Re Contract for China

Rolls-Royce PLC
19 September 2001

                                                             19 September 2001


                CHINA'S SELECTION OF Tu-204 WORTH $200M TO ROLLS-ROYCE

Rolls-Royce announced today (19 September), at the Beijing Aviation Expo, new
engine business worth up to $200 million, including options, following China's
decision to select RB211-535E4 engines to power up to 15 Russian Tupolev
Tu-204 aircraft.

The aircraft selection is for five firm orders for Tu-204-120C freighter
aircraft, the first of the type in the People's Republic of China, and options
for ten more Tu-204 aircraft, in either passenger of freighter configuration.

Engines for three of the firm aircraft are already included in the Rolls-Royce
order book. Three of the five firm Tu-204 aircraft will be purchased and
allocated to China Southwest Airlines and two to China Northwest Airlines by
China Aviation Supplies Import - Export Corporation (CASC). The first aircraft
is scheduled to enter service in late 2002.

John Cheffins, President - Civil Aerospace, Rolls-Royce plc said: 'China's
decision to purchase RB211-535E4 powered Tu-204s is an important breakthrough.
The region has strong long-term growth potential in all sectors of commercial
aviation and this latest selection broadens the options available to Chinese
operators.'

The agreement was negotiated by Sirocco Aerospace International, part of the
Kato Group in Egypt. Sirocco Aerospace was created in 1996 to manage the
Tu-204 aircraft programme with Rolls-Royce engines. In the same year Russian
airworthiness certification was granted for the RB211-powered version.

To date, four Tu-204s powered by twin 43,100lb thrust RB211-535E4s have been
in operation for more than two years with AirCairo, operating to Russian and
European destinations as well as domestically on charter flights to Egyptian
tourist centres.

The Rolls-Royce powered aircraft is now undergoing European Joint
Airworthiness Authorities (JAA) certification, scheduled for completion in
time for the first delivery to China.

The RB211-535E4 is already in operation with four Chinese airlines, powering a
total of 44 Boeing 757 airliners.



For further information please contact:

Tim Blythe, Director of Corporate Communications

Rolls-Royce plc

Tel: [phone]

Fax: [phone]

Website: www.rolls-royce.com