On EuroStar 2009 conference Gittie Ottosen spoke about how they do agile at their company. What's impressive is that this company Systematic is creating software for air-crafts, military etc. They do it in compliance with CMMI 5, ISO 9001 and AQAP 150&2110. So I guess agile can be applied to systems with high regulations. Maybe try to look up that presentation, and try to get more info from him.
