Company: SPR
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001628280-25-037839
Chunk: 103

Company: Spirit AeroSystems Holdings, Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 1
Chunk 103
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 his retirement and consulting agreement. After initially finding in favor of Lawson and awarding him $44.8 (plus post-judgment interest) for benefits withheld in connection with the disputed violation, the U.S. District Court for the District of Kansas (the “District Court”), after its decision was reversed on appeal, on June 15, 2023, for benefits withheld in connection with the disputed violation, as well as post-judgment interest at the rate of 4.25%.Spirit appealed the judgment to the Appellate Court. On February 27, 2023, the Appellate Court issued an opinion reversing the District Court decision and concluding that Lawson had violated the terms of the restrictive covenant and remanded for the District Court to address whether the restrictive covenant that Lawson violated was enforceable under Kansas law. On June 15, 2023, the District Court held that the restrictive covenant was enforceable as a matter of Kansas law. The District Court entered judgment in favor of Spirit on June 27, 2023. Lawson appealed the District Court’s latest decision, and on April 25, 2025, the Appellate Court affirmed the District Court’s judgement. The time for Lawson to seek further review of this decision expired on July 24, 2025. A liability for the full amount of the award issued on October 19, 2021, plus accrued interest through March 28, 2023, was recognized. As a result of the conclusion to this litigation, the Company will reverse accrued liabilities of approximately $47.5 in the third quarter of 2025. 

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Table of ContentsSpirit AeroSystems Holdings, Inc. Notes to the Condensed Consolidated Financial Statements (unaudited)(U.S. Dollars in millions other than per share amounts)

From time to time, in the ordinary course of business, the Company receives certain requests for information from government agencies (including the Department of Justice, the SEC and the FAA, among others) in connection with their regulatory or investigational authority. The Company has received information and document requests related to the January 5, 2024 Alaska Airlines incident, the B737 MAX 9 door plug, and safety and quality processes in the B737 MAX line production. These include requests to assist the government in investigations or audits, including by the FAA, as a party representative to a now-concluded National Transportation Safety Board investigation, grand jury subpoenas from the Department of Justice, and subpoenas or examination requests from