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Rolls-Royce to axe 4,600 jobs in major restructuring
From Associated Press
June 14, 2018 4:52 AM EST

LONDON (AP) — Rolls-Royce plans to cut 4,600 jobs over the next 2 years as part of a major restructuring effort by the British plane engine manufacturer.

The company says Thursday it wants to save 400 million pounds ($537 million) over the next two years to sustain an increase in profits.

Rolls-Royce outperformed expectations in 2017, when pre-tax profits rose to 1.1 billion pounds ($1.5 billion dollars) from 813 million pounds ($1.1 billion dollars) a year earlier.

CEO Warren East says "These changes will help us deliver over the mid- and longer-term a level of free cash flow well beyond our near-term ambition of around 1 billion pounds by around 2020."

Copyright 2018 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.