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Wed, Apr 24, 2013

Rolls-Royce, Safran To Transfer RTM322 Helo Engine Program To Turbomeca

Other RR Helicopter Engines Not Affected By The Transaction

Rolls-Royce has reached an agreement to sell its shareholding and interest in the RTM322 helicopter engine program to Turbomeca (a Safran company).  Rolls-Royce's 50 per cent interest in the engine program will be progressively transferred to Turbomeca, which will then hold 100 per cent of the RTM322 program. Rolls-Royce will receive a cash consideration of €293 million ($381 million) for its shareholding and interest in the program.

Turbomeca will assume full responsibility for the design, production and support of the RTM322 engine (pictured), which powers the Apache, EH101 Merlin and NH90 helicopters. Rolls-Royce will provide full assistance to Turbomeca during the multi-year transition period to ensure all RTM322 customers continue to receive effective support.
 
The RRTM Adour engine program, which powers the Hawk and Jaguar aircraft, is unaffected by this agreement, as are the other helicopter engine programs in the Rolls-Royce portfolio. The sale is expected to complete before year end, subject to closing conditions.
 
Work is expected to be transferred to Turbomeca over three years and Rolls-Royce says it will work closely with employee representatives to manage any employment impact.

FMI: www.rolls-royce.com

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