Exhibit 99.1

     Attention Business/Financial Editors:

     CAE reports second quarter earnings

     TORONTO, Nov. 6 /CNW/ — (TSX:CAE; NYSE:CGT) — CAE today reported earnings from continuing operations for the second quarter ending September 30, 2002 of C$23.3 million, or 11 cents per share, compared to C$34.3 million (or 16 cents per share) in the prior year period. Net earnings were also C$23.3 million.

     Consolidated revenue from continuing operations totaled C$252.3 million in the second quarter, compared to C$255.1 million in the prior year.

     The year-over-year decrease in both earnings and revenue is attributable to a decline in the sale of full flight simulators by the Civil Simulation and Training unit (“Civil”), partially offset by top and bottom line growth in both the Military Simulation and Training (“Military”) and Marine Controls (“Marine”) divisions.

     Year-to-date earnings from continuing operations of 28 cents per share (C$60.6 million) were 3 cents per share below last year’s results, while first half revenue of C$528.1 million increased C$30.9 million, or 6% from the prior year.

     Operating margins were 17% in the second quarter and, in line with full year expectations, 20% year-to-date. Backlog at September 30 stood at C$2.4 billion compared to C$2.5 billion at June 30.

     Civil’s second quarter operating earnings declined C$16.6 million from the prior year to C$19.9 million. Revenue declined C$25.8 million to C$104.4 million. The decreases are attributable to continuing weakness in the full flight simulator market, with Civil having won 4 of the 7 competed orders year-to-date. Reduced equipment sales were offset by increased training revenues generated through the expansion of CAE’s training network via organic growth and the acquisition of the Schreiner and SimuFlite operations. Civil

continued to execute its training strategy, adding 11 more simulators to its installed base since June 30 to reach 74 as of today, with plans to exceed 80 by the end of the fiscal year. Civil also concluded a number of long-term training contracts, signed a cooperation agreement with Airbus and has entered into a new joint venture on training with China Southern.

     Military’s revenue increased by 12% in the second quarter, while operating earnings increased 22% from the prior year to C$16.2 million. These improvements were due primarily to an early delivery bonus on the E3 AWACS aircraft program, higher activity on the Medium Support Helicopter program and cost containment measures. During the quarter, Military secured a series of training service and maintenance contracts in the U.S., as well as GESI land systems’ contracts in Europe.

     Marine generated second quarter operating earnings of C$7.2 million — 41% ahead of last year. Revenue for the quarter also increased 41% to C$39.3 million. This growth is attributable to the contribution from the U.K. Astute submarine training program, organic growth in its longstanding naval controls business and a growing contribution from the commercial marine business.

     CAE’s cash and short-term investment balances increased by C$3.2 million to C$70.4 million during the second quarter, while total debt (current and long term) was reduced by C$35.0 million. The positive cash flow resulted from C$25.0 million in proceeds from the disposition of one forestry systems business and sale and leaseback transactions generating C$92.2 million. These proceeds were offset by C$57.8 million of capital expenditures, most of which relate to training centre initiatives.

     Commenting on the second half outlook for the Company, CAE'S president and CEO Derek H. Burney, stated, “Additional cost reductions, an increasing contribution from our Military and Marine units and an improving performance from Civil should enable us to meet our publicly-stated expectations.”

     CAE is a global leader in providing advanced simulation and controls equipment and integrated training solutions for customers in the civil aviation, military and marine markets. With annual revenues in excess of C$1 billion, CAE employs more than 6,000 people in Canada, the United States and around the globe.

     This news release includes forward-looking statements that are based on certain assumptions and reflect CAE’s current expectations. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Additional factors are discussed in CAE’s materials filed with the securities regulatory authorities in Canada and the United States from time to time. CAE disclaims any intention or obligation to update or revise any forward-looking statements.

     High-resolution downloadable photos are available in our Photo Gallery in the Newsroom section of our Web site: www.cae.com/photos.

Consolidated Statements of Cash Flow

			three months ended						six months ended
			September 30						September 30
			(unaudited)						(unaudited)
(amounts in millions
of Canadian dollars)			2002			2001			2002			2001
Operating activities
	Earnings from continuing operations		$	23.3		$	34.3		$	60.6		$	67.3
	Adjustments to reconcile earnings to cash flow from operating activities:
		Amortization		14.8			7.4			33.1			13.5
		Future income taxes		0.8			5.9			5.4			11.7
		Investment tax credit		(3.9	)		(5.5	)		(7.8	)		(9.5	)
		Other		1.0			(1.0	)		(7.0	)		(4.5	)
		Increase in non-cash working capital		1.8			9.9			(78.4	)		(86.0	)
Net cash provided by (used in) continuing operating activities				37.8			51.0			5.9			(7.5	)
Investing activities
	Purchase of businesses			—			(293.0	)		—			(418.6	)
	Proceeds from disposition of businesses			25.0			—			25.0			10.4
	Short-term investments			6.4			—			13.4			122.8
	Capital expenditures			(57.8	)		(65.7	)		(130.9	)		(108.5	)
	Proceeds from Sale and Leaseback of assets			92.2			42.6			92.2			42.6
	Development costs			(3.9	)		(8.2	)		(8.6	)		(18.3	)
	Deferred pre-operating costs			(3.7	)		—			(5.8	)		—
	Other assets			(12.0	)		(2.4	)		(13.6	)		(9.0	)
Net cash provided by (used in) continuing operating activities				46.2			(326.7	)		(28.3	)		(378.6	)
Financing activities
	Proceeds of long-term debt			72.3			336.9			151.3			353.1
	Repayments of long-term debt			(142.4	)		—			(148.3	)		—
	Dividends paid			(6.6	)		(6.5	)		(13.1	)		(11.9	)
	Common stock issuance			1.4			0.4			3.4			1.8
	Other			(4.0	)		(0.9	)		(4.9	)		(1.5	)
Net cash (used in) provided by continuing financing activities				(79.3	)		329.9			(11.6	)		341.5
Net cash provided by (used in) discontinued activities				2.3			(2.6	)		2.6			11.1
Effect of foreign exchange rate changes on cash				2.6			1.9			5.1			(2.0	)
Net decrease in cash				9.6			53.5			(26.3	)		(35.5	)
Cash at beginning of period				52.9			67.8			88.8			156.8
Cash at end of period			$	62.5		$	121.3		$	62.5		$	121.3

Consolidated Statements of Earnings

		three months ended				six months ended
		September 30				September 30
		(unaudited)				(unaudited)
(amounts in millions of
Canadian dollars, except
per share amounts)		2002		2001		2002		2001
Revenue
	Civil Simulation and Training	$	104.4	$	130.2	$	239.9	$	247.0
	Military Simulation and Training		108.6		97.1		214.6		202.4
	Marine Controls		39.3		27.8		73.6		47.8
		$	252.3	$	255.1	$	528.1	$	497.2
Operating earnings
	Civil Simulation and Training	$	19.9	$	36.5	$	57.6	$	68.7
	Military Simulation and Training		16.2		13.3		34.8		28.6
	Marine Controls		7.2		5.1		13.6		8.8
Earnings from continuing operations before interest and taxes			43.3		54.9		106.0		106.1
Interest expense, net			9.1		5.1		16.9		7.1
Earnings from continuing operations before income taxes			34.2		49.8		89.1		99.0
Income taxes			10.9		15.5		28.5		31.7
Earnings from continuing operations		$	23.3	$	34.3	$	60.6	$	67.3
Results of discontinued operations			—		3.3		—		4.7
Net earnings		$	23.3	$	37.6	$	60.6	$	72.0
Earnings and diluted earnings per share from continuing operations		$	0.11	$	0.16	$	0.28	$	0.31
Net earnings and diluted net earnings per share		$	0.11	$	0.17	$	0.28	$	0.33
Average number of shares outstanding			219.4		217.5		219.4		217.5

Consolidated Statements of Retained Earnings

	three months ended						six months ended
	September 30						September 30
	(unaudited)						(unaudited)
(amounts in millions
of Canadian dollars)	2002			2001			2002			2001
Retained earnings at beginning of period	$	471.2		$	350.2		$	446.8		$	321.2
Adjustments for changes in accounting policies		—			(5.3	)		(6.4	)		(5.3	)
Net earnings		23.3			37.6			60.6			72.0
Dividends		(6.6	)		(6.5	)		(13.1	)		(11.9	)
Retained earnings at end of period	$	487.9		$	376.0		$	487.9		$	376.0

Consolidated Balance Sheets

			as at		as at
(amounts in millions			September 30		March 31
of Canadian dollars)			2002		2002
			(unaudited)		(audited)
Assets
Current assets
	Cash		$	62.5	$	88.8
	Short-term investments			7.9		21.3
	Accounts receivable			374.2		378.2
	Inventories			138.1		130.9
	Prepaid expenses			14.4		9.9
	Income taxes recoverable			17.4		15.8
	Future income taxes			28.2		28.9
				642.7		673.8
Assets of discontinued operations				66.6		123.8
Property, plant and equipment, net				916.1		838.5
Future income taxes				73.8		74.1
Intangible assets				177.0		163.4
Goodwill				381.9		375.5
Other assets				157.7		129.3
			$	2,415.8	$	2,378.4
Liabilities and shareholders’ equity
Current liabilities
	Accounts payable and accrued liabilities		$	362.8	$	420.5
	Deposits on contracts			133.9		189.1
	Long-term debt due within one year			13.5		37.5
	Future income taxes			50.1		50.4
				560.3		697.5
Liabilities of discontinued operations				18.9		40.5
Long-term debt				915.2		889.0
Long-term liabilities				121.4		73.7
Future income taxes				83.7		65.6
				1,699.5		1,766.3
Shareholders’ equity
Capital stock
	Issued
		(219,539,702 Common shares March 31, 2002 - 218,955,780)		190.0		186.8
Retained earnings				487.9		440.4
Currency translation adjustment				38.4		(15.1	)
				716.3		612.1
			$	2,415.8	$	2,378.4