Re Contract

Rolls-Royce PLC
11 December 2000


ROLLS-ROYCE AND SOUTH AFRICAN AIRWAYS
SIGN $50 MILLION TOTAL CARE DEAL

Rolls-Royce plc has signed a $50 million long-term support package with the
technical subsidiary of South African Airways (SAA) covering comprehensive
maintenance of the carrier's fleet of RB211 engines.

The airline began operating its fleet of six Boeing 747-400s in 1991.  The
aircraft, powered by RB211-524H engines, are used on routes including New York
- Johannesburg.  

Richard Smallwood, Senior Vice President - Airlines, for Rolls-Royce, said:
'Total Care continues to be developed as an effective method of providing
in-service support.  Each package is designed to meet specific needs of
individual customers.' 

SAA's RB211-524H engines are currently being converted to the improved H-T
standard which involves retrofitting Rolls-Royce Trent technology, producing
increased efficiency and longer life on-wing.

The airline's association with Rolls-Royce began in the 1950s with Dart
engines on Vickers Viscounts and Hawker Siddeley 748s.

Notes to editors:

1. Rolls-Royce has created a network of strategic joint ventures with key
customers as the cornerstone of its expanding, global services business.
Repair and overhaul is one of the fastest growing sectors in Rolls-Royce with
sales trebling in the last four years.

2. Last year Rolls-Royce won more than 100 repair and overhaul contracts in
civil aero, defence and energy sectors.  It has doubled the share of repair
and overhaul on its own engines to more than 50% and, last year, aftermarket
revenues as a whole accounted for 40% of the company's turnover.

3. The full range of Rolls-Royce aftermarket activities includes repair and
overhaul of products across the company's aero, marine and energy businesses
as well as spares provision, engine leasing, 'Power by the Hour' agreements
and predictive maintenance services. 

4. The recently launched enginedatacenter.com is an integrated service
providing operators with real time information to assist their fleet
maintenance.   Customers will soon be able to access many of these services
through aeromanager, a web-based portal currently undergoing trials. 

5. With a worldwide network of repair and overhaul operations established at
17 locations on four continents, Rolls-Royce now repairs 49 different engine
types for more than 400 customers.

For more information please contact:
Martin Johnson
Head of Communications - Civil Aerospace
Rolls-Royce plc
Tel: [phone]  Fax: [phone]
Email: [e-mail]
Rolls-Royce website: www.rolls-royce.com