Rolls-Royce is extending the inspections of its Trent 1000 engines after durability problems were found on a different series of the Boeing 787 engine. The company's Civil Aerospace segment provides aero engines for large commercial aircraft, regional jet, and business aviation markets, as well as aftermarket services.
"We have therefore agreed with Boeing and the relevant regulatory authorities to carry out a one-off inspection of our Trent 1000 Package B fleet, to further inform our understanding", the company added.
In a statement Rolls said it anticipated that the inspections would have a limited impact on customer operations, and that engines will be inspected on-wing using existing techniques.
While Rolls-Royce expects to "incur some additional costs", it does not expect an impact on its full-year guidance for free cash flow. The reiteration takes into account increased servicing of Package C engines, where the glitch was originally detected, as well as mitigating actions being taken across the group, the company said.
But it has warned the figure may rise as it compensates airlines for grounding and replacing airplanes.
Shares of Rolls-Royce Holdings plc (LON:RR) have received an average rating of "Hold" from the eleven ratings firms that are presently covering the company, MarketBeat Ratings reports.
A spokesperson for the company said: "In January, we announced a simplification of our business and began work on a restructuring of our support and management functions".
The firm added that it was moving to a "considerably simplified staff structure, with fewer layers and greater spans of control across the group".
The engine maker is due to unveil a new restructuring plan authored by turnaround consultant Alvarez & Marsal at a capital markets day this week.
Following an agreement with the United States manufacturer and regulators, some 166 engines that are potentially affected will undergo a one-time inspection to assess the extent of the problem, Rolls said.
- Alec Baldwin says he’d ‘absolutely win’ if he ran for president
- Trump sometimes 'felt foolish’ using harsh rhetoric against North Korea
- Battletoads Coming to Xbox in 2019
- Kyrie Irving cautious, but optimistic about long-term future with Celtics
- What Liverpool have planned for Xherdan Shaqiri transfer is rather interesting
- China urges ‘full denuclearisation’ as Kim-Trump meet
- Watch Patti Murin perform at the 2018 Tony Awards
- Democratic House race in Virginia highlights primary voting in five states
- Wilder agrees to heavyweight showdown with Joshua
- Vivo Nex With Snapdragon 710 and Nex Ultimate With Snapdragon 845 Announced