Due to the downturn in the commercial aviation market caused by the global pandemic and the effect on its business from the grounding of the 737 MAX, Spirit AeroSystems now has an excess of production capacity across its global operations. As a result, the company has decided to close its facility in McAlester, Oklahoma.
The fall-off in airline travel due to the COVID-19 pandemic has reduced overall demand for new commercial airplanes. In a matter of months, Spirit’s production rates for commercial aircraft fell from historic highs to much lower volumes. Airline travel, and corresponding demand for new airplanes, is not returning as fast as expected at this point. As a result, Spirit continues taking steps to restructure its company for a protracted market downturn, including consolidating certain operations.
Over the next several months, Spirit will begin moving the work currently performed by its McAlester operations to its facilities in Tulsa and Wichita, and a residual amount will be placed with its regional suppliers.
