Rolls-royce falls short on engines for Airbus

ROLLS-ROYCE is suffering production problems which mean it will not be able to deliver the engine for Airbus’s newest jet on time.

Only 10 Rolls-royce Trent 7000 engines will be delivered to Airbus for its new A330neo jet by the end of October, according to an internal note sent to employees, with the company citing “technical and operational challenges”.

The news sent shares in Rolls-royce down by as much as 13pc. They later recovered ground to trade 4.7pc lower at 831.20p.

The output is “far short” of the 30 engines promised to Airbus so it can hand over 15 of the wide-body planes to airlines by the end of the year, according to the memo. The A330neo is expected to debut about a year behind its initial schedule.

Its maiden flight this time last year was pushed back, with Fabrice Brégier, the Airbus chief, blaming Rolls.

The production delay will also affect Rolls-royce’s Trent 1000 and newest Trent XWB engines. Rolls had initially said it would deliver 550 of its large engines – the Trent 7000, Trent 1000 and Trent XWB – by the end of the year. Now it will manage to complete only 500. The remaining 50 are expected to be handed over to Airbus next year.

The revelations have put renewed pressure on Rolls-royce, which has suffered a string of problems related to production of the Trent 7000 engine and the Trent 1000.