Re Contract

26 March, 2007

             ROLLS-ROYCE SELECTED TO POWER NEW U.S. NAVY DESTROYER             

Walpole, MA - Rolls-Royce has been selected to supply the U.S. Navy's most
advanced surface combatant ship with the world's most powerful marine gas
turbine.

Four MT30 gas turbine generator sets will be supplied for two DDG-1000 Zumwalt
Class destroyers, with deliveries of the 36MW MT30 sets to begin in 2009.

An MT30 generator set currently provides power to the U.S. Navy's DDG-1000 Land
Based Test Site in Philadelphia and the MT30 has also been selected to power
the first two Lockheed Martin Littoral Combat Ships.

The MT30 is a proven member of the Rolls-Royce Trent aero engine family, which
has accumulated over 20 million operating hours powering passenger aircraft in
service with more than 60 airlines and operators.

Patrick J. Marolda, Rolls-Royce President - Naval, said: "DDG-1000 is the
enabling platform for the most advanced products and systems for the U.S. Navy,
and we are honored to be playing our part. This decision also represents an
unequivocal vote of confidence in Rolls-Royce and our ability to deliver power
solutions to the U.S. Navy and the global market."

The ships are scheduled to be built at Northrop Grumman Ship Systems in
Pascagoula, Mississippi and General Dynamics Bath Iron Works in Bath, Maine.
The first ship delivery is planned for 2012.

The ships feature technological advances in combat and ship propulsion systems
and are designed for a variety of missions, including land attack and battle
space dominance.

Notes to Editors

 1. A photograph to accompany this release is available on the Rolls-Royce
    website at http://www.rolls-royce.com/media/search.jsp.
   
 2. The MT30 generator sets will be assembled in the U.S. Rated at 36MW for a
    Navy Standard Day (100°), the MT30 is available for both generator set and
    mechanical drive applications.
   
 3. The DDG-1000 program was previously known as DD(X).
   
 4. Rolls-Royce, a 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, defence 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.
   
5. The Marine business of Rolls-Royce employs 7,400 people in 34 countries with
the main manufacturing centres being in the UK, the Nordic countries, the
United States and increasingly Asia.

For further information please contact:

Bill O'Sullivan
Senior Communications Manager
Rolls-Royce plc
Tel [phone]
Fax [phone]
[e-mail]

Mia Walton
Vice President Corporate Communications
North America
Rolls-Royce plc
Tel [phone]
Fax [phone]
[e-mail]

Web www.rolls-royce.com