330 from memory: They were testing new software which would allow you to have the autopilot engaged shortly after takeoff, lose an engine and then still continue to fly with the autopilot engaged. They had selected a low FCU altitude...failed the engine and "alt*" was annunciated. With the alt* engaged and auto pilot on, the FMS directs the autopilot to do what is necessary to capture the altitude...which could mean more of a pitch up. With the 1 eng out, the speed went below Vmca, and they were unable to recover in time. Part of the problem also was that they had performed several other eng out, autopilot engaged climbs with the FCU altitude set much higher...thus not engaging alt*.