Sunday, February 07, 2021

Rolls-Royce plans two-week shutdown of civil aerospace business

Sun, February 7, 2021

File photo of an Airbus A350 with a Rolls-Royce logo at the Airbus headquarters in Toulouse

(Reuters) - Britain's Rolls-Royce said on Sunday it is proposing a two week operational shutdown of its civil aerospace unit over the summer as it manages costs due to the impact of the COVID-19 pandemic.

The aero-engine maker has begun talks with unions on the shutdown and cost cutting at its civil aerospace unit, it said in an emailed statement.

"As we continue to manage our cost base in response to the ongoing impact of the COVID-19 pandemic on the whole commercial aviation sector, we are proposing a two week operational shutdown of Civil Aerospace over the Summer," it said.

Rolls-Royce's finances have been hit by the COVID-19 crisis as its airline customers have grounded planes. It warned last month that travel would be even more constrained than expected this year, leading to increased cash outflow.

(Reporting by Anirudh Saligrama and Sabahatjahan Contractor in Bengaluru; Editing by Alexander Smith)

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