Loading
27-Apr-2011 12:14 PM

Qantas and Rolls Royce talking but legal options open

Qantas CEO Alan Joyce said that the airline remains in "constructive dialogue" with Rolls-Royce, the manufacturer of the airline's Trent 900 engines on its A380s, regarding compensation Nov-2010's A380 engine explosion, but Mr Joyce said legal options remain open (The Australian, 23-Apr-2011). The airline commenced legal action in Dec-2010 to prevent Rolls-Royce moving the matter to British courts if negotiations failed. Qantas is seeking compensation for various costs, including the grounding of its A380 fleet, reputational and brand damage and a loss in revenue due to capacity cuts and the inability to operate A380s on US routes. This compensation is in addition to a USD100-150 million expense for repairing the aircraft under Airbus supervision in Singapore.

Want More News Like This?

CAPA Membership provides access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find Out More