Actuation Systems Unit to be Sold

British Aerospace PLC
22 February 2000


BAE SYSTEMS NORTH AMERICA TO SELL 
ACTUATION SYSTEMS UNIT TO SMITHS INDUSTRIES


BAE SYSTEMS North America announced today that it has signed a definitive
agreement to sell its Marconi Actuation Systems Inc subsidiary to Smiths
Industries Aerospace for the price of $100 million.  Quarterdeck Investment
Partners, Inc acted as financial advisor to BAE SYSTEMS North America.
Completion of the sale is subject to regulatory approval in the United States.
 
Actuation Systems, located in Whippany, N.J., designs, engineers, and services
various electromechanical motion-control systems for commercial and military
aircraft.  
 
The decision to sell the business was made primarily because the
motion-control business lies outside of BAE SYSTEMS North America's strategic
focus and core competencies of electronics, information technology, and
systems engineering and integration.
 
Smiths Industries Aerospace is a world leader in the development of advanced
aerospace electronics and a first-tier supplier of systems to the major
aircraft manufacturers, the UK Ministry of Defence and the Department of
Defense.
 
BAE SYSTEMS North America headquartered in Rockville, Maryland is a leading
defense, aerospace and information technology company.  With annual sales in
excess of $2.5 billion, BAE SYSTEMS North America employs over 18,000 people
in the U.S. and Canada.
 


 
Issued by:

British Aerospace plc
Farnborough, Hants, UK