WORLD’S LARGEST AIRCRAFT MANUFACTURER PAYS $580 MILLION CASH FOR N. CHARLESTON PLANT

The the world’s largest aircraft manufacturer will pay $580 million in cash for a South Carolina plant to make large sections of its long-awaited 787 Dreamliner.

Boeing, which is also the nation’s largest exporter, bought the Vought Aircraft Industries’ 787 Dreamliner facility in North Charleston to help speed production after two years worth of problems caused costly delays for the new plane.

Gov. Mark Sanford called the acquisition “a real testament to the dedicated work of our economic development teams at the state and local levels” and praised Commerce Secretary Joe Taylor as well as his predecessor Bob Faith.

“Our administration is equally committed to doing whatever we can to help Boeing succeed and grow in our state,” Sanford said. “It’s also a testament to the workforce and business climate of South Carolina that a world-class company like this is choosing to expand its presence here.”

As part of the deal, Boeing agreed to forgive roughly $422 million in advance payments to Vought. The South Carolina plant will also continue to build components for Boeing’s 787 as well as the 737 and 777.

“Integrating this facility and its talented employees into Boeing will strengthen the 787 program by enabling us to accelerate productivity and efficiency improvements as we move toward production ramp-up,” said Scott Carson, president and CEO of Boeing Commercial Airplanes, in a statement Tuesday. “In addition, it will bolster our capability to develop and produce large composite structures that will contribute to the advancement of this critical technology.”

This transaction is anticipated to close in the third quarter following satisfaction of customary closing conditions, including consent from Vought’s lenders.