Re Contract

11 October 2011

     Rolls-Royce awarded $99.9 million contract for US Navy T-45 trainer 
                              engine support

Rolls-Royce, the global power systems company, has been awarded a $99.9 million
MissionCareâ„¢ contract by the US Department of Defense Naval Air Systems Command
at Patuxent River to provide support for the F405 (Adour) engines that power
the US Navy's T-45 training aircraft.

This exercises the third year of the contract to provide guaranteed engine
availability, which includes support ranging from on-wing through intermediate
and depot level maintenance, under the base contract signed in 2008.
MissionCare is used within the Rolls-Royce Defence sector to apply commercial
Power By The Hour® principles to the unique requirements of the defence
industry. Total value of the contract is $476.91 million over the five-year term.

Patricia O'Connell, Rolls-Royce, President, Customer Business Defence, stated:
"We are proud of ourcontinuedpartnership with the USNavy and its mission to
prepare student aviators for jet carrier aviation and tactical strike missions.
We look forward to another successful year of providing the best engine
readiness and availability."

Under the terms of the agreement, which is administered by the Naval Air
Systems Command (NAVAIR), Rolls-Royce will provide all maintenance, support,
troubleshooting, parts supply and logistics for both the F405 engine and the
aircraft gas turbine starting system.

This contract provides comprehensive propulsion services to more than 
200 aircraft, operating at four main Naval Air Stations - Kingsville, Texas;
Meridian, Mississippi; Pensacola, Florida and Patuxent River, Maryland. Work is
expected to be completed In September 2012.

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 4,000 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 £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. Rolls-Royce manufactures the F405-RR-401 (Adour) engine in partnership with
   Turbomeca.

9. Rolls-Royce has been involved with T-45 programme support through a variety
   of contracts awarded by both the US Navy and Boeing. Since its inception in
   1992, more than 3,700 pilots have earned their wings of gold, having logged
   over 1 million flight hours in the aircraft, known as the Goshawk.

For further information please contact:

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

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

www.Rolls-Royce.com