Boeing Co (NYSE:BA) investors appeared unaltered this week by a suspenseful decision that could put the company under independent monitoring for three years or take it back to court on criminal charges.
The non-negotiable plea deal offered to Boeing by the Department of Justice over the alleged violation of a previous agreement was made public on Monday, the same day that the company announced a definitive agreement to purchase Spirit AeroSystems Holdings Inc (NYSE:SPR).
The acquisition of the Wichita-based fuselage maker, which was founded as a spin-off of Boeing itself and has served as its main fuselage provider for almost two decades, was met with mild enthusiasm from investors.
Boeing shares rose by about 3% on Monday and remained approximately 1.3% higher on Wednesday compared to their closing price on Friday.
The $4.7 billion all-stock deal was read by many as part of a Boeing strategy to clean up its safety reputation by owning a bigger chunk of its supply chain, after the company returned to the center of public scrutiny for a series of fatal plane crashes that occurred five years ago.
One piece of news that went somewhat buried under the acquisition announcement was a proposal by federal prosecutors for Boeing to plead guilty to breaking its previous "probation" deal.
The Context: Boeing faced ...