Russia’s Sukhoi Civil Aircraft to Develop Regional Jet Fleet using PLM Solutions from IBM and Dassault Systèmes

Leading military aircraft manufacturer expands into commercial aircraft market using CATIA, ENOVIA and SMARTEAM

Moscow, Russia and Paris, France, May 6, 2004 – IBM and Dassault Systèmes (Nasdaq: DASTY; Euronext Paris: #13065, DSY.PA) today announced that Sukhoi Civil Aircraft Company will use their solutions as the design platform for the new Russian Regional Jet program. Sukhoi Civil Aircraft will become the first Russian aircraft producer to use IBM PLM Solutions developed by Dassault Systèmes for a major new aircraft project, joining the ranks of CATIA V5 users in the aerospace industry, including Airbus and Boeing. The multi-million dollar contract represents a key strategic investment in Sukhoi Civil Aircraft’s IT infrastructure.

IBM PLM Solutions with CATIA for virtual collaborative product development, and ENOVIA and SMARTEAM for collaborative product data and lifecycle management, developed by Dassault Systèmes, will provide Sukhoi and its multiple partners, including Boeing and airplane cabin products manufacturer B/E Aerospace, with a collaborative 3D development environment. The PLM platform will enable all participating organizations to share data and manage product-related information continuously and seamlessly across development sites inside and outside Russia.

As global demand for small, inexpensive and reliable aircraft is expected to grow dramatically in the next 15 years, Sukhoi Civil Aircraft is developing six versions of the Russian Regional Jet (RRJ) aircraft (60, 75 and 95 passengers) for short to medium-distance routes. The company expects to deliver its first regional jets in 2007, with total a number of 800 planes to be delivered by 2020.

The company cited its objective to produce the planes for 10-15% less cost than its international counterparts as the primary reason for the strategic PLM investment. Using IBM PLM Solutions developed by Dassault Systèmes, Sukhoi will be able to standardize wing and engine components to reduce development and production costs, as well as facilitate maintenance and training.

Alexei Krasnov, director Civil Aircraft IT, Sukhoi, said, “To design and manufacture our new commercial airplanes, our company needed a proven solution that is easy to implement and use. CATIA, the industry standard, will help us work more efficiently with our partners and reach our targets within the established timeframe. We have decided to use a new business approach in the course of RRJ program implementation based on the integral IBM PLM Solution. A breakthrough in the field of changing business processes and technologies with entirely new product development methods will give us a strong competitive advantage. IBM and Dassault Systemes will be among the key factors of our success.”

“IBM has extensive experience in the aerospace industry having implemented more than 20,000 PLM projects for aerospace companies around the world,” said Scott Hopkins, general manager, IBM PLM. “This leadership, coupled with an integrated PLM solution set, makes us an ideal partner for Sukhoi as it enters into the growing commercial regional jet market and positions itself for growth. We understand the issues facing aircraft manufacturers and will continue to develop our value proposition, based on industry-established best practices and world-leading collaborative solutions, for efficient, high quality and cost-effective aircraft development.”

“CATIA, ENOVIA and SMARTEAM will give Sukhoi the collaborative product development and lifecycle management tools required to prosper in the highly competitive regional jet market," said Francis Bernard, Advisor to the President, Dassault Systèmes. “Our Solutions, combined with DS PLM Practices for the aerospace industry, will help the company to optimize product quality and cost, drive innovation, and address the growing demand in Russia’s aerospace market.”