Re Contract

18 December 2003

   ROLLS-ROYCE SHARES IN V2500 ENGINE ORDER FROM NEW QANTAS LOW-COST CARRIER   

Rolls-Royce announced today (18 December) that Qantas had selected V2500
engines to power 20 A320 twinjets on firm order for its new low-cost domestic
carrier, Jetstar.

An additional three leased A320s for Jetstar will also use the V2500, which is
produced by the International Aero Engines consortium (IAE) in which
Rolls-Royce is a leading shareholder. The Melbourne-based carrier will begin
operations with the new fleet in June 2004.

IAE yesterday announced firm orders by International Lease Finance Corporation,
South African Airways and Sichuan Airlines of China for more than 180 V2500
engines to power A320 series aircraft.

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For further information contact:

Martin Johnson, Vice President - Communications, Civil Aerospace

Rolls-Royce plc

Tel: [phone]

Email: [e-mail]

Website: www.rolls-royce.com