According to the law firm press release, Spirit AeroSystems designs and manufactures aerostructures fuselages, propulsion systems and wing systems for commercial and military aircrafts. The Company's main customers are The Boeing Company ("Boeing") and Airbus SAS ("Airbus").
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading
statements regarding the Company's business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company was having difficulties in executing its diversification and growth strategy as it expanded its customer-base, manufacturing sites, and product design capabilities, while managing multiple development programs with significant design changes and schedule delays; (ii) the Company lacked adequate internal and financial controls, specifically adequate controls over cost overruns on its 787 program, G650 Wing program, BR725 program and the G280 Wing program; and (iii) as a result of the above, the Company's financial statements were materially false and misleading at all relevant times.
On October 25, 2012, the Company disclosed for the first time that it expected to record charges against 2012
earnings, and to future years' earnings, totaling $590 million, attributed to significant operational problems across
multiple product lines. Analysts immediately voiced suspicions that defendants had misled investors regarding the
profitability of the 787 program, sustained free cash flows and the fact that there was an impending write-down which accounted for nearly 20% of Spirit AeroSystems' contractual revenues. On this news, Spirit AeroSystems stock declined $6.55 per share or 30%, to close at $15.11 per share on October 25, 2012.
On May 14, 2015, the Court issued an Order dismissing this case with prejudice.