Senator Moran Urges Stability Amid Boeing's Spirit AeroSystems Acquisition
U.S. Senator Jerry Moran is calling on the heads of key defense companies to ensure continuity in the operations of Spirit AeroSystems in light of Boeing's planned acquisition of the Kansas-based supplier. Moran, a ranking member of the Senate Commerce aviation subcommittee, highlighted his efforts to reach out to leaders of Lockheed Martin, Northrop Grumman, Airbus, General Atomics, and Textron to safeguard future defense work at the aero-structures giant.
Moran stressed the importance of maintaining the current level of activity in Kansas. “I want to ensure that the work continues in Kansas," he remarked, emphasizing that the acquisition must not compromise the capability to meet defense needs. Boeing's move to acquire most of Spirit comes as the planemaker grapples with a quality crisis from a recent incident where a door plug detached from a nearly new 737 MAX 9 mid-air. This event has had widespread implications, affecting airlines, suppliers, and passengers, and has created a wave of uncertainty in aerospace-dependent states like Kansas.
"We have a lot of eggs in the Boeing basket," Moran observed, noting that Spirit employs around 2,000 individuals focused on defense projects. Boeing Defense CEO Ted Colbert commented that it is typical for major defense firms to source parts from one another. Nonetheless, Moran is seeking firm assurances to avoid any future supply chain issues. “This work needs to be done – and there can't be a gap,” Moran insisted.
In the short term, Moran believes the continuity will be maintained but raises concerns about the long-term outlook. “In the long term, is there some other company that arises that can work for a multitude of companies?” he questioned. Moran has also engaged with top U.S. defense officials, including the Air Force secretary and the Pentagon acquisition chief, to discuss the situation.
Moran and Senator Jeanne Shaheen are leading a delegation of seven senators at the Farnborough Airshow, aiming to persuade aerospace firms to invest in their respective states. Kansas Governor Laura Kelly noted the significance of the aerospace industry to the state's economy, with 450 aerospace suppliers employing approximately 100,000 workers and producing annual economic output of $20 billion.