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BAE, Rolls Applaud UK Decision On JSF (Oct. 1)

Rolls-Royce plc, the company responsible for short take-off vertical landing (STOVL) technology for Joint Strike Fighter (JSF), today welcomed the UK's choice of the STOVL variant of JSF to fulfil its Future Joint Combat Aircraft requirement.

The company anticipates a production revenue of approximately $3 billion from a successful UK/US JSF STOVL production program. The current forecast requirement for JSF STOVL aircraft is for more than 750 for the UK, the US Marine Corps and a number of export customers.

John Rose, Chief Executive of Rolls-Royce, said today: "This is a very positive decision by the UK Government which opens up significant opportunities for Rolls-Royce and its many suppliers. Rolls-Royce is the only company capable of delivering this technology and the government's decision will enable us to demonstrate it in action.

"The JSF design embodies world-leading new technologies that will keep Rolls-Royce at the forefront of advanced propulsion development and maintain our leadership in this market."

In December 2001, Rolls-Royce signed a ten-year contract worth approximately $1 billion for the System Development and Demonstration (SDD) phase of the program. This covers design and development work on the innovative LiftFan, the roll posts, and the three bearing swivel module and nozzle system that together provide the STOVL capability for the JSF.

During the Concept Demonstrator Phase, the STOVL system underwent rigorous testing and performed flawlessly, meeting all performance and operability requirements.

The importance of the STOVL work was recognized by the aerospace industry when the Integrated LiftFan Propulsion System team, of which Rolls-Royce was obviously a key member, won the prestigious U.S. 2001 Collier Trophy for its work on JSF STOVL.

Rolls-Royce involvement in JSF STOVL development is led and program managed by its Bristol, UK site and strongly supported by its Indianapolis, U.S. facility, utilizing the strengths of its global organization. Approximately 1200 UK and US jobs in Rolls-Royce and the supply chain will be sustained by JSF during the development phase: during production that figure will almost treble.

With its participation in JSF and its share in the EJ200 engine for the Eurofighter combat aircraft, Rolls-Royce has a leading position in two of the world's biggest fighter engine programs.

Rolls-Royce has a broad customer base consisting of more than 500 airlines, 4,000 corporate and utility aircraft and helicopter operators, 160 armed forces and more than 2,000 marine customers, including 50 navies. The company has energy customers in nearly 120 countries. Rolls-Royce employs around 39,000 people worldwide, including 23,500 in the UK, 5,000 in the rest of Europe and 8,000 in North America.

Most of the engines in service will have operational lives of 25 years or more, generating an assured aftermarket demand for the provision of spare parts and services. The company's strategy is to maximize aftermarket revenues through the development of a comprehensive services capability.

Annual sales total around £6 billion of which over 40 per cent currently comes from aftermarket services. The order book stands at more than £19 billion, which together with aftermarket demand, provides visibility as to future activity levels. (ends)

Rolls-Royce Celebrates UK's Choice Of STOVL