AERO engine manufacturer Rolls-Royce today said it was confident the company could weather turbulent trading conditions in the aircraft industry.

With expected cuts in orders and adverse exchange rates, profits are likely to be hit this year. But the company, which employs more than 1,200 at Barnoldswick, said it had engine orders for £13billion for 2000 and expected its share of the market to continue to grow. The company was restructured in 1999 and will continue to cut costs. It has been looking to cut more than 100 jobs at its East Lancashire site. Chief executive John Rose today said: "We intend to accelerate the restructuring programme this year and will continue to target double-digit growth."

Rolls-Royce has tripled engine deliveries in five years. Last year sales grew by 14 per cent. The company will continue to co-operate with other engine makers, but Mr Rose refused to comment on rumours of a takeover of US manufacturer Pratt & Whitney. He said the firm would make further inroads into e-commerce. Three fifths of orders were received on line and the same proportion of annual purchase orders were placed electronically. Pre-tax profits were up 11 per cent to £360million in 1999 compared with £325million in 1998 and turnover was up to £4.74billion from £4.5billion.

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