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`reuters.com
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`By Alwyn Scott | SEATTLE
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`SEATTLE ANA Holdings Inc (9202.T), Japan's largest airline, said
`on Wednesday it will replace all 100 Rolls-Royce engines on its
`fleet of Boeing (BA.N) 787 Dreamliners following three engine
`failures this year caused by corrosion and cracking of turbine
`blades.
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`In response to questions from Reuters, ANA, the world's largest
`787 operator, said all 50 of its 787s will receive engines fitted with
`new blades, a process that could take up to three years.
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`ANA has five engines that currently need repairs, "but we will
`replace all the 100 engines for enhanced safety measures," the
`company said, adding that it had already repaired three engines.
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`A Rolls-Royce Holdings PLC (RR.L) spokesman said the engine
`maker would swap out existing blades for new ones on ANA's
`planes in the short term. Rolls has started production of a new
`blade design that will be ready by year end, he said.
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`"We are working very closely with ANA," Rolls spokesman Richard
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`UTC 2003
`General Electric v. United Technologies
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`Japanese airline ANA to replace 100 Rolls engines on 787s
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`Wray said in an email.
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`The new blade will be incorporated next year into engines going
`onto new 787s, Wray said, adding that other airlines are managing
`the issue with "ongoing maintenance."
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`Rolls-Royce Chief Executive Officer Warren East said on Tuesday
`that ANA's problem was a "manageable issue." He added that
`ANA's "intensive" use of the engines had caused the blades to
`wear more quickly than usual.
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`ANA said the first engine failure happened on a flight from Kuala
`Lumpur to Tokyo in February. A second flight in March and a third in
`August had similar problems.
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`On Wednesday, ANA said four 787s remained grounded and that it
`had canceled 18 domestic flights due to the engine problem. The
`airline said it expected no further cancellations through
`mid-September. Beyond that its schedule had not been finalized.
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`The Rolls-Royce Trent 1000 engine, one of two engines for the
`Boeing 787 jetliner, costs about $20 million at list price. General
`Electric Co (GE.N) makes the other 787 engine, known as the
`GEnx.
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`Boeing's 787, built with lightweight carbon-fiber wings and fuselage,
`is a technological leap forward and burns 20 percent less fuel than
`the jets it replaces. But it was three years late coming to market
`and regulators grounded the fleet in 2013 after its lithium batteries
`overheated and burned.
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`Japanese airline ANA to replace 100 Rolls engines on 787s
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`Boeing has delivered about 445 of the planes, which seat 242 to
`290 passengers and cost $225 million to $265 million at list price.
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`(Reporting by Alwyn Scott; Editing by Alan Crosby and Jonathan
`Oatis)
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