TOKYO, Japan and ST.LOUIS, Mo., August 12, 2002 – – Mitsubishi
Heavy Industries, Ltd (MHI) and the Rocketdyne Propulsion & Power
unit of The Boeing Company (NYSE: BA) have successfully completed
the preliminary MB-XX full-scale Combustion Chamber / Injector Assembly
test program.

Flight-like hardware was tested at the MHI Tashiro Test Facility
in Japan at full operating pressure and temperatures in multiple test
series conducted over a two-year period. Key performance parameters,
heat loads, combustion stability and hardware durability was verified.

“Validation of MB-XX combustion chamber and injector design
is a major development milestone and helps solidly position our team
as a leading supplier for the next-generation upper stage engine,”
said Byron Wood, vice president and general manager for Boeing Rocketdyne.
“The MB-XX program is a major business initiative for Boeing
and MHI and represents a significant commitment by both companies
to the future of rocket propulsion.”

“The successful Boeing-MHI MB-XX cryogenic upper stage engine
team is a good example of an excellent Boeing-MHI working relationship,”
said Junichi Maezawa, general manager for MHI Aerospace Headquarters.
“Completion of MB-XX thrust chamber assembly testing represents
significant progress in the development of the MB-XX engine”.

The team of MHI and Boeing Rocketdyne has been commercially developing
the MB-XX since 1999 in response to future upper stage engine requirements.
The MB-XX will provide improved reliability, operating margins and
performance over existing upper stage engines. The MB-XX design features
proven and reliable technology drawn from Boeing Rocketdyne’s
and MHI’s combined decades of propulsion development and innovation,
including industry leadership in the use of leading-edge engineering

Rocketdyne Propulsion & Power is a unit of Boeing Integrated
Defense Systems (IDS). Boeing IDS is one of the world’s largest
space and defense businesses. Headquartered in St. Louis, Boeing Integrated
Defense Systems is a $23 billion business. It provides systems solutions
to its global military, government and commercial customers. It is
a leading provider of intelligence, surveillance and reconnaissance;
the world’s largest military aircraft manufacturer; the world’s
largest satellite manufacturer and a leading provider of space-based
communications; the primary systems integrator for U.S. missile defense;
NASA’s largest contractor; and a global leader in launch services.

Mitsubishi Heavy Industries, Ltd. (MHI), headquartered in Tokyo,
Japan, is one of the world’s leading global heavy machinery
manufacturers, with fiscal 2001 (ended March 31, 2002) consolidated
sales of 2,864 billion yen ($21.5 billion). MHI’s diverse line-up
of products and services encompasses shipbuilding, steel structures,
power plants, chemical plants, steel plants, environmental equipment,
machinery for industrial and general use, aircraft, space rocketry,
forklift trucks, engines and air-conditioning systems.

Note to editors: photos of the MB-XX and thrust chamber are available