Spirit AeroSystems seeks NI supplier cost cuts

The move concerns the Airbus A220 - Spirit makes the wings for that plane in Belfast

Spirit AeroSystems has said it is changing some of the suppliers to its Northern Ireland operations as a cost cutting measure.

It is unclear whether the cuts will have any impact on local suppliers.

The move concerns the Airbus A220 because Spirit, a US-based company, makes the wings for that plane in Belfast.

Airbus and Spirit are currently renegotiating financial terms for the A220 work.

Speaking on Tuesday, Spirit's chief executive, Patrick Shanahan, said: "The negotiations with Airbus continue and have been productive.

"We hope to conclude by February, but we need to ensure all items are addressed.

"We are converging on operational and financial solutions."

Spirit's deal to buy Bombardier's operations ended uncertainty for thousands of staff

Spirit has been in Northern Ireland since 2019 when it bought Bombardier's operations.

The deal ended a long period of uncertainty for about 3,000 workers in Northern Ireland.

Mr Shanahan told financial analysts that the firm was looking at cost savings from work coming out of the old Bombardier supply chain and going to Airbus suppliers.

"We've jointly evaluated those costs, and Airbus has a significant history with those suppliers. So I feel confident in that cost basis," he added.

He was speaking as the firm reported financial results for the fourth quarter of 2024 which included another $58m (£46m) of losses related to the A220.

Spirit's US operation is the major supplier to the troubled Boeing 737 Max.

The company said it would not be providing investors with financial forecasts for the year ahead until there is clarity from regulators about when Boeing will be allowed to increase the production rate of the 737 Max.