Raytheon Technologies Corporation (NYSE:RTX) Q3 2023 Earnings Call Transcript - Page 5 of 5 - InvestingChannel

Raytheon Technologies Corporation (NYSE:RTX) Q3 2023 Earnings Call Transcript

Doug Harned: Very good. Thank you.

Operator: Thank you. Our next question comes from Ken Herbert of RBC Capital Markets.

Ken Herbert: Yes. Hi, good morning.

Gregory J. Hayes: Morning Ken.

Ken Herbert: Hi, Chris, I wanted to follow-up on that comment regarding your customer conversations. Can you provide any more sort of granularity on where you are in those conversations? And obviously, you’ve got, it sounds like incremental confidence in the ability to sort of bracket the risk around these, with all the uncertainty still with sort of timing on the shop visits. How are those conversations going and just give us any sort of metrics around what gives you that incremental confidence, I guess, on the customer side?

Christopher Calio: Sure, Ken. Yes. Thanks for the question. So the focus, as you might imagine, over the last several months is walking our customers through the safety risk analysis, so that they understand that and what we’re doing to ensure the continued safe operation of the fleet, then understanding the fleet management plans, cyclic limits, the inspection intervals, and its impact on their specific fleets. We’re going to have certain customers, Ken that are going to be more impacted than others, just by virtue of their size, their reliance on the GTF. Again, it differs by customer. Conversations, as you might imagine, they’re difficult. Customers understand what we’re doing from a safety risk perspective, and think we’re doing the right thing, but they’re certainly not happy with the net effect.

And they’ve not been happy with the fleet health even prior to powdered metal and our output on MRO and getting them the spare assets, and the engines in our shops, that the need. And so those are obviously difficult conversations, as you might imagine, Ken, and we’re having them with each customer individually as we go through and tailor their support packages. Again, some are more impacted then others, but those conversations are ongoing, and they will continue into the early part of year once people truly understand a fleet-by-fleet customer-by-customer impact and the changes they’re going to have to make for their flights, their network and what not. So those conversation are happening will progress early into next year.

Ken Herbert: Thank you.

Operator: Thank you. That does conclude the Q&A portion of our call. I would now like to turn the call back to, Greg Hayes, for closing remarks.

Gregory J. Hayes: Okay. Thanks Latif, and thanks all for listening in today. As always, Jennifer and the IR team will be around to take your calls, and we look forward to seeing all of you in the coming weeks and months. Take care. Thank you.

Operator: This now concludes today’s conference. You may now disconnect.

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