WASHINGTON/PARIS: Shares in Pratt & Whitney parent RTX Corp hit a two-year low on Monday (Sept 11) as it took a US$3 billion (RM14 billion) charge and...
WASHINGTON/PARIS:
On Monday, it said it now estimates it will have to pull a total of 600 to 700 engines off their Airbus A320neo jets for lengthy quality inspections between 2023 and 2026. Disclosing higher-than-expected gross costs of US$6-7 billion for dealing with the problem, RTX said it expected an up to US$3.5 billion pre-tax hit to profits over the next several years.
Some have already been forced to park their A320neo-family jets to wait for spare engines following durability problems. Robert Stallard, an analyst with Vertical Research Partners, said the RTX charges were larger than expected.
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