The seats will be available for installation on new aeroplanes and as retrofit configurations for aircraft produced by Boeing and other commercial aeroplane manufacturers.
The joint venture is said to address the aviation industry's needs for more capacity in the seating category, superior quality and reliable on-time performance. Industry analysts forecast the commercial aircraft seating market to grow from approximately $4.5bn in 2017 to $6bn by 2026.
"Seats have been a persistent challenge for our customers, the industry, and Boeing, and we are taking action to help address constraints in the market. Adient Aerospace will leverage our industry leadership and deep understanding of customer needs and technical requirements, to provide a superior seating product for airlines and passengers around the world," says Kevin Schemm, senior vice president of supply chain management, finance and business operations and chief financial officer for Boeing Commercial Airplanes.
"Adient has a strong set of transferable competencies that will offer a unique opportunity to create value for our company and for Boeing, our shareholders and the broader commercial aircraft market," says Adient chairman and CEO Bruce McDonald.
Adient Aerospace's operational headquarters, technology centre and initial production plant will be located in Kaiserslautern, Germany, near Frankfurt. The joint venture's initial customer service centre will be based in Seattle, Washington. Its aftermarket spare parts distribution will be performed exclusively through Aviall, a wholly owned subsidiary of Boeing.
Adient is the majority stakeholder in the new company (50.01% share) and expects the joint venture to be included in its consolidated financial statements. Boeing (as 49.99% partner) will receive a proportionate share of the earnings and cash flow. Both will have representation on Adient Aerospace's board of directors.
