Spirit Aerosystems, the supplier that has been implicated in numerous of Boeing’s recent manufacturing problems, is reportedly up for acquisition by Boeing.
The business, a significant provider of air parts worldwide, was separated from Boeing in 2005 as a result of a cost-cutting initiative.
It still gets more than two thirds of its business from Boeing.
Following the January mid-air explosion of a component of one of its aircraft, Boeing has come under scrutiny about their manufacturing process.
Upon reviewing the blast, the US government discovered that bolts intended to secure the panel had been taken out at Boeing’s Washington factory, ostensibly for the purpose of mending damaged rivets, and had never been put back in.
Spirit had manufactured the component before sending it to Boeing for final assembly.
This week, Boeing was given 90 days to create a “comprehensive action plan” for enhancing its safety management systems by the Federal Aviation Administration (FAA), which has been investigating the company since the incident.
Spirit appointed a new CEO last year, and Boeing has already been closely collaborating with Spirit to fix a number of quality issues that have delayed plane delivery.
“We believe that the reintegration of Boeing and Spirit AeroSystems’ manufacturing operations would further strengthen aviation safety, improve quality, and serve the interests of our customers, employees, and shareholders,” Boeing stated in a statement provided to the Reuters news agency on Friday.
Spirit’s stock increased by more than 10% on Friday in response to rumors of acquisition discussions, valuing the company at more than $3.7 billion.
But after the Wall Street Journal published the first report on the talks, Boeing’s stock fell more than 1%.
Spirit, which the Journal said was also considering a sale of its Northern Irish unit to Airbus, did not respond to the BBC’s request for comment.
Spirit employs more than 20,600 people around the world, including about 3,400 in Belfast and 1,120 in Prestwick.