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According to the report, the F-35A suffered a failure of the third-stage rotor of the engine fan module. The aircraft was taking off for a training mission when the engine caught fire: the pilot safely aborted the takeoff and exited the aircraft.
Although emergency crews responded to the burning aircraft and extinguished the fire, the F-35A was heavily damaged:
“Pieces of the failed rotor arm cut through the engine’s fan case, the engine bay, an internal fuel tank, and hydraulic and fuel lines before exiting through the aircraft’s upper fuselage.
Damage from the engine failure caused leaking fuel and hydraulic fluid to ignite and burn the rear two thirds of the aircraft. The total mishap damage is estimated to be in excess $50 million.”