Director Shareholding

BAE SYSTEMS PLC
30 September 2003

                                  SCHEDULE 11

          NOTIFICATION OF INTERESTS OF DIRECTORS AND CONNECTED PERSONS

1. Name of company

BAE SYSTEMS plc

2. Name of director

Mark Ronald

3. Please state whether notification indicates that it is in respect of holding
of the shareholder named in 2 above or in respect of a non-beneficial interest
or in the case of an individual holder if it is a holding of that person's
spouse or children under the age of 18 or in respect of a non-beneficial
interest

Director's notification

4. Name of the registered holder(s) and, if more than one holder, the number of
shares held by each of them (if notified)

Mark Ronald

5. Please state whether notification relates to a person(s) connected with the
director named in 2 above and identify the connected person(s)

 No



6. Please state the nature of the transaction. For PEP transactions please
indicate whether general/single co PEP and if discretionary/non discretionary

Grant of share options under the rules of the Share Option Plan 2001 and 
conditional award of shares under the rules of the Performance Share Plan.

7. Number of shares / amount of stock acquired




8. Percentage of issued class




9. Number of shares/amount of stock disposed




10. Percentage of issued class




11. Class of security




12. Price per share




13. Date of transaction




14. Date company informed




15. Total holding following this notification




16. Total percentage holding of issued class following this notification




If a director has been granted options by the company please complete the
following boxes.

17. Date of grant

30/09/03

18. Period during which or date on which exercisable

Options - 30/09/06 to 29/09/2013

Conditional award - 30/09/03 to 29/09/2010

19. Total amount paid (if any) for grant of the option

Nil

20. Description of shares or debentures involved: class, number

Option over 384,583 Ordinary shares

Conditional award of 256,388 Ordinary shares

21. Exercise price (if fixed at time of grant) or indication that price is to be
fixed at time of exercise

£1.72 for options

Nil for conditional awards

22. Total number of shares or debentures over which options held following this
notification

1,013,547

23. Any additional information




24. Name of contact and telephone number for queries

David Parkes 01252 383857

25. Name and signature of authorised company official responsible for making
this notification

David Parkes

Date of Notification

30/09/2003


The FSA does not give any express or implied warranty as to the accuracy of this
document or material and does not accept any liability for error or omission.
The FSA is not liable for any damages (including, without limitation, damages
for loss of business or loss of profits) arising in contract, tort or otherwise
from the use of or inability to use this document, or any material contained in
it, or from any action or decision taken as a result of using this document or
any such material.


                      This information is provided by RNS
            The company news service from the London Stock Exchange