Airbus has entered into a binding agreement with subcontractor Spirit AeroSystems for the potential acquisition of major sites related to the manufacturing of its aircraft, including the A350 fuselage section sites in Kinston (North Carolina, USA) and Saint-Nazaire (France), the A220 wing and centre fuselage sites in Belfast (Northern Ireland) and Casablanca (Morocco), as well as the A220 pylons site in Wichita (Kansas) (USA).
The European aircraft manufacturer announced in a press release published on Monday, July 1, that it had concluded “a binding agreement” with its American supplier for “the potential acquisition of major activities linked to Airbus.” “With this agreement, Airbus aims to ensure stability of supply for its commercial aircraft programs through a more sustainable evolution, both operationally and financially, for the various Airbus work packages for which Spirit AeroSystems is currently responsible.”the statement said. Airbus will be compensated with a payment of $559 million from Spirit AeroSystems, “for a nominal consideration of 1 dollar, subject to adjustments, in particular depending on the final scope of the transaction”we add.
The conclusion of definitive agreements nevertheless remains “subject to a due diligence process”. “While there is no guarantee that a transaction will be completed, all parties are willing and interested in working in good faith to advance and complete this process as soon as possible.”the press release concludes.
Ensuring a stable supply
While Boeing is by far Spirit AeroSystems’ largest customer, which will generate 60% of its revenue from the American aircraft manufacturer in 2022, this subcontractor is also a strategic supplier to Airbus.
Boeing also confirmed on Monday, July 2, the acquisition of Spirit’s activities – excluding those sold to Airbus – for $4.7 billion. The total amount of the transaction, including debt, is $8.3 billion.
It is worth noting that the Moroccan site of Spirit AeorSystems recently started producing the fuselage components, the front and rear section of the Airbus A220 aircraft.
The fuselage components are shipped from Morocco for assembly at Spirit’s Belfast, Northern Ireland site. Both sites were acquired by Spirit in 2020 as part of a major diversification strategy, adding significant Airbus content and further expanding Spirit’s global footprint and aftermarket services business.
