Overview

• RTX will remove 600-700 engines through 2026 for inspections due to a rare powder metal defect.
• The expanded inspections will ground an average of 350 planes per year as repairs now expected to take up to 300 days per engine.
• The issue will cost RTX and its partners up to $7 billion in lost sales and repairs through 2026.
• Engine manufacturers including MTU Aero Engines and Melrose Industries expect significant profit hits from the inspections.
• Wall Street analysts have cut price targets on RTX over the substantial scale and disruption of the engine problem.