Last week, United Technologies (NYSE: UTX) CEO Gregory Hayes acknowledged that his company would miss its goal of building 200 Pratt & Whitney PW1000G series jet engines in 2016. The company now expects to deliver about 150 units of the cutting-edge geared turbofan engine this year.
That’s not good news for Airbus (NASDAQOTH: EADSY). While the European aircraft giant has maintained its deliveries guidance for 2016, it could have trouble executing a smooth ramp-up of A320neo production if Pratt & Whitney’s production problems continue.