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Orbital and OMC Settle Patent Infringement Claims

17 May 1999

Orbital and OMC Settle Patent Infringement Claims

    PERTH, Australia, May 13 -- Orbital Engine Corporation
Limited announced today
that they have entered into an agreement with Outboard Marine Corporation
which resolves Orbital's allegations of infringement of Orbital's direct
injection technology patents by OMC's FICHT direct injection technology.
Although the terms of the agreement are confidential, it provides for certain
payments by OMC.
    Direct injection technology is widely regarded as the superior response to
the emission and performance requirements confronting marine, recreational and
Motorcycle manufacturers.  This technology has significant performance, fuel
economy and weight advantages over competing technologies, particularly four
stroke engines.

    Orbital is a leading international developer of engine technologies using
direct in-cylinder fuel injection and lean burn systems for enhanced fuel
economy and lower emissions.  The company serves the worldwide automobile,
marine, recreational and motorcycle markets.  Headquartered in Perth, Western
Australia, Orbital stock is traded on the Australian (OEC), New York (OE),
Berlin (ORE) and Frankfurt (OREA) Stock Exchanges.