Boeing agrees Spirit deal

BTN News
Tuesday, 02 July 2024

US plane maker Boeing has agreed a US$4.7 billion deal to buy back Spirit Aerosystems, the parts supplier it sold nearly 20 years ago, as it attempts to improve safety and quality in its manufacturing processes.


Talks to buy back Spirit began soon after a door panel fell off one of Boeing’s 737 MAX 9s in January, soon after it took off from Portland, Oregon.
Investigations by the US safety regulator the National Transportation Safety Board (NTSB) discovered the panel appeared to be missing four key bolts that were removed while workers repaired damaged rivets.

Spirit was spun off from Boeing in 2005 but still accounts for about 70 per cent of all Boeing's orders.

“After carefully evaluating Boeing’s offer to combine, we are confident this transaction is in the best interest of Spirit and its shareholders, and will benefit Spirit’s other stakeholders,” said Patrick M. Shanahan, Spirit's president and ceo. 

“Bringing Spirit and Boeing together will enable greater integration of both companies’ manufacturing and engineering capabilities, including safety and quality systems.”

Airbus involved

Meanwhile, Airbus will take over the Belfast, Northern Ireland part of Spirit’s business that makes wings and fuselage for the (formerly Bombardier) A220 jet. 

About 40 per cent of Spirit's jobs in Belfast are linked to production for companies including Airbus, Bombardier and Rolls-Royce, though Airbus says it will aim to sell some of these parts.

In the interim, Boeing will pay US$559 million for Airbus to take over operations at four plants including Belfast.

The total Spirit transaction value is about US$8.3 billion including Spirit’s net debt.

Boeing agrees Spirit deal

BTN News
Tuesday, 02 July 2024

US plane maker Boeing has agreed a US$4.7 billion deal to buy back Spirit Aerosystems, the parts supplier it sold nearly 20 years ago, as it attempts to improve safety and quality in its manufacturing processes.


Talks to buy back Spirit began soon after a door panel fell off one of Boeing’s 737 MAX 9s in January, soon after it took off from Portland, Oregon.
Investigations by the US safety regulator the National Transportation Safety Board (NTSB) discovered the panel appeared to be missing four key bolts that were removed while workers repaired damaged rivets.

Spirit was spun off from Boeing in 2005 but still accounts for about 70 per cent of all Boeing's orders.

“After carefully evaluating Boeing’s offer to combine, we are confident this transaction is in the best interest of Spirit and its shareholders, and will benefit Spirit’s other stakeholders,” said Patrick M. Shanahan, Spirit's president and ceo. 

“Bringing Spirit and Boeing together will enable greater integration of both companies’ manufacturing and engineering capabilities, including safety and quality systems.”

Airbus involved

Meanwhile, Airbus will take over the Belfast, Northern Ireland part of Spirit’s business that makes wings and fuselage for the (formerly Bombardier) A220 jet. 

About 40 per cent of Spirit's jobs in Belfast are linked to production for companies including Airbus, Bombardier and Rolls-Royce, though Airbus says it will aim to sell some of these parts.

In the interim, Boeing will pay US$559 million for Airbus to take over operations at four plants including Belfast.

The total Spirit transaction value is about US$8.3 billion including Spirit’s net debt.