Boeing in talks to buy Spirit AeroSystems, company confirms
WICHITA, Kan. (KSNW) – Spirit AeroSystems confirms that it is in talks with Boeing about a possible acquisition.
According to a Wall Street Journal report released on Friday, Spirit hired bankers to consider strategic options and has held preliminary discussions about a sale back to Boeing, its former owner.
Friday afternoon, Spirit confirmed the discussions with Boeing in the following statement:
Spirit AeroSystems Holdings, Inc. [NYSE: SPR] today confirmed that it is currently engaged in discussions with Boeing about a possible acquisition of the Company by Boeing. No assurances can be given that a definitive agreement will be entered into, that any transaction will be consummated, or the timing, terms or conditions of any such transaction.
The Spirit Board of Directors and management team are committed to enhancing shareholder value and regularly review the Company’s opportunities to further this objective.
Spirit does not intend to comment further on market speculation or disclose any developments unless and until it otherwise deems further disclosure is appropriate or required.”
Spirit AeroSystems Inc.
Boeing also released a statement:
We have been working closely with Spirit AeroSystems and its leadership to strengthen the quality of the commercial airplanes that we build together. We confirm that our collaboration has resulted in preliminary discussions about making Spirit AeroSystems a part of Boeing again.
We believe that the reintegration of Boeing and Spirit AeroSystems’ manufacturing operations would further strengthen aviation safety, improve quality and serve the interests of our customers, employees, and shareholders.
Although there can be no assurance that we will be able to reach an agreement, we are committed to finding ways to continue to improve the safety and quality of the airplanes on which millions of people depend each and every day.”
Boeing
Spirit AeroSystems was formed back in 2005 after Boeing sold the Wichita division. The Wichita company is a major supplier that provides Boeing with fuselages.
Boeing and Spirit are both facing scrutiny for the quality of their work after an Alaska Airlines 737 Max 9 was forced to make an emergency landing on Jan. 5 when a panel called a door plug blew out.
Earlier this week, the FAA gave Boeing 90 days to come up with a plan to fix quality problems and meet safety standards for building new planes. The agency said Wednesday that the directive follows meetings with top Boeing officials, including the company’s CEO, at FAA headquarters in Washington.
“Boeing must commit to real and profound improvements,” said FAA Administrator Mike Whitaker. “Making foundational change will require a sustained effort from Boeing’s leadership, and we are going to hold them accountable every step of the way.”
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The FAA did not indicate what action it might take if Boeing fails to meet the 90-day deadline. Boeing last month replaced the executive who had overseen the 737 program since early 2021.
SPEEA, the union that represents 3,000 engineering and technical Spirit workers, says, “We are following the news and considering the implications, but until we know more, we can’t comment.”
Shares of Spirit jumped 15% in afternoon trading.
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