Termination of Sharesave

Rolls-Royce PLC
2 October 2001

                                                                  2 October 01



CANCELLATION OF EMPLOYEE SHARESAVE OPTIONS FOR DIRECTORS

Rolls-Royce plc announces that the following Directors have terminated their
savings contracts under the Rolls-Royce Employee Sharesave Option Scheme
resulting in the cancellation of options to purchase Rolls-Royce shares under
the rules of that Scheme as follows:-


                     No of Shares           Option Price

Mr J E V Rose                7438                  £2.05
                              947                  £1.94

Mr P Heiden                  7438                  £2.05
                              499                  £1.94


On 24 September 2001, Mr Rose purchased 36,534 shares at £1.3550 pence per
share. On the 26th September 2001, Mr Heiden purchased 11,000 shares at £1.35
pence per share.


For further information please contact:

Mr Peter Barnes-Wallis, Director - Financial Communications
Rolls-Royce plc
Tel: [phone]

Website: www.rolls-royce.com