ROLLS-ROYCE WINS $5BN ORDER FROM DELTA AIRLINES

RNS Number : 6319X

Rolls-Royce Holdings plc

20 November 2014

 



20 November 2014

ROLLS-ROYCE WINS $5BN TRENT ORDER FOR 50 AIRCRAFT

FROM DELTA AIR LINES

Rolls-Royce has won a $5bn order for Trent engines and long-term TotalCare® service support from Delta Air Lines to power 50 new aircraft.

Trent XWB engines will power 25 Airbus A350s and Trent 7000 engines will power 25 Airbus A330neo aircraft.

The Trent XWB is the world's most efficient large civil aero engine, and the fastest-selling widebody engine ever with more than 1,500 engines already sold. It will power the first A350 XWB into service later this year. The Trent 7000 was launched this year as the exclusive powerplant of the new A330neo and has already been selected to power a total of 152 aircraft.

Nat Pieper, Delta Air Lines, Vice President of Fleet Strategy and Transactions, said: "We are pleased to be working closely with Rolls-Royce to power aircraft that will be a vital part of our future, providing a new level of excellence on our Pacific, Atlantic and Latin American routes."

John Rishton, Chief Executive, Rolls-Royce, said: "We are proud to be selected to power Delta's new generation of aircraft and look forward to deepening our relationship with a long-standing and valued customer. It is further evidence of the success of the Trent XWB in the market and represents a powerful vote of confidence in our newly-launched Trent 7000."

The Trent 7000 brings together experience from the Trent 700, the engine of choice for the current A330; architecture from the Trent 1000-TEN, the latest version of the Trent 1000 engine and latest technology from the Trent XWB.

About Rolls-Royce Holdings plc

1.   The order announced today will result in an increase in the Group's order book of $3bn, in accordance with Group accounting policy.

2.   The Rolls-Royce relationship with Delta Air Lines dates back more than 40 years when the RB211 engine powered the Lockheed L1011 Tristar. Delta Air Lines currently operates eight Boeing 777 aircraft powered by Trent 800 engines, and 47 Boeing 717 aircraft powered by Rolls-Royce BR710 engines. The Boeing 717 fleet will increase to 88.

3.   Rolls-Royce's vision is to create better power for a changing world via two main business segments, Aerospace and Land & Sea. These business segments address markets with two strong technology platforms, gas turbines and reciprocating engines.

4.   Aerospace comprises Civil Aerospace and Defence Aerospace. Land & Sea comprises Marine, Nuclear & Energy and Power Systems. On 6 May 2014 Rolls-Royce announced it had signed an agreement to sell its Energy gas turbine and compressor business to Siemens for a £785m cash consideration. On completion, expected before the end of December 2014, Rolls-Royce will receive a further £200 million for a 25 year licensing agreement.

5.   Rolls-Royce has customers in more than 120 countries, comprising more than 380 airlines and leasing customers, 160 armed forces, 4,000 marine customers, including 70 navies, and 1,600 energy and nuclear customers.

6.   Our business is focused on the 4Cs:

·     Customer - placing the customer at the heart of our business

·     Concentration - deciding where to grow and where not to

·     Cost - continually looking to increase efficiency

·     Cash - improving financial performance.

7.   Annual underlying revenue was £15.5 billion in 2013, around half of which came from the provision of aftermarket services. The firm and announced order book stood at £70.4 billion at 30 June 2014.

8.   In 2013, Rolls-Royce invested £1.1 billion on research and development. We also support a global network of 31 University Technology Centres, which position Rolls-Royce engineers at the forefront of scientific research.

9.   Rolls-Royce employs over 55,000 people in 45 countries. Over 17,000 of these are engineers.

10. The Group has a strong commitment to apprentice and graduate recruitment and to further developing employee skills. In 2013 we employed 379 graduates and 288 apprentices through our worldwide training programmes. Globally we have over 1,000 Rolls-Royce STEM ambassadors who are actively involved in education programmes and activities; we have set ourselves a target to reach 6 million people through our STEM outreach activities by 2020.

For further information, please contact:

Investors:                                                        Media:

Jilinda Crowley                                             Richard Wray

Acting Director - Investor Relations                Director of External Communications

Rolls-Royce plc                                              Rolls-Royce plc

Tel: [phone]                               Tel: [phone]

[e-mail]                     [e-mail]     

www.Rolls-Royce.com

 

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