Rolls Royce wins record £6 billion engine order

Rolls Royce has won an order from Emirates to supply engines for its super jumbo fleet.

Rolls Royce wins record £6 billion engine orderRolls Royce has received its largest order to date, worth £6.1 billion, to supply engines for 50 Emirates A380 planes.

It will be the first time the engineering giant has made engines for the Gulf carrier’s super-jumbo fleet.

The news boosted Rolls Royce’s share price by over 3per cent after a year of profit warnings.

Emirates said the deal gave further support to trade ties between the UK and the United Arab Emirates and would have a “significant economic impact”.

Announcing the deal in London, Emirates president Sir Tim Clark said: “Today’s announcement is significant not only because it cements the partnership between Emirates and Rolls Royce, but also because of the significant economic impact that this will have on aviation manufacturing in the UK and Europe.”

About 200 engine orders have been placed by Emirates for 50 Airbus Group A380 aircraft, making it the largest order received by Rolls-Royce.

Emirates Airlines, has recently put pressure on Airbus to produce a more fuel efficient version of the A380. The airline already has an order for 140 A380s, and if Airbus makes the proposed changes, the airline would place an additional order for 200 aircraft.

As the super jumbo has been in service for less than 10 years, Airbus is reluctant to change the engines according to the new requirement from Emirates. In an interview with the Financial Times last month, Mr. Clark said that he would like to see the Rolls-Royce XYB engine, which is originally designed for the wide-body A350, being used in the A380.

The deal consists of the Rolls Royce Trent 900 engines, worth £6.1 billion at catalogue price, including a long term “Totalcare” package. The package provides service and maintenance to Emirates for the said engines.

Rolls Royce currently employs 24,500 people in the UK.

April 17, 2015  Tags: , , , , , , , ,   Posted in: Business Exports, Business Sales, Business Win, Exporting Businesses, Flying Businesses, Global Business, Growing Sales, Technological Businesses, Uncategorized, Winning Business

Leave a Reply