Rolls-Royce wins first order from leading US lessor Aviation Capital Group

Wednesday, 16 December 2009

Rolls-Royce, the global power systems company, has won its first order from US lessor Aviation Capital Group (ACG), for Trent 1000 engines to power all five Boeing 787 Dreamliner aircraft already purchased by ACG. The contract is worth $170m at list prices.

The aircraft, ordered by ACG in 2007, represent a significant addition to its portfolio as the company’s first next generation widebody purchase.

R. Stephen Hannahs, Aviation Capital Group Chief Executive Officer & Group Managing Director, said: “We are delighted to celebrate the 787’s first flight with this announcement. The Trent 1000 provides us with an excellent combination of operating and ownership economics. We are confident in its performance and its ability to meet our expectations and those of our customers.”

The 787 will produce 20 per cent less CO2, 40 per cent less NOx and 50 per cent less noise than current generation aircraft.

Mark King, Rolls-Royce President – Civil Aerospace, said: “I am delighted that this order starts what I have no doubt will be a long and successful relationship with ACG. I am particularly pleased that such a key player in the leasing market has shown its trust in our Trent 1000 technology by selecting the engine for all its aircraft.”

Rolls-Royce has a leading 50 per cent market share on modern, widebody aircraft, with more than 1,500 Trentâ engines in service on more than 550 aircraft and a further 2,500 engines on order. Each of the six members of the Trent family have either been the first or launch engine on the airframe, or have gone on to take the leading market share.

ACG has previously selected V2500 engines produced by International Aero Engines, a multinational aero engine consortium whose shareholders comprise Pratt & Whitney, Rolls-Royce, the Japanese Aero Engines Corporation and MTU Aero Engines.

Rolls-Royce, a world-leading provider of power systems and services for use on land, at sea and in the air, has established a strong position in global markets - civil aerospace, defence aerospace, marine and energy.
As a result of this strategy, Rolls-Royce today has a broad customer base comprising more than 600 airlines, 4,000 corporate and utility aircraft and helicopter operators, 160 armed forces, more than 2,000 marine customers, including 70 navies, and energy customers in nearly 120 countries, with an installed base of 54,000 gas turbines.
Rolls-Royce employs over 38,000 skilled people in offices, manufacturing and service facilities in 50 countries. The Group has a strong commitment to apprentice and graduate recruitment, and to further developing employee skills.
Sixty per cent of research and development investment and 40 per cent of new product development spending over the past five years has been outside the UK, with particularly strong relationships with the 27 universities worldwide where there are Rolls-Royce University Technology Centres.
In 2008, Rolls-Royce invested £885 million on research and development, two thirds of which had the objective of further improving the environmental aspects of its products, in particular the reduction of emissions.
Annual underlying revenues were £9.1 billion in 2008, of which 52 per cent came from services revenues. The firm and announced order book stood at £57.5 billion at 30 June 2009, providing visibility of future levels of activity.
ACG is the owner and manager of a diversified fleet of commercial jet aircraft leased to the world’s leading airlines. Its portfolio includes 241 aircraft leased to 94 airlines in 41 countries. ACG’s Capital Markets Group also provides asset management and remarketing services to aircraft investors and institutional clients. ACG was founded in 1989 and is a wholly-owned subsidiary of Pacific LifeCorp.

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