Business
Rolls-Royce: Further Simplification of Business
Rolls-Royce: Further Simplification of Business.
About this update from Rolls-royce Holdings Plc
[{"type":"text","content":"\n \nRNS Number : 1547C Rolls-Royce Holdings plc 17 January 2018 \n\n17 January 2018\n \nROLLS-ROYCE ANNOUNCES FURTHER SIMPLIFICATION OF BUSINESS, \nSTRATEGIC REVIEW OF COMMERCIAL MARINE OPERATION\nAND PLANS TO RESTRUCTURE SUPPORT AND MANAGEMENT FUNCTIONS\n \nRolls-Royce announces that it is embarking on a further simplification of the business, including the evaluation of strategic options for our Commercial Marine operation and a reduction from five operating businesses to three core units based around Civil Aerospace, Defence and Power Systems. As part of this exercise, we plan to consolidate our Naval Marine and Nuclear Submarines operations within our existing Defence business, and Civil Nuclear operations within our Power Systems business. This will facilitate a more fundamental restructuring of support and management functions in particular. \n \nThese actions are designed to align our business more closely with our strategic vision to pioneer cutting-edge technologies that deliver vital power. It will allow us to better capitalise on our relationships with Defence customers and our market leading widebody position within Civil Aerospace, while strengthening our technology capabilities across a broad range of power generation applications. We would expect the subsequent restructuring to deliver an additional reduction in costs and assist us in improving performance from our core businesses and the whole Group. We are in the process of defining this restructuring and further details will be given at the time of our 2017 financial results on 7 March 2018 and a fuller discussion at a Capital Markets event later this year.\n \nChief Executive Warren East said: \"Building on our actions over the past two years, this further simplification of our business means Rolls-Royce will be tightly focused into three operating businesses, enabling us to act with much greater pace in meeting the vital power needs of our customers. It will create a Defence operation with greater scale in the market, enabling us to offer our customers a more integrated range of products and services. It will also strengthen our ability to innovate in core technologies and enable us to take advantage of future opportunities in areas such as electrification and digitalisation.\"\n \n\"Alongside the simplification into thre...