2005

PRESS RELEASE

16.06.2005, CFM International
Air Europa Places $220 Million CFM56-7B Engine Order

LE BOURGET - June 16, 2005 -Air Europa today announced an order for 18 firm, 12 option Boeing 737-800 aircraft powered by CFM56-7B engines. The firm engine order is valued about $220 million.

CFM56-7B engines are produced by CFM International, a 50/50 joint company between Snecma and General Electric Company. CFM, the world’s leading supplier of commercial aircraft engines, with more than 15,000 delivered to date.

The Spanish carrier, headquartered in Palma de Mallorca, Spain, is scheduled to begin taking delivery of the aircraft in 2007 and plans to use the new 737s for both fleet renewal and expansion. The carrier currently operates 27 737-800s and two 737-400s powered by the CFM56-3.

PRESS RELEASE

17.06.2005, CFM International
$600 Million CFM56-7B engine orders

LE BOURGET, June 14, 2005

CFM International (CFM) today has logged orders for a total of 120 firm CFM56-7B engine at a value of $600 million. Jet Airways today announced an order for 10 Boeing 737-800s powered by the CFM56-7B; GE Capital Aviation Services (GECAS) has ordered 20 737s; and International Lease Finance Corporation has also announced an order for 20 CFM56-7B-powered 737-700/-800s. CFM is a 50/50 joint company between Snecma and General Electric Company. The CFM56-7B brings the industry’s most advanced technology to the 737, providing low operating costs, high performance, high reliability, low noise and emissions and excellent operability. More than 1,600 aircraft have been delivered to date, and the fleet has accumulated more than 35 million flight hours and more than 18 million flight cycles while maintaining a 99.95 percent dispatch reliability rate. This rate translates to less than one departure per 2,000 flights being delayed 15 minutes or more or canceled for engine-related issues. The CFM56-7-powered Boeing 737 was the first single-aisle airplane in its class to be granted 180-minute Extended Twin-Engine Operations (ETOPS). ETOPS approval, which provides airlines greater route-scheduling flexibility such as long over-water.

PRESS RELEASE

30.06.2005, CFM International
Iberia Selects CFM56-5B to Power A320 Fleet in $360 Million Order

EVENDALE, Ohio - June 29, 2005 - Iberia Airlines has announced that CFM56-5B engines will power its new fleet of 30 firm Airbus A320 family aircraft. The firm engine order is valued at more than $360 million at list price.

CFM56-5B engines are produced by CFM International, a 50/50 joint company between Snecma and General Electric Company. CFM is the world’s leading aircraft engine supplier, with more than 15,000 engines in service worldwide.

Iberia’s newest order is for engines to power a mix of A318, A319, A320, and A321 aircraft. The CFM56-5B is the only engine that can power every model of the A320 family with the same bill of materials, giving Iberia a distinct commonality advantage in terms of training and provisioning. Deliveries are scheduled to begin in 2006 and continue through 2008; if all options are exercised, Iberia will take the final aircraft in this order in 2011. The new A320s, which will be incorporated into the airline’s domestic and regional network, will join Iberia’s current fleet of 79 CFM-powered A320s. The Spanish national carrier, which services more than 100 destinations in 41 countries worldwide, also operates 18 Airbus A340-300s powered by CFM56-5C engines. The CFM56-5B’s industry-leading reliability, durability, long on-wing life, and lower overall cost of ownership makes it extremely popular with leasing companies, low-cost carriers, and major airlines worldwide. More than 1,875 CFM56-5B engines have been delivered to date, and the fleet is growing at a rate of about 20 engines per month.

The CFM56-5B core served as the foundation for the development of the CFM56-7B, as well as for the new CFM56-5C/P engine for the Airbus A340 Enhanced aircraft. CFM used advanced three dimensional aerodynamic (3-D aero) design tools to give the 9-stage CFM56 high-pressure compressor better efficiency and improved aerodynamics. The high-pressure turbine also incorporates 3-D aero, active clearance control, and single-crystal N5 material in both the blades and the nozzles for improved durability, lower maintenance costs, and longer on-wing life. The low-pressure turbine incorporated 3-D airfoils for improved efficiency and fuel burn.

The CFM56-5B-powered A320 fleet currently in service has logged more than 19 million engine flight hours and 11 million cycles.

PRESS RELEASE

14.06.2005, Sagem Défense Sécurité
Sagem Défense Sécurité and MiG Corporation increase cooperation on fighter planes

Paris – Le Bourget, June 14, 2005

Sagem Défense Sécurité (SAFRAN Group) and MiG Russian Aircraft Corporation today signed an agreement protocol at the 46th Paris Air Show. It lays out possible areas of joint development in avionics modernization for future MIG export aircraft.

Over the past years, Sagem Défense Sécurité has become the benchmark for gyrolaser inertial navigation systems used in the different versions of the MiG 29 that are exported.

Both parties now aim to expand this cooperation to cover equipment such as optronic search and track and latest-technology systems as the guided armament AASM and the SAMIR anti-missile warning, for perspective fighter planes, providing them with state-of-the-art aeronautic electronics.

According to Jacques Paccard, the Chief Executive Officer of Sagem Défense Sécurité, “This new cooperation builds on the long and successful experience in integrating SAGEM navigation systems on MiG aircraft for foreign clients. We are delighted with this new agreement.”

***

About MiG Corporation
The MiG Russian Aircraft Corporation is an aircraft developer and manufacturer that brings together the complete cycle of aircraft design, manufacture, maintenance, repair and sales into single integrated company structure. MiG Corp’s main programmes includes development and manufacturing of the new multi-role fighters family MiG-29SMT, MiG-29K/KUB, MiG-29M/M2; ugrade of MiG-29s, MiG-31s, MiG-21s, MiG-23s, MiG-27s; development and manufacturing of MiG-AT trainer; development and manufacturing of training aids; manufacturing of light Il-103, Su-29, Su-31 aircraft

About Sagem Défense Securité
Sagem Défense Securité is one of the high-technology companies in the SAFRAN Group. European N°3 in the defense and security electronics market, world leader in fingerprint biometrics and a major player in avionics and onboard information systems for aircraft, Sagem Défense Securité maintains a presence in more than 20 countries worldwide.

PRESS RELEASE

26.07.2005, SMA
A SMA equipped C182 crosses the Atlantic

Lognes, on July 26th 2005

The Cessna 182 Q registered « F-GJET » equipped with the SMA SR305-230 engine landed in Oshkosh - Wisconcin, on Monday July 25th, at 6:09 pm. Owned by Aeromecanic 34, SMA distributor in South of France, the aircraft took off from Le Bourget airport on Sunday July 17th to join the United-States with the « European Squadron ».

Launched by the French magazine « Aviation & Pilote » and Dassault Aviation, this fleet groups 22 teams who have decided to reach the famous Oshkosh airshow by means of light aircraft rather than commercial airlines.

Piloted by Fabrice Palumbo and Erik Jayet, the C182 from AM 34 confirmed its performances and flew the 4480 nm (8300 km) without any problem. Thanks to the range extension provided by the SMA engine, the C182 has been able to cover the nine long steps of the trip. With an average of 4 gallon/h, the fuel consumption was 42% less than a traditional Cessna.

The aircraft will be exhibited during the all week on SMA booth in Oshkosh AirVenture, The worldwide meeting for general aviation.

***

SMA, 100% member of SAFRAN group, is specialized in the development, production, commercialization and support of pistons engines burning Jet A. The SMA SR305-230 engine today equips more than twenty aircraft in the world.

PRESS RELEASE

29.08.2005, CFM International
Shenzhen Airlines Places $60 Million CFM56-5B Order

EVENDALE, Ohio - August 26, 2005

Shenzhen Airlines has become the newest customer for the CFM56-5B, placing an order for engines to power three Airbus A320 and two A319 aircraft. The engine order is valued at $60 million at list price.

CFM56-5B engines are produced by CFM International, a 50/50 joint company between Snecma and General Electric Company. CFM is the world’s leading aircraft engine supplier, with more than 15,000 engines in service worldwide.

Shenzhen Airlines, which currently operates a fleet of 32 CFM56-powered Boeing 737s, will take delivery of its first A320 later this year. Shenzhen is one of the fastest growing airlines in China, serving both domestic and international routes. The airline has been recognized for its outstanding service, receiving three champions of "National Passengers Assessment on Civil Aviation" and "National Customer Satisfied Enterprise" awards.
The CFM56-5B is the only engine that can power every model of the A320 family with the same bill of materials, giving Shenzhen a distinct commonality advantage in terms of training and provisioning. The CFM56-5B’s industry-leading reliability, durability, long on-wing life, and lower overall cost of ownership makes it extremely popular with leasing companies, low-cost carriers, and major airlines worldwide.
The CFM56-5B core served as the foundation for the development of the CFM56-7B, which power the Next-Generation 737s in the Shenzhen fleet, as well as for the new CFM56-5C/P engine for the Airbus A340 Enhanced aircraft. CFM used advanced three dimensional aerodynamic (3-D aero) design tools to give the 9-stage CFM56 high-pressure compressor better efficiency and improved aerodynamics. The high-pressure turbine also incorporates 3-D aero, active clearance control, and single-crystal N5 material in both the blades and the nozzles for improved durability, lower maintenance costs, and longer on-wing life. The low-pressure turbine incorporated 3-D airfoils for improved efficiency and fuel burn.
The CFM56-5B-powered A320 fleet currently in service has logged more than 19 million engine flight hours and 11 million cycles.

PRESS RELEASE

01.09.2005, Turbomeca
Appointment at Turbomeca

Bordes, 1 September 2005

Pierre Fabre has been appointed Executive Vice-President of Turbomeca SA with effect from September 1st 2005. He replaces Henri Sala who is called upon to assume other functions within the SAFRAN Group. Henri Sala retains his functions as the President of the Turbomeca subsidiaries Microturbo SA and CGTM.

Pierre Fabre, 52 years old, is graduated from the Aeronautical College Sup Aero (Toulouse, France). He joined the Snecma Group in 1976 in the Engineering Division of Snecma Moteurs, where he held various positions until 1996, notably as CFM56 Control Accessories Manager, then CFM56 Program Chief Engineer and finally Head of the Control & Accessories Division. He was appointed to the post of CFM56 Program General Manager in 1996. In 2000, he joined Messier-Bugatti as the Executive Vice-President of the Aircraft Braking Division. In 2001, Pierre Fabre was appointed President and CEO of CFM International, a joint subsidiary of Snecma and General Electric based in Cincinnati, USA.

***

Turbomeca (SAFRAN Group) is the leading helicopter engine manufacturer, and has produced over 50 000 turbines based on its own designs since the company was founded. With more than 2 000 customers in over 140 countries, Turbomeca provides a proximity service thanks to its 14 sites, 3 subsidiaries, 25 TurboSupport Centers, 32 repair centers and 90 Field representatives and Field technicians. The Head Office is based in Bordes, Pyrénées-Atlantiques (south-west France). Microturbo, a subsidiary of Turbomeca, is the European leader in turbojet engines for missiles, drones and auxiliary power units.

PRESS RELEASE

01.09.2005, CFM International
Eric Bachelet Named New CFM President

EVENDALE, Ohio, September 01, 2005

Eric Bachelet today assumed the role of president and chief executive officer of CFM International (CFM), the 50/50 joint company between Snecma and General Electric Company.

CFM, headquartered in Cincinnati, Ohio, is the world’s leading manufacturer of jet engines for transport aircraft, with more than 15,000 in service with commercial and military operators worldwide.

Mr. Bachelet is replacing Pierre Fabre who has served as CFM president and CEO since September 2001. Mr Fabre accepted the position of executive vice president of Turbomeca. Turbomeca is the helicopter engine manufacturer, company of SAFRAN Group, also the parent company of Snecma.

Mr. Bachelet joined Snecma in 1971 after being graduated from the prestigious Ecoles des Mines de Paris. He also holds a master’s degree in Materials Science from Case Western Reserve University in the United States. He has spent in increasingly responsible positions with SAFRAN Group companies.

From 1974 to 1991, he worked in the materials department of the engineering division of Snecma. In this role, he participated in the early design of the CFM56 engine. In 1991, he joined Snecma’s manufacturing division and held a number of assignments in France and the United States. In 1996, he was promoted to general manager of FAMAT, another joint venture between GE and Snecma which manufactures aircraft engine components.

From 2001 to 2003, Mr. Bachelet served as chief operating officer of Snecma Propulsion Solide, which develops and produces solid rocket motors for space and defense program. Before assuming his new post, he was the chief operating officer of Aircelle, which specializes in the design, manufacture and sale of aircraft engine nacelles.

PRESS RELEASE

02.09.2005, Aircelle
Meudon redeployment project : discussions continue

Le Havre, France, September 2, 2005

The third consultative meeting of the Aircelle Corporate Works Committee resumed discussions August 31 concerning the redeployment project for the Meudon plant. Employee representatives on the Committee issued a negative opinion.

Discussions with labor organizations are now concentrating on procedures to be applied within the scope of the “mobility charter” (governing employee transfers). A “Mobility Committee”, composed by employees representatives was set up to address these issues and met following the Works Committee meeting. Management reiterated its commitment to preserving competencies and maintaining employment for all concerned.

The Mobility Committee began to address the different points in the mobility charter, which covers support measures applicable within the scope of this redeployment, and the arrangements made to help employees make professional and personal choices. In addition to the Information Office, where employees can ask questions concerning the professional and personal aspects of their transfers, without making any commitments, a “Mobility Office” will also be set up. The draft mobility charter propose various support measures, such as housing and moving aid, temporary grants in case of dual residency or rent differences, and coverage of certain expenses (agency, setting up house, etc.). Support measures are also planned to help family moves, including job searches for spouses, schools, childcare, etc.

The redeployment project reflects Aircelle’s strategy of developing its business, especially in the regional and corporate aircraft nacelle market. Among main initiatives, “Le Havre 2010” is another project making the Le Havre plant the keystone for the company’s production capabilities.

Industrial operations would be gradually transferred, with around 280 jobs transferred to Le Havre and about a dozen to Toulouse. Various service activities – research & technology, customer support, purchasing, human resources, general management and other non-production activities, totaling 330 people – would be moved to the new site in Plaisir, near Paris, at the end of the year.

The next meetings of the Mobility Committee have been set for September 6 and 9.

***

Specialised in design, manufacturing and integration of aircraft engine nacelles, Aircelle is part of the Aerospace Equipment branch of the SAFRAN group. It has 2,600 employees at seven sites in France, the United Kingdom and Morocco. Aircelle is a supplier to a majority of the aircraft now under development. The company offers a complete range of products, from small nacelles for business jets, to nacelles for the largest jetliners.

PRESS RELEASE

08.09.2005, Sagem Communication
Sagem Communication and Ningbo BIRD reinforce their partnership in mobile phones

Paris, September 8, 2005

SAFRAN Group announces the signature of a MoU (Memorandum of Understanding) by its subsidiary Sagem Communication and the Chinese company Ningbo BIRD, in order to reinforce their partnership.

Sagem Communication and Ningbo BIRD begun their collaboration back in 1999 through the sales in China by Ningbo BIRD of products based on Sagem Communication technology.

In 2002, a new step was taken with the set up of the Joint Venture (50/50): Ningbo BIRD SAGEM Electronics Corporation Ltd. (NBBSE) which produces mobile phones. Today, NBBSE employs 2,030 people.

Based on this existing partnership, Sagem Communication and Ningbo BIRD have decided to reinforce their world-wide position through this new MoU by creating a strategic alliance built on closer links at different levels.

Both companies have decided to co-ordinate their global strategy : sales of both brand products will be managed commonly. For an efficient customer management, sales coordination will be driven by Sagem Communication on the international market, and by Ningbo BIRD on the chinese market. Purchasing will be conducted commonly. Product quality will be placed at the highest standards. Joint experience and combined skills will enable both companies to reach these targets.

Finally, a new Joint Venture (50/50) dedicated to Research & Development will be created in Ningbo, China (Zhejiang province) with the mission to develop a common product range for SAGEM and BIRD brands. It will allow to optimise development costs for both companies while enlarging the product range and insuring a high quality level. This new Joint Venture would employ 1,000 engineers and technicians in the future who will complement the existing European Research and Development centres of Sagem Communication.

« In order to answer in a even faster and better way to customers’ needs, Ningbo BIRD and Sagem Communication are combining their strengths. This new milestone will reinforce our world-wide position on the mobile phones market » declared Grégoire Olivier, chairman and CEO of Sagem Communication and member of the executive board of SAFRAN Group.

« This strategic Alliance will allow Ningbo BIRD to reinforce its leadership on the Chinese market while selling a new product range with richer features and with an even higher level of quality. In addition, our international sales will be developed through the world-wide sales channels of SAFRAN Group to which our partner Sagem Communication belongs to» declared Xu Lihua, chairman of Ningbo BIRD.

About SAFRAN
SAFRAN is an international high-technology group with four core businesses: propulsion, communications, equipment, defense security. It has 56,000 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

About Sagem Communication
Sagem Communication (SAFRAN Group) is a major player in the Mobile and Broadband Communication industries, who has acquired a strong world-wide position thanks to renewed innovation. SAGEM products stand-out particularly in the following activities: mobile phones, printing terminals, residential terminals, digital TV, networks, electronic metering and cables, etc.

About Ningbo BIRD
Ningbo BIRD Co. Ltd is a stock listed high-tech company specialized in R&D, manufacturing and marketing mobile communication equipment. It is the first Chinese mobile maker having been granted the certification by the National Science & Technology Department and the Chinese Academy of Science. Please consult the BIRD web site: www.birdmobile.com.cn

PRESS RELEASE

12.09.2005, Turbomeca
Appointment within Turbomeca Australasia

Bordes, 21 July 2005 As from 1 August 2005, Lilian Braylé, 37, is appointed Managing Director of Turbomeca Australasia, the Tur bomeca company based in Sydney, Australia. Lilian Braylé succeeds St John Williamson, who has been called on to take other reponsibilities within the Group. Lilian Braylé is the holder of an engineering degree from the INSA institute in Lyons and has a INSA/ESC master’s degree in business engineering. He began his career at Turbomeca in 1991 as a quality business engineer within the Land and Marine Turbines division. Then, Lilian Braylé joined the Operator Support Division in 1997, as the Arriel Project Support Chief Engineer. Since then, his work has been primarily connected with customer service. He has been in Australia since 2002 as the Turbolink-Corporate Service Engineers Senior Manager, in charge of the global organization of the support for helicopter engines.

Turbomeca Australasia

Turbomeca Australia is 10 years old and serves as a the TurboSupport Center (service and distribution center). Besides this, it is the repair center for the Arrius and Arriel engines. It has 65 employees who provide support to more than 100 operators and 320 engines distributed throughout Australia, New-Zealand and all the surrounding islands. Turbomeca Australasia has also the responsibility for assembly and tests for 40 MTR390 engines designed for the Australian Tigre ARH military reconnaissance helicopters. These engines are being developed by MTR GmbH, a group of three engine manufacturers: MTU, Turbomeca and Rolls-Royce. Turbomeca Australasia will carry out part of the repair work in their facilities. Turbomeca Australasia will also carry out assembly, tests and support on the RTM 322 engines chosen by the Australian army for its MRH90. The RTM 322 is developed in partnership by Turbomeca and Rolls Royce.

***

Turbomeca (SAFRAN Group) is the leading helicopter engine manufacturer, and has produced over 50 000 turbines based on its own designs since the company was founded. With more than 2 000 customers in over 140 countries, Turbomeca provides a proximity service thanks to its 14 sites, 3 subsidiaries, 25 TurboSupport Centers, 32 repair centers and 90 Field representatives and Field technicians. The Head Office is based in Bordes, Pyrénées-Atlantiques (south-west France). Microturbo, a subsidiary of Turbomeca, is the European leader in turbojet engines for missiles, drones and auxiliary power units.

PRESS RELEASE

15.09.2005, Europrop International
José Massol named managing director of EPI Europrop International GmbH

September 15th, 2005.

José Massol has been named Managing Director of EPI Europrop International GmbH, with full responsibility to manage the TP400-D6 engine programme. He replaces Professor Guenter Kappler, who has fulfilled his three-year contract.

This appointment was approved by the board of EPI, composed of Ignacio Mataix (CEO of ITP), chairman of the board, Udo Stark (Chairman and CEO of MTU Aero Engines), Colin Green (President of Rolls-Royce’s Defence Aerospace business) and Marc Ventre (Chairman and CEO of Snecma).

Commenting on his appointment, José Massol said: “ I would like to thank Pr Guenter Kappler for the great job he has done for EPI over the past three years. This is an exciting time to be leading EPI, with the TP400-D6 engine first ground tests, a key milestone for our customers, and the further development of the TP400-D6 engine programme.”

José Massol, 57, graduated from Ecole Nationale Supérieure des Arts et Métiers and the Ecole Supérieure d’Electricité (Supélec). He has held senior executive positions in Thales, where he has been Senior Vice-President in charge of the Airborne Systems Business Group and recently Senior Vice-President International Operations, overseeing the multi-domestic operations of the group in over more than 15 countries.

EPI has achieved significant milestones since 2002 when Pr Guenter Kappler became managing director of EPI and built the company. In 2003, EPI was selected to power the new Airbus Military A400M military transport with the Western world’s largest-ever turboprop engine. In 2004, the preliminary design review of the TP400-D6 engine was successfully concluded and EPI celebrated the successful first test of the TP400-D6 intermediate pressure compressor. This year, EPI announced the successful first test of the TP400-D6 engine control and monitoring system. The assembly of the first engine for the ground test began in June 2005, which will open up a new phase in the company’s commitment to deliver the best engines for the A400M.

Notes for Editors EPI Europrop International GmbH was created by four leading European aero-engine companies (Industria de Turbo Propulsores, MTU Aero Engines, Rolls-Royce and Snecma) to manage the TP400-D6 engine program. Designed to power the Airbus Military A400M military transport, the TP400-D6 will be the most powerful turboshaft engine in the West. It features a three-shaft configuration and will deliver a maximum power output of 11,000 shaft horsepower. More than 750 engines will be required for the 180 A400M aircraft ordered to date by the launch countries.

PRESS RELEASE

20.09.2005, SAFRAN
SAFRAN signs a cooperation agreement with the Civil Aviation University of China

Beijing, September 20st 2005,

The French group SAFRAN represented by François Courtot, Senior Vice President, International Development, and the Civil Aviation University of China (CAUC), represented by its president Mr.WU Tongshui, signed today a cooperation agreement in the field of education in order to promote a long-term relationship in multi-scope. The signature was witnessed by Jean-Paul Herteman, Executive Vice President, Propulsion Branch of SAFRAN and by Yang Guoqing, Vice-Minister of Civil Aviation of China.

The Civil Aviation University of China is the best university in the field of China’s civil aviation. SAFRAN, one of today’s top international aerospace propulsion and equipment, communication, defense and security group has already been supporting education institutions programs in China for a number of years.

CAUC and SAFRAN delegates met several times in Beijing. Both sides decided to set up a relationship on the base of free communication for mutual interest. One of the goals is to build up a SAFRAN Exclusive Publications Room in the library of CAUC, a SAFRAN Product Exhibition and Practice Hall and personal training seminars. Mainly, CAUC will invest on infrastructure, and SAFRAN will provide some relevant equipment and relative materials.

*****

About SAFRAN SAFRAN is an international high-technology group with four core businesses: propulsion, communications, equipment, defense security. It has 56,000 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

Visit our new website: www.safran.cn

PRESS RELEASE

21.09.2005, SAFRAN
SAFRAN awards first research prize at Beijing air show

Beijing, September 21, 2005

The SAFRAN Group of France awarded its first Research Prize at the Beijing air show. The prize recognizes the best doctoral theses by Chinese university students on subjects falling within the scope of SAFRAN’s activities. This prize carries on the tradition established by Snecma, which awarded prizes in 2003 and 2004.

The 2005 SAFRAN Prize, worth 5,000 euros, was awarded by Marc Ventre, Chairman and CEO of Snecma, a SAFRAN Group company, to Dr. Zeng Qingfeng from the Polytechnic University of Northwest Xi’an, for his thesis, “Optimization of the design of C/SiC composites.”

These are thermostructural composites, which could represent a real technology breakthrough in hot components for aircraft and rocket engines. Dr. Zeng’s thesis described an innovative approach that should facilitate the optimization of these materials by integrating the manufacturing process. His thesis advisor was Professor Zhang Litong.

Both the prizewinner and his thesis advisor will be invited to France by SAFRAN, so that they can meet specialists in this field, especially staff from Snecma Propulsion Solide (a SAFRAN Group company), the world leader in thermostructural composites.

This year’s prize further bolsters the links between SAFRAN and the Polytechnic University of Xi’an, which had already signed an agreement in 2004 to collaborate on the training of engineers.

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About SAFRAN SAFRAN is an international high-technology group with four core businesses: propulsion, communications, equipment, defense security. It has 56,000 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

26.09.2005, Snecma
PPS®1350-powered SMART-1 lunar probe a total success

Courcouronnes, September 26, 2005

The PPS®1350 stationary plasma thruster built by Snecma delivered its final thrust impulse to the European lunar probe SMART-1 on September 17, 2005, allowing it to remain in orbit around the Moon until August 2006. Because of the amount of fuel (xenon inert gas) saved during its flight to the Moon, the propulsion system on SMART-1 allowed the European Space Agency to extend the probe’s observation mission from 6 to 18 months. This means the probe will be able to triple its harvest of scientific information, collected in the visible, infrared and X-ray bands of the spectrum.

Since the launch of Smart-1 on September 27, 2003, the PPS®1350 stationary plasma thruster, designed and built by Snecma, has been successfully ignited over 840 times. It totaled some 5,000 hours of operation, a world record for this type of propulsion system. Because of the PPS®1350’s high specific impulse, it propelled SMART-1 from the Earth to the Moon in 17 months, and will keep it in observation orbit for 18 months, all while consuming around 80 kilograms of xenon.

Snecma developed the electric propulsion technology used on SMART-1 in conjunction with Russian partner OKB Fakel, and with the support of French space agency Cnes. This type of propulsion technology could be a key to future interplanetary exploration missions. Electric propulsion also began to be used on commercial communications satellites in 2004. Because of its low fuel consumption, electric propulsion provides weight savings of up to 25% of payload weight at liftoff.

For more information, see the websites of Snecma (www.snecma.com) and ESA (www.esa.int).

***

Snecma, a SAFRAN group company, is one of the world’s leading manufacturers of aircraft and rocket engines, with a wide range of propulsion systems on offer. The company designs and builds commercial aircraft engines that are powerful, reliable, economical and environmentally friendly, along with military aircraft engines that have always delivered world-class performance. Snecma also develops and produces propulsion systems and equipment for other launch vehicles, satellites and space vehicles.

PRESS RELEASE

26.09.2005, SAFRAN
SAFRAN Group consolidates positions in security market

Paris, September 26, 2005

SAFRAN Group today announced its subsidiary Sagem Défense Sécurité has signed an agreement to acquire the German smart card specialist ORGA Kartensysteme GmbH from the Günther group. The acquisition which is subject to approval from regulatory authorities, will create a new major player in the global smart card market, operating as SAGEM ORGA. The combination of the smart card activities of Sagem Défense Sécurité and ORGA would create a unit with aggregate revenues of over 300 million euros in 2006, coupled with a very positive near-term growth outlook.

Sagem Défense Sécurité and ORGA form an excellent strategic fit in terms of geographic coverage, technology and product lines, supporting substantial synergies.

Sagem Défense Sécurité’s worldwide leadership in biometric ID systems dovetails with ORGA’s penetration in growth markets. SAGEM ORGA will thus be well-positioned to deliver cutting-edge technology solutions in all segments. The new unit will consolidate its leadership in the healthcare, banking and identification markets, especially in fast-growing European markets. Its coverage will allow it to address the needs of customers around the world, particularly in emerging markets with robust development potential.

“ Acquiring ORGA is a major step in the development of our division,” said Jean-Paul Jainsky, Executive VP and Director of Sagem Défense Sécurité’s Security Division. “It will enable us to take advantage of the dynamic growth in the different security markets in which we have consolidated our position. We’ll be able to provide comprehensive, innovative solutions that will energize the development of the SAFRAN Group while increasing our market share”.

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Sagem Défense Sécurité is a worldwide leader in secure biometric ID systems, and a renowned expert in the bank card market and in developing highly secure software masks. It has production and R&D facilities in France and China.

SAFRAN is an international high-technology group with four core businesses: propulsion, communications, equipment, defense security. It has 56,000 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

27.09.2005, Turbomeca
Heliportugal has chosen the Turbomeca SBH® Mission contract

Duxford, 27 September 2005

At the Helitech Exhibition, Turbomeca announces that Heliportugal have recently opted for the new Turbomeca flight-hour contract, the SBH® Mission

The Portuguese helicopter operator Heliportugal has signed three contracts for the SBH® Mission Utility Prime for ten engines: four Arriel 1C, five Arriel 1D1 and one Arrius 2F. These engines will equip their Dauphin, Ecureuil and Colibri helicopters for various purposes such as transport, fire fighting and surveillance of electrical power lines.

The success of the classic flight-hour contract SBH® continues. The Spanish company, Helicsa, has extended its SBH® contract for several new engines. Effectively the flight-hour contract covers 24 additional engines for a total of 48 engines today. These engines are used for various purposes, such as Emergency Medical Services (EMS), fire fighting or transport. The United States Coastguards (USCG) signed at the end of July a support-by-the-hour contract for their 95 Dauphin HH65s, which will finally be re-engined with the Arriel 2C2 CG.

SBH® Mission

The principle of the SBH® contract is based on support by flight hours. In addition the SBH® Mission has seven variations to cater for the needs of operators performing multiple tasks: charter - taxi - tourism, transport of company personnel, EMS, police or parapublic missions, offshore work, humanitarian missions or VIP transport.

Each of these seven types of SBH® Mission contract is offered with three levels of service care: Pro which covers all basic requirements in terms of engine support, Prime, which offers a series of supplementary options, and Privilege, a formula for complete service.

***

About Turbomeca
Turbomeca (SAFRAN Group) is the leading helicopter engine manufacturer, and has produced over 50 000 turbines based on its own designs since the company was founded. With more than 2 000 customers in over 140 countries, Turbomeca provides a proximity service thanks to its 14 sites, 3 subsidiaries, 25 TurboSupport Cnters, 32 repair centers and 90 Field representatives and Field echnicians. The Head Office is based in Bordes, Pyrénées-Atlantiques (south-west France). Microturbo, a subsidiary of Turbomeca, is the European leader in turbojet engines for missiles, drones and auxiliary power units.

PRESS RELEASE

04.10.2005, Turbomeca
Ardiden, the new Turbomeca engine, has completed its first run on test bench

Bordes, 4 October 2005

As planned, the first run of the latest engine developed by Turbomeca was successfully achieved. This significant milestone opens the development and test phases, allowing the validation of the good aeromechanical behavior and performance of this new generation engine.

Some testing of its components, carried out on a test rig before this first run, has demonstrated the appropriateness of the technological choices.

This stage will be followed by the first flight planned for July 2006 and completed by CASA certification in December 2006.

Ardiden has been designed in response to the most demanding missions at higher altitudes and in hot weather. Developed in cooperation with Hindustan Aeronautics Ltd. (HAL) under an industrial partnership contract signed in February 2003, this engine combines simplicity, a high level of technology, robustness and modernity for a cost of ownership much lower than that proposed by competitors. The Ardiden 1H turbo-shaft engine (called Shakti in India) will first be used to power the twin-engine Dhruv helicopter developed by HAL. This aircraft offers a take-off load of 5 500kg. Its entry into service is planned for March 2007. It will initially serve the Indian Armed Forces. For this purpose, several hundreds of engines will be produced in the next 10 years.

This new turbo-shaft engine completes Turbomeca’s range, the largest in the market.

***

About Turbomeca
Turbomeca (SAFRAN Group) is the leading helicopter engine manufacturer, and has produced over 50 000 turbines based on its own designs since the company was founded. With more than 2 000 customers in over 140 countries, Turbomeca provides a proximity service thanks to its 14 sites, 3 subsidiaries, 25 TurboSupport Centers, 32 repair centers and 90 Field representatives and Field technicians. The Head Office is based in Bordes, Pyrénées-Atlantiques (south-west France). Microturbo, a subsidiary of Turbomeca, is the European leader in turbojet engines for missiles, drones and auxiliary power units.

PRESS RELEASE

11.10.2005, Turbomeca
Rolls-Royce Turbomeca engine qualified for NH90

October 11, 2005

The Rolls-Royce Turbomeca (RRTM) RTM322 turboshaft engine has been qualified to the specific stringent military requirements of the NH Industries (NHI) NH90 twin-engine multi-role helicopter. This milestone, which is additional to the engine civil certification achieved in 2004, was marked by Eurocopter’s signature of the Declaration of Design and Performance (DDP) for the RTM322-01/9, which is rated at 2,427 shp.

The FADEC-equipped RTM322-01/9 has been selected by ten of the eleven nations to order the NH90 which has been jointly developed by Eurocopter and AgustaWestland. Customers include Australia, Finland, France, Germany, Greece, Netherlands, Norway, Oman, Portugal and Sweden. Growth versions of the engine are already in development, with an initial 2,600 shp class ‘Step 0’ variant already selected for a firm NH90 customer requirement.

Emeric d’Arcimoles, Director of RRTM, said: “Qualification of the RTM322-01/9 is a key milestone for the engine program, and one which represents the culmination of our close working relationship with NH Industries over the past decade.

“The RTM322 engine provides NH90 operators with an unparalleled combination of performance, reliability and maintainability, and this has been reflected in the engine’s selection rate. We look forward to working with NHI and its partner companies on further developments of the RTM322 over the life of the NH90 program to ensure that it remains the most capable platform in its class.”

Approximately 1,500 RTM322 engines, including orders and options, have been announced for NH90, WAH-64 Apache and EH101 helicopters.

PRESS RELEASE

14.10.2005, Snecma
Inauguration of VolgAero by Snecma and NPO Saturn

Rybinsk, October 14, 2005

Snecma (SAFRAN Group), represented by chairman and CEO Marc Ventre, and NPO Saturn, represented by chief executive Yuri Lastochkin, inaugurated on October 14, 2005 a jointly-owned company to produce aircraft engine parts, called VolgAero.

The ceremony was chaired by V. Khristenko, Minister of Industry and Energy, and H.E. Jean Cadet, Ambassador of France in Russia, in presence of Jean-Paul Herteman, Executive Vice-President of SAFRAN Group, and Mr Gloukikh, Chairman of NPO Saturn Board.

VolgAero will produce components for aircraft engines and more specifically the SaM146 engine. The SaM146, developed by Snecma and NPO Saturn within their joint company PowerJet, is the most advanced propulsion system designed for the new generation of small liners. Developing 14,000 to 17,500 pounds of thrust, it covers thrust requirements for aircraft carrying up to 100 passengers. Back in April 2003, the SaM146 was selected to power the future Russian Regional Jet (RRJ) family developed by Sukhoi Civil Aircraft.

VolgAero is based in Rybinsk, about 380 kilometers north of Moscow. Jean-Jacques Boulanger (Snecma) is the Executive Director of VolgAero and Anatoly Zelentsov (NPO Saturn) is the General Director.

The plant includes over 10,000 square meters of workshops equipped with latest world-class standard machine tools, plus another 2,500 square meters of offices. It has three product lines: rotating parts; mechanical and mechanically-welded casings; and engine accessory components. It also offers shared facilities for chemical, thermal and surface treatments (plasma, shot-peening, sand-blasting, etc.).

****

Snecma, SAFRAN group, is one of the world’s leading manufacturers of aircraft and space engines, with a wide range of propulsion systems on offer. The company designs and builds commercial aircraft engines that are powerful, reliable, economical and environmentally friendly, along with military aircraft engines that have always delivered world-class performance. Snecma develops and produces propulsion systems and equipment for launch vehicles and satellites.

NPO "Saturn" is the leading Russian designer and manufacturer of gas turbine machinery for aviation and industry. NPO "Saturn" produces engines for military and civil aircraft, land-based powerplants for power generation and gas pumping stations, engines for drones. The country’s largest research and development capabilities and modern production facilities allow NPO "Saturn" to carry out most advanced projects of development and production of gas turbine machinery.

PRESS RELEASE

11.10.2005, Hispano-Suiza
Hispano-Suiza creates electrical development division, names Serge Bérenger as division head

Colombes, October 11, 2005

Hispano-Suiza has created an electrical development division to lay the groundwork needed to meet tomorrow’s technical and industrial challenges inherent in the increasing use of electrical equipment and power generation on new-generation aircraft. The new division aims to foster Hispano-Suiza’s ability to support and master the shift to the potentially disruptive technology of “more electric” aircraft and engines, and its impact on fellow SAFRAN Group companies.

Serge Bérenger has been named director of the new electrical development division, reporting to corporate management. He will also represent Hispano-Suiza in SAFRAN’s new “all electric” working group, now being set up.

Serge Bérenger, 40, is graduated from the Ecole Supérieure d’Electricité (commonly known as “Supélec” in France). He started his career with the Zodiac group in 1989, then moved to Artus. In 1995, he joined Thales Avionics Electrical Systems in Chatou, as head of the engineering department. In 2001, he was named vice president, programs and engineering, in charge of the development of electrical systems and equipment for civil and military aircraft. From October 2004 until this latest appointment, Serge Bérenger was director of innovation at the Thales Aerospace Division.

****

Hispano-Suiza is a world leader in the design, manufacture and support of commercial and military engine control systems, power transmissions, power electronics and actuators. The company is also actively involved in R&D for advanced systems and equipment on tomorrow’s “more electric” aircraft. Hispano-Suiza has two main facilities in the greater Paris area, at Colombes and Réau, and manages two operating units, in Peterborough, Canada and Sedziszow, Poland. Hispano-Suiza is part of SAFRAN, a high-tech Group operating in four main sectors: propulsion, communications, equipment, defense security.

PRESS RELEASE

18.10.2005, Turbomeca
First japanese-assembled RTM322 engine delivered

October 18 2005

The first Rolls-Royce Turbomeca RTM322 turboshaft engine to be assembled by Kawasaki Heavy Industries (KHI) was today delivered to representatives of Japan’s Defense Agency and Japan’s Maritime Self Defense Force (JMSDF) in a ceremony held in Akashi, Japan.

Rolls-Royce Turbomeca (RRTM) has granted KHI a license to assemble, test, repair and overhaul RTM322 engines for the JMSDF’s EH101 helicopter programme. In addition, the aerospace division of KHI will also be assembling EH101 aircraft in Japan.

An initial EH101, powered by three 2,270 shp RTM322 Mk250s assembled by RRTM, was delivered to Japan earlier this year for systems integration ahead of delivery to the JMSDF in 2006.

Emeric d’Arcimoles, Director of RRTM, said: “We would like to congratulate KHI on the achievement of this important milestone. Through KHI, Japanese industry is playing a crucial role in one of the most successful modern helicopter engines.”

Glyn Hill, the RRTM Liaison Manager based at KHI, said: “Today marks the culmination of two year’s effort from the teams at RRTM and KHI to establish a world-class engine assembly and test facility at Akashi. This has been an excellent partnership that bodes well for the future operation of the RTM322 engine in Japan.”

Japan is the fifth customer to choose the RTM322 for the EH101, highlighting the fact that the RTM322 is the leading powerplant for modern medium-sized helicopters, particularly those operating in a maritime environment.

Two variants of the RTM322-powered EH101 are in operation with the United Kingdom’s Royal Navy and Royal Air Force, and the engine also powers the British Army’s Apache AH Mk1 helicopter. Additionally, Portugal and Denmark have chosen the RTM322 for their EH101 helicopters.

Approximately 1,500 RTM322 engines, including orders and options, have been announced for NH90, AH-64 Mk1 Apache and EH101 helicopters.

PRESS RELEASE

19.10.2005, Turbomeca
Handover of the first Augusta Westland A109 Light Utility Helicopters, fitted with Turbomeca’s Arrius 2K2 engines, to the South African Air Force (SAAF)

Bordes, October 19, 2005

As part of the SAAF’s order of 30 twin-engine A 109 LUH helicopters powered by the Arrius 2K2 engine, the first four aircraft have been received today by the SAAF at the Bloemfontein Base.

The A 109 LUH will carry out EMS, surveillance, troop transportation and rescue missions.

The assembly and the testing as well as the production of certain parts of the Arrius 2K2 engine are carried out by Turbomeca Africa, Johannesburg. Turbomeca’s South African site, recently modernized with new machine tools and deep maintenance workshops, will also very soon ensure local support up to the repair and overhaul of engines.

Turbomeca has worked closely with the South African Defense Forces for more than a quarter of a century, notably for the support and deep maintenance of the Artouste engines which equip the Alouette, and the Makila engines which equip the Oryx and Rooivalk.

Turbomeca Africa Pty Ltd is the result of an agreement signed in mid-2002 between the South African company Denel Ltd and Turbomeca, with the French parent company acquiring majority participation with 51% of the shares.

The Arrius 2K2 delivers a take-off power of 716 shp with a 3 000 hour TBO (time between overhauls).

The Arrius 2K2 has been ordered by Sweden and Malaysia – 20 and 11 A 109 LUH helicopters respectively.

Engines of the Arrius family now rest confidently on the experience of more than 1,800 engines delivered, totaling more than 2 million flying hours for 430 customers in 60 countries.

***

Turbomeca (SAFRAN Group) is the leading helicopter engine manufacturer, and has produced over 50 000 turbines based on its own designs since the company was founded. With more than 2 000 customers in over 140 countries, Turbomeca provides a proximity service thanks to its 14 sites, 3 subsidiaries, 25 TurboSupport Centers, 32 repair centers and 90 Field representatives and Field technicians. The Head Office is based in Bordes, Pyrénées-Atlantiques (south-west France).

Microturbo, a subsidiary of Turbomeca, is the European leader in turbojet engines for missiles, drones and auxiliary power units.

PRESS RELEASE

24.10.2005, CFM International
There’s Something in the Air ... and It’s Probably Powered by a CFM56

EVENDALE, Ohio - October 24, 2005 - Every three seconds of every day with one of more 430 operators around the globe, an airplane powered by industry-leading CFM56 engines is taking off. There are approximately 15,300 CFM56 engines in service powering more than 6,050 aircraft; this fleet has logged more than 300 million flight hours and 175 million flight cycles as the most reliable engines in the air.

CFM56 engines are produced by CFM International, a 50/50 joint company between Snecma and General Electric Company and the world’s leading manufacturer of jet engines for commercial and military transport aircraft. Although it took more than 23 years for CFM to achieve 300 million hours, the fleet is currently logging one million flight hours every 10 days and should reach 400 million hours by early 2008.

The CFM56 product line includes six engine models spanning the thrust range from 18,500 to 34,000 pounds (82 to 151 kN) thrust. Commercial applications include the CFM56-5-powered Airbus A318, A319, A320, and A321 single-aisle aircraft and the A319 Corporate Jet and the long-range, four-engine A340-200 and -300 powered by CFM56-5C engines; the Boeing Classic 737-300/-400/-500 family, powered by CFM56-3 engines and the Next-Generation 737-600/-700/-800/-900 and Boeing Business Jet; all powered by the CFM56-7B engine. CFM56 engines also power several military applications, including the Boeing 737 Airborne Early Warning & Control aircraft, the U.S. Navy C-40 transport, and the Multi-mission Maritime Aircraft (MMA), as well as re-engined KC-135R and C-135FR tanker, E-3 Airborne Warning and Control System surveillance aircraft, and the E-6 submarine communications aircraft.

The first CFM56-powered aircraft to enter service was a Boeing DC-8 Super 70 series aircraft re-engined with the CFM56-2.

PRESS RELEASE

02.11.2005, Labinal ; SAFRAN
Labinal selected for the Falcon 7X program

Paris, November 2nd

Labinal, a company of the SAFRAN Group, has been selected by Dassault Falcon Jet Corp. for the manufacture, production, installation and customer support of the Falcon 7X completion electrical harnesses. The electrical systems will be delivered and installed directly at Dassault Falcon’s facility (Little Rock, Arkansas USA).

The first installation is planned for Spring 2006. The Europe Wiring Division of Labinal will support the North America Wiring Division by bringing technical and training assistance on the Falcon technical specific products and installation activities.

This contract is the first occasion for Labinal to provide installation activities in the United States.

***

One of the SAFRAN Group’s high tech companies, Labinal is a world leader in the field of electrical wiring systems – and studies in their engineering and associated technology – for the aviation, space and defense markets. The company’s unmatched expertise is founded on decades of design, development and manufacturing success with long-term partnerships with the leading aerospace companies. Labinal’s industrial activities, market segment oriented and customer-driven, are organized in three Divisions: Wiring Europe, Wiring North America and Engineering & Technology.

SAFRAN is an international high-technology group with four core businesses: propulsion, communications, equipment, defense security. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets

PRESS RELEASE

28.10.2005, Europrop International
Successful First Engine Test of the TP400-D6 engine

October 28th, 2005

EPI Europrop International GmbH announces that the successful first engine test of the TP400-D6 engine has taken place today at MTU Maintenance Berlin-Brandenburg in in Ludwigsfelde. The first engine test of the TP400-D6 engine was witnessed by representatives of the participating European governments, together with representatives of OCCAR (Organisation Conjoint de Cooperation en matiere d’Armement), Airbus Military SL company and shareholders of EPI.

“EPI is delighted with the successful first ground test of the TP400-D6 engine", said José Massol, Managing Director of EPI. He added : “It marks a new step forward in the development and the validation of the advanced engine technologies for the A400M aircraft."

During the tests, the TP400-D6 engine performed exactly as expected. The engine is designed for civil-standard life, reliability and availability in a military operation environment. The TP400-D6 engine is a three-shaft configuration combining the most advanced state of the art of engine modules developed by the partners of EPI (Snecma, Rolls-Royce, MTU, ITP). It will deliver a maximum power output in excess of 11,000 shaft horsepower at sea level. The engine benefits from proven technology derived from the outstanding expertise in military and civil aero engines, including a dual Full Authority Digital Engine Control (FADEC).

The certification of the engine is scheduled for October 2007 with the A400M first flight due shortly after.

On October 15th, 2005, José Massol has replaced Prof. Guenter Kappler (who had fulfilled his three-year contract) as managing director of EPI, coming from the position of Senior Vice-President international operations of Thales.

EPI has achieved significant milestones since 2002. In 2003, EPI was selected to power the new Airbus Military A400M military transport aircraft with the Western world’s largest-ever turboprop engine. In 2004, the preliminary design review of the TP400-D6 engine was successfully concluded and EPI celebrated the successful first run of the TP400-D6 intermediate pressure compressor. In May 2005, EPI announced the successful first test of the TP400-D6 engine control and monitoring system in a dry rig.

***

EPI Europrop International GmbH was created by four leading European aero-engine companies (Industria de Turbo Propulsores, MTU Aero Engines, Rolls-Royce and Snecma) to develop, produce and sell the TP400-D6 engine program. Designed to power the Airbus Military A400M transport, the TP400-D6 will be the most powerful turboshaft engine in the West. It features a three-shaft configuration and will deliver a maximum power output of 11,000 shaft horsepower. More than 750 engines will be required for the 180 A400M aircraft ordered to date by the launch countries.

PRESS RELEASE

04.11.2005, CFM International
A 20-Year Success Story: CFM In China

BEIJING, China - November 4, 2005 - In 1985, two Chinese airlines, Air China Southwest and China Eastern Yunnan, took delivery of their first Boeing 737s. These airplanes were powered by CFM International’s CFM56-3 engines. CFM was a very young company and these were some of its first orders. Since then, China has become one of the largest and most important customer regions for CFM, with 14 Chinese airlines operating more than 1,075 CFM56 engines powering nearly 500 Airbus and Boeing aircraft.

CFM International, a 50/50 joint company between Snecma and General Electric, is today one of the most successful aircraft engine suppliers in history; earlier this year, the company delivered its 15,000th engine.

"We are both honored and humbled by the continued faith China has placed in CFM products and people," said Eric Bachelet, president and CEO of CFM International. "We owe a tremendous debt of gratitude to them for the great success that CFM has achieved. Both Air China Southwest and China Easter Yunnnan were willing to work with us in the early days. Since then, our relationship with China’s aviation industry has continue to evolve and flourish and now goes well beyond customer and engine manufacturer. And we are constantly finding new ways to strengthen those ties."

Since the first engines were delivered 20 years ago, China has become an important supplier base for CFM’s parent companies, GE and Snecma. In 2005, these companies will purchase more than $137 million in CFM56 parts from Chinese manufacturers. The quality of these parts has been key to the ongoing success of the CFM product line.

One of the world’s best aircraft engine maintenance training centers, the Aero Engine Maintenance Training Center (AEMTC), located in the Civil Aviation Flight College, Guanghan City, is a cooperative venture between CFM, the Civil Aviation Administration of China, Snecma, and GE, China Aviation Supplies Imp. & Exp. Group Corporation, Civil Aviation Flight University of China. Since opening its doors in late 1996, the Center has trained nearly 5,000 students.

The training provided at AEMTC - a state-of-the-art 4,500 square meter facility with six engine shop bays and five classrooms - is equivalent to the training at the CFM centers in the United States and France. All three centers are staffed with experienced instructors who facilitate exercises in the classroom and hands-on procedures in the engine shop. Each center also provides computer-based training, both self-paced and instructor-led.

Also in 1996, the company opened the CFM Spares Service Center in Beijing. Nearly 2,200 items for CFM56-3, CFM56-5A, -5B, -5C, and CFM56-7 line maintenance are now available to operators in a matter of days, rather than weeks.

The CFM56 product line includes six engine models spanning the thrust range from 18,500 to 34,000 pounds thrust. Commercial applications include Airbus A318, A319, A320, and A321 single-aisle aircraft, the long-range A340-200/-300, and the A319 Corporate Jet; and Boeing Classic 737-300/-400/-500, Next-Generation 737-600/-700/-800/-900, the Boeing Business Jet, and re-engined DC-8 Super 70 series aircraft. CFM56 engines power several s military applications, including the Boeing 737 Airborne Early Warning & Control aircraft, the U.S. Navy C-40 transport, and the Multi-mission Maritime Aircraft (MMA), as well as re-engined KC-135R and C-135FR tanker, E-3 Airborne Warning and Control System aircraft, the E-6 submarine communications aircraft, and RC-135 surveillance aircraft.

The CFM56 fleet has logged more than 300 million flight hours in service powering more than 6,065 commercial and military aircraft worldwide as the most reliable engines in the air.

PRESS RELEASE

08.11.2005, Turbomeca
Tiger: 100th MTR390 2C engine delivered for Tiger helicopter

November 8, 2005

MTU-Turbomeca-Rolls-Royce GmbH (MTR) recently delivered its 100th Tiger MTR390-2C standard engine. It is the 38th MTR390 for the French services and its operational location is the French-German pilot training school at Le Luc, in the south-east of France, where the pilot training on the French HAP and German UHT helicopters is conducted.

In all, Germany and France have ordered 342 engines for a total of 160 helicopters (80 H/C for each Nation). The delivery programme for this initial standard engine will last till the year 2011.

Originally designed to meet the needs of two countries (France and Germany), the Tiger and its MTR390 engines have conquered the first export market, Australia, which ordered 22 aircraft in the year 2001. Whilst 100 engines has been delivered in Europe, an additional quantity of 25 engines was provided to Australian Aerospace, indicating that the production programme of the MTR390 2C standard engine is well advanced.

Meanwhile a third Nation in the European procurement programme entered the scene in 2004 when Spain made its decision to order 24 Tiger helicopters. For this programme which is common with the French requirement, a specific version of the Helicopter and the engine will be designed. This Enhanced standard engine will be uprated with up to 14% more power. For this growth engine version, MTR will cooperate with a new partner in a new joint venture, the Spanish engine manufacturer Industria de Turbo Propulsores (ITP). After a four-year development programme the first new Enhanced production standard will be delivered by end of the year 2009.

Based on the two engine standards, and the well-advanced production programme, the engine and its partners are well positioned for further market opportunities such as Turkey.

PRESS RELEASE

09.11.2005, Sagem Communication
SAGEM my300X: a new ultra-slim product line

SAGEM mobile phones innovate through design.

Paris, November 09th, 2005

Sagem Communication (SAFRAN Group) today launched its new ultra-slim my300X product line, being the first step into the globally renewing its product range.

In mobile telephony, a highly technological market, innovation is not only linked to features but also to design. In addition to proposing a new design style in the product range, Sagem Communication has also taken the first step to evolving its product naming for the range going forward.

A new step has been taken through the launch of the extra slim and trendy SAGEM my300X. The elegance of the product is reinforced by usage of several materials, playing also on the contrast between colours. Stylish curves highlight the keypad that is aesthetic and ergonomic.

SAGEM my300X is packed in a very compact form factor, it integrates the best of latest technologies with a comfortable 65k colour screen (128x128 pixels) to enable customers user friendly access to all services such as WAP 2.0 over GPRS, latest JAVA™ MIDP2.0 version, download of Hi-Fi and polyphonic ring tones.

The new naming scheme of GSM range shows the evolution towards this new generation of handsets. Clearly understandable, the name allows to identify easily the positioning of the mobile in the range, the level of services available on the GSM and the form factor of it (barphone, clamshell, slider, etc). SAGEM mobiles allow a high level of customisation, “my” prefix, present in all product names, illustrates the capability of the mobile to be customised.

Various versions are also launched in this family. SAGEM my301X allows very high level of connectivity embedding Bluetooth features, SyncML services and a triple band radio for even more independence. SAGEM my302X, integrating the same level of connectivity, is dedicated to outdoor conditions. A special design of the keypad and a focus on rubber materials fits with the needs of customers for mobiles able to operate night and day in the most difficult conditions.

“This new product line, with the combination of attractive design and high level of features, answers to more and more demanding customer needs for their mobile phone. To study slim products is already a strong trend for our range. “ declared Thierry Buffenoir, Deputy CEO, Sagem Communication.

Thus, my300X product family, with its fashionable curves, its mannered finish and its high level of features illustrate how future products in SAGEM range will be, innovation being key for technologies and also for design.

***

About Sagem Communication Sagem Communication (SAFRAN Group) is a major player in the Mobile and Broadband Communication industries, who has acquired a strong world-wide position thanks to renewed innovation. SAGEM products stand-out particularly in the following activities: mobile phones, printing terminals, residential terminals, digital TV, networks, electronic metering, etc.

PRESS RELEASE

15.11.2005, SAFRAN
Spotlight on “SPEC” at first symposium on more electric aircraft technologies

Paris, November 15, 2005

The first symposium on “more electric” aircraft technologies, organized by the Research & Technology division of the SAFRAN Group, took place on November 8 and 9 at the Génocentre in Evry. Attracting some 150 participants, the symposium spotlighted the work of the SAFRAN Power Electronics Center (SPEC), led by Group company Hispano-Suiza. SPEC is the Group’s center of expertise in power electronics, bringing together ten companies – Aircelle, Hispano-Suiza, Labinal, Messier-Bugatti, Messier-Dowty, Sagem Défense Sécurité, Snecma, Technofan, Techspace Aero and Turbomeca - in research efforts designed to meet the technological challenges inherent in developing tomorrow’s more electric aircraft.

The symposium, coordinated by Hispano-Suiza, brought together aircraft manufacturers, authorities, the companies belonging to SPEC, and their industrial and research partners. Various workshops presented the initial results of work carried out within the scope of SPEC over the last two years, as well as their likely impact on equipment and systems in tomorrow’s more electric aircraft.

Nearly 30 speakers gave presentations on the six main research subjects: thermal management, electromagnetic compatibility (EMC), electrical distribution networks, electrical drive architecture, electric motors and power electronics.

The first symposium spotlighted the high degree of synergies between the different SAFRAN companies involved in SPEC, and the need to continue to pool efforts to bring more electric aircraft technologies to maturity. At the same time, this symposium also showed the necessity of working as far “upstream” as possible with customers.

***

SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, aircraft equipment, defense and security, communications. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

Hispano-Suiza, part of SAFRAN Group, is a world leader in the design, manufacture and support of commercial and military engine control systems, power transmissions, power electronics and actuators. The company is also actively involved in R&D for advanced systems and equipment on tomorrow’s "more electric" aircraft.

PRESS RELEASE

15.11.2005, SAFRAN
Inauguration of SAFRAN media library at Civil Aviation University of China

Paris, November 15, 2005

The SAFRAN Group of France, represented by François Courtot, Vice President International Affairs, and the Civil Aviation University of China (CAUC), represented by its President Wu Tongshui, recently inaugurated the new SAFRAN media library at the CAUC in Tianjin. The ceremony was also attended by Chu Yang, Deputy Director of the CAAC (Civil Aviation Administration of China) administration office, Alexis May, advisor to the French ambassador to China, Marie-Pierre Van Hoecke, head of the CNRS (French scientific research agency) office in China, Marc Ventre, Chairman of Snecma, and Jean-Lin Fournereaux, Chairman of Snecma Services.

The inauguration of this media library marks the first step in the collaboration agreement signed in September by SAFRAN, an international technology leader, and CAUC, the main aeronautical engineering school for civil aviation in China.

The media library, for which SAFRAN supplied 20 computer stations, has a two-pronged goal: it reflects the aerospace expertise and products of the SAFRAN Group, and above all it will be a important resource for CAUC students, giving them access, for instance, to extensive information on group products (especially technical documents on CFM56 engines).

The collaboration with CAUC should continue with the opening of an exhibition space for SAFRAN products, including a CFM56 engine used for hands-on training.

***

About SAFRAN
SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, aircraft equipment, defense and security, communications. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

21.11.2005, Aircelle
Aircelle Strengthens its Aerostructures Capabilities with Expanded Activity at the Company’s SLCA Subsidiary

Meudon, France, November 21, 2005

Aircelle is expanding the scope of activity for its subsidiary specialized in the production of aerostructures – the Société Lorraine de Construction Aéronautique (SLCA) – which will be given additional responsibilities for concurrent engineering, total quality and continuous improvement, as well business and program management.

The personnel responsible for these functions have been working in the aerostructures center of excellence at Aircelle, and are now assigned to SLCA. These changes are made with the goal of strengthening the company’s capabilities by:
 Consolidating its aerostructures business activity,
 Strengthening and focusing SLCA’s presence in key markets,
 Providing a coherent identity for better visibility with customers, and
 Providing autonomy, as well as creating an organization that is on par with the rest of the profession. SLCA’s new company structure now totals approximately 200 salaried employees, who work at its two facilities located in the Lorraine region of France and in the Paris area.

Customers of SLCA include Airbus (for the A330/340 jetliner family), Eurocopter (for engine cowlings on the NH90 helicopter, among other products), and Thales.

Laurent Schneider-Maunoury has been named the President of SLCA, and he also joins Aircelle’s Executive Committee. The 39-year-old Schneider-Maunoury is a graduate of France’s Ecole Polytechnique (one of the most prestigious scientific and research institutions in Europe) and the Ecole des Ponts et Chaussées (the world’s oldest civil engineering school). He started his career with the French Ministry of Industry, and then joined Snecma, where he was responsible for an integrated production line at the company’s Corbeil facility. Schneider-Maunoury subsequently managed the Snecma factory at Le Creusot, and was Group Vice President Operations at Messier-Dowty International prior to joining SLCA.

***

Aircelle is one of the leading players in the worldwide nacelle market for aircraft engines. A member of the SAFRAN group’s Equipment Branch, it employs approximately 2,600 persons at seven sites in France, the United Kingdom and Morocco. Aircelle is present on the majority of programs now in development, and offers a full product line for engines that range from small powerplants used on regional jets and corporate aircraft to high-thrust engines on the largest airliners.

PRESS RELEASE

22.11.2005, CFM International
Comlux Places $36 Million CFM56-5B Order for A318 Elite Aircraft

DUBAI, U.A.E November 21, 2005

Comlux, the VIP charter operator based in Zurich; Switzerland, has selected the CFM56-5B engine to power three firm, three option Airbus A318 Elite Corporate Jets. The firm engine order is valued at approximately $36 million at list price.

CFM56-5B engines are produced by CFM International, a 50/50 joint company between Snecma and General Electric Company. CFM, the world’s leading supplier of commercial aircraft engines, has delivered more than 15,300 engines. The high reliability, long on-wing life, and low maintenance costs of the CFM56-5 make it extremely popular with major airlines, low-cost carriers, and leasing companies worldwide. More than 1,850 CFM56-5B engines have been delivered to date, and the fleet is growing at a rate of about 20 engines per month.

Primary factors behind the engine’s broad-based market acceptance include this industry’s best reliability, durability, and low cost of ownership brought about by the engine’s simple, rugged architecture. The CFM56-5B is the only engine that can power every model of the A320 family, from the small A318 up to the A321, with the same bill of materials, giving airlines a significant commonality advantage.

PRESS RELEASE

22.11.2005, CFM International
Comlux Signs Guaranteed Availability Agreement with SES

DUBAI, U.A.E. - November 21, 2005

Zurich-based Comlux has signed a guaranteed availability agreement with Shannon Engine Support (SES) for CFM56-5B engines that will power the VIP carrier’s new fleet of Airbus 318 Elite aircraft.
SES is a wholly owned subsidiary of CFM International (CFM). CFM, a 50/50 joint company between Snecma and General Electric Company, produces the world’s best-selling commercial engine product line, the CFM56 family. SES, the third largest spare engine leasing company in the industry and the leading lessor of CFM56 spare engines, grew its customer base by nearly 15 percent in the last year and now supports more than 645 aircraft worldwide.
SES provides flexible, cost-effective engine leasing solutions, tailored to operators’ specific requirements. With pools of engines worldwide, the company can provide engines in a ready-to-install configuration within 24 hours. SES also offers short-term engine leases, operating leases, and engine trading. Additional services SES can provide, directly or through its service partners, includes transport and logistical support; on-wing support services; spare stand and bootstrap kits; test cell validation; management of redelivery work; and access to CFM technical support resources.
The company manages more than 150 CFM56 engines and has continued to invest in its portfolio. In addition to CFM56-3, CFM56-5A, CFM56-5B, CFM56-5C, and CFM56-7 engines, SES is the only lessor to provide CFM56-2C spare engines for DC-8 Super 70 aircraft, CFM56-3 engines with the Advanced Upgrade package; CFM56-5B engines equipped with the advanced double annular combustor (DAC), CFM56-7B engines rated for the Boeing Business Jet., and CFM56-5C/P upgraded engines.

PRESS RELEASE

22.11.2005, SAFRAN
Agreement on the sale of Sagem Communication’s cable business

Paris, November 21, 2005 –

SAFRAN announced today that it has signed an agreement to sell Sagem Communication’s cables business to General Cable, as first indicated in a press release on October 10, 2005.

The transaction will involve the sale of Silec Câbles, a subsidiary of Sagem Communication, to Grupo General Cable Sistemas SA, a subsidiary of General Cable, after transferring all of Sagem Communication’s cables activities to Silec Câbles.

The sale should be finalized by the end of the year, following approval by all regulatory authorities.

***

SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, aircraft equipment, defense and security, communications. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

Sagem Communication (SAFRAN Group) is a major player in the Mobile and Broadband Communication industries, who has acquired a strong world-wide position thanks to renewed innovation. SAGEM products stand-out particularly in the following activities: mobile phones, printing terminals, residential terminals, digital TV, networks, electronic metering, etc.

PRESS RELEASE

24.11.2005, Sagem Communication
World First for Sagem Communication and STMicroelectronics: First MPEG4 Set-Top Boxes Based on Single-Chip Video Decoder

Roll-out of leading-edge set-top boxes from Sagem, powered by ST’s STB7100 MPEG4 decoder chip, will enable broadcasters to offer increased number of digital TV channels

PARIS and GENEVA – November 23, 2005

Sagem Communication (SAFRAN Group) and STMicroelectronics (NYSE: STM) today announced the immediate availability of the world’s first MPEG4 set-top boxes (STBs) based on a single-chip decoder. The new advanced range of STBs from Sagem employs ST’s next-generation MPEG4 decoder chip for high-definition TV (HDTV), the STB7100.

When compared to today’s industry-standard MPEG2 video compression technology, the use of MPEG4 compression technology will enable broadcasters and service operators, using their existing broadcast network, to offer end users HDTV and/or many more TV channels.

The first two STBs available in the new family are standard-definition (SDTV) models, the SAGEM ITD80 for Pay and Free-to-air DTT (digital terrestrial TV) broadcast reception, selected by CANAL+, and the SAGEM ITAD80 for both IPTV (Internet Protocol Television) and Free-to-air DTT, already selected by several operators. Before the end of this year, Sagem will expand its new MPEG4 range of STBs, all based on ST’s STB7100 decoder family, to include new HDTV-capable models for all transmission media (satellite, cable, terrestrial, and IP).

Sagem expects its total shipments of MPEG4 STBs to reach at least 100,000 units by the end of 2005, which will confirm both Sagem’s and ST’s place as the leading suppliers of MPEG4 decoding solutions for all transmission media, and for both SDTV and HDTV.

“We are proud to announce Sagem’s new MPEG4 family of set-top boxes with ST’s integrated MPEG4 decoder,” said Grégoire Olivier, CEO of Sagem Communication. “This family of STBs will allow Sagem to deliver a cost-effective, reliable next-generation range of products to service operators worldwide, offering end users state-of-the-art technology for tomorrow’s TV.”

Implemented in ST’s leading-edge 90nm process technology, the STB7100 single-chip MPEG4 decoder embeds all the major functions of a STB in a single device, including a high-performance CPU, video-decoding circuitry, and a wide range of peripheral devices.

“We are delighted that Sagem has selected the STB7100 for its new MPEG4 set-top box range and we are confident that it will prove to be a successful platform,” said Carlo Bozotti, President and CEO of STMicroelectronics. “ST’s cutting-edge single-chip solution for MPEG4 decoding will allow the company to translate its status as the leading supplier of set-top box ICs into the rapidly growing MPEG4 market.”

Sagem entered in the STB business in 1989 by manufacturing analog decoders with digital conditional access, and launched its first digital set-top boxes in 1996. Today, Sagem is Europe’s leading STB manufacturer for digital terrestrial and IP TV, thanks to a wide range of products, from basic low-end STBs with limited functionality – also known as ‘zapper’ boxes – to advanced twin-tuner digital TV receivers with integrated Hard Disk Drive (Personal Video Recorders).

ST launched the world’s first integrated MPEG2 decoder STB chips in the mid 1990s, which paved the way for the enormous growth of the STB market. As a result of its success in MPEG2 decoders, the company’s STB platforms today hold a worldwide market share of more than 70% (*).

Technical Note to Editors:
MPEG-4 Part 10, also known as AVC (Advanced Video Coding) and H.264, is a highly efficient, scalable video encoding technology that produces high quality results at lower bit rates than current solutions for everything from high definition TV to DVD and 3G mobile phones.

(*) MPEG Video ICs: The Buzz Around MPEG-4 AVC. In-Stat June 2005

***

About Sagem Communication
Sagem Communication (SAFRAN Group) is a major player in the Mobile and Broadband Communication industries, who has acquired a strong world-wide position thanks to renewed innovation. SAGEM products stand-out particularly in the following activities: mobile phones, printing terminals, residential terminals, digital TV, networks, electronic metering and cables, etc.

About STMicroelectronics
STMicroelectronics is a global leader in developing and delivering semiconductor solutions across the spectrum of microelectronics applications. An unrivalled combination of silicon and system expertise, manufacturing strength, Intellectual Property (IP) portfolio and strategic partners positions the Company at the forefront of System-on-Chip (SoC) technology and its products play a key role in enabling today’s convergence markets. The Company’s shares are traded on the New York Stock Exchange, on Euronext Paris and on the Milan Stock Exchange. In 2004, the Company’s net revenues were $8.76 billion and net earnings were $601 million. Further information on ST can be found at www.st.com.

PRESS RELEASE

28.11.2005, CFM International
China’s East Star Airlines Selects CFM56-5B to Power A320 Fleet

BEIJING, China - November 28, 2005

East Star Airlines, a new start-up carrier in China, has signed a Letter of Agreement to purchase CFM56-5B engines to power it’s new fleet of 10 firm Airbus A320 aircraft that will be delivered in 2009/2010. CFM56-5B engines are produced by CFM International (CFM), a 50/50 joint company between Snecma and General Electric company. 2005 marks CFM’s 20th anniversary in China and, today, it is the leading supplier of commercial aircraft engines to Chinese airlines, with more than 1,100 engines in service powering more than 500 Airbus and Boeing aircraft with 14 airlines in that country. "We selected CFM56 engines after an extensive technical evaluation," said Mr. Lan Shili, Chairman & CEO of China East Star Group Co. Ltd. "The performance and low cost of ownership advantages that the CFM56-5B provides will help ensure our airline of a smooth and successful launch into service."

East Star Airlines, China’s fourth registered private airline, was established in June 2005. The airline, a subsidiary of China East Star Group Co. Ltd, is headquartered in Wuhan, Hubei Province and is scheduled to begin scheduled passenger service in May 2006. In addition to the purchased A320s, the airlines has also signed an agreement to lease 10 additional CFM56-5B-powered Airbus A319/A320 aircraft.

The leased aircraft are scheduled for delivery between 2006 and 2008.

"We are honored that East Star Airlines has chosen to power it’s fleet with the CFM56-5B," said Andy Solem, president of CFM International China. "We thank them for their trust and offer them our commitment that we will continue to earn that trust every day."

The high reliability, long on-wing life, and low maintenance costs of the CFM56-5 make it extremely popular with major airlines, low-cost carriers, and leasing companies worldwide. More than 2,000 CFM56-5B engines have been delivered to date, and the fleet is growing at a rate of about 20 engines per month. Primary factors behind the engine’s broad-based market acceptance include this industry’s best reliability, durability, and low cost of ownership. The CFM56-5B is the only engine that can power every model of the A320 family, from the small A318 up to the A321, with the same bill of materials, giving airlines a significant commonality advantage.

PRESS RELEASE

28.11.2005, Snecma Services
SkyEurope chooses Snecma Services to provide engine MRO

Paris, November 28, 2005

Snecma Services’ Belgian subsidiary Snecma Services Brussels, based at the Zaventem airport, announced today that it has signed a Time & Material engine maintenance contract with SkyEurope Airlines, a major low-cost carrier based in central Europe.

The contract covers exclusive maintenance, repair and overhaul (MRO) services through 2008 for the CFM56-3 engines powering SkyEurope’s fleet of 12 Boeing 737 twinjets. Snecma Services, part of the SAFRAN Group of France, is a recognized international specialist in commercial engine MRO services.

In addition to MRO services, the contract covers LRU (line replaceable unit) support, spare engines and technical assistance.

“As the leading low-cost carrier in this part of Europe, we are committed to meeting the most demanding criteria for availability, reliability and passenger comfort,” said Gabriel Tari, Technical Manager at SkyEurope. “By choosing Snecma Services for engine maintenance, we know that we are receiving services from an expert provider, very close to the OEM. We were also won over by Snecma Services’ ability to provide a complete package. In addition to its MRO services, the technical assistance and crew training aspects play a critical role in reducing our maintenance costs.”

With some 40 years of experience in engine MRO services, Snecma Services was able to offer SkyEurope a maintenance concept perfectly adapted to the carrier’s needs. Snecma Services set up a technical support team close to its customer, ensuring the effectiveness of local technical teams to optimize the use of these engines.

“The SkyEurope contract will bolster our presence in central Europe,” said Jean Lin Fournereaux, Chairman and CEO of Snecma Services. “We already have several customers in the region, including CSA, Slovak Airlines and Austrian Airlines. This latest contract provides a new opportunity to consolidate our networks for close customer support.”

SkyEurope Airlines recently announced the largest aircraft acquisition in central Europe. It will take delivery of 32 next-generation Boeing 737-700 twinjets from 2006 to 2009.

****

Snecma Services (SAFRAN Group) provides a full line of aero-engine support services to operators worldwide (airlines, armed forces, lessors, VIP clients, etc.) including MRO, component repair, engineering support (fleet management, remote diagnostics), LRU support, engine maintenance on site (EMOS), technical assistance, tooling, technical publications, test cell calibration, engine leasing, flight test support and training.

PRESS RELEASE

28.11.2005, Aircelle
Aircelle Signs Thrust Reverser Repair Agreement for the U.S. Marketplace With ExpressJet Services

Shreveport, Louisiana, USA; Le Havre, France, November 28, 2005

Aircelle has expanded its global maintenance network into the United States through an agreement with ExpressJet Services for the repair of engine thrust reversers on Embraer ERJ 135, 145 and 170 regional airliners, as well as Legacy business jets.

This new agreement brings the expertise of Aircelle, which manufactures thrust reversers and engine inlets used on these Brazilian-built aircraft, together with ExpressJet’s U.S. maintenance capabilities at its 25,000 square foot facility in Shreveport, Louisiana.

ExpressJet Services has significant repair and overhaul experience with the Embraer product line, supporting the fleet of ExpressJet Airlines (formerly Continental Express) – which is one of the world’s largest Embraer operators. "The agreement with ExpressJet Services is part of Aircelle’s strategy to be positioned where our products are flying, further enhancing the support for our customers," said Philippe Catté, Vice President of Aircelle’s Customer Support.

***

Aircelle is one of the leading players in the worldwide nacelle market. It is involved in the majority of new and developing engine programs, and has a product line ranging from small nacelles to the very large. Its nacelles are used on the Airbus airliners from the A318 to the A380; the Sukhoï RRJ regional jets; and the Dassault Falcon 7X business aircraft. Its products include thrust reversers and air inlets for Rolls-Royce AE3007 engines that power the ERJ 135, 145 and Legacy; nacelles for General Electric CF34-8 engines on the Embraer 170 (manufactured in the MHD joint venture with Italy’s Aermacchi).

Express Jet Services offers a variety of composite and sheet metal services on many aircraft types, including the repair of thrust reversers, engine cowls and engine nose sections. The company’s goal is to set the standard for customer service within the maintenance, repair and overhaul sector, employing a team of aviation professionals that provide superior product quality, turnaround time and value. (Website: http://www.expressjetservices.com).

PRESS RELEASE

01.12.2005, SAFRAN
SAFRAN to sponsor ocean-racing yacht

Paris, December 1, 2005

The SAFRAN Group of France announced today that it will be sponsoring a large-scale ocean-racing endeavor. SAFRAN has chosen the skipper Marc Guillemot, 46, to take the helm of a brand new IMOCA Open 60 (foot) class monohull boat. Construction will start in March 2006 and the boat should be launched in February 2007.

The new boat will make ample use of SAFRAN’s advanced technologies. There are in fact strong links between the group’s core disciplines and those of the maritime world, spanning aerodynamics, hydrodynamics, advanced materials, management of mechanical loads, navigation and positioning systems, imaging, telecommunications and much more.

By building a boat that will be flying its colors, SAFRAN aims to spotlight its products’ performance and the group’s overall expertise. SAFRAN also aims to rally the group’s 56,500 employees around a common, unifying and highly valorizing project.

Prior to the commissioning of the boat built by SAFRAN, Marc Guillemot will enter the Route du Rhum race in November 2006, at the helm of a boat leased by the group.

This sports sponsorship initiative, reflecting SAFRAN’s values of team spirit and commitment, complements SAFRAN’s active commitment to social and cultural initiatives:
· The SAFRAN Foundation supports the integration of young people in difficulty.
· The Sagem foundation supports and facilitates the emergence of artistic talent, especially in music.

****

The complete press kit can be downloaded from the website www.safran-group.com.

****

About SAFRAN
SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, aircraft equipment, defense and security, communications. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

01.12.2005, SAFRAN
SAFRAN’s objectives in the mobile phone market

Paris, December 1, 2005

Jean-Paul Béchat, Chief Executive Officer of SAFRAN, reviewed the Group’s objectives in the mobile phone market at the “Premium Review” investors symposium.

As he had announced to the press and on the Boursorama financial website earlier in the week, Jean-Paul Béchat confirmed the Group’s plan to consolidate SAFRAN’s mobile phone business with that of the Chinese company BIRD, a partner to Sagem Communication for several years already. The plan was conceived by the SAFRAN Executive Board and approved by the Supervisory Board.

The objective is to reach critical mass by pooling development work for new products and component procurement, and by harmonizing product ranges.

****

About SAFRAN
SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, aircraft equipment, defense and security, communications. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets

PRESS RELEASE

05.12.2005, Messier-Dowty
Messier-Dowty cuts first metal on Boeing 787 Dreamliner landing gears

Bidos, France, 5 December, 2005

Messier-Dowty, a SAFRAN group company, today began the first metal cutting at its Bidos production facility of the new landing gears for the Boeing 787 Dreamliner. This first major structural landing gear component to be machined is the inner cylinder for the nose landing gear.

Production of the first titanium forgings for the major structural components of the main gear, including the truck beam and inner cylinder, will begin in the next few weeks. This activity will take place at Messier-Dowty’s facilities in Gloucester, UK, and Bidos, France. Messier-Dowty has carried out extensive titanium machining trials in order to deliver weight savings to the 787 program.

The first sets of landing gears will be used for Boeing’s aircraft systems rig, due for delivery in late 2006. Subsequent sets will be used for development testing in-house at Messier-Dowty, undergoing a complete program of testing through to certification, followed by gears for flight testing at Boeing. The first units to be fitted to the production aircraft are scheduled for delivery in 2007.

Messier-Dowty was selected to design and produce the 787 Dreamliner landing gears in March 2004. This was a significant achievement for the company and parent group SAFRAN, this being the first Boeing Commercial aircraft landing gear order for Messier-Dowty and the culmination of over 12 years of teamwork, working closely with Boeing in their development studies. Messier-Dowty is responsible for the design, development, testing, manufacture and integration of the main and nose landing gear structure, and will work closely with Boeing to provide in-service support.

Messier-Dowty already supplies landing gears for a number of Boeing military aircraft including the F/A-18, AV-8B, T-45 & V-22 Osprey plus a substantial sub-contract element of the landing gear for Boeing’s 777 commercial aircraft.

During the joint definition phase, Messier-Dowty engineers worked alongside Boeing teams, designing the landing gear and supporting aircraft interface and integration. Messier-Dowty has now entered the detailed design phase, concentrating landing gear design activities at the company’s Seattle office, staffed with engineers from Seattle and from Messier-Dowty sites in Canada the UK and France. Messier-Dowty is part of Boeing’s Life Cycle Product Team (LCPT) combining knowledge and experience from design, test, operations and customer services, to consider all aspects of the landing gears throughout the life cycle of the aircraft. Testing of the gears will take place at Messier-Dowty’s test centers located at Gloucester and Toronto.

Production for the 787 will take place at Messier-Dowty’s existing centers of manufacturing excellence around the world. The production plan for the major components of the gears includes the manufacture of the inner cylinder in Bidos France, the outer cylinder in Montreal, the truck beam in Gloucester and linkage parts from its Suzhou operation in China. During the initial production cycle the gears will be assembled at the Gloucester operation and as the program moves into volume production Messier-Dowty will move production to a North American assembly facility.

***

Messier-Dowty, a SAFRAN group company, is a world leader in the design, development, manufacture and support of landing gear systems. Messier-Dowty landing gear are in service on more than 19,000 aircraft making over 30 000 landings every day. The company supplies 30 airframe manufacturers and supports 750 operators of large commercial aircraft, regional and business aircraft, military aircraft and helicopters. Messier-Dowty is also the majority shareholder of the worldwide MRO network, Messier Services. Messier-Dowty and Messier Services together have 4,000 employees across sites in Europe, North America and Asia, and posted consolidated sales of roughly 720 million euros in 2004.

PRESS RELEASE

06.12.2005, Turbomeca
Turbomeca’s Arriel 2S2 Turbo-engine is certified by EASA

Bordes, December 6, 2005

The Arriel 2S2, with a take-off power of 923 shp, has been certified by the European Aviation Safety Agency (EASA). The Federal Aviation Administration (FAA) certification by U.S. authorities is forecast for mid-December.

The Arriel 2S2 will power the Sikorsky S-76C++ helicopter. The first production engines at the certification standard are scheduled for delivery in early in 2006. One hundred of engines should be delivered end 2006.

The Arriel 2S2 program was launched in 2002. On December 16, 2003 the first flight of a prototype aircraft with the Arriel 2S2 confirmed the excellent behavior of the engine. The Arriel 2S2 turbo-engine delivers an extra 9 percent of power for the equivalent fuel specific consumption at take-off compared with its predecessor, the Arriel 2S1. This extra thrust confirms the value of the latest technological advances, such as a new axial compressor which allows an increase in air flow, and a new material for turbine blades which allows an increase in temperature, and hence power.

In addition, the Arriel 2S2 engine is equipped with an integrated dual-channel Define acronym (EECU). The Arriel 2S1 powers the Sikorsky S-76C+ helicopter, providing18 percent more power than the earlier version Arriel 1 engine.

The 28 versions of the Arriel engine power the new generation helicopters such as the EC 130, EC 145, Ecureuil and Dauphin of Eurocopter, the Sikorsky S-76C+ (and soon the S-76C++) and the KHI BK117 C1 / C2. World leader in its category, the Arriel engine has proved its reliability over numerous dangerous missions such as EMS as well as the transport of personnel, utility transport and off-shore missions.

To date, Turbomeca has produced more than 6,000 Arriel engines, totalling more than 19 million flight hours for more than 1,300 clients in 100 countries.

***

About Turbomeca
Turbomeca (SAFRAN Group) is the leading helicopter engine manufacturer, and has produced over 50 000 turbines based on its own designs since the company was founded. With more than 2 000 customers in over 140 countries, Turbomeca provides a proximity service thanks to its 14 sites, 3 subsidiaries, 25 TurboSupport Centers, 32 repair centers and 90 Field representatives and Field technicians. The Head Office is based in Bordes, Pyrénées-Atlantiques (south-west France). Microturbo, a subsidiary of Turbomeca, is the European leader in turbojet engines for missiles, drones and auxiliary power units.

PRESS RELEASE

06.12.2005, Aircelle
Aircelle Delivers its 1000th Thrust Reverser for Use on Rolls-Royce’s BR710 Jet Engine

Savannah, Georgia, USA; Le Havre, France, December 5th, 2005

Aircelle marked an important milestone in its production of nacelle components for corporate jets and regional aircraft with the delivery of the 1,000th thrust reverser for Rolls-Royce BR710 engines. The handover was made at Gulfstream facility at Savannah, Georgia, to Rolls-Royce which in turn, delivered the component along with its BR710 powerplant to Gulfstream for integration on a G550 business jet.

Developed by Aircelle in 1993-1994, the BR710 thrust reverser is now in its eighth year of operational service on high-end ultra long-range corporate jets. It was introduced in 1997 on the Gulfstream GV, and also equips BR710-powered Gulfstream 500s, 550s and the Bombardier Global Express. The thrust reverser subsequently was selected for the Global 5000, and has been designated for use on the Global Express XRS – which is scheduled to enter service in 2006.

Aircelle is stepping up its production rate for BR710 thrust reversers to handle delivery requirements through 2011. The company plans to reach a steady output of 180 units per year, which compares to 140 deliveries in 2005 and the 100 reversers completed in 2002. At this pace, the 2000th reverser should come off Aircelle’s production line in 2011.

“The 1000th delivery milestone is a tribute to Aircelle’s excellence in the production of nacelle components for corporate jets and regional aircraft – where weight and performance are critical elements for success,” said Aircelle Chairman and CEO Jean-Claude Lepage. “It underscores our commitment to meet our customers’ needs by maintaining the leading edge in design, development, support and service.” To satisfy stringent weight requirements, 60 percent of the BR710 reverser is manufactured in carbon composites. With a total mass of approximately 200 kg., the pivoting two-door reverser is one of the most capable in its size category.

Jean-Christophe Dalla Toffola, the Vice-President & General Manager of Aircelle’s Small Nacelle division, said the company already is in discussions with manufacturers on the next-generation of reversers, which will be ready to meet operational needs of corporate jets and regional aircraft in the next decade.

***

Aircelle is one of the leading players in the worldwide nacelle market for aircraft engines. A member of the SAFRAN group, it employs approximately 2,600 persons at seven sites in France, the United Kingdom and Morocco. Aircelle is present on the majority of programs now in development, and offers a full product line for engines that range from small powerplants used on regional jets and corporate aircraft to high-thrust engines on the largest airliners. (Website: www.aircelle.com)

PRESS RELEASE

06.12.2005, SAFRAN
SAFRAN and AVIC II sign framework agreement to collaborate on helicopter engines

Paris, December 6, 2005

Jean-Paul Béchat, Chairman of SAFRAN, and Zhang Hongbiao, Chairman of AVIC II (China Aviation Industry Corporation II), signed a framework agreement on December 5 concerning the delivery of 200 Arriel 2 helicopter turboshaft engines to China, along with a partial production license. The signing ceremony at the Hotel Matignon in Paris was attended by French Prime Minister Dominique de Villepin, and Wen Jiabao, Prime Minister of the People’s Republic of China.

This contract marks a major step forward in relations between Turbomeca, part of the SAFRAN Group, and AVIC II. The two companies started working together in the 1980s, with a license for the Arriel 1 engine, initiated by China National South Aero Engine Corporation (SAEC).

The contract for the Arriel 2 engine signals the advent of a new era. In particular, this engine is intended for the H 425 helicopter designed and produced by Harbin Aviation Industry, one of the two helicopter manufacturers belonging to AVIC II.

A large part of the engine components and modules will be produced under license in the SAEC plant in Zhuzhou, Hunan Province. SAEC, also part of AVIC II, is a leader in the design, manufacture and support of small and medium-power helicopter turbine engines for the Chinese market. Furthermore, the agreement marks a major advance in the development of Turbomeca’s helicopter business in China, as well as for SAFRAN’s expanding range of partnerships in the country.

There are already 28 different versions of the Arriel engine, powering nine different helicopter types developed by the world’s leading manufacturers. Turbomeca has produced over 6,000 Arriel engines to date, logging some 19 million hours in flight for 1,300 customers in 100 countries.

***

About SAFRAN
SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, aircraft equipment, defense and security, communications. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

06.12.2005, SAFRAN
SAFRAN wins exclusive 20-year engine MRO contract from Air China

Paris, December 6, 2005

Air China Company Ltd. and Sichuan Snecma Aero-engine Maintenance Company (SSAMC, a joint venture controlled by Snecma Services, a SAFRAN Group company, in partnership with Air China and Willis Lease Finance Corporation) signed an exclusive service contract for a period of 20 years. The contract covers the maintenance, repair and overhaul (MRO) of all CFM56-5B and CFM56-7B engines powering Air China’s fleet of jetliners. This is one of the most extensive engine MRO contracts ever signed with a Chinese airline. Air China already operates more than 200 CFM56 engines, and its fleet is growing quickly.

The project was initiated back in October 2004, during a state visit by French President Jacques Chirac to Chengdu, China. Today, the agreement has been finalized, thanks to the long-term vision and solid commitment by both parties.

“The contract with Air China is a critical step in our company’s development in China,” noted Jean-Lin Fournereaux, Chairman and CEO of Snecma Services. “In 1999 we created the first CFM56 repair shop in China along with China Southwest Airlines, which subsequently merged with Air China. Our aim was to develop ‘best in class’ MRO service along with our customers. We won this long-term contract from Air China due to our local commitment, top-flight expertise, close relationship with the CFM56 engine manufacturer and the technical excellence of the SSAMC workshops.”

Along with the agreement, Snecma Services will make major capital investments in the SSAMC site, as well as creating jobs in Chengdu, Sichuan Province. The maintenance and repair facility, already specialized in CFM56-3 engines, will extend its expertise to encompass the CFM56-5B and CFM56-7B models. Snecma Services will provide the technical support needed by local teams, as well as the necessary technology and skill transfers.

Air China Company Ltd., also expressed its satisfaction with the agreement: “This contract provides solid foundations for a long-term, effective collaboration between Air China and SSAMC. Our top priority is of course flight safety, which has been largely recognized by a number of awards. We will be able to even further enhance flight safety by using proven MRO techniques, and optimizing engine returns to the shop for servicing. We are very satisfied with our partnership with SSAMC, which will help drive the success of our company.”

***

Air China is one of the largest airlines in China, with a fleet of over 160 aircraft and the widest choice of destinations, both domestic and international. It is also known for its exceptional service. Based on forecasts of air traffic growth in its market, Air China enjoys an excellent development outlook.

SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, aircraft equipment, defense and security, communications. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

08.12.2005, Turbomeca
The first AgustaWestland A109 LOH, equipped with Turbomeca’s Arrius 2K2, is presented to the Malaysian Army Aviation

Bordes, 8 December 2005

At the LIMA airshow in Langkawi, Malaysia, as part of the Malaysian army’s order for 11 twin-engined A109 LOH (Light Observation Helicopters) powered by the Arrius 2K2, the first aircraft has been presented today to the Malaysian Army.

Technical support for the Malaysian army, as well as for the hundred or so Turbomeca engines used in Malaysia, will be carried out by the new TurboSupport Center situated which will be based at Kuala Lumpur’s Subang airport. This TurboSupport Center will reinforce Turbomeca’s resources in South east Asia, presently represented by Turbomeca Asia Pacific at Singapore (also a TurboSupport Center) as well as the TurboSupport Center at Manila. The Arrius 2K2, launched in 1999 and certified in August 2003, incorporates Turbomeca’s latest know-how. It offers significant thermal power and its specific capabilities enable it to accomplish fully missions at high altitudes and in hot temperatures. The engine also adapts perfectly to the difficult conditions in Malaysia, South Africa and Sweden, who have ordered respectively 11, 30, and 20 aircraft. Among the numerous advantages offered by the Arrius 2K2 a maintenance aid is integrated into the software in order to facilitate maintenance operations. The Arrius 2K2 has a take-off power of 716 shp. More than 1,000 Arrius 2 engines have been manufactured by Turbomeca, accumulating over 1 million flight hours.

***

About Turbomeca
Turbomeca (SAFRAN Group) is the leading helicopter engine manufacturer, and has produced over 50 000 turbines based on its own designs since the company was founded. With more than 2 000 customers in over 140 countries, Turbomeca provides a proximity service thanks to its 14 sites, 3 subsidiaries, 25 TurboSupport Centers, 32 repair centers and 90 Field representatives and Field technicians. The Head Office is based in Bordes, Pyrénées-Atlantiques (south-west France). Microturbo, a subsidiary of Turbomeca, is the European leader in turbojet engines for missiles, drones and auxiliary power units.

PRESS RELEASE

09.12.2005, Snecma;SAFRAN
Aeroflot orders 30 Sukhoi RRJ95 regional jets with SaM146 engines by Snecma and NPO Saturn.

Paris, December 9, 2005

Russian airline Aeroflot has placed an order with Sukhoi for 30 Russian Regional Jets (RRJ).The RRJ is powered by the SaM146 engine developed and produced by Snecma (SAFRAN Group) and NPO Saturn, through their equal joint venture, PowerJet.

This contract concerns the 95-seat version of the RRJ. To date, a total of 134 RRJs have been ordered, including firm orders, options, and letters of intent.

The SaM146 core, under Snecma’s responsibility, made its first test run on November 30, in line with the development timetable. The first complete engine, known as the First Engine To Test (FETT), will make its first ground test in April 2006.

The first RRJ deliveries to Aeroflot are scheduled for November 2008.

The RRJ is the first aircraft to be developed by Russian industry in partnership with the West, for certification by European, American and Russian aviation authorities. It is designed to win a significant share of the global regional aviation market. Sukhoi estimates the market potential at a minimum of 800 aircraft over a period of 15 years.

****

About SAFRAN SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, aircraft equipment, defense and security, communications. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

12.12.2005, Turbomeca
Turbomeca Turbochargers Industrial India (TTll): a new site for industrial applications

Bordes, 12 December 2005

A new site, Turbomeca Turbochargers Industrial India (TTII), has been created in Bangalore, India. It will be handling the assembly and sales of turbochargers, which are used to boost large diesel engines, essentially for railway applications. The new site, inaugurated in the presence of the Turbomeca Chairman & CEO, Emeric d’Arcimoles, marks an important step forward in the achievement of Turbomeca’s strategies for international expansion through new sites.

For the moment, Turbomeca Turbochargers Industrial Pyt Ltd. India has 14 employees, a headcount which is expected to rise to 20 in 2006.

This new site furnishes components, assembles and tests Turbomeca HS 5800 turbochargers, destined for domestic sales in India and for the international market. Furthermore, Turbomeca Turbochargers Industrial India will extend after-sales support to Indian customers.

In India, this equipment is used to boost over a hundred diesel locomotives for Indian Railways, the biggest rail network in the world.

As S. Kumar, Managing Director of Turbomeca Turbochargers Industrial India, says, "This new plant represents a considerable advantage, enabling us to gain a competitive edge and improve the quality of our service to customers." With almost 8000 units in use in 60 countries, Turbomeca offers a complete range of turbochargers, with performances particularly well suited to rail, industrial and marine engines.

***

About Turbomeca
Turbomeca (SAFRAN Group) specialises in the design, production, sale and repair of gas turbines, with over 50 000 turbines based on its own designs sold since the company was founded. Turbomeca has three main product lines: turbo-shaft engines for helicopters, a market in which Turbomeca is the world-leader; turbo-fans for training aircraft, and also industrial and marine gas turbines. Their applications range from marine propulsion to railway traction, electrical power generation, combined heat and power generation, mobile ground power generation, mechanical drive, defence systems. To back up its gas turbines currently running in more than 60 countries, a highly efficient support organisation has been developed, based on a worldwide network of subsidiaries and a training system customised to the needs of each operator.

With more than 2 000 customers in over 140 countries, Turbomeca provides a proximity service thanks to its 14 sites, 3 subsidiaries, 22 TurboSupport Centers, 32 repair centers and 90 Field representatives and Field technicians. The Head Office is based in Bordes, Pyrénées-Atlantiques (south-west France). Microturbo, a subsidiary of Turbomeca, is the European leader in turbojet engines for missiles, UAV and auxiliary power units.

PRESS RELEASE

12.12.2005, CFM International
TAM Brazilian Airlines Selects CFM56-5B Engine to Power A320 Aircraft

EVENDALE, Ohio - December 9, 2005 - TAM Brazilian Airlines has become CFM International’s newest customer, selecting the CFM56-5B engine to power 25 new Airbus A320 family aircraft. The airline has also taken options on up to 20 additional aircraft.

CFM56 engines are a product of CFM International (CFM), a 50/50 joint company between Snecma and General Electric Company. More than 15,500 CFM56 engines have been delivered to date to 430 operators around the globe making CFM the world’s leading supplier of commercial aircraft engines.

TAM, which will celebrate its 30th anniversary in early 2006, will take delivery of the CFM56-powered A320 family aircraft between 2007 and 2010. The order is part of a fleet renewal and expansion program and will be used on the airline’s domestic and South American routes. TAM is one of the top companies in Brazil and one of the most admired airlines in the world. "We selected the CFM56-5B after an exhaustive evaluation," said Marco Bologna, President of TAM. TAM made its decision based on CFM International’s comprehensive cost of ownership approach, which was enhanced by the availability of CFM56-5B overhaul capability in Brazil." The CFM56-5B is the engine of choice for the Airbus A320 family and is popular with major airlines, low-cost carriers, and leasing companies alike. More than 2,000 CFM56-5B engines have been delivered to date, and the fleet is growing at a rate of about 20 engines per month. Primary factors behind the engine’s broad-based market acceptance include this industry’s best reliability, durability, low cost of ownership, and world-class customer and product support. The CFM56-5B is the only engine that can power every model of the A320 family, from the small A318 up to the A321, with the same bill of materials, giving airlines a significant commonality advantage.

PRESS RELEASE

14.12.2005, SAFRAN
SAFRAN organizes first Investors’ Meeting

Paris, December 14, 2005

The SAFRAN Group of France is organizing its first “Investors’ Meeting” today for both financial analysts and investors. Corporate Management (including the chairman, the heads of the four branches, the executive vice president, strategy and development and the CFO) will review the Group’s business and strategy, as well as synergies generated by the merger of Snecma and Sagem on May 11, 2005 that created the SAFRAN Group.

The outlook for the Group, as announced at the time of the merger and confirmed by half-year results, will not be modified.

The presentations at the meeting will be available online this morning at:

www.safran-group.com Finance/Analysts and Investors

***

About SAFRAN
SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, aircraft equipment, defense security, communications. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

14.12.2005, Sagem Défense Sécurité
Sagem Défense Sécurité selected by Jamaica to provide Police APFIS

Paris, December 14, 2005

Sagem Défense Sécurité announces it has signed a new contract with Jamaica’s Ministry of National Security to supply an Automated Palm print & Fingerprint Identification System (APFIS). The contract, which the company won following an international tender process, will allow Jamaica to benefit from the most recent improvements in the fields of crime solving and criminal identification.

Sagem Défense Sécurité will provide its latest-generation and fully-functional Automated Palm print & Fingerprint Identification System, known as MetaMorphoTM APFIS. It includes all necessary hardware, applications software, training and three years full service maintenance. The system based on the use of international standards will potentially enable Jamaica Constabulary Forces to establish links with other overseas police agencies.

“This system is part of our overall commitment to use as up-to-date technology as possible to assist the Jamaica Constabulary Force”, said Jamaica’s National Security Minister Dr. Peter Phillips.

The APFIS will enable the fingerprint and palm searches against a database of up to 1.2 million ten-print records (12 millions fingerprints). It will be implemented in a central site and four remote sites country wide. It will enable to convert existing paper records to digital formats for both latent records taken from crime scene and criminal ten-print records.

Jamaica Constabulary Force will be the first Police in the Caribbean Region to use an APFIS. Thanks to a Web based implementation, police information such as mugshot and fingerprint card images will be available through secured access across the country and accessible to the other government forces.

Sagem Défense Sécurité biometric systems are already implemented in more than 50 countries. With this new contract, the company establishes a presence in a new country and reinforces its position as a world leader in biometrics.

****

Sagem Défense Securité is one of the high-technology companies in SAFRAN Group. It is the third largest European company in the defense and security electronics industry and the worldwide leader in fingerprint biometrics. The company is also a major actor in smart cards and secure terminals, onboard information systems for aircraft, navigation and optronics. Through the SAFRAN Group, Sagem DS is present on all continents.

PRESS RELEASE

15.12.2005, SAFRAN
SAFRAN and Supélec engineering school bolster R&D collaboration

Paris, December 15, 2005

Armand Dupuy, the Executive Vice President, Research & Technology of SAFRAN, and Alain Bravo, Managing Director of the Supélec (Ecole Supérieure d’Electricité) electrical engineering school, signed a framework R&D agreement on December 12 concerning the terms and conditions for collaboration between SAFRAN and Supélec.

“This agreement extends the tight bonds formed by Supélec and Sagem over the years, a relationship that is now expanding further within the scope of the newly formed SAFRAN Group and its companies,” said Armand Dupuy. “At the same time, it also reflects the Group’s proactive commitment to investing in power electronics for aircraft systems.”

Alain Bravo added, “Our partnership with SAFRAN, a group where a number of Supélec graduates now work, is exemplary. It is based on mutual trust between the teams, enabling them to tackle new challenges together. One example is our joint participation in the System@tic center of competitiveness for the Paris region.”

SAFRAN sits on a number of consultative committees at Supélec, including the Industrial Cooperation Council, Scientific Council, Admissions and Degrees. In addition, SAFRAN contributes to the school’s operation by paying the apprenticeship tax.

Supélec works with SAFRAN companies in a number of areas of research, including electrical power systems, power electronics, automation, measurements, signal processing, telecommunications, microelectronics, optronics and photonics, electromagnetic compatibility and information processing.

****

SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, aircraft equipment, defense security, communications. It has 56,500 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

Supélec (Ecole Supérieure d’Electricité) is a leading French engineering school, specializing in information technology, electricity and systems. It has more than 1,500 engineering students, about a thousand interns taking in-service training, and nearly 400 researchers, including 190 doctoral candidates. The school has three campuses, at Gif-sur-Yvette, Metz and Rennes.

PRESS RELEASE

20.12.2005, Sagem Défense Sécurité
Sagem Défense Sécurité secures the French Ministry of Defense’s Intranet

Paris, December 20, 2005

Sagem Défense Sécurité today announced that the French Defense Procurement Agency (DGA) has selected it to supply and deploy Public Key Infrastructure (PKI). This PKI will manage the Ministry of Defense’s digital Intranet certificates (Intraced) used for classified defense needs.

As the PKI will be deployed to meet all of Intraced’s standard certification needs, Sagem Défense Sécurité will be acting as the integrator for the armed forces’ Information and Communication Systems (SIC), whether it be in agencies, fixed operational sites or theaters of operation.

The main functions of the PKI, which Sagem Défense Sécurité will deploy as of June 2006, are the following:

 Authentication of users and equipment
 Inter-personnel mail signatures
 Confidentiality (‘need-to-know’ control or compartmentalization)

Sagem Défense Sécurité will integrate the Sequoia® certification solution from Keynectis, the leader in trusted electronic services, in order to provide the DGA with a turnkey system. Keynectis, which already uses the Sequoia® solution for its clients, brings its unique experience in installing and operating PKI.

This new success confirms Sagem Défense Sécurité’s expertise in the new security and information systems technologies. It also demonstrates that the company’s know-how in commercial security systems can readily benefit the Defense market.

****

Sagem Défense Securité is one of the high-technology companies in SAFRAN Group. It is the third largest European company in the defense and security electronics industry and the worldwide leader in fingerprint biometrics. The company is also a major actor in smart cards and secure terminals, onboard information systems for aircraft, navigation and optronics. Through the SAFRAN Group, Sagem DS is present on all continents.

PRESS RELEASE

12.10.2005, SAFRAN
SAFRAN - Consolidated sales at September 30, 2005 (pro forma)

The SAFRAN Group reported consolidated pro forma sales for the nine months ended September 30, 2005 of 7,473 million euros, an increase of 4.5% over the same period in 2004. Given a constant U.S. dollar, the increase would have been 6.5%.

The Propulsion branch had consolidated sales for the nine months ended September 30, 2005 of 3,162 million euros, an increase of 3.6% over the same period in 2004. This increase reflects the expected growth in commercial engine sales, in line with higher aircraft production rates. Given a constant dollar, sales would have increased 6.4%.

The Communication branch had consolidated sales for the nine months ended September 30, 2005 of 1,648 million euros, a decrease of 3.2% over the same period in 2004. Despite the significant increase in the number of mobile phones sold, the sharp drop in prices, especially for entry-level models, continues to weigh against sales.

The Equipment branch had consolidated sales for the nine months ended September 30, 2005 of 1,818 million euros, an increase of 12.4% over the same period in 2004. All sectors in this branch (nacelles, wheels & brakes, wiring, landing gear, etc.) logged growth. Given the constant dollar, sales would have increased 15.7%.

The Defense Security branch posted sales of 845 million euros, an increase of 8.5% over the same period in 2004, reflecting the solid growth in sales volumes, especially in the civil avionics and security markets.

***

About SAFRAN
SAFRAN is an international high-technology group with four core businesses: propulsion, communications, equipment, defense security. It has 56,000 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

12.10.2005, SAFRAN
SAFRAN reports consolidated first-half results

- Sharp rise in orders

 Growth in net income (adjusted pro forma figures)

Paris, October 12, 2005

Sagem and Snecma merged on May 11, 2005 following the successful share purchase-exchange offer initiated by Sagem and concluded on March 17, 2005. The reported consolidated financial statements for the six months ended June 30, 2005 therefore include six months of operations for the former Sagem group and only three months for the former Snecma group. Furthermore, in compliance with the standard IFRS 3 concerning mergers, Snecma’s assets and liabilities are now consolidated in these reported financial statements not at their book value, but automatically revalued at their fair value.

To enable a comparison of results for 2004 and 2005, and to reflect the group’s actual financial performance, the audited pro forma accounts were drawn up as if the merger had taken place on January 1, 2004.

Furthermore, these pro forma statements were then adjusted so as to exclude the impact of IFRS 3, and enable tracking the group’s actual financial performance during the six-month period.

Given these conditions, the key figures for the first half of 2005 are as follows(1):

• adjusted pro forma sales: 4,943 million euros, an increase of 2.3% over the first half of 2004;
• adjusted pro forma operating income: 347 million euros, an increase of 6.7%;
• adjusted pro forma net income, Group share: 209 million euros, an increase of 8.8%.

Sharp rise in orders

Order intake rose sharply during the first half of 2005, reaching 7,200 million euros, a 50% jump over the first half of 2004 (4,800 million euros).

At June 30, orders had already been booked for more than 1,000 CFM56 engines, an all-time record, 652 helicopter engines and a wide variety of systems and equipment (wheels and brakes for 295 aircraft, cockpit wiring and inertial navigation system for the A400M, etc.).

Sales growth

Sales for the first six months of the year stood at 4,943 million euros, an increase of 2.3% over the year-earlier period (4,830 million euros). At a constant exchange rate, the increase would have been 4.8%.

The Propulsion branch posted sales of 2,070 million euros during the first half of 2005. An increase in business volumes offset both the impact of the weak U.S. dollar and flat military and space sales. Given a constant dollar exchange rate, the increase would have been 2.9%.

The Communication branch posted first-half sales of 1,111 million euros, a slight decrease over the first half of 2004. The mobile phone business was not in line with expected results, despite an increase in deliveries, because of a general steep drop in prices. However, broadband business volumes showed strong growth.

The Equipment branch posted sales of 1,187 million euros for the first half of the year, a 9.3% increase over the year-earlier period. This increase reflects strong positions won in the nacelles, wiring and braking systems markets. Given a constant dollar, the increase would have been 13%.

Sales by the Defense Security branch continued to grow, rising 9.1% over the first half of 2004 to 575 million euros. This increase was driven by the sale of both aircraft systems and security equipment, in particular electronic money transfer and radar systems.

Operating income on the rise

For the first half of 2005, Safran posted adjusted pro forma operating income of 347 million euros, a 6.7% rise over the year-earlier figure of 325 million euros. This result includes a provision covering our entire net risk for Northwest Airlines, which entered Chapter 11 bankruptcy protection on September 14, 2005.

The operating margin stood at 7% despite this event, as well as a first half of the year that proved difficult for the communications business, due to very high pressure on mobile phone prices.

The overall increase in productivity and business volumes at the Propulsion and Equipment branches, especially for spare parts, more than offset these negative factors, as well as the unfavorable impact of the euro-dollar exchange rate.

Net income also on the rise

The Group’s share of adjusted pro forma net income for the first half of 2005 was 209 million euros, an increase of 8.8% over net income of 192 million euros in the first half of 2004.

Healthy financial position

The Safran group’s debt stood at 1,123 million euros at June 30, after providing 1,250 million euros in financing for the share purchase offer.

With shareholders’ equity of 4,821 million euros at June 30, 2005, the group’s debt ratio stood at 23%.

Outlook

Safran confirms its original forecast for 2005: growth in sales, sustained operating margin, and increase in net income.

Financial and Operating Highlights*

(*)Adjusted pro forma data

(1) Reported sales stood at 3,375 million euros, with an operating loss of 6 million euros and net loss, Group share of 23 million euros, given current state of work related to IFRS 3.

***

About SAFRAN
SAFRAN is an international high-technology group with four core businesses: propulsion, communications, equipment, defense security. It has 56,000 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

10.10.2005, SAFRAN
SAFRAN plans to sell Sagem Communication’s Power and Telecom cables business

Paris, October 10, 2005

SAFRAN announced today that it has received a firm offer from General Cable concerning the acquisition by General Cable Europe of Sagem Communication’s power and telecom cables business.

This transaction should be finalized in the coming months, following consultation with all labor organizations and approval by the appropriate authorities.

Sagem Communication’s cables business primarily makes electrical power. Its areas of expertise include not only high-voltage and extra-high-voltage power cables, but also engineered and industrial cables, standard electrical cables for the general market and cables for telecommunications applications. The company’s cables business generates sales of about 200 million euros a year, and totals about 1,000 employees at its plant in Montereau-Fault-Yonne, near Paris, six regional offices in France, and corporate headquarters in Malakoff, also near Paris.

Sagem Communication’s cables business will thus join one of the industry’s major players, which plans to expand its business in Europe and especially in France, where it has very limited operations for the moment.

This project is a genuine opportunity for the cables business, which was not a core business at Sagem Communication. It will ensure the business’s growth as part of a major international corporation that is specialized in this sector. For Sagem Communication, it will allow us to focus on our current growth markets in the telecom sector, which all depend on extensive expertise in electronics.

SAFRAN is an international high-technology group with four core businesses: propulsion, communications, equipment, defense security. It has 56,000 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets

Sagem Communication (SAFRAN Group) is a major player in the Mobile and Broadband Communication industries, who has acquired a strong world-wide position thanks to renewed innovation. SAGEM products stand-out particularly in the following activities: mobile phones, printing terminals, residential terminals, digital TV, networks, electronic metering, etc.

PRESS RELEASE

20.07.2005, SAFRAN
SAFRAN Group reports half-year sales

Paris, July 20, 2005

The SAFRAN group reported pro forma sales* for the six months ended June 30, 2005 of 4,943 million euros, based on International Financial Reporting Standards (IFRS). Sales increased 2.3% over the pro forma IFRS figure of 4,830 million euros for the year-earlier period.

According to IFRS, the U.S. dollar-denominated sales are converted at the current dollar exchange rate for the half-year period for the part covered by purchases in dollars, and at the hedging rate for the remainder.

At a constant current and hedged dollar rate, sales would have been 5,060 million euros, an increase of 4.8%.

Sales by branch were as follows:

The rise in Propulsion branch sales volume, especially for civil sector services and spare parts, was offset by the USD impact and flat military and space business. The branch booked a large number of orders during the half-year period, including both commercial airplane engines and helicopter turbine engines.

The Communications branch, operating in an extremely competitive market, was able to sustain its growth in broadband, with sales volumes for ADSL modems and digital TV set-top boxes showing strong increases. Mobile phone deliveries were stable, against a backdrop of lower prices leading to a decrease in revenues.

All businesses in the Equipment branch continued to advance, with nacelles, wiring and braking systems in particular posting significant growth, a reflection of strong market positions developed in recent years.

The Defense Security branch also continued to log good growth, covering both aeronautical systems and the security sector, in particular electronic money transfer and radar.

* The pro forma sale figure was calculated as if Sagem and Snecma had merged on January 1, 2005.

PRESS RELEASE

17.06.2005, Snecma
Snecma to receive repayable advance from French government for development of the SaM146 propulsion system

Le Bourget, June 16, 2005

Dominique Perben, French Minister of Transportation, Equipment, Tourism and the Sea, and Marc Ventre, Chairman and CEO of Snecma, signed a Memorandum of Understanding yesterday at the Paris Air Show, for the French government to support the development of a new jet engine, the SaM146, designed to power regional aircraft with 65 to 95 seats, such as the Russian Regional Jet (RRJ).

Jean-Paul Béchat, Chairman of the Executive Board of the SAFRAN group, was present during the signature, and said: “We are very pleased with this partnership with the aircraft-maker Sukhoi and the engine-maker NPO Saturn. We especially wanted to thank the French government for showing their confidence in us on this new program, which will help strengthen the international reach of our group.”

Financial support from the French government will be in the form of a repayable advance of 140 million euros. The MoU reflects a commitment to expanding collaboration on major aviation programs between France and Russia.

French minister Dominique Perben added: “The signature of this agreement is solid proof of sustained collaboration with the Franco-Russia aviation industry, a sector that creates jobs and fosters exports. This repayable advance will help Snecma cover R&D investments, and also reflects the government’s policy of enhancing regional development and industrial capabilities.” Note to editors The SaM146 engine, in the 14,000 to 17,500 lb thrust class, is specifically designed for the regional transport market. Sukhoi chose this engine in 2003 to power its family of Russian Regional Jets (RRJ), being developed with support from Boeing. The SaM146 is being developed in partnership with NPO Saturn through the equal joint venture PowerJet, established in 2004. The SaM146 will power all versions of the RRJ, from 65 to 95 seats, providing substantial savings for operators because of commonality across the range. A number of airlines have already expressed their interest in this regional aircraft.

***

Snecma, a SAFRAN Group company, is one of the world’s leading manufacturers of aircraft and rocket engines, with a wide range of propulsion systems on offer. The company designs and builds commercial aircraft engines that are powerful, reliable, economical and environmentally friendly, along with military aircraft engines that have always delivered world-class performance. Snecma also develops and produces propulsion systems and equipment for other launch vehicles, satellites and space vehicles.

PRESS RELEASE

13.05.2005, SAFRAN
SAFRAN listed

Paris, May 13, 2005

Effective today, the SAFRAN share is listed on the Eurolist market of Euronext Paris, as “SAFRAN” (code SAF).

SAFRAN’s capital comprises 417,029,585 shares.

The coupon date has been set at May 20, 2005.

The name of the group formed by the merger of Sagem and Snecma, SAFRAN, was approved on May 11, 2005 by the general meeting of shareholders of Sagem SA.

***

About SAFRAN SAFRAN is an international high-technology group with four core businesses: aerospace propulsion, defense and security, aerospace equipment and communications. It has 56,000 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

PRESS RELEASE

11.05.2005, SAFRAN
SAFRAN reports first-quarter pro forma sales

Paris, May 11th, 2005

The SAFRAN group posted sales of 2,380 million euros for the three months ended March 31, 2005, based on International Financial Reporting Standards (IFRS), and 2,480 millions euros based on French accounting standards. These are pro forma figures, calculated by adding the sales of Snecma and Sagem. On the basis of identical accounting standards, sales rose 4.5 percent over the first quarter of 2004. Application of the IAS 39 standard to sales in foreign currencies had an impact of 100 million euros on the Aerospace Propulsion and Aerospace Equipment branches. The following table compares results by branch for the first quarter 2004 and first quarter 2005.

Higher sales by the Aerospace Propulsion branch reflected a growth in service business and increased deliveries of helicopter engines.

Results at the Communications branch were contrasted, with strong growth in the broadband segment (ADSL modems, digital TV set-top boxes), but a decrease in mobile phone sales compared with the first quarter of 2004, when sales were especially strong.

The Aerospace Equipment branch also saw higher sales, mainly due to its wiring, wheels, brakes and nacelle businesses.

The Defense and Security branch posted steady growth in sales of aeronautical systems and security products.

* New name of the Group, pending approval by the Annual General Meeting of Shareholders, taking place on May 11th, 2005.

PRESS RELEASE

03.05.2005, Sagem
SAGEM: 12.3 % increase in 2004 revenue

Paris, January 10th, 2005 – The provisional consolidated revenue of Groupe SAGEM amounted to €m 3,570 which represents a 12.3 % increase compared to the financial year 2003.

Breakdown by branch:

The results of the financial year 2004 will be published on February 16th, after closing of the Stock Exchange.

Groupe SAGEM is an international high-technology group. Major league player in the world, and number one of the French mobile telephones market, SAGEM is Europe’s first actor in fax machines and provider of global solutions and multi-service networks. Third largest European group in the defence and security electronics market, world leader in fingerprint biometrics as well as major actor in avionics and on-board information systems for aircraft, SAGEM maintains a presence in more than 20 countries world-wide.

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12.04.2005, Snecma, Sagem
Fusion par absorption de la société Snecma par la société Sagem SA (French only)

Synthèse des principales caractéristiques de l’opération présentée dans le document E enregistré par l’AMF le 8 avril 2005 sous le numéro E.05-039

Paris, le 12 avril 2005

Société absorbante :

Sagem SA Société anonyme à Directoire et Conseil de surveillance de droit français. Siège social : Le Ponant de Paris, 27 rue Leblanc, 75512 Paris Cedex 15. Secteur d’activité Footsie : équipements destinés aux technologies de l’information (93).

Société absorbée :

Snecma Société anonyme à Conseil d’administration de droit français. Siège social : 2, boulevard du Général Martial-Valin, 75724 Paris cedex 15. Secteur d’activité Footsie : aérospatiale et défense (21).

Objectif de l’opération :

Nature de l’opération : fusion par absorption de Snecma par Sagem.

But de l’opération : cette fusion s’inscrit, conformément aux accords conclus entre Sagem et Snecma en fin d’année 2004, dans le prolongement de l’offre publique visant les actions de Snecma réalisée par Sagem au cours du premier trimestre 2005 (cf. note d’information conjointe visée par l’AMF le 17 janvier 2005 sous le numéro 05-0017). L’opération stratégique de rapprochement par fusion de Sagem et Snecma vise à permettre la création d’un acteur majeur -qui sera dénommé Safran(*)- dans le domaine des hautes technologies électroniques et mécaniques, présent à l’échelle mondiale dans les quatre métiers suivants : la Propulsion, les Equipements Aéronautiques, les Télécommunications et la Défense-Sécurité. Cette fusion permettra de continuer le processus d’intégration des structures tout en simplifiant l’organigramme juridique du groupe.

(*) Sous réserve de l’approbation de l’assemblée générale des actionnaires de Sagem du 11 mai 2005

Titres à émettre :

Type de titres : actions Sagem.

Nombre : 51 755 415.

Montant nominal : 0,20 euro.

Date de jouissance : 1er janvier 2004 ; ces actions donneront droit à l’intégralité du dividende versé par Sagem au titre de l’exercice 2004, en ce compris l’acompte sur dividende de 0,1 euro par action mis en paiement le 18 mars 2005.

Date de cotation : les actions nouvelles feront l’objet d’une demande d’admission aux négociations sur le marché Eurolist d’Euronext Paris S.A. dans les meilleurs délais, de sorte qu’elles soient négociables dès la réalisation définitive de la fusion.

Conditions d’échange :

Montant de l’actif net global apporté : 1 283 872 990 euros (sur la base des comptes au 31 décembre 2004).

Parité d’échange : 15 actions Sagem pour 13 actions Snecma.

Prime de fusion : 202 863 920 euros.

Mali de fusion : 3 268 227 110 euros.

Appréciation de la parité :

Principaux éléments d’appréciation : L’opération de fusion projetée s’inscrivant dans le prolongement de l’offre publique (offre publique d’échange à titre principal assortie à titre subsidiaire d’une offre publique d’achat) visant les actions de Snecma initiée par Sagem, la parité de fusion correspond à la parité d’échange de l’offre principale. Dans ce cadre, les éléments utilisés pour comparer Sagem et Snecma dans le cadre de la fusion correspondent aux éléments utilisés pour apprécier la parité d’échange de l’offre principale, après prise en compte des résultats de l’exercice 2004, à savoir :
 Cours de bourse récents ;
 Cours cibles publiés par les analystes financiers ;
 Bénéfice net courant par action ;
 Application des multiples boursiers de sociétés comparables ;
 Actif net comptable consolidé par action ;
 Dividende net par action ;
 Référence à la parité d’échange de l’offre principale.

Les commissaires à la fusion, Messieurs Legorju et Ledouble, ont conclu, d’une part, que le rapport d’échange de 15 actions de la société Sagem pour 13 actions de la société Snecma est équitable, d’autre part, que la valeur des apports s’élevant à 1 283 872 990 euros n’est pas surévaluée et, en conséquence, que l’actif net apporté est au moins égal au montant de l’augmentation de capital de la société absorbante, augmentée de la prime d’émission.

Autres informations :

Date de l’assemblée générale mixte de Sagem : 11 mai 2005.

Date de l’assemblée générale mixte de Snecma : 10 mai 2005.

La fusion prend juridiquement effet le 11 mai 2005, sous réserve de l’approbation du projet de fusion par les assemblées générales de Snecma et de Sagem, avec un effet rétroactif comptable et fiscal au 1er janvier 2005.

Mise à disposition du document E :

Le document E enregistré par l’Autorité des marchés financiers (AMF) le 8 avril 2005 sous le n°E.05-039 et les documents qu’il incorpore par référence (à savoir le document de référence de Sagem déposé auprès de l’AMF le 28 février 2005 sous le n°D.05-0156, le document de référence de Snecma enregistré auprès de l’AMF le 25 mars 2005 sous le n°R.05-0032, la note d’information conjointe relative à l’offre publique initiée par Sagem sur les actions Snecma visée par l’AMF le 17 janvier 2005 sous le n°05-0017, ainsi que la note d’opération relative à l’offre réservée aux salariés d’actions existantes Snecma visée par l’AMF le 25 mars 2005 sous le n°05-0185) peuvent être obtenus sans frais auprès de Snecma au 2, boulevard du Général Martial-Valin, 75724 Paris cedex 15, de Sagem à Le Ponant de Paris, 27 rue Leblanc, 75512 Paris cedex 15, de BNP Paribas Securities Services, GTC Service aux émetteurs, Immeuble Tolbiac, 75450 Paris Cedex 09, ainsi que sur le site Internet de l’AMF (www.amf-france.org).

Communiqué publié sur demande de l’Autorité des marchés financiers

PRESS RELEASE

17.02.2005, Snecma
Snecma reports growth in consolidated sales and earnings for 2004

Sales: 6,812 million euros, up 6 percent EBIT: 511 million euros, up 7 percent Net income, Group share: 234 million euros, up 29 percent

Paris, February 17, 2005 - The Snecma Board of Directors met on February 16, 2005, with Chairman Jean-Paul Béchat presiding, to approve the 2004 financial statements which will be submitted to the Annual General Meeting of Shareholders, called for May 10, 2005.

With both air traffic and the aviation industry showing a gradual recovery, the Snecma group recorded good business volumes in 2004, and results in line with objectives.

Operations

The CFM56 engine maintained its leadership as it won a number of major contracts in 2004 from airlines including Air Berlin, Niki Luftfahrt, Virgin America, Gol Transportes Aereos and China Southern. These and other contracts consolidated the CFM56’s share of the mainline jet market (over 100 seats).
Snecma is a partner in the Boeing 787 program, winning several top-tier equipment contracts to date, including the landing gear (Messier-Dowty), electrical wiring (Labinal) and wheels and electric brakes (Messier-Bugatti).
Military business was sustained as well. France’s defense procurement agency DGA announced orders for the M51 ballistic missile, for which Snecma supplies the propulsion systems, and for 59 Rafale fighters, requiring 118 Snecma M88-2 engines, plus spares, and a wide variety of systems and equipment.
The U.S. Navy chose the Boeing 737 MMA, powered by the CFM56-7, as their new Multimission Maritime Aircraft. Oman selected the RTM322 engine for its NH90 helicopters, making it the ninth of ten NH90 customers to opt for this engine. Messier-Dowty won the integrated landing system contract on the new Airbus A400M military transport, for which Messier-Bugatti will supply the wheels and brakes. Turbomeca was chosen by the U.S. Coast Guard to reengine its fleet of HH-65 helicopters.
Group companies signed several long-term MRO (maintenance, repair and overhaul) contracts.
The production contract for 30 Ariane 5 launchers was also signed last year.

Orders and order book on the rise

Snecma booked consolidated orders worth 7,650 million euros in 2004 (including MRO), up 23 percent over the previous year’s total of 6,240 million euros.

At December 31, 2004, the order book stood at 13,800 million euros, 9.5 percent higher than at December 31, 2003 (12,600 million euros).

Sales growth

Snecma posted consolidated sales of 6,812 million euros, a 5.9 percent rise over 2003 (6,431 million euros). At constant size and exchange rates, the increase was 6.3 percent.
The civil sector accounted for 77 percent of sales and the military sector 23 percent.

The Propulsion business posted sales of 4,523 million euros, or 63 percent of consolidated sales before elimination of inter-branch sales. This was 8.5 percent over the previous year’s total, mainly due to increased deliveries of commercial engines and the growth in service business.
The Equipment business posted sales of 2,628 million euros, or 37 percent of consolidated sales before elimination of inter-branch sales. This was 4.6 percent higher than the previous year’s total.
Service business accounted for 37.6 percent of consolidated sales in 2004, compared with 35.4 percent in 2003.

Sustained operating margin

Snecma posted consolidated operating income of 511 million euros in 2004, compared with 476 million euros in 2003, an increase of 7.3 percent. The operating margin was 7.5 percent. The overall improvement in productivity more than offset the increase in R&D spending, as well as the unfavorable impact of the euro/dollar exchange rate.

Increase in net income

Consolidated net income excluding minority interests came to 234 million euros in 2004, 28.6 percent higher than in 2003 (182 million euros).
This strong growth was due to the increase in operating income, lower financial expenses, and the favorable impact of the research tax credit.
At the end of the year, the group had a positive cash position of 54 million euros, versus debt of 251 million euros at December 31, 2003.

Dividend

Meeting on February 16, 2005, the Snecma Board of Directors decided to allocate all net income for 2004 to retained earnings.
Snecma shareholders who tendered their shares to the public exchange offer closing on February 23, 2005 will receive from Sagem an advance on their dividend of 0.10 euro per share as from the settlement-delivery on March 17, 2005. The Sagem Supervisory Board will propose a supplement of 0.12 euro per Sagem share, bringing the total dividend to 0.22 euro per share, during the Annual General Meeting of Shareholders scheduled for May 2005. Payment of the balance will be made following this meeting.
Snecma shareholders having retained their shares until the Sagem-Snecma merger scheduled for May will also receive, following conversion of their Snecma shares into shares in the new group, the complete dividend of 0.22 euro per share in the new group.

Key Figures

Snecma
Snecma is one of the world’s leading aerospace groups, specialized in propulsion and equipment. Working alone or in partnership, it holds world or European leadership positions in each of its core businesses. Snecma has operations in 22 countries on five continents, and is present in all major segments of the aerospace market: civil and military airplanes, helicopters, missiles, unmanned aerial vehicles, launch vehicles and satellites.

PRESS RELEASE

16.02.2005, Sagem
Groupe Sagem - Annual results 2004 (pdf)

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