We present results on the Fundamental Plane (FP) of early-type galaxies in
the cluster RDCS J0848+4453 at z=1.27. Internal velocity dispersions of three
K-selected early-type galaxies are determined from deep Keck spectra.
Structural parameters are determined from HST NICMOS images. The galaxies show
substantial offsets from the FP of the nearby Coma cluster, as expected from
passive evolution of their stellar populations. The offsets from the FP can be
expressed as offsets in M/L ratio. The M/L ratios of the two most massive
galaxies are consistent with an extrapolation of results obtained at
z=0.02-0.83. The evolution of early-type galaxies with masses >10^11 M_sun is
well described by ln M/L(B) = (-1.06 +- 0.09) z, corresponding to passive
evolution of -1.50 +- 0.13 mag at z=1.3. Ignoring selection effects, the best
fitting stellar formation redshift is z*=2.6, corresponding to a luminosity
weighted age at the epoch of observation of ~2 Gyr. The M/L ratios of these two
galaxies are also in excellent agreement with predictions from models that
include progenitor bias. The third galaxy is a factor ~10 less massive than the
other two, shows strong Balmer absorption lines in its spectrum, and is offset
from the Coma Fundamental Plane by 2.9 mag in rest-frame B. Despite their large
range in M/L ratios, all three galaxies fall in the ``Extremely Red Object''
(ERO) class with I-H>3 and R-K>5, and our results show that it is hazardous to
use simple models for converting luminosity to mass for these objects.
Measurements of M/L ratios at high redshift can be considered first steps to
empirically disentangle luminosity and mass evolution at the high mass end of
the galaxy population, lifting an important degeneracy in the interpretation of
evolution of the luminosity function. [SHORTENED]Comment: Accepted for publication in the Astrophysical Journa