Re Contract

04 August 2011

     ROLLS-ROYCE WINS £50 MILLION CONTRACT FOR ANCHOR HANDLING VESSELS

Rolls-Royce, the global power systems company, has won a £50 million contract
to design and equip two anchor handling vessels for Norwegian company 
Farstad Shipping.

The Rolls-Royce UT 731 CD vessels are designed to work in extreme environmental
conditions and carry out operations in water as deep as 3,000 metres.

The order includes a fully integrated equipment system from Rolls-Royce,
including deck machinery, vessel control systems and a diesel-electric hybrid
propulsion system. This will be fitted on both vessels to maximise efficiency,
reduce fuel burn and cut emissions.

Atle Gaasø, Rolls-Royce, General Manager - Sales - Offshore Service Vessels,
said: "We are extremely proud to continue our strong relationship with 
Farstad Shipping by supplying them with additional cutting edge marine technology.
Rolls-Royce support vessels are equipped to meet the future challenges of
deepwater offshore operations."

The vessels will be built at STX OSV Langsten yard in Norway, with delivery
between April and June 2013.

Rolls-Royce has the broadest portfolio of mission critical equipment and
systems in the offshore sector and offers an extensive range of ship design
packages. More than 650 Rolls-Royce designed UT vessels are already in service
or under construction around the world.

Notes to Editors:

 1. Rolls-Royce is a world-leading provider of power systems and services for
    use on land, at sea and in the air, and has established a strong position
    in global markets - civil aerospace, defence aerospace, marine and energy.
   
 2. As a result of this strategy, Rolls-Royce has a broad customer base
    comprising more than 500 airlines, 4,000 corporate and utility aircraft and
    helicopter operators, 160 armed forces, more than 2,500 marine customers,
    including 70 navies, and energy customers in nearly 120 countries, with an
    installed base of 54,000 gas turbines.
   
 3. Annual underlying revenues were over £10.8 billion in 2010, of which more
    than half came from the provision of services. The firm and announced order
    book stood at £61.4 billion at 30 June 2011, providing visibility of future
    levels of activity.
   
 4. Rolls-Royce employs over 39,000 skilled people in offices, manufacturing
    and service facilities in over 50 countries. Over 11,000 of these employees
    are engineers.
   
 5. In 2010, Rolls-Royce invested £923 million on research and development, 
    two thirds of which had the objective of further improving the environmental
    performance 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 scientific
    research.
   
 7. The Group has a strong commitment to apprentice and graduate recruitment
    and to further developing employee skills.
   
 8. The Marine business of Rolls-Royce employs 9,000 people in 35 countries
    with the main manufacturing centres being in the UK, the Nordic countries,
    the United States and increasingly Asia.
   
 9. Rolls-Royce is a world leader in marine solutions, providing products,
    service and expertise to more than 30,000 vessels in the offshore,
    merchant, naval surface and submarine markets. It designs ships and its
    product range includes propulsion systems featuring diesel engines and gas
    turbines, propellers, thrusters and water jets. Rolls-Royce also provides
    manoeuvring and stabilising systems and deck machinery.
   
For further information, please contact:

Investor Relations:
Mark Alflatt
Director of Financial Communications
Rolls-Royce plc
Tel: [phone]
[e-mail]

Media relations:
Josh Rosenstock
Director of External Communications
Rolls-Royce Holdings plc
Tel: [phone]
[e-mail]

www.rolls-royce.com