George Shapiro's questions to Spirit AeroSystems Holdings (SPR) leadership • Q1 2024
Question
George Shapiro of Shapiro Research asked what it will take to resolve the Airbus negotiations and questioned if the recent operating margin pressure was temporary or a long-term structural issue.
Answer
CEO Pat Shanahan stated that threats are not effective with Airbus and that resolution will come from partnership, though it may require a few more 'family meetings.' He stressed that financial risk becomes operational risk. CFO Mark Suchinski addressed the margin question, explaining the pressure is from near-term, one-time investments in the new inspection process and should not have a long-term negative impact on profitability.