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Rolls-Royce Paying $100M to Qantas for Engine Blast

Engine maker agrees to $100M compensation deal
By Rob Quinn,  Newser Staff
Posted Jun 22, 2011 1:42 AM CDT

(Newser) – Rolls-Royce has agreed to compensate Qantas for the mid-air disintegration of an Airbus A380 engine last year. The Australian airline grounded all of its A380s for weeks after the incident last year, which investigators blamed on an oil fire caused by a manufacturing defect. The disintegration triggered an emergency landing, but no one was injured. The compensation deal is worth some $100 million, providing a welcome boost to a Qantas bottom line hit hard by recent natural disasters, AP reports. (Read more Airbus A380 stories.)

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