Europe’s Airbus has agreed to acquire Spirit AeroSystems’ core U.S. and U.K. operations, part of a coordinated carve-up of the embattled supplier alongside Boeing, to secure production of crucial aerostructures, both companies announced on Monday.
Rescuing a Struggling Supplier
Spirit AeroSystems, spun off by Boeing two decades ago, found itself under severe financial strain after quality issues on the 737 MAX program and rising cash burn. Last year, Boeing agreed to repurchase Spirit for $4.7 billion in stock to safeguard fuselage production. Simultaneously, Airbus moved to assume the supplier’s Europe-focused, loss-making activities.
Assets and Financing
Under the transaction:
- Airbus will acquire the A350 fuselage plant in Toulouse, France, and the A220 carbon-wing facility in Belfast, Northern Ireland.
- Airbus will also take on the production of A320 and A350 wing components at Prestwick, Scotland.
- Spirit AeroSystems will pay Airbus $439 million, and Airbus will extend $200 million in interest-free credit lines to Spirit.
Spirit CFO Irene Esteves called the agreement “a significant milestone as we work towards the closing of the Boeing acquisition, to the benefit of Spirit, its stockholders, and other stakeholders.” Airbus CFO Thomas Toepfer told shareholders completion was expected by the end of April, with the full carve-up, including Boeing’s portion, set to close in the third quarter.
Impact on Production and Workforce
The transfer secures continuity at plants critical to both Airbus and Boeing supply chains. In North Carolina, A350 fuselage output will shift to Airbus management, while Belfast’s 2,600-strong workforce will remain focused on A220 wing production. If no third-party buyer emerges for the additional Belfast work, Airbus will also assume responsibility for A220 mid-fuselage manufacturing.
Local unions in Northern Ireland and Scotland have urged the government to provide support to protect jobs amid restructuring. Boeing CEO Stephanie Pope and Spirit CEO Pat Shanahan indicated any remaining U.K. operations not taken by Airbus could revert to Boeing.
What’s Next: Closing and Integration
With regulatory approvals pending, Airbus and Spirit aim to finalise their asset transfer by late April. Boeing’s reacquisition of the remaining Spirit businesses is slated for Q3. The deal removes the uncertainty that had delayed A350 deliveries and underpinned concerns over Spirit’s liquidity—$890 million on hand in February, but burning $650 million to $700 million in cash during H1 2025 without further support.
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