TECH - Boeing Airbus Near Deal To Divide Operations Of Key Supplier Spirit AeroSystems: Report | Benzinga
In a significant development within the aerospace sector, Boeing Co. (NYSE:BA) and Airbus SE (OTC:EADSY) are reportedly on the verge of finalizing a deal that would see them split the operations of Spirit AeroSystems Holdings Inc. (NYSE:SPR), a major supplier to both companies.
What Happened: Boeing and Airbus are close to an agreement to split the operations of supplier Spirit AeroSystems, Reuters reported on Thursday. This deal could signal the end of Boeing’s 20-year outsourcing strategy.
The discussions, which involve the two leading aircraft manufacturers, are aimed at dividing Spirit’s assets essential to their respective jet programs. The talks are delicate due to the companies’ rivalry and antitrust concerns, with the format of the discussions still being unspecified.
Boeing’s recent crisis, triggered by a mid-air incident in January, has pressured the company to reconsider its supply chain strategy. The potential agreement would see Boeing and Airbus taking over plants that are crucial for their operations, although the specifics of the assets under negotiation remain undisclosed.