Rolls-Royce Jet-Engine Head Reviews Operations Ahead of Ramp-Up

Rolls-Royce Holdings Plc (RR/) is undertaking a review of its civil aerospace-engine operations under a new unit head to prepare for an an unprecedented production increase in a booming wide-body market.

Tony Wood, who moved to the post from the marine turbine unit at London-based Rolls-Royce, said he’s found the business to be in “good shape” as he combs through his remit and reviews a possible strain on suppliers from higher output.

Rolls-Royce announced a surprise change in management at its most important division at the start of last month when Mark King said he would step down for undisclosed reasons. Wood said he is shifting attention from meeting customers to gain clarity on operations to determine if changes are needed to cope with extra demand.

Rolls-Royce, which powered the Airbus SAS A350 first flight on June 14 with its TrentXWB, also will have a Trent engine on offer for the Boeing Co. (BA) 787-10 the Chicago-based planemaker introduced today.

“This is the clearest view we’ve had in our history on our volume,” Wood said in an interview at the Paris Air Show. “We had 2,200 Trents in service at the end of last year and that will double over the course of the next five years.”

Rolls has focused on the market for long-range planes after exiting a joint venture that included United Technologies Corp. (UTX)’s Pratt & Whitney unit to power short-haul models.

“We have made big commitments in investing in both the 787 and A350,” Wood said. “We are now starting to move through to a huge focus on the profitable execution of those programs.”

To contact the reporter on this story: Robert Wall in London at rwall6@bloomberg.net

To contact the editor responsible for this story: Benedikt Kammel at bkammel@bloomberg.net

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