Rolls-Royce Reveals Technical Issues With Second Engine Type

The engine manufacturer has confirmed that a technical issue initially found in its Trent 1000 Package C engines has been detected in a second engine type, the high life Package B engine. This announcement comes as Rolls-Royce prepares to shed more than 4,000 jobs as part of a restructure.

Rolls-Royce has revealed that a technical issue that had been detected in one type of its engines has now been found in a second engine type. This unwelcome news, Reuters reports, comes just as the manufacturer is preparing to shed 4,000 jobs later this week.

It is reported that the problem was initially detected in the compressors of the Trent 1000 Package C engine – the type of engine used by Boeing’s 787 Dreamliner – but has now also been detected in a “small number of high life Package B engines”.

The current problem with Rolls-Royce’s C engines has reportedly resulted in the grounding of approximately 30 different aircraft for safety checks. Air New Zealand, Virgin Atlantic and British Airways have all been affected by this technical issue.

This announcement has been made public as Rolls-Royce prepares to enter yet another phase of what has been described as a “major restructuring program”, a plan that it hopes will increase profits.

“On Friday the group will host a capital markets day where, according to a person familiar with the situation, it will announce more than 4,000 job cuts, mostly in Britain and affecting support and management roles,” Reuters reports.

It adds, “The group, which employs 50,000 people in 50 countries, is also expected to set out how it will make a return on the investment made in recent years and the expected drivers of cash flow beyond its medium-term horizon.”

The manufacturer has admitted that, while this latest issue with its Package B engines “would incur some additional cost, it did not expect it to affect its free cash flow guidance for 2018.”

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