Leonardo finds new partner for aviation structural units after Boeing issues

ROME (Reuters) – Italy’s Leonardo has identified a new industrial partner in its aviation structural division, which has been hit by problems with U.S. mastermind Boeing, the state control group chief executive said Thursday .

Leonardo attempts to restore its aviation structure business to profitability. CEO Roberto Cingolani said in November that the division is looking for new opportunities, which produced two parts for Boeing’s 787 aircraft.

After Cingolani told analysts, we have identified investment partners in the defense and space sectors to jointly invest in the new industrial plans for aviation structures. ”

He said the group was totally committed to finding solutions as soon as possible, but did not provide further details.

“During these times, urgent negotiations are underway,” he said.

Cingolani added that it will announce in the organization’s strategic update on March 11 that the unit’s broader plan will employ about 4,000 employees at four factories in southern Italy.

Results show that Boeing’s orders in 2024 are higher than the previous year, and Ringolani said Leonardo has agreed to reposition the components of the US giant.

However, the Italian group had to revisit its delivery roadmap several times, with cargo rates falling to very low levels.

One company’s slide shows that last year, Leonardo provided Boeing with 49 body parts, allocated from 39 and 28 stabilizers in 2023 to 32 the previous year.

“This is not enough, the problem is getting bigger and bigger,” Cingolani said.

(Report by Giulia Segreti, edited by Gavin Jones)