Lockheed Martin is poised to further scale back participation in the struggling C-27J programme under a proposal to hand engine-maker Rolls-Royce responsibility for the entire propulsion system in a bid to cut the price of the tactical airlifter.

"We are in talks with Rolls-Royce to decide whether there should be a different relationship," says Carmelo Cosentino, head of military aircraft at Alenia, which builds the C-27J in a joint venture with Lockheed Martin.

The US company is responsible for the avionics and propulsion system - which includes the Rolls-Royce AE2100 engine, the same as the Lockheed Martin C130J, Dowty propellers and GKN nacelles - but has already said it wants to take a smaller role in the programme. Cosentino says the aim is to shave 10% off the costs of producing and maintaining the propulsion system.

Despite relatively few orders for the aircraft - 12 each for the Greece and Italian air forces to be delivered from early 2005 - the programme partners remain confident of securing an order from the US Army National Guard, which has a requirement to replace 44 Shorts C-23 Sherpas.

Source: Flight International