Press Release

Engenuity Announces Amalgamation

Company to become a wholly owned subsidiary of CAE Inc.

Montreal, Canada – May 28, 2007 – Engenuity Technologies Inc. (TSX: EGY), a leading provider of solutions for the development of high-end visualization and simulation applications, agreed to amalgamate with 4341392 Canada Inc. On May 25th 2007, the holders of common shares of Engenuity Technologies Inc. adopted a special resolution approving the amalgamation of Engenuity with 4341392 Canada Inc., a wholly owned subsidiary of CAE Inc. per the amalgamation agreement.  As a result, Engenuity will become a wholly owned subsidiary of CAE Inc.

Engenuity also announced its intention to delist from the Toronto Stock Exchange ("TSX").

About CAE

CAE is a world leader in providing simulation and modelling technologies, and integrated training services to the civil aviation industry and defence forces around the globe. We design, manufacture and supply simulation equipment and offer training and services. This includes integrated modelling, simulation and training solutions for commercial airlines, business aircraft operators, aircraft manufacturers and military organizations and a global network of training centres for pilots, and in some instances, cabin crew and maintenance workers.

With annual revenues of over C$1 billion, CAE operates in 19 countries around the world. CAE has sold nearly 700 simulators and training devices to airlines, aircraft manufacturers, training centres and defence forces for air and ground purposes in more than 40 countries. We have over 110 full-flight simulators in more than 20 aviation training centres, serving approximately 3,500 airlines, aircraft operators and manufacturers across the globe. CAE licenses its simulation software to various market segments and has a professional services division assisting customers with a wide range of simulation-based needs.

About Engenuity Technologies

Engenuity Technologies Inc. (TSX: EGY) is a global leader in visualization and simulation software solutions for the aerospace, defense, automotive, games and entertainment markets. The company’s products and services are currently used by hundreds of customers in 40 countries, including many of the world’s largest organizations. Engenuity has offices and distributors throughout North America, Europe, and Asia. Visit our Website at: http://www.engenuitytech.com.
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For further information:

Tracey Ades,
Director of Marketing Programs
Tel: +1-514-341-3874 x282
E-Mail:

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