Boeing Co. BA is reportedly considering the sale of Jeppesen, a navigation unit it acquired in 2000, to reduce its $58 billion debt. Bloomberg reported that the company is working with an adviser on a sale that could bring in more than $6 billion.
The unit, which provides navigation tools to airlines, has already attracted interest from many private equity firms.
The possible divestment follows CEO Kelly Ortberg's review of Boeing's assets to identify units that may no longer align with the company’s focus on core commercial aircraft production. Ortberg said in an earnings call that he's looking at "whether a business or product fits with the long-term strategy or whether it would be better off someplace else."
Ortberg also confirmed that Boeing will pay employees furloughed during the seven-week strike in Seattle, according to a BNN Bloomberg report. "We want to acknowledge your support by returning your lost pay," the CEO said in an internal memo.
However, the company plans more job cuts to reduce costs. Boeing has already been cutting costs with hiring freezes and corporate travel reductions to handle its cash shortage.
BA Price Action: Boeing shares were up 0.48% at $151.70 at the time of writing, according to Benzinga Pro.
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