Rolls-Royce confirms talks with Siemens

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Rolls-Royce has confirmed it is in talks with Siemens regarding the sale of its energy gas turbine and compressor business.

It said: "Rolls-Royce's vision is to create better power for a changing world via two main business segments, aerospace and marine and industrial power systems (MIPS). These business segments address markets with two strong technology platforms, gas turbines and reciprocating engines, for use on land, at sea and in the air." Rolls-Royce's energy gas turbine and compressor business supplies aero-derivative gas turbines, compressor systems and related services to customers in the oil and gas and power generation sectors. Rols-Royce added: "These talks have not concluded and we will make a further announcement in due course." Aerospace comprises civil and defence. MIPS comprises marine, energy and nuclear, and power systems (RRPS). On 7 March 2014, Daimler said it planned to sell its 50% share in RRPS to Rolls-Royce Holdings. On 16 April 2014, Rolls-Royce and Daimler announced that they had agreed the valuation of Daimler's 50% equity interest. The transaction is expected to complete within the coming months. Rolls-Royce has customers in more than 120 countries, comprising more than 380 airlines and leasing customers, 160 armed forces, 4,000 marine customers, including 70 navies, and 1,600 energy and nuclear customers. Annual underlying revenue was £15.5 billion in 2013. The firm and announced order book stood at £71.6 billion at 31 December 2013. The company employs more than 55,000 people in 45 countries.