Category Archives: Spirit AeroSystems

Boeing finalizes order from Emirates for 150 777X jetliners

Boeing and Emirates Airline have finalized an order for 150 777Xs, valued at $56 billion at list prices, Boeing announced Wednesday.

The order was first announced as a commitment at the Dubai Airshow last year.  Emirates is the largest 777 operator in the world.

The order is for 115 777-9Xs and 35 777-8Xs. It also includes purchase rights for another 50 planes, which if exercised could increase the order’s value to about $75 billion at list prices.

Spirit AeroSystems builds the 777′s forward fuselage in Wichita.

The 777X is an upgraded version of the 777.

The first 777X delivery is expected in 2020.

Boeing has 300 orders and commitments for the model from six customers.

 

Boeing delivers first 787-9 Dreamliner to Air New Zealand

Boeing delivered its first 787-9 Dreamliner Wednesday to launch customer Air New Zealand, the company said.

The milestone was marked by a celebration in Everett, Wash., attended by about 1,000 employees, airline executives and guests.

Spirit AeroSystems builds the plane’s composite nose section in Wichita.

The delivery of the 787-9 is the first of 10 planes on order from Air New Zealand and are part of the airline’s fleet modernization effort.

The 787-9 is a derivative of Boeing’s 787-8. The version is stretched by 20 feet and will carry up to 40 more passengers an additional 450 nautical miles, Boeing said.

Boeing has orders for 409 787-9s from 26 customers. That accounts for 40 percent of all 787 orders, it said.

So far, all is quiet at Spirit AeroSystems

Despite lots of rumors and anxiety, it appears all is quiet at Spirit AeroSystems, the day rumored to be a day of a big announcement.

“We don’t comment about rumors, and have no announcements to make at this time,” Ken Evans, Spirit spokesman, said this morning.

In June, Todd Tiahrt, who is running for the 4th Congressional District seat, said sources told him that Spirit appears to be exploring the sale of its metal fabrication work to an outside company.

Tiahrt has been getting calls from concerned employees, he said, including some who told him they had attended meetings about the issue.

Last month, the Society of Professional Engineering Employees in Aerospace asked Spirit to respond to a list of rumors that have been circulating about the possible sale of detail parts fabrication and non-Boeing-related assembly work and about rumors that Boeing was taking back some of its work at the site.

Spirit has steadfastly said it doesn’t comment on rumors.

At the same time, Spirit has its Oklahoma facilities up for sale.

The company has received a lot of interest in those facilities.

So any announcement could involve the Tulsa site, SPEEA Midwest director Bob Brewer has said.

Brewer said Wednesday morning that the union hasn’t heard a thing about any announcements today.

“We’re just talking business here today,” Brewer said. “If something happens, something happens.”

He’s staying tuned.

“It may not be today,” Brewer said. “It could be tomorrow. It could be next week. We don’t know.”

 

Read more here: http://www.kansas.com/2014/06/17/3512808/unions-ask-spirit-to-address-work.html#storylink=cpy

Boeing 787-9 Dreamliner earns government certifications

Boeing‘s 787-9 Dreamliner has been certified for commercial service by the Federal Aviation Administration and the European Aviation Safety Agency.

Boeing is in the final stages of preparing for the first 787-9 delivery to its launch customer Air New Zealand.

The 787-9 is a stretched version of the 787-8 now in service. Its fuselage is 20 feet longer over the 787-8 and will fly more passengers and more cargo farther distances, the company said.

Spirit AeroSystems in Wichita builds the plane’s nose section.

Boeing has taken 413 orders for the 787-9 from 26 customers. That accounts for 40 percent of all 787 orders, the company said.

“Certification is the culmination of years of hard work and a rigorous flight-test program that started with the 787-9′s first flight in September,” Ray Conner, Boeing Commercial Airplanes president and CEO, said in a statement. “With this validation that the airplane is ready for commercial operations, Boeing along with our airline and leasing customers now look forward to introducing the newest member of the Dreamliner family to passengers around the world.”

The FAA has also granted Boeing an Amended Production Certificate, which validates that Boeing’s production system can produce 787-9s that conform to the design.

The certifications follow a comprehensive test program using five airplanes accumulating more than 1,500 hours of flight testing, plus ground and laboratory testing.

 

 

Analyst: Spirit AeroSystems outsourcing of fab work would make sense; Tulsa sale a ‘wild card’

It would make sense for Spirit AeroSystems to outsource its fabrication operation, Cowen and Co. analyst Cai von Rumohr wrote in a note to investors.

A story in The Eagle last week said Spirit appears to be exploring that option.

“It would make sense to outsource fab work to a major Tier 2 build-to-print supplier, like PCP (Precision Castparts), which offers lower costs in return for higher market share,” von Rumohr wrote.

Cost savings could include more efficient machining utilization rates and lower material costs, such as internally sourced titanium, he wrote.

“Thus, while it’s impossible to size a potential outsourcing deal, it likely would be a win-win-win,” von Rumohr wrote.

In addition, Spirit’s recent update of its master contract with Boeing reduces risk for Spirit, he said.

Spirit and Boeing announced the master contract in April.

The pricing covers the Boeing 737, 747, 767 and 777 programs through Dec. 31, 2015.

The contract allows for price increases if production rates dip and for continued 737 and 777 profitability, he said. It also avoids locking Spirit into a risky long-term fixed price agreement.

In the meantime, a possible sale of Spirit’s Tulsa operation is still a “wild card,” von Rumohr wrote.

Spirit has been exploring a sale of that operation.

“We retain our ‘show me’ attitude toward (Spirit’s) possible sale of its Tulsa wing business,” he said.

That’s because Boeing and Gulfstream programs, which it has there, may attract two different buyers, von Rumohr wrote.

In addition, the work is done in one location, and any sale will require new contracts with Boeing and Gulstream. who might require price concessions in return for the agreement, von Rumohr wrote.

The sale of the Tulsa facility or a major fabrication outsourcing deal, however, would bolster investor confidence in Spirit’s cash flow outlook, he said.

Boeing delivers fourth P-8I aircraft to Indian Navy

Boeing has delivered the fourth P-8I maritime patrol aircraft to India, which fulfills the first half of a contract for eight planes, the company said.

The shipment was made on schedule, it said,

Spirit AeroSystems in Wichita builds major portions of the plane, including the fuselage.

The P-8I is the Indian Navy variant of the P-8a Poseidon that Boeing has developed for the U.S. Navy.

The aircraft is based on Boeing’s 737 commercial jetliner.

“The Indian Navy is putting the first three P-8Is through their paces operationally, and the P-8I delivered today (Friday) will begin flight trials in the coming months,” Leland Wright, Boeing P-8I program manager, said in a statement.

Beechcraft former executive Bill Brown joins Spirit AeroSystems

Former Beechcraft executive vice president Bill Brown has joined the leadership team of Spirit AeroSystems.

At Spirit, Brown will serve as senior vice president of the company’s aftermarket business.

“Bill Brown brings significant expertise in aftermarket, and we are pleased to have him join our leadership team,” Spirit president and CEO Larry Lawson said in a statement.

Spirit designs, builds and supports its products with a maintenance and repair organization that extends across North America, Europe and the Far East, Lawson said.

“We believe we can create even more value in this arena, and I am confident Bill can help us accomplish that,” he said.

Brown most recently was executive vice president of global operations and president of global service and support at Beechcraft.

Before joining Beechcraft, he was president and general manager of AAR Aircraft Services in Oklahoma.

He’s also held senior level positions at Independence Air, Avborne Inc. and Midwest Airlines.

Boeing, Spirit AeroSystems reach milestone with delivery of 8,000th Boeing 737

Boeing celebrated delivery of the 8,000th 737 single-aisle commercial airliner to come off the production line on Wednesday, which also marks a milestone for Spirit AeroSystems.

Spirit, and Boeing’s Wichita commercial airline division before it, have built the fuselages for all 8,000 planes.

Spirit builds the fuselage, pylons and thrust reversers in Wichita and wing components in Tulsa.

Boeing has more than 3,700 Boeing 737′s on order. That includes 1,934 orders for the 737 MAX, an upgraded version with new engines.

The 8,000th 737 was delivered to United Airlines. Since 1965, United has taken delivery of more than 550 737s.

Boeing has been raising 737 production with continued rising demand.

Since 2010, it’s increased production from 31.5 planes a month to today’s rate of 42 per month. It’s planning production increases to 47 a month in 2017, and has hinted that production could be raised beyond that.

“The 737 program continues to innovate with new features and technology, meeting the needs of our customers now and into the future,” Beverly Wyse, Boeing vice president and general manager of the 737 program, said in a statement. “Boeing has a long and treasured history with United Airlines, and we’re proud they’re taking delivery of this milestone airplane.”

 

Former Spirit AeroSystems CEO won’t run for re-election to the board

Former Spirit AeroSystems CEO Jeff Turner won’t run for re-election to Spirit’s board of directors when the board holds the company’s annual meeting in April, according to a filing with the Securities and Exchange Commission.

He will serve out the remainder of his current term, which ends during the annual meeting. Turner will continue to consult for the company under his consulting agreement, however.

Turner retired as CEO of Spirit a year ago but had stayed on as a member of the company’s board of directors.

In 2005, Turner led the sale of Boeing’s commercial aviation division to Onex Corp., which became Spirit AeroSystems.

“It was through Jeff Turner’s vision and leadership that Spirit was created,” Spirit said in an emailed statement. “The Company thanks him for his leadership and service to Spirit.”

 

Boeing’s P-8A Poseidon to enter full production with $2.4 billion contract for 16 planes

The Navy has ordered its first production lot of P-8A Poseidon aircraft from Boeing in a $2.4 billion contract, Boeing said Tuesday.

The order for 18 additional aircraft means the program will enter full production.

The order takes the total fleet to 53 and marks the transition from preliminary to low-rate production of the P-8A, which will bolster maritime patrol capabilities, the company said.

Spirit AeroSystems in Wichita builds the fuselgae for the P-8A, which is based on a 737-800 commercial aircraft.

So far, Boeing has delivered 13 P-8As to the Navy, which deployed its first patrol squadron to Kadena, Japan, in December.

“This milestone is a testament to the incredible effort and dedication of the team to deliver the P-8A to the fleet as planned,” Navy P-8A program manager Capt. Scott Dillon said in a statement. “The future of the Maritime Patrol and Reconnaissance community has begun to make history with the P-8As already delivered to the fleet. These full-rate production aircraft will give us the opportunity to deliver the best system through a cost-effective procurement contract.”

The P-8A will enhance the service’s anti-submarine, anti-surface warfare and intelligence, surveillance and reconnaissance capabilities, Boeing said.

The Navy plans to buy a total of 117 P-8As to replace its P-3 fleet.

Boeing’s P-8 team includes CFM International, Northrop Grumman, Raytheon, Spirit AeroSystems, BAE Systems and GE Aviation.