Source: Spirit AeroSystems
Boeing’s largest supplier, Spirit AeroSystems, is temporarily suspending US production due to the coronavirus. In a press release, Spirit said they would suspend production for 14 days at their Washington state facilities along with its other facilities in Wichita, Kansas, and in Tulsa and McAlester, Oklahoma. The company is keeping its Charleston, South Carolina facility available for 787 production as needed.
Spirit said they would continue to pay employees who were sent home during the suspension. The company also said they would use the halt in production to deep clean and sanitize each facility.
This move comes at a time when Boeing’s airline customers have deferred taking new aircraft and making pre-delivery downpayments, compounding its troubles related to the grounding of its once fast-selling 737 MAX jet after fatal crashes.
In the announcement, Spirit added that when production did resume it would “align our costs and workforce to the new level of production set by Boeing.”
The company also said Airbus and other third-party work would continue.
Source: Equities News