UTC exec says new single-aisle engine close

By Bill Rigby

WASHINGTON (Reuters) - Pratt & Whitney's new fuel-efficient jet engine could power the next generation of narrow-body planes in as little as four years from now, the operating head of parent United Technologies Corp (UTX.N: Quote, Profile, Research, Stock Buzz) said on Wednesday.

The geared turbofan engine is just one of a number of new technologies aimed at airlines who want to make jets quieter, more environmentally friendly and cheaper to run.

A breakthrough on engine performance is generally viewed as the critical point determining when leading plane makers Boeing (BA.N: Quote, Profile, Research, Stock Buzz) and Airbus (EAD.PA: Quote, Profile, Research, Stock Buzz) introduce their next lines of smaller planes.

"We have the engine, it's a question of priorities," United Technologies Chief Operating Officer Louis Chenevert told the Reuters Aerospace and Defense Summit in Washington.

"Boeing and Airbus are fairly busy with big airplanes right now," he said. "Once they get over the challenges of those airplanes, there's no question what's next in line, the next generation narrow-body."

Pratt could have a geared turbofan engine ready for service on those planes as early as 2012, said Chenevert, but the lack of immediate interest from the world's two biggest plane makers meant 2015 was realistically the earliest date such an engine might play a role on their aircraft.

The company is in talks with all plane makers, said Chenevert, but he declined to discuss what stages talks were at. "The attraction for us is to mature this technology now and be ready."

Pratt, which is vying with rivals to develop a new engine for the world's biggest-selling commercial planes -- Boeing's 737 and the Airbus A320 family -- is basing its effort on the so-called geared turbofan engine.

The new engine, which is in early ground tests, works on the principle of using gears to allow the use of a slower-turning fan that reduces fuel burn and noise.

It promises to cut fuel consumption by 12 percent, noise and emissions by 50 percent and maintenance costs by 40 percent over comparable current commercial engines, according to Pratt.

Flight tests are scheduled for the second quarter of next year and first delivery slated for 2012. Pratt has already sold geared turbofan engines to Canada's Bombardier Inc (BBDb.TO: Quote, Profile, Research, Stock Buzz), which plans to use them on its new CSeries narrow-body, and Japan's Mitsubishi Heavy Industries (7011.T: Quote, Profile, Research, Stock Buzz), which will put them on the new Mitsubishi Regional Jet.

Both companies are expected to have the engine in service on their new planes in 2013.

"In the last 12-18 months we've seen a lot of traction with the airlines," said Chenevert. The engine appeals to airlines because it will be cheaper to run and is quieter, meaning it can cut the length on some routes with noise restrictions, he said.

Some carriers, such as UAL Corp's (UAUA.O: Quote, Profile, Research, Stock Buzz) United Airlines, are campaigning for new narrow-body planes, saying they do not want to buy existing models.

"We've said we're willing to be a launch customer whenever they are ready to launch," UAL Chief Financial Officer Jake Brace told the Reuters summit on Monday. "We have 250 or so narrow-body planes... it's hundreds of planes that we would be willing to order."  Continued...