Friday, September 20, 2013

Engine partnership dropped

Rolls-Royce and United Technologies Corp. have agreed not to proceed with a joint venture to develop an engine to power future mid-size aircraft. A press release from Rolls-Royce said it was because of the current regulatory environment. The partnership between Rolls-Royce and UTC unit Pratt & Whitney was first announced in the fall of 2011. At the time the prediction was that there would be a need for nearly 45,000 engines over the next 20 years. In addition to the joint-venture agreement in 2011, Rolls-Royce agreed to sell its stake in the International Aero Engines venture to Pratt & Whitney. That $1.5 billion deal closed in June 2012. (Source: Rolls-Royce, Wall Street Journal, Aviation Week, 09/19/13) Gulf Coast note: Rolls-Royce tests engines at Stennis Space Center, Miss.; UTC operates a service center in Foley, Ala. Previous; related