By Rory Gallivan

LONDON--Rolls-Royce Holdings PLC (RR.LN) said its order book will fall by about 3.5% or 2.6 billion pounds ($4.4 billion) after airline Emirates cancelled an order for 70 A350 aircraft.

"While disappointed with this decision, we are confident that the delivery slots which start towards the end of this decade vacated by Emirates will be taken up by other airlines," said Rolls-Royce Wednesday.

"Demand for the Airbus A350 remains strong, with more than 700 aircraft and 1,400 Trent XWB engines already sold," it added.

Write to Rory Gallivan at rory.gallivan@wsj.com; Twitter: @RoryGallivan

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