Quarterly News Review: Second Quarter, 2008

7 July, 2008

                    QUARTERLY NEWS REVIEW FROM ROLLS-ROYCE:                    
                             SECOND QUARTER, 2008                              

The latest quarterly news roundup from Rolls-Royce plc demonstrates the breadth
of the Group's portfolio and its increasing access to global markets. The
company's most significant announcements in the quarter, 1 April - 30 June 2008
were as follows:

Civil Aerospace

  * Trent 900s for THAI. THAI Airways International selected the Trent 900 for
    its new fleet of six Airbus A380s. The Trent 900 has a 58 per cent share of
    firm and option orders on the A380, and has been chosen by ten of the 13
    operators that have announced an engine selection.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40646

  * Trent 700s for Sichuan. Sichuan Airlines chose Trent 700 engines to power
    its fleet of three leased Airbus A330-200 twinjets from AerCap. The order
    includes a long term TotalCare® services agreement. Sichuan Airlines is the
    53rd customer or operator to select the Trent 700, which has a 53 per cent
    market share for the A330.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40638

  * Business jet forecast. Rolls-Royce updated its forecast for the business
    jet sector, anticipating continued growth in jet deliveries through the
    remainder of the decade, with an engine market worth $110 billion over the
    next 20 years. Demand is being augmented by an increase in non-US markets
    coupled with new models.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40647

  * First run of BR725. The 16,100lb thrust BR725, which will power the
    Gulfstream G650 corporate jet, completed its first run at the company's
    facility in Dahlewitz, Germany. The engine is the sixth new powerplant to
    be added to the company's civil aerospace portfolio in six years.
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40643


Marine

  * Russian rigs. Mooring equipment worth around £10 million will be supplied
    to two ice-class drilling rigs to operate in the Shtokman field, one of the
    world's largest natural gas fields in the Russian sector of the Barents
    Sea. The contract marks a breakthrough for Rolls-Royce in the expanding
    Arctic exploration and production market.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40667

  * Polar research. Rolls-Royce has won a contract to design a research vessel
    which will operate in both Arctic and Antarctic waters. The ship, ordered
    by the Norwegian Institute of Marine Research, will carry out
    meteorological and sea floor studies and will also monitor fish stocks.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40640

  * Seismic research vessel. Rolls-Royce has won its first design and equipment
    contract, worth £13 million, for the Chinese seismic research vessel
    market. The vessel, one of the world's most advanced, was ordered by BGP
    Marine China, a subsidiary of China National Petroleum Company (CNPC).   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40664

  * Patrol craft waterjets. Six new fast patrol craft that will help the
    Trinidad and Tobago coastguard protect its islands will use Rolls-Royce
    waterjets to help reach speeds of up to 40 knots. The vessels, to be built
    by Austal in Australia, will carry out surveillance, safety at sea and
    search and rescue duties, as well as target illegal drug trafficking.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40660

  * MT30 milestone. The MT30 gas turbine, part of the Trent family of engines,
    went into operation on board a ship for the first time. Two MT30s were `lit
    off' on board the U.S. Navy's first Littoral Combat Ship, Freedom, which
    has been built by Lockheed Martin.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40658

  * Safer deck contracts. Four contracts, worth a total of about £50 million,
    were signed for delivery of safer deck operations equipment for four anchor
    handling vessels. Two of the contracts are with Karmsund for Ezra,
    Singapore, and two with Aker Yards for K-Line Japan.   
    http://www.rolls-royce.com/marine/about/news_centre/news/2008/newsitem07.htm


Energy

  * Trent 60 orders from eight countries. Orders for three additional Trent 60
    electrical generating sets were received from existing customers in Belgium
    and Australia, while energy companies in another six countries confirmed
    reservations for 27 Trent 60 engines. The potential value of these orders
    and reservations, when they become firm contracts, exceeds $500 million at
    today's list prices.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40654

  * RB211 Thai orders. Orders for three additional RB211 units, two for gas
    compression and one for power generation, were received for PTT Public
    Company Limited's gas separation plant project in northeast Thailand.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40662

  * More RB211s for Petrobras. Brazilian oil and gas company, Petrobras, is due
    to receive three Rolls-Royce RB211-G62 electrical generating sets for its
    new Caraguatatuba gas receiving and treatment station in the fourth quarter
    of this year.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40663

  * Additional RB211 for China pipeline. An additional gas compression package,
    scheduled to be operational by the end of 2009, increases the number of
    RB211 gas turbine compressor units on the China West-East Gas Pipeline
    Project to 16.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40661


Operations and technology

  * Composite research. A joint venture with GKN Aerospace will carry out
    research and development into the use of composite materials in aero engine
    fan blades. Rolls-Royce will fund and own 51 per cent of the venture.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40653


Corporate Responsibility

  * Science Prize. The third annual Rolls-Royce Science Prize has been awarded
    to St Anne's Primary School, based in Corkey, Northern Ireland, for its
    extensive project on water management. St Michael's Roman Catholic School
    in Billingham was the runner up. Both schools were commended for working
    with industry to engage young scientists and show them how science can make
    a practical difference. The Rolls-Royce Science Prize rewards excellence in
    science teaching across the UK and Ireland, and has so far awarded £440,000
    to 196 schools.   
    http://www.rolls-royce.com/media/showPR.jsp?PR_ID=40666


The Group will report its interim results for the six-month period ending
30 June 2008 on 24 July 2008.

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