Dreamliner delivers $184M wallop to Spirit AeroSystems

Spirit AeroSystems, a key Boeing Co. supplier, is taking a charge of $184 million relating to the 787 program, the company said Thursday.

Spirit announced a total of $590 million in third-quarter charges for its work on the 787 as well as Gulfstream’s G650 and G280 aircraft.

The Wichita, Kan.-based company faced the task of expanding its manufacturing sites and managing multiple development programs that were experiencing significant delays. That proved “very complex,” Jeff Turner, Spirit’s CEO, said in a statement.

Spirit’s shares dropped 30.3 percent on Thursday, closing at $15.10, down $6.56 for the day.

Spirit’s disclosure comes a day after Boeing reported earnings of $1.03 billion in the third quarter.

The jet maker was more than three years late in delivering the 787 but now is picking up the production pace on the mostly composite Dreamliner.

Boeing CEO Jim McNerney noted Wednesday that the company is facing increased competition and other pressures. He’s reaching out key suppliers to work on costs.

However, “this is not a matter of stealing margin from our partners,” McNerney said.

Spirit also announced on Thursday that it will receive $235 million as a final insurance settlement for storm damage at its Wichita facility earlier this year. The company had estimated $400 million in damages.

Spirit will report its third quarter earnings Nov. 1.

More in Herald Business Journal

Snohomish County’s campaign to land the 797 takes off

Executive Dave Somers announced the formation of a task force to urge Boeing to build the plane here.

A decade after the recession, pain and fear linger

No matter how good things are now, it’s impossible to forget how the collapse affected people.

Under cloud of ethics probes, Airbus CEO Enders to step down

He leaves in 2019 after 14 years. Meanwhile, aircraft division CEO Fabrice Bregier leaves in February.

For modern women, 98-year-old rejection letters still sting

In a stark new video, female Boeing engineers break the silence about past inopportunity.

Drone’s ease piercing of NY ‘no-fly’ zone underscores risks

An Army Black Hawk helicopter suffered damage to one of its rotor blades, but was able to land safely.

Tax reform needs the public’s input on spending priorities

The GOP tax plan is a good idea, but the next step should give us a voice on how taxes are spent.

Commentary: GM, Boeing fight a war of words over Mars

Boeing is strongly signaling how crucial deep-space exploration is to its future.

SpaceX 1st: Recycled rocket soars with recycled capsule

It was NASA’s first use of a reused Falcon rocket and the second of a previously flown Dragon capsule.

US prosecutors move to cash in on $8.5M in seized bitcoin

The bitcoin cache was worth less than $500,000 when a suspect was arrested on drug charges.

Most Read