Rolls-Royce North America

Rolls-Royce North America, Inc. is a subsidiary of Rolls-Royce plc involved principally with providing management direction and corporate support for all Rolls-Royce businesses and operations in North America, encompassing more than 7,000 employees at 66 locations across the U.S. and Canada. Their headquarters are currently in Reston, Virginia[1] after a move from nearby Chantilly, Virginia.

The most significant part of Rolls-Royce North America is Rolls-Royce Corporation, formerly the Allison Engine Company. Other subsidiaries include:

  • Rolls-Royce Canada Limited
  • Rolls-Royce Marine North America Inc.
  • Rolls-Royce Defense Services, Inc.
  • Rolls-Royce North America Ventures, Inc.
  • Rolls-Royce Power Systems
  • MTU America

LibertyWorks

The Allison Advanced Development Company (also known as LibertyWorks) was established in 1995 as a result of Rolls-Royce plc's acquisition of the Allison Engine Company. As well as establishing a proxy board for Allison, Rolls-Royce was required to vest Allison's classified projects in Allison Advanced Development Company. In 2005, Rolls-Royce changed the name to Rolls-Royce North American Technologies.[2]

Marine propulsion pod defects

In 2011, a Miami jury concluded [3] that Rolls-Royce should pay Carnival Corp. $24 million as a result of problems with the Rolls-Royce Mermaid pod propulsion system, which powers Queen Mary 2, the premier ship in Carnival's fleet. The jury agreed that Rolls-Royce was guilty of fraud and negligent misrepresentation in connection with the Mermaid pod bearings that were used on the cruise ship. The jury also found that Rolls-Royce provided defective replacement bearings in 2005 and 2006, according to the verdict form. [4] US District Judge Patricia Seitz said that the jurors asked her why the case ever went to trial: "The first question they had was why didn't these people settle when they have to work together." Seitz also stated that she regarded the trial as a potential "bellwether for lawsuits" filed by other cruise lines that also found fault with Rolls-Royce's pod system.

In 2010, Royal Caribbean Cruises Ltd. reached a settlement with Rolls-Royce over the pod-propulsion system on Celebrity Cruises' Millennium-class ships that would generate a net increase of approximately $65 million in income for the company. [5]

Alleged scandal involving quality control fraud

The Rolls Royce parent company in the UK has been under investigation for bribery and fraud charges involving China and Indonesia. In Spring 2013, the Serious Fraud Office was considering a civil settlement with Rolls-Royce Holdings PLC (RR.LN) that would halt an investigation into alleged bribery in Indonesia, China and other countries, the Financial Times in London reported Saturday, citing people familiar with the matter.[6]

In May 2013, Mark King, the chief of Rolls Royce aerospace business resigned unexpectedly and suddenly amid much speculation. Rolls-Royce is the world’s second-largest maker of aircraft engines after General Electric of the United States. [7]

References

  1. ↑ "Rolls-Royce in North America". www.rolls-royce.com. Retrieved 29 January 2018.
  2. ↑ official site Archived 2008-12-04 at the Wayback Machine.
  3. ↑ "The Tale of the Mermaid Pods - Carnival Awarded $24 million in lawsuit with Rolls RoyceOld Salt Blog". www.oldsaltblog.com. Retrieved 29 January 2018.
  4. ↑ "Jury sides with Carnival over problems with Rolls-Royce pod propulsion system - Professional Mariner - March 2011". www.professionalmariner.com. Retrieved 29 January 2018.
  5. ↑ "RCCL, Rolls-Royce settle Celebrity pods lawsuit: Travel Weekly". www.travelweekly.com. Retrieved 29 January 2018.
  6. ↑ Thompson, Mark (2012-12-06). "Rolls-Royce in China corruption probe - Dec. 6, 2012". Money.cnn.com. Retrieved 2014-03-31.
  7. ↑ Clark, Nicola (2 May 2013). "Rolls-Royce Aerospace Chief Mark King Resigns". Retrieved 29 January 2018 – via NYTimes.com.
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