Rolls-Royce and Snecma (Safran) welcome joint combat engine studies progress

Tuesday, 15 July 2014

Rolls-Royce and Snecma (Safran) have welcomed the signature by the British and French Governments of a new Programme Arrangement which allows them to continue design work on engines for the Future Combat Air System (FCAS), an unmanned combat air vehicle.

With the current two-year Demonstration Programme Preparation Phase to be completed in the coming months, the new agreement signed by the two governments will guide discussions on an upcoming contract for the Feasibility Phase. The aim of this new phase is to start more in-depth design studies, backed by increased funding. The governments will provide £120 million to the six manufacturers teaming up on this project: Dassault Aviation, BAE Systems, Thales, Selex ES, Snecma and Rolls-Royce. The power systems companies are participating through their 50:50 joint venture, Rolls-Royce Snecma Ltd., established in 2001. Negotiations for the second phase should culminate in a contract notification by the two governments in the last quarter of 2014.

Since the launch of initial studies in September 2012, Snecma and Rolls-Royce have successfully combined their respective technological expertise and agreed workshare arrangements to satisfy challenging technical requirements of the propulsion and integrated power system. Studies to date have focused on the development of the enabling propulsion technologies for the FCAS demonstrator, and the generation of electrical power for the aircraft's systems and sensors. The feasibility phase will enable both companies to expand their design studies based on new propulsion system concepts and technologies for operational aircraft.

Bob Stoddart, Rolls-Royce President, Customer Business - Defence, added: "Together Rolls-Royce and Snecma can bring both the technical expertise needed to develop this leading edge propulsion system capability and the experience of partnership that will enable its delivery on-time and on-budget. Today's announcement further underlines the confidence that the Governments of the UK and France have in our ability to achieve this."

Didier Desnoyer, Executive Vice President, Military Engines at Snecma, said: "The signature of this Programme Arrangement underscores our excellent relations with the project partners, and especially Rolls-Royce through our joint venture. Our technical teamwork has proceeded very smoothly over the last two years, and we are very pleased to be continuing our joint work on these extremely promising technologies. Our people are totally focused on achieving the optimum technical and industrial tradeoffs that will allow us to meet the ambitious goals of the French and British governments."

About Rolls-Royce Holdings plc

  1. Rolls-Royce's vision is to create better power for a changing world via two main business segments, Aerospace and Marine & Industrial Power Systems (MIPS). These business segments address markets with two strong technology platforms, gas turbines and reciprocating engines, for use on land, at sea and in the air.
  2. Aerospace comprises Civil Aerospace and Defence Aerospace. MIPS comprises Marine, Energy & Nuclear and Power Systems (RRPS). On 7 March 2014, Daimler announced their intention to exercise their option to sell their 50% share in RRPS to Rolls-Royce Holdings plc. On 16 April 2014, the valuation was agreed and the transaction is expected to complete within the coming months, subject to the usual regulatory approvals. On 6 May 2014 Rolls-Royce announced it had signed an agreement to sell its Energy gas turbine and compressor business to Siemens for a £785m cash consideration. On completion, expected before the end of December 2014, Rolls-Royce will receive a further £200 million for a 25 year licensing agreement.
  3. Rolls-Royce has customers in more than 120 countries, comprising more than 380 airlines and leasing customers, 160 armed forces, 4,000 marine customers, including 70 navies, and 1,600 energy and nuclear customers.
  4. Our business is focused on the 4Cs:
    • Customer - placing the customer at the heart of our business
    • Concentration - deciding where to grow and where not to
    • Cost - continually looking to increase efficiency
    • Cash - improving financial performance.
  5. Annual underlying revenue was £15.5 billion in 2013, around half of which came from the provision of aftermarket services. The firm and announced order book stood at £71.6 billion at 31 December 2013.
  6. In 2013, Rolls-Royce invested £1.1 billion on research and development. We also support a global network of 31 University Technology Centres, which position Rolls-Royce engineers with the forefront of scientific research.
  7. Rolls-Royce employs over 55,000 people in 45 countries. Over 17,000 of these are engineers.
  8. The Group has a strong commitment to apprentice and graduate recruitment and to further developing employee skills. In 2013 we employed 379 graduates and 288 apprentices through our worldwide training programmes.

For further information, please contact:

Nick Britton
Rolls-Royce - Defence Communications
Tel: +44 7870 242620 (UK)
E: nick.britton@rolls-royce.com

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