British engine-maker Rolls-Royce hit back against its US rival on Friday in their fight to power a new breed of mammoth airliners by winning a $400 million contract with Malaysia's national carrier. Malaysian Airline System Bhd said it would fit Rolls-Royce's Trent 900 engines to six Airbus A380s, a 555-seat double-decker due in 2006.
The win will bring Rolls-Royce's market share in powering the A380 roughly level with Engine Alliance, owned by US companies General Electric Co and United Technologies Corp's Pratt & Whitney, an industry executive told Reuters in Malaysia.
Rolls-Royce was slower off the mark than Engine Alliance in the race to power the A380. A year ago, Engine Alliance gained a big head-start, winning a huge order from Dubai-based Emirates to fit its GP7200 engine to 45 of the A380s.
The latest deal, worth an estimated $400 million before discounts, shows Rolls-Royce clawing back ground as it exploits its bigger customer base, analysts said. "There is a real advantage in having a broader operator base. What you will find is Rolls has a greater number of customers for the A380," a London-based analyst said.
Two of Malaysia Airlines' regional rivals, Singapore Airlines and Qantas Airways, have also opted for the Rolls-Royce Trent 900 for their A380s.
"There had been intense lobbying for the order and the government has decided to award it to Rolls-Royce," a government official told Reuters before the airline's announcement.
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