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Spirit AeroSystems, Boeing reach agreement to support production stability

Spirit AeroSystems has entered into a Memorandum of Agreement with The Boeing Company to enable greater collaboration and improve quality and increase the number of future deliveries. "Boeing and Spirit will continue to work shoulder to shoulder to mitigate today's operational challenges," Spirit AeroSystems President and CEO Patrick M. Shanahan said. "Our collective teams will focus on further generating supply chain performance and resiliency. This united effort to synchronize our production systems will enable greater market responsiveness and delivery assurance."RELATED STORY:Spirit Aerosystems strike could impact Boeing, Airbus, Bombardier The Wichita-based aerostructures manufacturer supports companies like Boeing, Airbus and Bombardier. The company has faced numerous changes in 2023, from a strike to a sudden change in leadership. On June 21 Spirit announced it was suspending all factory operations as its employees rejected an offered contract and voted to strike. Spirit continued with negotiations for a new collective agreement over possible wage increases and job security. On June 27 Spirit announced the contents of the new four-year contract proposal unanimously agreed upon including nonmandatory weekend overtime, a sign on bonus, increased pay and the same core healthcare plan. The new contract was ratified on June 29 and operations at the factory would be restored on June 30, with production resuming on July 5. On Aug. 23 Spirit released a statement about quality concerns for the Boeing 737 fuselage involving elongated fastener holes on the aft pressure bulkhead on certain models. Spirit implemented changes to the manufacturing process and due to the use of multiple suppliers for the aft pressure bulkhead, only some units were affected. The issue did not lead to a safety of flight concern and was addressed and handled swiftly and Spirit said based on known information there would be no material impact to the delivery range for the year related to the issue.Boeing 737 On Oct. 2 Spirit announced that member of the Board of Directors Patrick M. Shanahan would be taking the role of interim President and CEO, effective immediately. Thomas C. Gentile III had resigned as a member of the board effective Sept. 30. Shanahan has an expansive career in aviation covering 31 years and including time in both commercial and military programs. He worked with The Boeing Company and the Department of Defense and has been on the Spirit AeroSystems Board since November 2021. The latest agreement with Boeing solidifies the long-term relationship between the two companies. The agreement will fortify the relationship between Spirit and Boeing and aid in the long-term fulfillment of operational commitments and airline expectations. Through improved collaboration, Spirit and Boeing can improve quality and achieve higher deliveries in the future.
Created 1 years 57 days ago
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