Mitsubishi picks Pratt & Whitney for engine -paper

TOKYO, Oct 5 (Reuters) - Mitsubishi Heavy Industries Ltd (7011.T: Quote, Profile, Research, Stock Buzz), Japan's largest machinery maker, has picked U.S. firm Pratt & Whitney to supply engines for the passenger jet it expects to launch in 2012, the Nikkei newspaper said on Friday.

The firm will also increase its development budget for the jet by a quarter, to 150 billion yen ($1.3 billion), the Nikkei said.

Mitsubishi said in June that Pratt & Whitney, a unit of United Technologies Corp (UTX.N: Quote, Profile, Research, Stock Buzz), and Rolls-Royce Plc (RR.L: Quote, Profile, Research, Stock Buzz) were possible candidates to supply the engines.

The jet is to become the first Japanese-made passenger jet.