Acquisition(s)

October 1, 2007

      ROLLS-ROYCE DEVELOPS MARINE SUPPORT SERVICES WITH U.S. ACQUISITION       

Rolls-Royce today announced the acquisition of U.S. naval architecture and
engineering firm Seaworthy Systems Inc to improve further its marine support
services.

Seaworthy Systems Inc., based in Connecticut, with offices in New Jersey,
Virginia and California, has provided expertise to the US Navy and Coastguard
for more than 30 years.

Its work will now be part of a TotalCare service Rolls-Royce is developing for
naval customers - offering long-term guaranteed power availability and complete
propulsion plant support for ships.

Seaworthy Systems Inc, which employs 58 people, has also worked with the US
National Oceanic and Atmospheric Administration, the Department of
Transportation's Maritime Administration (MARAD), Military Sealift Command
(MSC), and commercial shipowners.

Its key skills include:

  * Ship design - from preliminary concept to contract, and modifications for
    hull and machinery
   
  * Operations and logistics
   
  * On-board equipment maintenance
   
  * Power plant and energy efficiency analysis
   
  * Automated equipment maintenance management software
   
It is currently providing engineering services, and software development and
support, for the MSC under a ten-year contract

Pat Marolda, Rolls-Royce President - Naval, said: `'We are developing a
TotalCare service to provide ever-improving operational support for our naval
customers. Seaworthy has a proven record of delivering similar contracts which
will help us reach our goal.''

Martin Toyen, President of Seaworthy Systems Inc. said: `'Rolls-Royce is known
worldwide for the excellence of its products and engineering and we will have a
significant role in helping its customers from first concept to in-service. We
are pleased to be a team member of the Rolls-Royce TotalCare.''

Rolls-Royce is responsible for more than 700 TotalCare and CorporateCare
service agreements for its civil aerospace power plants and is developing
similar services for the naval industry. It is operating a TotalCare service
for Olympus and Tyne gas turbines in service with the Royal Navy and French,
Belgian and Royal Netherlands navies.

Notes to Editors

 1. Rolls-Royce, the world-leading provider of power systems and services for
    use on land, at sea and in the air, operates in four global markets - civil
    aerospace, defence aerospace, marine and energy.
   
2. The company seeks to add value for its customers with aftermarket services
   that will enhance the performance and reliability of its products. Services
   revenues have grown by 11 per cent per annum compound over the past ten years.

 3. Financial details of the acquisition are not being disclosed.
   
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Mark Alflatt
Director - Financial Communications
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