Chromalloy

Rolls-Royce PLC
8 August 2000



ROLLS-ROYCE ANNOUNCES TWO NEW JOINT VENTURE COMPANIES

Rolls-Royce plc, the aerospace, marine and energy group, and Sequa
Corporation, through its subsidiary, Chromalloy Gas Turbine Corporation, have
signed agreements to form two new joint venture companies, representing a
total investment of £44 million between the partners.

Turbine Surface Technologies Ltd will provide advanced technology coatings for
Rolls-Royce turbine components.  The company, which is scheduled to begin
operations in 2001, will be based in a new purpose-built facility in Sherwood
Park, Nottingham, an enterprise action zone close to 
Rolls-Royce in Derby.  The facility will eventually employ up to 170 people.

John Halstead, Managing Director, Turbine Systems for Rolls-Royce plc said:
'The Coatings process is vitally important in the production of world class
turbine components, and I am confident that this new partnership will allow us
to share technology and expertise to maintain our leading position in this
competitive marketplace.'

Rolls-Royce has also formed a partnership with Chromalloy to provide advanced
aero engine component repair services on RB211, Tay and Trent engines.  

Turbine Repair Technologies Ltd will be based at Chromalloy's existing
facility in Somercotes, Derbyshire, and will employ up to 170 people. 
Production for the new venture is scheduled to begin next month.

Ian Lloyd, Managing Director, Aero Repair and Overhaul, for Rolls-Royce said:
'Chromalloy is among the leading repair companies and this joint venture
allows us to pool our expertise and resources to provide enhanced repair
services to our customers.  Rolls-Royce has placed great emphasis on expanding
its range of aftermarket services and this is a significant development.'

Dr Martin Weinstein, Chairman and CEO, Chromalloy Gas Turbine Corporation,
said: 'Chromalloy is delighted to partner with Rolls-Royce in these ventures
through which the customers of both companies will benefit from the sharing of
complementary expertise and knowledge in the implementation and development of
the turbine coatings and advanced repairs.'


For further information please contact:

Martin Brodie 
Head of International and Broadcast Media
Rolls-Royce plc       
Tel:  [phone]                            
Fax: [phone]       
E-mail: [e-mail]