After announcing a year ago it was studying the possible sale of its commercial aircraft plants in Wichita, Tulsa, and McAlester, Okla., The Boeing Co. has a deal with Onex Corp., a Canadian conglomerate, for $900 million cash, assumption of certain liabilities, and long-term supply agreements. It is part of the company's plan to concentrate on aircraft design and final assembly.
"Boeing selected Onex based on its successful, long track record of investing in, and growing companies," says Boeing Commercial Airplanes President and CEO Alan Mulally. "Boeing will benefit from lower procurement costs, and the Wichita/Tulsa operations can now grow by winning new business with other customers."
Onex expects to form a new company to operate the facilities and invest more than $1 billion in the next few years. "The new company will compete for work inside and outside of Boeing, increasing the potential for more stable jobs," added Onex Managing Director Nigel Wright.
The facilities supply fuselage and structural components for Boeing's 737, 747, 767, and 777 programs and is a supplier partner on the 787 Dreamliner. About 9,000 employees work at the division.
In addition, Boeing is selling its Rocketdyne Propulsion & Power business to Pratt & Whitney for about $700 million in cash.