Pratt reins in latest threat to $10-billion jet-engine program
Pratt & Whitney succeeded in tamping down the latest crisis to threaten its $10-billion next-generation jet-engine program, with a temporary fix that will keep Airbus SE planes flying until a permanent solution is found.
Pratt, a unit of United Technologies Corp., scrapped a newly introduced seal that caused engine vibrations and took almost a dozen Airbus A320neos out of service, according to people familiar with the plan. A previous version will be installed that worked but didn’t last as long as expected, said the people, asking not to be named because the details haven’t been made public.
The alteration buys time for engineers to perfect the so-called knife edge compressor seal while minimizing downtime for the A320neo, Airbus’ most important aircraft. Pratt is under intense pressure to fix the turbine, which competes with one made by a venture of General Electric Co. and Safran SA. Pratt developed the geared turbofan from the ground up to cement its status on the most widely flown type of aircraft, but it’s been plagued by delays and glitches since it entered service in 2016.
The engine maker said it “released a revised configuration” but didn’t specify the nature of the change. “The solution is based on a design with which the company has significant experience, and this solution has received all necessary regulatory approvals,” Pratt said in a statement Wednesday. Engines incorporating the change will be delivered beginning next month.
While the latest fix should help persuade investors that the turbine – and the A320neo – isn’t about to suffer a major crisis, reverting to the original component, itself flawed, won’t be sufficient in the longer term.
A weekend of setbacks dims prospects for airbus’ top seller Pratt has developed “an interim short-term solution,” European Aviation Safety Agency spokesman Dominique Fouda said by email. He referred further questions to Pratt, as did an Airbus representative.
The latest seal issue led regulators to ground aircraft that have two affected engines. Three such planes were operated by IndiGo, India’s largest airline and the biggest A320neo customer.
In order to get planes flying again, all aircraft have now been fitted with at least one unmodified engine, making them compliant with an EASA airworthiness directive, one of the people said. Extended operations over water won’t be permitted for those aircraft.
United Technologies Chief Executive Officer Greg Hayes is set to detail the seal issue later Wednesday, according to the people.
United Technologies gained 1.2 percent to $128.01 at 10:30 a.m. in New York. Airbus advanced less than 1 percent to 97.44 euros at 4:30 p.m. in Paris.
‘Annoying’ issue Almost a third of the 113 Prattpowered A320neos in operation are equipped with one or two of the engines with the latest flaw, Toulouse, Francebased Airbus said last week.
Germany’s MTU Aero Engines AG, a partner with Pratt on the GTF, played down the seal issue, labeling it “annoying” but unlikely to affect longterm demand it puts at 15,000 units. While the A320neo will be the turbine’s biggest market, the model will also power the Bombardier, Inc. C Series, Mitsubishi Regional Jet and Embraer SA’s new-generation models. The engine versions for non-Airbus planes aren’t affected by the seal issue.
“The engine will be a success,” MTU Chief Executive Officer Reiner Winkler told analysts in Munich on Wednesday. “Airlines won’t be discouraged by such short-term issues to change an investment decisions that will have an effect for 20 to 25 years.” (Bloomberg)