Boeing has completed a complex purchase of its supplier. Shares are up 2.5%

US aircraft maker Boeing Corporation has completed the acquisition of its supplier Spirit AeroSystems, the world's largest independent wing and fuselage manufacturer. Boeing executives called it a "pivotal moment in the history" of the company, and investors raised the stock price to its highest in more than a month. The regulator required Boeing to sell a portion of Spirit's business as a condition for approving the deal.

The deal to buy Spirit AeroSystems includes all of the supplier's commercial activities that touch Boeing, including the fuselage program for the 737 Max aircraft and components for the 767, 777 and 787 Dreamliner, Boeing said. In addition, the deal also includes commercially produced fuselages for Boeing's P-8 and KC-46 military aircraft.

"This is a pivotal moment in Boeing's history and future success [...] Our focus is on maintaining stability so we can continue to deliver high quality aircraft, diverse services and advanced defense capabilities to our customers and industry," said Boeing CEO Kelly Ortberg, he was quoted as saying in a company statement.

Boeing shares were up nearly 2.5 percent at the moment in trading on Dec. 8, hitting their highest since Oct. 30.

The US Federal Trade Commission (FTC) in early December effectively authorized Boeing to buy Spirit AeroSystems, but required it to sell some of the supplier's assets, including its Airbus component supply business. The European airplane maker acquired some assets, including plants in different countries that produce wings for the A220, fuselage sections for the A350 and components for the A321 and A220, Bloomberg added.

Boeing has reclaimed a key part of its supply chain as the company seeks to restore quality standards, Bloomberg noted. Questions about the airplane assembly came after an Alaska Airlines plane had a door plug fall off right during a flight in January 2024. As a result, U.S. authorities limited the pace of production of Boeing airplanes, and their inspections revealed problems with corporate culture in the company.

The Spirit AeroSystems and Boeing deal marks a significant change in the commercial aerospace industry: it gives Boeing and Airbus direct control over parts of their troubled supply chains, according to Reuters.

This article was AI-translated and verified by a human editor