Boeing Agrees to Buy Spirit AeroSystems, a Longtime Supplier
Which Boeing plane models did Spirit supply parts for?
Spirit AeroSystems supplied parts for various Boeing plane models, including the 737 Max, 767, 777, and 787. The company produced around 70% of the 737 aircraft, including the fuselage involved in the Alaska Airlines incident. Additionally, Spirit supplied large parts of the 787 Dreamliner.
Why is Boeing acquiring Spirit AeroSystems?
Boeing is acquiring Spirit AeroSystems to gain greater control over its manufacturing operations and address quality issues that have affected both companies. By reintegrating Spirit, Boeing aims to align production, safety systems, and workforce incentives to improve overall quality and safety. The acquisition, valued at $4.7 billion in stock, is expected to close by mid-2025, pending regulatory and shareholder approvals.
What quality issues has Spirit faced recently?
Spirit AeroSystems has faced several quality issues recently, including debris in products, missing fasteners, peeling paint, and poor skin quality. These problems have led to a loss of faith in the company's quality organization and increased scrutiny from the Federal Aviation Administration. Spirit has been on probation, meaning it couldn't ship any product to Boeing without manager approval.