CAE shareholders approve move of head office to Montreal
23 June 2005 - 2:01AM
PR Newswire (US)
CAE shareholders approve move of head office to Montreal MONTREAL,
June 22 /PRNewswire-FirstCall/ -- (NYSE: CGT; TSX: CAE) -
Shareholders of CAE Inc. have approved the transfer of CAE's head
office to Montreal from Toronto. "We have brought CAE back to its
birthplace," said Robert E. Brown, CAE's President and Chief
Executive Officer, at the company's annual and special meeting of
shareholders. "Montreal is the centre of Canada's aerospace
industry, and it was here that CAE was founded in 1947. It is
appropriate that the company headquarters be located here." Mr.
Brown noted that CAE directly employs more than 2,800 people in the
Montreal area and also generates significant economic spin-offs,
injecting $70 million a year into the economies of Montreal and
Quebec through a network of some 450 suppliers and subcontractors.
"As well as being a prominent player in the region's dynamic
aerospace industry," continued Mr. Brown, "we are a major
contributor to the Quebec economy." Claude Bechard, Quebec's
Minister of Economic Development, Innovation and Export Trade,
welcomed CAE's decision. "CAE, a world leader in its field, has
chosen Quebec. By recognizing our highly-skilled labour force and
our international leadership, CAE has underscored the position of
Montreal and Quebec as a centre of excellence at the very forefront
of the global aerospace industry." In his address to shareholders,
Mr. Brown said there are clear indications that recent initiatives
designed to enhance the Company's competitiveness and to strengthen
the balance sheet have "started to gain traction". He observed that
CAE has "made some tough decisions and undertaken some difficult
tasks" over the past year to address new market realities - most
notably the lingering uncertainty hanging over the airline
industry, and the impact on its competitive position of a high
Canadian dollar. Immediately following Mr. Brown's arrival as CEO
last August, the Company initiated an extensive strategic review of
its markets and customers as well as its internal resources and
capabilities. The subsequent sale of the Marine Controls business
helped to significantly strengthen CAE's financial position and its
remaining operations have been realigned into three core business
groups: Civil Training & Services; Military Simulation &
Training; and Simulation Products. All manufacturing activities
have been consolidated within the newly formed Simulation Products
Group, along with Engineering, Program Management and Procurement -
functions that previously operated under separate teams within the
Civil and Military groups. The new structure "encourages a sharing
of expertise between units and makes CAE a more efficient
operation," Mr. Brown said. "It will also clarify responsibilities
and accountability and improve our competitive position in the
marketplace. In short, it will change the way we do business." CAE
is a leading provider of simulation and modelling technologies as
well as integrated training services for commercial and business
aviation, and defence customers worldwide. The company has annual
revenues of approximately C$1 billion, with operations and training
facilities in 17 countries on five continents. DATASOURCE: CAE INC.
CONTACT: Media contacts: Nathalie Bourque, Vice President, Global
Communications, (514) 734-5788, ; Anne von Finckenstein, Manager,
Public Relations, (514) 340-5370, ; Investor relations: Andrew
Arnovitz, Director, Investor Relations, (514) 734-5760, ; On the
Web: http://www.cae.com/
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