Late last week, Spirit AeroSystems announced layoffs of more than 360 workers, but the facility at the N.C. Global TransPark survived the ax.
“Basically, we announced this reduction of 360 in salaried support and management at those two primary sites in Kansas and Oklahoma,” Spirit spokesman Ken Evans said. “We expressed … that the action is a strategic move, to make the company more competitive in a cost-sensitive environment, and it results from an ongoing workforce assessment, and that is designed to reduce our overhead costs, increase efficiency and drive improved performance.”
Lenoir County Economic Development Executive Director Mark Pope said the Spirit complex at GTP is important to the local economy.
“They mean a lot for us. They have over 400 jobs out there — the salary they bring, the disposable income — all that plays an important role,” Pope said. “Plus, having aerospace in Lenoir County at GTP — it brings a whole new arena for us in recruiting other aerospace industries and being successful.”
He added, “To talk to Spirit execs, you hear they have been successful in hiring in Eastern North Carolina and Lenoir County. They mean a lot to us, and I hope in turn we mean a lot to them, too.”
The move by Spirit comes following an announcement from new President and CEO Larry Lawson that there would be a thorough look at the Airbus A350 and Boeing 787 supply programs which encompass four facilities — the main locations in Kansas and Oklahoma, plus Kinston and St. Nazaire in France.
Evans said he couldn’t make any assurances about possible job losses in Kinston going forward.
“We’re not in a position to give any guarantees that there won’t be — there are none currently planned,” Evans said. “We don’t have any announcements to make to that effect, but this is an ongoing activity.”
The job reduction plan was made at the earnings announcement that the company made a 10 percent earnings increase in the first quarter of this year and sports an order backlog of $36 billion. It also comes at a time when there’s further speculation of a takeover of the company.
The London-based Daily Mail reported Wednesday that British firm GKN looks to buy Spirit.
“Bank of America/Merrill Lynch is said to be advising GKN on the deal and has raised funds to enable chief executive Nigel Stein to take GKN to another level,” Geoff Stein wrote.
The Daily Mail reports GKN is working on a takeover involving $5 billion in cash and shares, amounting to $35 a share. Spirit traded for $24.92 a share at the market’s close Monday on the New York Stock Exchange.
Spirit doesn’t comment on potential business deals.
Wes Wolfe can be reached at 252-559-1075 and Wes.Wolfe@Kinston.com. Follow him on Twitter @WolfeReports.