Advance Payments and Deferred Revenue/Credits

3 Months Ended

Mar. 28, 2013

Advance Payments And Deferred Revenue Credits [Abstract]

Advance Payments And Deferred Revenue Credits [Text Block]

9.  Advance Payments and Deferred Revenue/Credits

Advance payments.  Advance payments are those payments made to Spirit by third parties in contemplation of the future performance of services, receipt of goods, incurrence of expenditures, or for other assets to be provided by Spirit on a contract and are repayable if such obligation is not satisfied. The amount of advance payments to be recovered against units expected to be delivered within a year is classified as a short-term liability, with the balance of the unliquidated advance payments classified as a long-term liability.

In March 2012, we signed a Memorandum of Agreement with Airbus providing for us to receive advance payments of $250.0 in 2012. The advance payments will be offset against the recurring price of A350 XWB ship sets invoiced by Spirit at a rate of $1.25 per ship set.

Deferred revenue/credits.  Deferred revenue/credits generally consist of nonrefundable amounts received in advance of revenue being earned for specific contractual deliverables. These payments are classified as deferred revenue/credits when received and recognized as revenue as the production units are delivered.

Advance payments and deferred revenue/credits are summarized by platform as follows:

		March 28,		December 31,
		2013		2012
B737		$	20.2	$	20.5
B787			621.7		629.8
A350 XWB			247.3		250.2
Airbus — All other platforms			6.0		6.7
Gulfstream			26.8		28.2
Other			17.6		18.1
	Total advance payments and deferred revenue/credits	$	939.6	$	953.5