George Shapiro's questions to Spirit AeroSystems Holdings Inc (SPR) leadership • Q1 2024
Question
George Shapiro of Shapiro Research asked what it will take to resolve the Airbus negotiations and questioned the drivers behind the decline in underlying operating margin.
Answer
CEO Pat Shanahan stated that threats are ineffective and that partnership and 'family meetings' are needed, stressing that financial risk becomes operational risk. CFO Mark Suchinski explained the margin pressure is due to 'short-term pain' from necessary, disruptive investments in new inspection processes, which he does not expect to have a long-term negative impact.