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Boeing and Airbus complete acquisition of Spirit AeroSystems

Aerospace giants retake ownership of former commercial assets, while Spirit offshoots into separate but independent subsidiaries Spirit Defense and Short Brothers, a Boeing Company.

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Boeing-Wichita 737 fuselage production in Wichita, Kansas. Source | Boeing

Airbus SE (Amsterdam, The Netherlands) and Boeing (Arlington, Va., U.S.) have completed acquisitions with Spirit AeroSystems (Wichita, Kan., U.S.). For Airbus, this includes acquiring industrial assets dedicated to its commercial aircraft programs. Boeing’s transaction similarly includes all Boeing-related commercial operations.

In addition to these acquisition closures, a new, wholly separate subsidiary called Spirit Defense based in Wichita will continue as an independent aerostructures supplier, and portions of Spirit’s operations in Belfast, Northern Ireland, will operate as an independent subsidiary branded as “Short Brothers, a Boeing Company.”

“This is a pivotal moment in Boeing’s history and future success as we begin to integrate Spirit AeroSystems’ commercial and aftermarket operations and establish Spirit Defense,” says Kelly Ortberg, president and CEO of The Boeing Company. “As we welcome our new teammates and bring our two companies together, our focus is on maintaining stability so we can continue delivering high-quality airplanes, differentiated services and advanced defense capabilities for our customers and the industry.”

Boeing

Boeing’s part involves retaking control of fuselages for the 737 program and major structures for the 767, 777 and 787 Dreamliner. It also includes commercially procured fuselages for the P-8 and KC-46.

The transaction also brings Boeing’s largest supplier of spare parts in-house, expands Boeing’s global maintenance, repair and overhaul (MRO) services footprint and adds to the company’s rotable, lease and exchange portfolio with Spirit’s aftermarket businesses.

Spirit Defense will continue to support its customers as an independent supplier to the defense industry to ensure uninterrupted support for its customers. It will align to Boeing Defense, Space & Security for financial reporting and select enterprise functional and site support, but maintain independent governance and operations. 

In addition, portions of Spirit AeroSystems’ operations in Belfast, Northern Ireland, have been acquired by Boeing, and the Belfast site will operate as an independent subsidiary.

Spirit AeroSystems’ commercial and aftermarket operations in Wichita, Kansas; Dallas, Texas; and Tulsa, Oklahoma, as well as Spirit’s Aerospace Innovation Center in Prestwick, Scotland, will begin to integrate into Boeing. Approximately 15,000 teammates across the five sites are becoming a part of Boeing.

Airbus

Airbus has taken ownership of the following former Spirit AeroSystems assets:

  • Kinston, North Carolina site (A350 fuselage sections), joining as Airbus Aerosystems Kinston
  • Saint-Nazaire, France site (A350 fuselage sections), joining as Airbus Atlantic Cadréan
  • Casablanca, Morocco site (A321 and A220 components), joining as Airbus Atlantic Maroc Aero
  • The production of A220 wings and A220 mid-fuselage in Belfast, Northern Ireland, becoming Airbus Belfast
  • The production of wing components for A320 and A350 in Prestwick, Scotland, becoming an affiliate named Prestwick Aerosystems
  • The production of A220 pylons, which will be transferred out of Wichita, Kansas, to the site of Saint-Eloi, Toulouse, France.

“We welcome over 4,000 new colleagues, with whom we will embark on a new chapter in our industrial operations by taking on activities of critical importance to our commercial aircraft program,” says Florent Massou, executive vice president operations for the Commercial Aircraft business of Airbus.

Airbus receives compensation of $439 million, with the typical purchase price adjustments and subject to customary post-closing review. In addition, Airbus receives certain amounts to settle liabilities under the provision of the purchase agreements.

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