Ms. Samantha Golinski reports

CAE ANNOUNCES PRICING OF PRIVATE OFFERING OF $400 MILLION OF SENIOR UNSECURED NOTES

CAE Inc. has priced a private offering of $400-million aggregate principal amount of 5.541 per cent Series 1 senior unsecured notes due June 12, 2028 (the notes). The notes are being offered through a syndicate of agents led by RBC Dominion Securities Inc., Scotia Capital Inc. and TD Securities Inc., as joint bookrunners, and HSBC Securities (Canada) Inc., National Bank Financial Inc., BMO Nesbitt Burns Inc., Merrill Lynch Canada Inc., CIBC World Markets Inc., Desjardins Securities Inc., BNP Paribas (Canada) Securities Inc., Citigroup Global Markets Canada Inc. and J.P. Morgan Securities Canada Inc., as agents. The corporation intends to use the net proceeds of this offering to repay existing indebtedness and for other general corporate purposes. The offering is expected to close on or about June 12, 2023, subject to customary closing conditions.

The notes will be issued at par and will bear interest at the rate of 5.541 per cent per annum, payable in equal semi-annual instalments, in arrears, on June 12 and Dec. 12 of each year commencing on Dec. 12, 2023, until maturity. The notes will be direct, senior unsecured obligations of the corporation, and will rank pari passu in right of payment with each other series of unsecured unsubordinated notes that may be issued under the trust indenture (regardless of their series or actual dates or terms of issue) and with all other existing and future unsecured and unsubordinated indebtedness of the corporation. The notes will be guaranteed, jointly and severally, on a senior unsecured basis, by certain of the corporation's subsidiaries. The notes have been assigned a provisional rating of BBB-, with a stable trend, by S&P Global Ratings.

About CAE Inc.

CAE equips people in critical roles with the expertise and solutions to create a safer world. As a technology company, CAE digitalizes the physical world, deploying software-based simulation training and critical operations support solutions. Above all else, the company empowers pilots, cabin crew, airlines, defence and security forces, and health care practitioners to perform at their best every day and when the stakes are the highest. Around the globe, CAE is everywhere customers need it to be with more than 13,000 employees in approximately 250 sites and training locations in over 40 countries. CAE represents more than 75 years of industry firsts -- the highest-fidelity flight, mission and medical simulators and training programs powered by digital technologies. CAE embeds sustainability in everything it does. Today and tomorrow, CAE will make sure its customers are ready for the moments that matter.

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