Belfast Telegraph

Rolls-Royce warns of higher costs after finding more engine malfunctions

It is the second time the business has found problems with its Trent 1000 engines.

Rolls-Royce has warned that it will incur additional costs after discovering technical issues with another set of its engines.

The engine manufacturer has found issues with “a small number” of its Package B Trent 1000 engines, weeks after it uncovered a durability issue with hundreds of its Package C Trent 1000 engines.

Rolls-Royce will carry out an inspection of the Package B engines, which are used by Boeing, but said the problems will not prevent it hitting financial targets for the year.

We have agreed with Boeing and the relevant regulatory authorities to carry out a one-off inspection of our Trent 1000 Package B fleet Rolls-Royce

In a statement, the company said: “We have therefore agreed with Boeing and the relevant regulatory authorities to carry out a one-off inspection of our Trent 1000 Package B fleet, to further inform our understanding.

“The Package B standard has been in service since 2012 and consists of 166 engines.”

In March, the group found components were wearing out sooner than expected on up to 500 Package C Trent 1000 engines.

It booked higher costs from bringing forward an inspection programme, but brought down its discretionary spending to keep in line with targets.

The manufacturing problems come while the company is reportedly cutting 4,000 jobs in a bid to streamline the business.

Chief executive Warren East, who has said the company is inefficient, hired Alvarez & Marsal to carry out the restructuring. The business is looking to cut out duplicate roles in its support and management functions.

Annual figures showed Rolls-Royce returned to profit last year with a pre-tax surplus of £4.9 billion, thanks to a £2.6 billion accounting boost from the recent strengthening of the pound.

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