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CAE to develop seLearning™ Courseware for ALSTOM Power Plants

Toronto, January 22, 2003 (NYSE: CGT; TSX: CAE) – CAE, a world leader in the supply of power plant simulators, today announced an agreement with ALSTOM (Switzerland) Ltd. to develop CAE’s seLearning™ interactive training technology for ALSTOM’s Turgi, Switzerland training centre, as well as for ALSTOM’s Gas Turbine and Combined-cycle power plant customers worldwide.

CAE’s simulation-based seLearning™ suite of ground-breaking training technologies and services helps companies create and deliver more potent training programs than do traditional eLearning and computer-based training methods. This is achieved by tapping the power of a full-scope power plant simulator as the basis of a versatile self-paced simulation training tool, accessible anywhere, anytime on a desktop, over a local area network or via the Internet.

‘We are pleased that ALSTOM – as an original equipment manufacturer – and CAE share a common, innovative vision of the future of power plant simulation and training,’ said Rashid Khan, Executive Vice President, Marine and Power Systems at CAE. ‘This agreement is in line with CAE’s strategy to provide the power industry with innovative training solutions based on simulation.’

‘New Technology and methods are needed to meet the demanding requirements of today’s power plant operators around the world,’ said Karl-Heinz Scheuber, Director Field Service, ALSTOM. ‘CAE’s seLearning™ and simulation products are the right strategic fit for ALSTOM’s growing worldwide training requirements.’

Using the training principles of ‘learning by doing,’ power plant training departments can, for the first time, create highly interactive learning modules, based on a full-scope power plant simulation and off-the-shelf authoring tools at significantly less cost than traditional methods. seLearning™ courses can be used in remote classroom settings as well as for networked simulations enabling distributed learning under the guidance of a virtual instructor.

Training on the seLearning™ prototype to be developed by CAE for operators of ALSTOM’s KA24-1 ICS gas turbine, initially with the Lube Oil System, ALSTOM customers will experience the full potential of seLearning™ courseware derived from CAE-developed full scope simulators.

In energy, ALSTOM is active in power generation, power transmission and distribution and in transport through its activities in rail and marine. ALSTOM has annual sales in excess of 23 billion euros and employs 118,000 people in over 70 countries.

CAE is a global leader in providing advanced simulation and controls equipment and integrated training solutions for customers in the civil aviation, military and marine markets. With annual revenues in excess of $1 billion, CAE employs more than 6,000 people in Canada, the United States and around the globe.

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