Holding(s) in Company

BAE SYSTEMS PLC
08 October 2004

                                  SCHEDULE 10

                   NOTIFICATION OF MAJOR INTERESTS IN SHARES

1. Name of company

BAE SYSTEMS plc

2. Name of shareholder having a major interest

FMR Corp and its direct and indirect subsidiaries, and Fidelity International
Limited and its direct and indirect subsidiaries

3. Please state whether notification indicates that it is in respect of holding
of the shareholder named in 2 above or in respect of a non-beneficial interest
or in the case of an individual holder if it is a holding of that person's
spouse or children under the age of 18

Shareholder named in 2 above

4. Name of the registered holder(s) and, if more than one holder, the number of
shares held by each of them

Bank of Bermuda - 528,947

Bank of New York Brussels - 666,293

Bank of New York London - 6,962,100

Bankers Trust - 200,200

Brown Brothers Harriman - 726,800

Brown Borthers Harriman Ltd LUX - 1,424,900

Chase Manhattan Bank AG Frankfurt - 447,300

Chase Manhattan Bank London - 1,367,900

Chase Nominees Ltd - 1,580,220

Citibank - 156,600

Deutsche Bank AG, London - 840,400

Daxia Privatbank (Schweiz) - 24,400

HSBC Bank Plc - 910,230

HSBC Client Holdings Nominee (UK) Limited - 145,596

ING Luxembourg - 66,905

JP Morgan - 12,992,812

Master Trust Bank of Japan - 182,200

Mellon Bank - 196,000

Mellon Nominees Ltd - 238,500

National Australia Bank - 228,400

Nomura Trust and Banking - 90,800

Northern Trust - 1,995,200

Nortrust Nominees Ltd - 200,000

Societe Generale - 109,700

State Street Bank & Trust - 2,018,560

State Street Hong Kong - 59,800

State Street Munich - 53,200

Bank of New York Brussels - 242,103

Bermuda Far East - 82,200

Chase Manhattan Bank - 4,162,000

Chase Nominees Ltd - 1,658,838

JP Morgan - 535,727

Chase Nominees Limited - 17,270,620

HSBC - 73,410

JP Morgan Chase - 5,925,589

State Street Bank & Trust Company - 2,174,900

State Street Nominees - 98,200

Bank of New York - 1,180,000

BT Globenet Nominees Limited - 965,798

Chase Nominees Ltd - 895,200

Goldman Sachs and Co - 123,400

JP Morgan - 585,800

JP Morgan Chase - 104,000

Lloyds Bank Nominees Limited - 1,342,900

Bank (Stock Exchange Branch) Nominees Limited - 6,800

Mellon Bank - 62,500

Mellon Bank N.A. - 980,000

Mellon Trust - 1,996,000

Morgan Stanley - 344,400

MSCO - 224,700

MSS Nominees Limited - 723,900

Northern Trust - 2,144,224

Royal Trust - 71,600

State Street Bank & Trust - 5,596,591

State Street Nominees Ltd - 5,358,600

Bankers Trust - 1,694,100

Citibank - 116,700

Northern Trust - 695,000


5. Number of shares / amount of stock acquired

N/A

6. Percentage of issued class

N/A

7. Number of shares / amount of stock disposed

N/A

8. Percentage of issued class

N/A

9. Class of security

Ordinary shares of 2.5 pence each

10. Date of transaction

Not disclosed. Figures given as at 7 October 2004

11. Date company informed

8 October 2004

12. Total holding following this notification

91,259,763 shares

13. Total percentage holding of issued class following this notification

3.0%

14. Any additional information

Notification received under s198 CA85

15. Name of contact and telephone number for queries

Ann-Louise Holding [phone]

16. Name and signature of authorised company official responsible for making
this notification

Ann-Louise Holding, Assistant Company Secretary

Date of notification

8 October 2004

The FSA does not give any express or implied warranty as to the accuracy of this
document or material and does not accept any liability for error or omission.
The FSA is not liable for any damages (including, without limitation, damages
for loss of business or loss of profits) arising in contract, tort or otherwise
from the use of or inability to use this document, or any material contained in
it, or from any action or decision taken as a result of using this document or
any such material.


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