.
SAFRAN has more than 54,000 employees in over 30 countries, including 3,200 employees in the U.S. with facilities and offices in 42 locations across 19 states.

Sagem Sécurité is one of the world’s leading suppliers of identity systems, Sagem Sécurité focuses on applications including personal rights and flow management, in particular based on biometrics, secure terminals and smart cards. Its integrated solutions are deployed worldwide and contribute to the safety and security of transportation, data, people and states. Sagem Sécurité is a fast growing company with an annual growth over 15 % in the last two years.
Sagem Sécurité is already present in the US through Sagem Morpho, Inc. which develops and sells secure identification systems incorporating various biometric technologies including fingerprint, palm prints, iris and facial recognition either through OEM relationships with major U.S. integrators such as Northrop Grumman and Lockheed Martin, or through its own direct relationships with customers. SMI’s U.S. customers for these systems include both law enforcement and civil agencies such as New York State Division of Criminal Justice Services, Missouri State Highway Patrol, New York State Office of Temporary and Disability Assistance, U.S. Drug Enforcement Agency, New York Police Department Central Records Division,, FBI Latent Laboratory, FBI Criminal Justice Information Services, U.S. Army Crime Lab).
Sagem Sécurité has 4,300 employees in over 24 countries in 2008.

Motorola is known around the world for innovation in communications and is focused on advancing the way the world connects. From broadband communications infrastructure, enterprise mobility and public safety solutions to high-definition video and mobile devices, Motorola is leading the next wave of innovations that enable people, enterprises and governments to be more connected and more mobile. Motorola (NYSE: MOT) had sales of US $30.1 billion in 2008.

Ross McInnes named SAFRAN Executive Vice President, Economic and Financial Affairs

Contact Analystes et Investisseurs :

Quy NGUYEN-NGOC | Directeur Relations investisseurs et Communication financière | Tel +33(0)1 40 60 80 45 | Fax +33 (0)1 40 60 84 36 | Email:quy.nguyen-ngoc@safran.fr

Contact Presse :

Catherine MALEK | Responsable Relations Presse | Tél +33 (0)1 40 60 80 28 | Fax +33 (0)1 40 60 80 26 | Email:catherine.malek@safran.fr

Groupe SAFRAN
2, bd du Général Martial Valin
75724 Paris Cedex 15 – France

Paris, 5 May 2009

Ross McInnes will join the SAFRAN group as Executive Vice President, Economic and Financial Affairs. A specialist in major international industrial groups, Ross McInnes, 55, holds dual French-Australian citizenship. He will replace Noël Gauthier in this position.

Ross McInnes’ appointment as Executive Vice President, Economic and Financial Affairs will take effect following the Annual General Meeting of Shareholders on May 28, 2009.

After graduating from Oxford, Ross McInnes started his career with Kleinwort Benson in London. From 1980 to 1989 he held several positions in the corporate finance arm of Continental Bank (which became part of Bank of America), working in London, Chicago and Paris. In 1989 he moved to the industrial sector by joining Eridania Beghin-Say. He was named chief financial officer of this company in 1991, and was appointed to the Board of Directors in 1999. The following year he moved to Thomson-CSF (now Thales) as Senior Vice President and CFO, playing a major role in the company’s transformation. In 2005 he moved to PPR as senior vice president for finance and strategy, before joining the Supervisory Board of Générale de Santé in 2006. On request from this Board he served as interim Chairman of the Management Board from March to June 2007.

From then until this latest appointment, Ross McInnes was Vice Chairman of Macquarie Capital Europe, a company specialized in infrastructure investments.

Commenting on this appointment, SAFRAN CEO Jean-Paul Herteman said: “Ross McInnes has had a sterling career at both major industrial groups and financial establishments. His international profile will be a significant advantage for our development, and makes him the perfect successor to Noël Gauthier, who had held this position since the creation of the Group in 2005.”

Noël Gauthier, 63, will carry out a major international mission for the Group following the Annual General Meeting of Shareholders.

***

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs about 54,000 people in over 30 countries and generates revenue of more than €10 billion.
It comprises many companies with prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and its share is included in the SBF 120 and Euronext 100 indices.

SAFRAN receives 300 millions euros loan from European Investment Bank to develop even cleaner engines

Press Contact:

BEI : Nick Antonovics | tel: +32 475 551 205 | Email: n.antonovics@eib.org

Safran : Catherine Malek | tel: +33 1 40 60 80 28 | Email :catherine.malek@safran.fr

Contact analystes et investisseurs :

Safran : Quy Nguyen-Ngoc | tél: +33 1 40 60 80 45 | mail: quy.nguyen-ngoc@safran.fr

18 June 2009

At the 2009 Paris Air Show, European Investment Bank Vice President Philippe de Fontaine Vive and SAFRAN Chief Executive Officer Jean-Paul Herteman signed a contract to provide 300 million euros in financing to the SAFRAN group for the development of a new generation of cleaner aircraft engines.

The EIB loan will be used to finance Research & Development on aircraft engines that use less fuel and are friendlier to the environment. SAFRAN group company Snecma is aiming to develop a successor to the CFM56 engine (jointly produced with General Electric), designed for single-aisle commercial jets with 110 to 210 seats, that will offer a 16% reduction in fuel consumption, 15 to 20 decibel decrease in noise, and 60% reduction in oxides of nitrogen (NOx). At the same time, Snecma is also working on a disruptive technology, the open rotor configuration, that would eventually reduce both fuel consumption and CO2 emissions by more than 25%. The total cost of the R&D project is estimated at 600 million euros.

This is the first loan granted to the aerospace industry that is in line with the European Clean Transport Facility (ECTF), a financing program launched by the EIB last December to support Europe’s economic recovery plan and the long-term fight against climate change. ECTF loans have already been approved for manufacturers of cars and trucks and their suppliers.

“I am delighted that the EIB can support SAFRAN’s efforts to develop cleaner aircraft engines,” said Philippe de Fontaine Vive, who is in charge of EIB financing programs in France. “Europe needs to pursue high value-added research activities despite the recession if we want to remain competitive. Making aviation more environmentally friendly will benefit everybody.”

SAFRAN CEO Jean-Paul Herteman said: “I am very pleased with this latest mark of confidence by the EIB, which will help us finance R&D for a new generation of aircraft engines. The technological breakthroughs in this program, a major one for SAFRAN, are the result of extensive and ongoing basic research. SAFRAN is very proud of our long-term relationship with this prestigious institution, which has already provided financing for several Group projects in the space and civil aviation sectors.”

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Background:

EIB is the long-term lending arm of the European Union, and is wholly owned by the 27 EU member states. Its aim is to contribute to the integration, balanced economic development and economic and social cohesion of EU member states. It does this mainly by providing loans from funds raised on capital markets on favourable terms thanks to its AAA credit rating. In 2008 the EIB signed loans totalling EUR 57.6 bn; EUR 51.5 bn was for projects within the European Union, of which 4.7 bn in France. The Bank permanently adapts its activity to developments in EU policy. In December 2008 the EIB committed itself to increase exceptionally its lending in the EU by 30 percent in 2009 and 2010 to help offset the effects of the global economic crisis, with a focus on SMEs and mid-cap companies, energy and climate change, including clean transport, and convergence regions. In the first five months of 2009 it has signed loans worth more than EUR 20 bn (or 72 percent more than in the same period in 2008) and has approved EUR 5.2 bn in loans for cleaner vehicles, thereof EUR 3.5 bn under ECTF.

SAFRAN is an international high-technology group with leadership positions in its core businesses of aerospace propulsion, aircraft equipment, and defense security. The SAFRAN Group employs about 54,000 people in over 30 countries and generates revenue of more than €10 billion. It comprises many companies with prestigious brand names and holds, alone or in partnership, global or European leadership positions in its markets. SAFRAN is listed on NYSE Euronext Paris and its share is included in the SBF 120 and Euronext 100 indices.

Safran selected as COMAC partner on China’s C919 150-seat aircraft

Investors and Analysts contact:

Pascal BANTEGNIE

Safran Vice President, Investor Relations

Tel +33(0)1 40 60 80 45

pascal.bantegnie@safran.fr



Contact Presse :

Catherine MALEK

Responsable Relations Presse

Tel +33 (0)1 40 60 80 28

catherine.malek@safran.fr



Groupe SAFRAN

2, bd du Général Martial Valin

75724 Paris Cedex 15 – France

Paris, December 21, 2009

The advanced new LEAP-X1C engine offered by Safran and General Electric through their CFM International joint venture has been selected as the sole western powerplant by COMAC (Commercial Aircraft Corporation of China, Ltd.) for its new 150-seat aircraft, the C919. COMAC opted for a complete propulsion system including the engine itself, the nacelle and the thrust reversers. The nacelle, an integral part of CFM’s offer, will be produced by Nexcelle, also a joint venture between Safran (Aircelle) and GE (MRAS). COMAC expects its new aircraft to enter service in 2016.

The contract was signed today in Beijing by Eric Bachelet, President and CEO of CFM International, and Zhang Qingwei, Chairman of COMAC. Also attending the ceremony were the prime ministers of France and China, François Fillon and Wen Jiabao.

Jean-Paul Herteman, Chief Executive Officer of Safran, said: “China will represent the world’s largest aviation market within a few years. We are very proud of our selection by COMAC, and of having this opportunity to contribute to the success of a new world-class aircraft. The selection of the Safran-GE alliance on the C919 is the culmination of our strategy based on partnerships and operations in China reaching back over 30 years. Our latest success confirms Safran’s excellent position in the commercial aviation market, especially in the single-aisle jet segment.”

Zhang Qingwei, Chairman of the Board of COMAC, added: “The quality of the proposal was decisive in our selection. We are delighted to form this major partnership with a group that has largely demonstrated its excellence in aeronautical technologies, and has been able to construct a long-standing relationship of mutual trust with our country, spanning both business and industrial aspects.”

* * *

COMAC (Commercial Aircraft Corporation of China, Ltd.) is the Chinese commercial aircraft manufacturer established in May 2008.
For more information, www.comac.cc

Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defense and Security. Operating worldwide, the Safran group has 54,500 employees and generated sales exceeding 10 billion euros in 2008. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.2 billion euros in 2008. Safran is listed on NYSE Euronext Paris and its share is part of the SBF 120 and Euronext 100 indexes.
Safran operates several industrial facilities and joint ventures in China, located in Beijing, Shanghai, Suzhou, Chengdu, Guiyang, Yangzhou.
For more information, www.safran-group.com