Airbus agrees additional $94m support for Spirit Aerosystems

Airbus has agreed an additional support package for loss making Spirit Aerosystems worth $94 million bringing the total financial support to $152m.

Airbus took control of parts of Spirit AeroSystems which makes components for its aircraft, including the Airbus A220 wing factory in Belfast, Northern Ireland (Short Brothers) with Boeing also taking on parts of Spirt Aerosystems.

The financial support from Airbus comes in the form of advance payments for aircraft parts but has the caveat that the support is only to be used on Airbus related activities.

The Spirit AeroSystems factory in Belfast, which is split between Boeing and Airbus, has recently seen its loss increase from $338m to $506m according to its latest accounts.

It had hoped to sell the remainder of its operations such as A220 mid-fuselage sections and Engine Nacelle production for Rolls-Royce to a third party but as none have emerged, Boeing is expected to take control of the remainder of the site.

Financial operations at Belfast are at a critical point with Spirit AeroSystems Holdings withdrawing its “Letter of Support” that the Short Brothers site relied up on in the previous financial year to hold off fears of insolvency.

Boeing has said it aims to lead the Belfast operation back to financial stability saying it will be “good stewards of the business” which will be a relief for the hundreds of workers employed there.