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Rolls-Royce Considers Global Options for New Facilities.

CHANTILLY, Va. -- Rolls-Royce, world leading provider of power systems and services, has begun the process of considering options for potential new facilities around the world. All the company's global business sectors - Civil Aerospace, Defense Aerospace, Marine and Energy - have identified growth

opportunities. New facilities would provide the company with greater capacity, strengthened business continuity as well as increased global competitiveness.

As part of this evaluation process the company has, today, issued a Request for Qualifications (RFQ) to eight US states. The RFQ is based on comprehensive business criteria developed by the company. It will be provided to Georgia, Indiana, Mississippi, North Carolina, Ohio, South Carolina, Texas and Virginia.

James M. Guyette, President & CEO, Rolls-Royce North America said: "Today's RFQ is part of an ongoing evaluation process, which is intended to provide the company with options as it positions itself for the future."

Corporate note to editors:

1. Rolls-Royce, world-leading provider of power systems and services for use on land, at sea and in the air, operates in four global markets - civil aerospace, defense aerospace, marine and energy. It is investing in core technology, capability and infrastructure that can be applied across these sectors to take a competitive range of products to market. These investments create high barriers to entry.

2. The company has established strong positions on programs that will shape the power-systems market for many years to come.

3. The success of its products is demonstrated by the company's rapid and substantial gains in market share. The company now has a total of 54,000 gas turbines in service worldwide and they generate a demand for high-value services throughout their operational lives.

4. The company seeks to add value for its customers with aftermarket services that will enhance the performance and reliability of its products. Services revenues have grown by 11 percent per annum compound over the past ten years.

5. Rolls-Royce has a broad customer base comprising 600 airlines, 4,000 corporate and utility aircraft and helicopter operators, 160 armed forces and more than 2,000 marine customers, including 70 navies. The company has energy customers in 120 countries. Rolls-Royce is a technology leader, employing around 37,000 people in offices, manufacturing and service facilities in 50 countries.

6. Annual sales total $12 billion, of which 54 percent are services revenues. The firm and announced order book is $45 billion, which, together with demand for services, provides visibility of future levels of activity.

7. In North America, Rolls-Royce employs nearly 8,000 people at 66 locations in the US and seven sites in Canada. The company has invested more than $1 billion in the US to date.

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