Category Archives: Spirit AeroSystems

Spirit AeroSystems’ engineering union sets timeline for contract talks

April 10, 20126:22 a.m.

Spirit AeroSystems and its engineering union won’t open contract talks until later in the year, but work has already begun.

The union, the Society of Professional Engineering Employees in Aerospace,  plans to have a proposal ready to present the company sometime in August.

Three negotiating team members, who are Spirit engineers and SPEEA members, will take contract negotiation training in June.

In late August, the union plans to move into subcommittee meetings before full negotiations begin.

The current contract expires Dec. 2. SPEEA represents nearly 800 Spirit engineers in Wichita.

The biggest issues and priorities are related to salary, job advancement, benefits and retirement, said Bob Brewer, SPEEA’s Midwest director.

“They’re losing a ton of engineers right now,” Brewer said, with attrition in the double digits.

“There’s a lot of pressure,” he said. “New programs have them in a bind for whatever reason. There’s a lot of pressure to meet targets. I’m not saying it’s wrong, but there’s some atmosphere.”

In addition, the engineering market is picking up, Brewer said.

“The market for engineering remains very competitive,” said Ken Evans, a Spirit spokesman. “As our numerous new programs get closer to production, we are working hard to balance our needs and resources both locally and with our engineering partners around the world.”

 

 

 

 

By Molly McMillin | Filed under aircraft manufacturers, aviation industry, Spirit AeroSystems, unions | Comments Off

Final assembly of first Airbus A350 XWB begins

April 10, 20125:44 a.m.

Final assembly of the first Airbus A350 WXB is underway at Airbus’ new final assembly line in Toulouse, France, Airbus said.

The company is now joining the long center fuselage with the front fuselage.

The composite center fuselage was designed and built by Wichita-based Spirit AeroSystems’ plant in Kinston, N.C.

It was then shipped to Spirit’s facility in St. Nazaire, France, for assembly and delivery to Airbus. The center fuselage measures 65′ long and 20′ wide and weighs nearly 9,000 pounds.

The first A350 XWB airframe will be used for static structural tests that all new planes undergo as part of the certification process by government authorities. Assembly of the first flyable plane will begin during the summer, Airbus said.

About 70 percent of the airframe is built from composites, titanium and advanced aluminum alloys.

The A350 XWB family of airplanes includes three passenger versions. In a typical three-class configuration, the A350-800 will have 270 seats, the A350-900 will have 314 seats and the A350-1000 will offer 350 seats.

 

By Molly McMillin | Filed under Airbus, Spirit AeroSystems | Comments Off

Analysts, shareholders to visit Wichita this week for Spirit AeroSystems’ “Investor Day”

March 5, 20123:57 p.m.

About 40 analysts and major shareholders will be in Wichita Tuesday and Wednesday for “Investor Day” at Spirit AeroSystems.

Participants will take factory tours Tuesday followed by management presentations on Wednesday, said Spirit spokesman Ken Evans.

“It’s a good way for us in one day to give them an update outside of earnings,” Evans said of the reason for the event. “It’s much broader.”

Company officials will talk about goals for the year, its financial performance, partnerships with employees and other issues.

“It’s a good touch point with major shareholders and stockholders,” Evans said.

Spirit’s last Investor Day was held in 2009.

Peter Arment, an analyst with Sterne Agee Group, wrote in an analyst note that he expected management to provide further insight on the “improving risk profile within development programs coupled with meaningful gains on higher volumes in mature platforms.”

Arment went on to say that Spirit is well positioned to benefit from a 40 percent increase in large commercial aircraft production by the manufacturers through 2014. More than 50 percent of its sales are generated from Boeing’s 737 program. The 777 program contributes 15 percent of its sales.

In the meantime,” the 787 will quickly become the number two revenue-generating program as it ramps up during the next three years”, he wrote.

In addition, it looks as if Spirit is turning the corner as more development programs transition into production, Ament wrote.

The 787 remains the number one program at risk given the dollars at stake, he wrote.

The A350-WXB can still see cost pressures, but its contract structure is more favorable than the 787, Arment said in the note.

The A350 program recorded forward losses of $3 million in the fourth quarter last year because of continued engineering design changes. The Gulfstream G280 program has also struggled because of higher supply chain costs, but there are opportunities to invest in further automation, which will enable efficiencies as production increases, he wrote. And the 747-8 program remains in a forward loss because of increases program costs coupled with a small accounting block.

 

By Molly McMillin | Filed under Spirit AeroSystems | Comments Off

Spirit AeroSystems’ Jeff Turner Wichita Aero Club trophy winner

Jan. 30, 20126:20 p.m.

Jeff Turner, CEO of Spirit AeroSystems, was the second recipient of the Wichita Aero Club’s trophy at a gala Saturday at the Wichita Airport Hilton.

Turner was nominated for his deep connections to Wichita and for furthering the aerospace industry in Kansas, organizers said.

Turner quipped that he had been given no time limit for his speech, so he decided to give the history of the company, from the empty field that led to Lloyd Stearman’s factory until today.

“Want an extra cup of coffee?” he asked.

Later he noted he was on page three of a six-page speech, if anyone was keeping track.

His speech, which wasn’t long, praised the work of Spirit’s employees and the partnership the company had forged with its unions.

He noted the company’s increase in production of Boeing’s popular 737 and how airline customers are buying airplanes.

“These airplanes will have 25-plus years of production runs,” Turner said. “Our grandchildren … will fly on these products. We have this incredible legacy as a community.”

At the end of the day, he said, “We’re all in this together — the employees, unions, customers and our community.”

 

 

 

 

By Molly McMillin | Filed under Spirit AeroSystems, Uncategorized | Comments Off

Boeing 787 Dreamliner to arrive in Wichita today

Jan. 20, 20126:29 a.m.

If you happen see a unique airplane flying over east Wichita this afternoon, it might be Boeing’s new 787 Dreamliner.

The plane is expected to land at McConnell Air Force Base, next-door to Boeing, between 12:30 p.m. and 1:30 p.m. today.

It will be in Wichita for three days as part of Boeing’s 787 world Dreamliner tour.

Spirit AeroSystems’ employees who work on the 787 program along with Boeing employees will have the opportunity to tour the composite airplane while it’s in town.

The Dreamlifter, Boeing’s specially-modified airplane that carries 787 parts from suppliers to Boeing, will also be in Wichita.

Media will be able to see the plane this afternoon.

By Molly McMillin | Filed under Boeing, Spirit AeroSystems | Comments Off

Boeing 787 Dreamliner coming to Wichita

Jan. 12, 201210:39 a.m.

Wichita is on a list of stops this month for Boeing’s 787 “Dream Tour.”

The plane will be in Wichita Jan. 20 to 23 to visit Spirit AeroSystems and Boeing, where  employees will be able to tour the airplane.

The visit is part of a second round of cities the 787 is visiting on the tour.

Spirit AeroSystems builds the 787′s completed nose section.

The all-new 787 Dreamliner continues to generate tremendous enthusiasm everywhere it flies,” Scott Fancher, Boeing vice president and general manager of the 787 program, said in a statement. “We look forward to sharing the Dreamliner’s significant innovations with additional airlines, partners and financiers.”

Besides Wichita, the 787 will also make stops this month in Rockford, Ill., to visit its partner on the program, Hamilton Sundstrand; Dublin, Ireland, to visit airline customers, leasing companies, financiers and others; and Huntsville, Ala., to visit Boeing employees.

The airplane, ZA003, is equipped with cabin features that include a “welcoming entryway,” larger, dimmable windows, bigger overhead bins and LED lighting. The plane is configured with a business-class cabin, overhead crew rest compartment and an economy class section.

Boeing will announce dates and locations for additional tour stops, which will be held through April, about a month in advance, the company said.

By Molly McMillin | Filed under Boeing, Spirit AeroSystems | Comments Off

Spirit AeroSystems delivers first Airbus A350 XWB section to Airbus

Jan. 9, 201210:40 a.m.

Spirit AeroSystems has delivered its first composite center fuselage section to Airbus for the manufacturer’s A350 XWB (extra wide body) program.

The upper and forward lower shell fuselage panels were sent from Spirit’s Kinston, N.C., plant to Spirit’s plant in St. Nazaire, France, for joining before delivery.

The delivery is a milestone toward meeting Spirit’s commitments to Airbus, Dan Wheeler, Spirit vice president and general manager of the Kinston and St. Nazaire business units, said in a statement.

“Our close collaboration with Airbus made this possible,” Wheeler said.

Spirit won a contract in May 2008 to design and build the composite center fuselage section for the plane. The first panels were shipped from North Carolina to Saint Nazaire in October. Spirit also designs and builds the composite front wing spar and fixed leading edge for the aircraft.

By Molly McMillin | Filed under Airbus, Spirit AeroSystems | Comments Off

Wichita Aero Club summit to feature industry leaders

Dec. 6, 20117:08 a.m.

The Wichita Aero Club will host its third annual summit at a luncheon Wednesday, an event that brings together Wichita’s aviation leaders for a panel discussion of the industry.

Panel participants include John O’Leary, with Airbus North America Engineering, Ralph Acs, of Bombardier Learjet, Bill Boisture at Hawker Beechcraft, Jeff Turner, with Spirit AeroSystems, and Mark Paolucci, with Cessna Aircraft.

Fred George, senior editor of Business & Commercial Aviation magazine, will moderate.

A video of the program will be posted to the Wichita Aero Club’s website after the discussion.

Organizers expect about 300 attendees, one of the organization’s largest events.

“The On-Air Summit has traditionally been a huge draw, and this year, it appears, will be no exception,” Dave Franson, executive director, said in a statement. “The chance to hear from the leaders of our major aerospace manufacturers, all in one place and at the same time, obviously creates interest.”

The summit will be held from 11:45 a.m. to 1:45 p.m. at the Wichita Airport Hilton ballroom. Cost is $30 for members and $40 for nonmembers. The summit is sponsored by Yingling Aviation and Air Capital Insurance of Wichita.

For information or reservations, call 316-641-5962 or go to www.wichitaaeroclub.org.

By Molly McMillin | Filed under Airbus, aircraft manufacturers, Bombardier Learjet, Cessna, general aviation, Hawker Beechcraft, Spirit AeroSystems | Comments Off

SPEEA, Spirit AeroSystems reach tentative agreement on labor contract

Nov. 30, 201111:00 a.m.

Negotiators for Spirit AeroSystems and its technical and professional union have reached a tentative agreement on a 9 1/2 year labor contract, which covers 2,300 employees.

If ratified by members of the Society of Professional Engineering Employees in Aerospace, the agreement provides a $2,000 signing bonus, annual market raises starting next year, participation in the Spirit Incentive Plan, and increased restrictions on Spirit’s use of contract labor, SPEEA officials said.

The agreement comes after members rejected Spirit’s initial offer by 96.5 percent on July 28.

SPEEA credits an increase in membership to the outcome. Membership has risen from 30 percent to 52 percent since the last vote.

“The company listened to their employees and made significant improvements on their previous offer,” Bill Hartig, SPEEA’s chairman of the Wichita Technical and Professional Unit negotiation team, said in a statement.

If accepted, the contract would use the Salary Information Retrieval System by Mercer, which establishes benchmark salaries, to determine salary pools for annual raises, SPEEA said.

Employees would also participate in the Spirit Incentive Plan, based on company performance targets.

The length of the contract is longer than negotiators wanted, but tying increases to the Mercer data and escalating incentive plan targets will assure salaries remain competitive, the union said.

“It’s been a long journey and a tremendous amount of work and effort has been put in to get to the final result,” Bob Brewer, SPEEA Midwest director said in a statement.

By Molly McMillin | Filed under Spirit AeroSystems, unions | Comments Off

Analyst: Airbus A350 program delay not unexpected

Nov. 11, 201111:30 a.m.

EADS announcement yesterday of a delay on its new Airbus A350 XWB program was expected, Cowen and Co. analyst Cai von Rumohr wrote in an investor report today.

But it sounds like delays on Spirit AeroSystems’ work on the program is abating, he wrote.

On Thursday, EADS announced up to a six-month delay on the A350, saying its  expected entry-into-service now has been moved to the first half of 2014. The company cited a lack of maturity on the program.

EADS has halted delivery of parts to final assembly, which shifts the initial build of the first A350 into 2012, von Rumohr wrote.

The delay allows Airbus facilities and suppliers who are behind in development to reach “a greater level of maturity,” von Rumohr wrote.

EADS didn’t provide details on the problems, but according to a report by Flightblogger, A350 program chief Didier Evrard indicated the program is affected by work on the aircraft’s center fuselage and fixed trailing edge, built by Spirit AeroSystems and GKN, respectively, von Rumohr noted.

Spirit, in a conference call earlier this year, said it was experiencing “schedule compression” from late delivery of final engineering plans from EADS.

Spirit delivered the panels for the upper shell of the center fuselage last month to its Saint-Nazaire, France, facility. The lower shell panels are to ship before the end of the year. Spirit will perform the final assembly on the section in France before delivering it to an Airbus facility nearby.

By Molly McMillin | Filed under Airbus, Spirit AeroSystems | Comments Off