Re Contract

ROLLS-ROYCE HOLDINGS PLC - Re Contract

PR Newswire

London, December 14

Rolls-Royce, the global power systems company, has won a contract to supplywater jets to power Marine Alutech Oy Ab's new Watercat™ M18 AMC high speedtroop transport craft, that are currently under construction for the FinnishNavy.

The boats, classified as U700, are designed and built by the Marine Alutechshipyard in Teijo, Finland, which specialises in patrol and military vessels.

The contract, for 12 craft, will involve the supply of Rolls-Royce 40A3 waterjets (two per craft), and a state-of-art control system that will enhance themanoeuvring capabilities of the vessels.

Andrew Marsh, Rolls-Royce, President - Naval, said: "This latest contractreaffirms our leading position in the supply of water jet technology for avariety of naval craft, where speed, manoeuvrability and the capability tooperate in shallow waters are crucial customer requirements. We're delighted tobe working with Marine Alutech and building on our excellent relationship withthe Finnish Navy."

The 19 metre long vessels will be able to reach speeds in excess of 40 knotsand are suitable for a range of duties including troop transportation, medicaland evacuation tasks, and landing operations. They are designed to operate inarchipelago, coastal and offshore conditions, and will enter service from themiddle of 2014.

Water jets enable operation in shallow waters and offer higher speeds andbetter manoeuvrability than conventional propellers. These features areparticularly relevant for the shallow coastlines around Finland and the demandsset for landing operations.

Notes to Editors:

1. Rolls-Royce is a world-leading provider of power systems and services foruse on land, at sea and in the air, and has established a strong position inglobal markets - civil aerospace, defence aerospace, marine and energy.

2. As a result of this strategy, Rolls-Royce has a broad customer basecomprising more than 500 airlines, 4,000 corporate and utility aircraft andhelicopter operators, 160 armed forces, more than 4,000 marine customers,including 70 navies, and energy customers in more than 80 countries.

3. Annual underlying revenue was £11.3 billion in 2011, of which more than halfcame from the provision of services. The firm and announced order book stood at£60.1 billion at 30 June 2012, providing visibility of future levels ofactivity.

4. Rolls-Royce employs over 40,000 people in offices, manufacturing and servicefacilities in over 50 countries. Over 11,000 of these employees are engineers.

5. In 2011, Rolls-Royce invested £908 million on research and development, twothirds of which had the objective of further improving the environmentalperformance of its products, in particular reducing emissions.

6. Rolls-Royce supports a global network of 28 University Technology Centres,which connect the company's engineers with the forefront of scientificresearch.

7. The Group has a strong commitment to apprentice and graduate recruitment andto further developing employee skills.

For further information, please contact:

www.Rolls-Royce.com