• Strategic cooperation will explore integrated mission planning, Live, Virtual, and Constructive (LVC) training, and systems integration solutions that strengthen sovereign defence capabilities

Berlin, Germany, October 13, 2026 — (NASDAQ: CAE; TSX: CAE) – CAE and msg systems ag, a leading German information technology services and systems integration company, have signed a memorandum of understanding (MoU) establishing a framework for strategic cooperation in the defence sector.

The agreement reflects the companies’ intention to explore opportunities to support defence forces in Germany and across Europe by combining CAE’s expertise in mission planning and rehearsal, military training and simulation technologies, with msg systems’ strengths in digital engineering and systems integration. The companies will also assess how advanced modelling and simulation technologies can support mission analysis and future capability development.

Under the MoU, the companies intend to collaborate on opportunities related to mission planning, Live, Virtual and Constructive (LVC) training, synthetic training environments, mission ecosystems, and interoperable defence solutions that support operational readiness across air, joint, and multi-domain environments.

“For decades, CAE has helped defence forces transform training into operational advantage through advanced simulation, mission rehearsal, and immersive learning environments,” said Thibaut Trancart, Vice President and General Manager, CAE Defense & Security International. “As air forces prepare for more integrated and multi-domain operations, the need for advanced mission preparation and training capabilities continues to grow. This cooperation brings together complementary expertise that can help advance the next generation of mission and training ecosystems for defence forces in Germany and across Europe.”

“Modern defence capabilities increasingly depend on the ability to integrate data, software, systems, and operational expertise into cohesive mission environments,” said Andreas Höher, Managing Director Defense & Aerospace, msg systems ag. “Drawing on msg systems’ experience delivering complex digital and systems integration solutions, together with CAE’s capabilities and global leadership, we intend to support armed forces with flexible, interoperable solutions that strengthen operational readiness, technological sovereignty, and future force development.”

For 65 years, CAE has supported the mission readiness of Germany’s defence forces with advanced training and simulation solutions. This cooperation between CAE and msg systems reflects both companies’ commitment to supporting the evolving mission planning and training needs of defence forces in Germany and across Europe.