A turbine engine with a tip shroud and method for shaping the tip shroud where at least one pair of airfoils including a first and second airfoil each having an outer wall bounding an interior. Each airfoil extending between a pressure side and a suction side to define a circumferential direction and extending between a leading edge and a trailing edge to define an axial direction. Each airfoil extending between a root and a tip to define a radial direction. The first and second airfoils are circumferentially spaced to define an inlet between the leading edges and an outlet between the trailing edges where each airfoil is coupled to an inner platform at the root. A tip shroud circumscribing the airfoil operably coupled to the tip extending in the axial direction between axially spaced first and second planes where the tip shroud includes at least one scalloped portion.