✈️ Boeing Boosts Spirit AeroSystems with $350M Lifeline Amid Supply Chain Struggles 💸
Boeing has announced that it will provide up to $350 million in advance payments to Spirit AeroSystems, offering the struggling supplier critical financial relief. Spirit Aero, which has been dealing with prolonged financial difficulties, previously issued a "going concern" warning as it anticipates significant cash outflow due to ongoing operational challenges and high inventory levels. The advance from Boeing aims to support Spirit’s production of Boeing parts, maintaining output levels amid inventory backlogs and elevated factory costs stemming from recent labor strikes and production delays.
In addition, Boeing, which recently faced a 53-day strike affecting production, is planning a gradual restart of its 737 MAX output as machinists return to work. Boeing’s financial assistance to Spirit AeroSystems, which will need to be repaid by 2026, reflects Boeing’s efforts to stabilize its supply chain and meet demand for its commercial jets.