Directors' Notification of Dealing in Shares

BAE Systems PLC
23 June 2000


LETTER TO:     COMPANY ANNOUNCEMENTS OFFICE

BAE SYSTEMS plc - Directors' Dealings

I write to advise you that Mike Turner, a Director of the Company, has today
exercised 184,996 options held in the Company's Executive Share Option Scheme.
Of the shares issued on exercise, 159,996 have been sold today at a price of
£4.28 per share. Following these dealings Mr Turner holds a total of 219,606
ordinary shares in the Company registered in the name of his wife, Mrs J Turner,
and himself.

LETTER FROM:   BAE SYSTEMS PLC
               D S PARKES, COMPANY SECRETARY