Engenuity Technologies Inc.

Engenuity Technologies Inc.

April 18, 2007 13:41 ET

Engenuity Announces Changes to Board of Directors

Special meeting of shareholders scheduled for May 25, 2007

MONTREAL, QUEBEC--(CCNMatthews - April 18, 2007) - Engenuity Technologies Inc. (TSX:EGY), a leading provider of solutions for the development of high-end visualization and simulation applications, today announced that Marcel Cote, Jean Dufour and Claude Roy have stepped down from its Board of Directors and that the number of directors has been increased to nine from eight. The vacancies left by its former three directors and the new board seat have been filled with nominees of CAE Inc. ("CAE"): Alain Raquepas (CFO and Vice-President Finance), Hartland Paterson (Vice-President Legal, General Counsel and Secretary), Antoine Auclair (Vice President and Controller), and Yvan Deschamps (Director, Acquisitions and Corporate Projects). Claude Cajolet, Patrice Commune (President and CEO of Engenuity), Pierre Jeanniot, Gerard Limoges and Gilles Laporte remain on the Board of Directors. Alain Raquepas will serve as chair of the Board of Directors and Gerard Limoges will serve as lead director. As recently announced, a wholly-owned subsidiary of CAE ("Bidco") has acquired Engenuity common shares representing approximately 85.7% of its issued and outstanding common shares.

"I would like to thank Marcel, Jean and Claude for their dedication, guidance and contribution. Together with all of Engenuity's employees, they can take great pride in what we have achieved," said Patrice Commune, Engenuity's President and Chief Executive Officer. "Now we're looking forward to a new phase as part of the CAE group and Engenuity and CAE are working together to ensure a smooth transition."

A special meeting of shareholders will be held to consider a subsequent acquisition transaction whereby Engenuity would, if approved, merge with Bidco. The meeting will be held in Montreal on May 25, 2007. Shareholders of record as of April 24, 2007 will be entitled to vote at the special meeting. Proxy materials are expected to be mailed to shareholders in respect of the special meeting within the next two weeks. Such subsequent acquisition transaction would, if approved, result in consideration equal to that offered to shareholders under Bidco's recently expired offer to acquire Engenuity common shares (Cdn.$1.20 per share) being paid to the shareholders of Engenuity other than Bidco in accordance with CAE's obligations to that effect.

Upon completion of the subsequent acquisition transaction, applications would be made for the delisting of Engenuity common shares from the Toronto Stock Exchange and for Engenuity to cease to be a reporting issuer under applicable Canadian securities laws.

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: www.engenuitytech.com.

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