CAE receives $250-million repayable SADI assistance

CAE Inc has received a $250-million repayable loan from the Strategic Aerospace and Defence Initiative (SADI) to undertake Project Innovate, a $700-million, five-and-a-half-year R&D project to develop and expand its suite of modelling and simulation technologies for military and civilian applications. The loan marks the second time the Montreal-based developer of flight training simulation systems has tapped SADI for R&D assistance. The first was a $250-million loan for Project Falcon, a $714-million initiative to adapt its modeling and simulation technologies for new markets (R$, April 16/09). CAE's R&D spending soared 23.4% in 2012 to $144.4 million — its highest level ever — for an R&D intensity of 7.9%. SADI funding was renewed in 2013 with $1 billion over five years with the proviso that $440 million be reallocated to create a new Technology Demonstration Program, in line with a recommendation by the Aerospace Advisory Council headed by David Emerson (R$, December 6/12)….