Kawasaki Heavy Industries, Ltd. (KWHIY)

UPDATE 1-Japan's IHI, Kawasaki Heavy expect hit from GTF engine issue

Japan's IHI and Kawasaki Heavy Industries said on Tuesday they expect an earnings hit from the lengthy quality inspections announced by Pratt & Whitney parent RTX Corp for the Geared Turbo Fan (GTF) engine system. A day earlier, RTX took a $3 billion charge and told airlines that hundreds of their Airbus jets would be grounded at any one time in coming years to check for a rare manufacturing flaw. IHI and Kawasaki Heavy issued separate statements saying they would disclose the expected impact as soon as they can.