Boeing CFO says would fund any Spirit deal with mix of cash and debt

Boeing (BA) CFO Brian West, when asked about the news that Boeing might reacquire Spirit AeroSystems (SPR) while speaking at the Bank of America Global Industrials Conference, replied: “So you all would have seen our response to the discussion in the media. When there’s more information to share, we certainly will do that. I would say I’d point back to comments that Dave made in January around how Boeing more than 20 years ago probably got a little too far ahead of itself on the topic of outsourcing. And this is probably the example. We believe and Spirit believes that reintegrating these two companies is what’s best for safety and for quality for the aerospace industry. We have conviction on that. And without going into the synergies and efficiencies, it’s really about focus and running that business not as a business. It was a factory. Run it as a factory and stay focused on safety, on quality and stability. And that opportunity sits there. And I will also say that one thing that I’ve commented previously is how important our investment-grade rating is to us. And we work very closely with the rating agencies. And I will say that if a transaction were to occur, we would not use equity, right? We would fund it with a mix of cash and debt. But in terms of how that all plays out, can’t comment, but the discussions are happening.”