Rolls-Royce share price: Israeli flag carrier El Al to buy Trent 1000 engines

Rolls-Royce Holding Plc (LON:RR) announced today that Israel’s flag carrier El Al has selected the British manufacturer to supply Trent 1000 engines for 15 Boeing 787 Dreamliner aircraft that El Al plans to purchase.

El Al is also considering subscribing to Rolls’ ‘TotalCare’ long-term service programme, the British firm noted.

“We are proud that such a valued customer as El Al has selected the Trent 1000,” chief customer officer Dominic Horwood said.

“This continues a long and close relationship with El Al and we are delighted they have recognised the economic advantages the Trent 1000 delivers.”

No financial details were disclosed.

Rolls’ share price had edged 0.67 percent higher to 678.00p as of 14:23 GMT today, outperforming the FTSE 100 which had slipped about 0.9 percent in the red.

Roll’s stock has depreciated more than 20 percent so far this year.

The deal follows the massive $2.4 billion agreement with China’s aviation conglomerate HNA Group, signed during last week’s visit of President Xi Jinping to the UK. The agreement covers Trent 700 engines and TotalCare service support for 20 Airbus A330s aircraft, as well as for 24 more aircraft.

Meanwhile, Bloomberg reported earlier this week that the British manufacturing behemoth is mulling a re-entry into the short-haul engine market.

In response, Rolls-Royce spokesman Peter Morgan said that the short-haul sector “may be an opportunity for the company, but not for some years to come”.

The company’s new chief executive Warren East is expected to reveal details about his plans on the matter when he updates investors on his operational review of the company on November 24.

Before that, the company is due to report results for the third quarter on November 12.