50 SKY SHADES - World aviation news

Rolls-Royce announces agreements in principle with investigating authorities

Download: Printable PDF Date: 17 Jan 2017 13:17 category:
Rolls-Royce announces agreements in principle with investigating authorities - Manufacturer publisher
Krista Kuznecova
Country: United Kingdom

Rolls-Royce announces that it has in principle reached a Deferred Prosecution Agreement (DPA) with the UK Serious Fraud Office (SFO), which was the subject of a preliminary court ruling today. The proposed DPA is subject to final judicial approval and the SFO and Rolls-Royce will appear at court on 17 January 2017 to seek this approval.

In addition to the agreement with the SFO, Rolls-Royce has also reached a DPA with the US Department of Justice (DoJ) and a Leniency Agreement with Brazil’s Ministério Público Federal (MPF).

Rolls-Royce has co-operated fully with the authorities and will continue to do so.

These agreements relate to bribery and corruption involving intermediaries in a number of overseas markets, concerns about which the company passed to the SFO from 2012 onwards. These are voluntary agreements which result in the suspension of a prosecution provided that the company fulfils certain requirements, including the payment of a financial penalty.

In total, these agreements, if finalised, would result in the payment of approximately £671m*. Under the terms of the agreements with the DoJ and MPF, Rolls-Royce has agreed to make payments to the DoJ totalling $169,917,710 and to the MPF totalling $25,579,179. Under the terms of the DPA with the SFO, Rolls-Royce will pay £497,252,645 plus interest under a schedule lasting up to five years, plus a payment in respect of the SFO’s costs.

As a result, total payments by Rolls-Royce in the first year of all three agreements would be £293m*.

Rolls-Royce will report full year 2016 results on 14 February 2017 and an appropriate update on the implications of these agreements will be provided at that time. Early indications are that the Group has had a good finish to the year with both profit and, in particular, cash expected to be ahead of expectations.

Further details of any finalised agreements will be given at the appropriate time.

Today’s announcement has been determined to contain inside information.

Loading comments for Rolls-Royce announces agreements in principle with investigating authorities...


My Sky named National Winner for Switzerland in prestigious European competition

My Sky, the Swiss company with a representative office in Russia specialized in business aviation and fintech, has been named National Winner for Switzerland in the 2017-18 European Business Awards, E...

Lauda to launch Laudamotion with 14 aircraft

Niki Lauda has announced plans to launch his new airline Laudamotion. Having been founded in 2004, the airline is due to commence operations on March 28 with 14 aircraft. The aircraft will come from t...

AeroCRS launched Qlik Sense system

AeroCRS is proud to announce the launching of a new robust Analytics system which will run on Qlik Sense platform and will give every airline the ability to analyze their sales data, in order to get d...

RUAG expands scope of EASA Design Organization Approval to include Night Vision Imaging Systems

RUAG Aviation has expanded the scope of its EASA Part 21 J Design Organization Approval (DOA) to include Night Vision Imaging System (NVIS) capabilities. The specification of NVIS technical field enti...