In recent years, Spirit AeroSystems has played a crucial role in producing parts for aircraft such as the Airbus A220 and A350. However, a major blowout with Alaska Airlines in January led to significant changes in the company’s ownership structure. Boeing has agreed to acquire the bulk of Spirit AeroSystems for $4.7 billion, while Airbus will acquire certain assets from the company for a nominal $1 price tag.
As part of this deal, Airbus will be acquiring key components for its aircraft, including A350 fuselage sections, pylons, wings, and mid-fuselage for A220 jets. In addition to the $1 acquisition cost, Airbus will also receive $559 million from Spirit AeroSystems. This acquisition marks the second time that Airbus has acquired assets at a low cost – in 2018, it bought a 50% stake in Bombardier CSeries later increasing its ownership to 75% in a $591 million deal.
The decision by both Boeing and Airbus to purchase assets from Spirit AeroSystems comes after a major incident involving a 737 Max aircraft that lost its door plug midair. The National Transportation Safety Board’s preliminary report indicated that damaged rivets were sent by Spirit to Boeing’s factory, causing the door plug to be opened but not bolted back into place before delivery to Alaska Airlines.
This incident has had far-reaching consequences and has led to Boeing CEO Dave Calhoun resigning and the Justice Department considering criminal charges against Boeing. As the industry grapples with these challenges, the acquisition of assets from Spirit AeroSystems is poised to have significant implications for the future of aviation manufacturing.
Spirit AeroSystems was previously known for producing high-quality parts for various aircraft models. With this new ownership structure in place, we can expect changes in production methods and quality control procedures moving forward.
In conclusion, while this acquisition may seem like just another business transaction on paper, it carries significant implications for both Boeing and Airbus as well as the entire aviation industry. As we move forward into an uncertain future with aviation manufacturing under scrutiny, it will be interesting to see how these changes play out over time.