FRANKFURT--Aircraft engine maker MTU Aero Engines Holding AG's
(MTX.XE) chief executive is worried that the unresolved sovereign
debt crisis in the euro zone is weighing on the continent's
airlines, saying that air carriers' profits are falling due to the
crisis, despite growing passenger numbers, weekly magazine Focus
reports over the weekend.
Egon Behle is quoted as saying that the crisis is worrying,
because it is unclear how the situation will develop.
"The crisis has already weakened scores of airlines as their
profits are falling," Mr. Behle is quoted as saying.
Behle is also cited as saying that global passenger figures are
expected to rise 6.2% in 2012, adding that he expects growth to
average 5% in coming years.
Referring to the most recent delay of the first delivery of
Airbus' military cargo plane A400M, Behle said that swarf, a term
for metallic filings or shavings, has been found in the aircraft
engine's oil-circulation system.
"This is an issue with the gear box that is supplied to MTU...,"
Behle is quoted as saying, adding that there's no need to make
financial risk provisions for any potential damages claims.
MTU is part of the Europrop International consortium that makes
the engines for the A400M, the most powerful of their type in the
world. Other consortium members include Rolls-Royce PLC (RR.LN) of
the U.K., MTU Aero Engines of Germany, ITP of Spain, and Snecma,
the aero engine division of France's Safran SA (SAF.FR).
Airbus, a division of European Aeronautic Defence & Space
Co. NV (EAD.FR), late last month said the delivery of its first
A400M Atlas military airlifter to the French Air Force will be
delayed by a few months due to issues with the plane's engines. The
company had originally planned to deliver the first A400M around
the turn of the year. It said this is now expected in the second
quarter of 2013, but still maintained its plan to deliver four of
the aircraft--three to France and one to Turkey--over the course of
2013. There have been no changes to the 2014 delivery program.
Magazine website: www.focus.de
Write to the Frankfurt Bureau at
djnews.frankfurt@dowjones.com