Disposal

BAE SYSTEMS PLC
19 December 2007


19 December 2007


          BAE SYSTEMS AGREES TO SELL SURVEILLANCE AND ATTACK BUSINESS


BAE Systems today has signed a definitive agreement to sell its Surveillance and
Attack business in Lansdale, Pennsylvania, to Sensor and Antenna Systems,
Lansdale, Inc., a subsidiary of Cobham Defence Electronic Systems Corporation.


The approximately 400 BAE Systems employees in Lansdale provide broadband
high-power transmitter and radio frequency front-end systems for military
aircraft. The equipment is used for communications and radar jamming, and radar
warning.


The $240 million cash transaction is expected to close in the first quarter of
2008, following receipt of regulatory approvals.


The sale is consistent with BAE Systems strategy to expand as a developer and
integrator of systems and de-emphasize its role as a subsystem provider.


Issued by:

BAE Systems

London

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