Action consistent with CAE's transformation plan and will strengthen focus and capital allocation on its core simulation and training business

MONTREAL, May 11, 2026 /CNW/ - CAE Inc. (NYSE:CAE) (TSX:CAE) today announced that it is pursuing strategic alternatives for Flightscape, its aviation software business, as part of its ongoing portfolio optimization and disciplined approach to capital allocation to drive long-term shareholder value.

This step follows CAE's portfolio assessment completed earlier this year and reflects the maturity of Flightscape as a standalone, high‑growth software business.

This transaction intends to position Flightscape for its next phase of growth while enabling CAE to sharpen its focus on its core simulation and training capabilities and long-term value creation. CAE will actively assess a full range of options, including strategic partnerships, minority or majority investment, a sale, or other alternatives that are determined to be in the best interests of CAE and its stakeholders.

"Earlier this year, we completed a comprehensive review of our portfolio to ensure our capital, leadership attention and strategic focus are aligned with where CAE can create the most value," said Matthew Bromberg, President and Chief Executive Officer of CAE. "That review reinforced our conviction in Flightscape as a strong, differentiated business that may be better positioned for its next chapter through alternative ownership or partnership structures. This is a deliberate, disciplined step focused on long‑term value creation—for shareholders, customers, and employees."

Flightscape is a high-growth, cloud-native SaaS platform supporting the global aviation ecosystem through advanced planning, operations control and decision-support solutions. The business has benefited from sustained investment, experienced leadership and continued customer adoption, and CAE believes it is well positioned to build on these strengths. Flightscape is trusted by many of the world's leading airlines and is supported by a global team of more than 600 professionals across the Americas, Europe and Asia.

Caution concerning forward-looking statements

This press release includes forward-looking statements about CAE's strategic review of the Flightscape business, the potential outcomes of that process, the anticipated benefits of any potential transaction on CAE's strategic and operational plans and financial results, including on its capital allocation and growth prospects, and other statements that are not historical facts.

Since forward-looking statements and information relate to future events or future performance and reflect current expectations or beliefs regarding future events, they are typically identified by words such as "anticipate", "believe", "could", "estimate", "expect", "future", "intend", "likely", "may", "plan", "seek", "should", "strategy", "will" or the negative thereof or other variations thereon suggesting future outcomes or statements regarding an outlook. All such statements constitute "forward-looking statements" within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995.

By their nature, forward-looking statements require CAE to make assumptions and are subject to inherent risks and uncertainties associated with CAE's business which may cause actual results in future periods to differ materially from results indicated in forward-looking statements. While these statements are based on management's expectations and assumptions regarding historical trends, current conditions and expected future developments, as well as other factors that CAE believes are reasonable and appropriate in the circumstances, readers are cautioned not to place undue reliance on these forward-looking statements as there is a risk that they may not be accurate. The forward-looking statements contained in this press release describe CAE's expectations as of May 11, 2026 and, accordingly, are subject to change after such date. Except as required by law, CAE disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise. The forward-looking information and statements contained in this press release are expressly qualified by this cautionary statement. These statements are based on information available to CAE as of the date of this press release. While CAE believes that information provides a reasonable basis for these statements, that information may be limited or incomplete. These statements should not be read to indicate that CAE has conducted an exhaustive inquiry into, or review of, all relevant information. These statements are inherently uncertain, and investors are cautioned not to unduly rely on these statements.

Material Assumptions

The forward-looking statements set out in this press release are based on certain assumptions including, without limitation: the ability of CAE to conduct and complete the strategic review within anticipated timeframes, the willingness of potential counterparties to engage in discussions regarding a potential transaction, the anticipated benefits of the strategic review on CAE's business, prevailing market conditions and geopolitical conditions (including the rapidly evolving trade and tariff environment), the ability to obtain necessary regulatory and other approvals in connection with any potential transaction in a timely manner and on terms acceptable to CAE, the stability of foreign exchange rates, access to expected capital resources within anticipated timeframes, no material financial, operational or competitive consequences from changes in regulations affecting CAE's business, and CAE's ability to retain and attract new business.

Material Risks

Important risks that could cause actual results or events to differ materially from those expressed or implied in the forward-looking statements include risks relating to the strategic review, such as the review not resulting in a transaction if desirable or any resulting transaction not being completed on favourable terms or at all, failure to receive necessary regulatory or other approvals, and the impact of the announcement on CAE's business. Readers are cautioned that any of the disclosed risks could have a material adverse effect on CAE' forward-looking statements. CAE cautions that the disclosed list of risk factors is not exhaustive and other factors could also adversely affect our results.

More information about the assumptions underlying the forward-looking statements made in this press release and the risks and uncertainties affecting CAE's business can be found in CAE's Management's Discussion and Analysis (MD&A) for the fiscal year ended March 31, 2025 and MD&A for the three months ended December 31, 2025, available on CAE's website (www.cae.com), SEDAR+ (www.SEDARplus.ca) and EDGAR (www.sec.gov).

About Flightscape - Powered by CAE

Flightscape—Powered by CAE is a cloud-native SaaS platform that supports airline operations through advanced planning, operations control, and decision-support solutions. Trusted by the world's leading airlines, Flightscape is supported by a team of more than 600 professionals across the Americas, Europe, and Asia. Learn more at (www.flightscape.com).

About CAE

At CAE, we exist to make the world safer. We deliver cutting-edge training, simulation, and critical operations solutions to prepare aviation professionals and defence forces for the moments that matter. Every day, we empower pilots, cabin crew, maintenance technicians, airlines, business aviation operators, and defence and security personnel to perform at their best and when the stakes are the highest. Around the globe, we're everywhere customers need us to be with around 240 sites and training locations in over 40 countries. For nearly 80 years, CAE has been at the forefront of innovation, consistently seeking to set the standard by delivering excellence in high-fidelity flight simulators and training solutions, while embedding sustainability at the heart of everything we do. By harnessing technology and enhancing human performance, we strive to be the trusted partner in advancing safety and mission readiness — today and tomorrow.

CAE Contacts:

Media Relations:

Samantha Golinski, Senior Vice President, Communications

+1-438-805-5856, samantha.golinski@cae.com

Investor Relations:

Andrew Arnovitz, Chief Strategy Officer

+1-514-734-5760, andrew.arnovitz@cae.com

View original content:https://www.prnewswire.com/news-releases/cae-pursues-strategic-alternatives-for-flightscape-302767725.html

SOURCE CAE Inc.

View original content: http://www.newswire.ca/en/releases/archive/May2026/11/c3485.html

CAE pursues strategic alternatives for Flightscape