Alexchao From United States of America, joined Aug 2001, 688 posts, RR: 0 Posted (11 years 12 months 4 days 10 hours ago) and read 10473 times:
Boeing to Complete Production of 757
CHICAGO, Oct. 16 /PRNewswire-FirstCall/ -- The Boeing Company (NYSE: BA - News) announced today that it has decided to complete production of the 757 jetliner in late 2004.
"This decision reflects the market reality for the 757 as well as the growth in range and seating capacity of our market-leading Next-Generation 737 family," said Boeing Commercial Airplanes President and Chief Executive Officer Alan Mulally. "Over the long term, the increased capabilities of our newest 737s and the exciting potential of the 7E7 will fulfill the market served by the 757."
Consistent with prior disclosed estimates, Boeing will recognize a pre-tax charge in the third quarter of $184 million, or 14 cents per share, principally related to termination and shutdown costs at Boeing Commercial Airplanes. Most of the cash expenditures related to the charge will occur through 2005.
Over the past two decades, more than 1,000 757s have been delivered to 55 customers around the world. The worldwide fleet of 757s will continue to benefit from superior fleet support provided by Boeing Commercial Airplanes.
"Thousands of people around the world are to be thanked for making the 757 a success story in aviation over the past 20 years. It will continue to provide great value to the world's passenger airlines and cargo operators in service for many years to come," Mulally said.
The Boeing Company will release its third quarter results October 29th.
Forward-Looking Information Is Subject to Risk and Uncertainty
Certain statements in this release may constitute "forward-looking" statements within the meaning of the Private Litigation Reform Act of 1995. Words such as "expects," "intends," "plans," "projects," "believes," "estimates," and similar expressions are used to identify these forward- looking statements. Forward-looking statements in this release include, but are not limited to, our assessment of the markets for our products. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Forward-looking statements are based upon assumptions as to future events that may not prove to be accurate. Actual outcomes and results may differ materially from what is expressed or forecasted in these forward-looking statements. As a result, these statements speak only as of the date they were made and we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Our actual results and future trends may differ materially depending on a variety of factors, including the continued impact of the commercial aviation downturn on overall production, as well as the impact on production or production rates for specific commercial airplane models, the continued operation, viability and growth of major airline customers and non-airline customers (such as the U.S. Government); adverse developments in the value of collateral securing customer and other financings; the occurrence of any significant collective bargaining labor dispute; the Company's successful execution of internal performance plans, production rate increases and decreases (including any reduction in or termination of an aircraft product), acquisition and divestiture plans, and other cost-reduction and productivity efforts; an adverse development in rating agency credit ratings or assessments; the actual outcomes of certain pending sales campaigns and U.S. and foreign government procurement activities, including the timing of procurement of tankers by the U.S. Department of Defense; the cyclical nature of some of the Company's businesses; domestic and international competition in the commercial area; continued integration of acquired businesses; performance issues with key suppliers, subcontractors and customers; factors that could result in significant and prolonged disruption to air travel worldwide including future terrorist attacks; any additional impacts from the attacks of September 11, 2001; global trade policies; worldwide political stability; domestic and international economic conditions; price escalation; termination of government or commercial contracts due to unilateral government or customer action or failure to perform; legal, financial and governmental risks related to international transactions; and other technical, economic, and political risks and uncertainties. Additional information regarding these factors is contained in the Company's SEC filings, including, without limitation, the Company's Annual Report on Form 10-K for the year ended December 31, 2002 and Form 10-Q for the period ending March 31, 2003, and June 30, 2003.
CV990 From , joined Dec 1969, posts, RR:
Reply 3, posted (11 years 12 months 4 days 10 hours ago) and read 10137 times:
The 757 was a model from early 80's, they got quite a good number of them builted so I think it's a smart move to end the production. Next will be the 767 and the arrival of the 7E7 ( 787 ) will boost Boeing sales because soon the airlines wil start to think about replacing the 757/767 family, and I tell you, there are a lot to be replaced!
HlywdCatft From United States of America, joined Jan 2001, 5321 posts, RR: 6
Reply 6, posted (11 years 12 months 4 days 10 hours ago) and read 10045 times:
I still don't know the size range of the 7E7. They talk about a 757 and 767 replacement, but that is quite a broad range from the 757-200 to the 767-400.
As of right now Airbus is not making anything in between the A321 and the A330-200, so that is a nice big range right there. That would be like Boeing not having anything between the 737-800 and the 767-300.
CitationX From United States of America, joined Sep 2003, 110 posts, RR: 0
Reply 10, posted (11 years 12 months 4 days 9 hours ago) and read 9805 times:
For a plane that once struggled for sales back in the early 1980s, the 757 program had a solid sales run for over two decades. Overall, it was a good performer and money-maker for the many airliners who flew it. But time and technology eventually will catch and pass all planes, no matter how good they are. This is the case with the 757.
While it represented cutting-edge technology in the 1980s, the 757's avionics suite is probably getting obsolete. Engine technology has also advanced significantly since the 757 was introduced. The 757-300 was an honest attempt to extend the life of the program, but the events of 9/11/01 and tough competition from the A321 and Boeing's 737-900NG sealed its fate. That being said, however, I expect the 757 to continue providing solid, mainline service for at least another decade.
On a happier note: For those of you hoping for the 7E7 go-ahead, the end of the 757 program may be one of the key events in preparation for the new aircraft's launch.
Tekelberry From United States of America, joined May 2003, 1459 posts, RR: 4
Reply 12, posted (11 years 12 months 4 days 9 hours ago) and read 9719 times:
Boeing never really upgraded the 757 as they did with the 737, 747 and 767.
What do you call the 753 then? I believe they only got 2 customers for that. Why would they enhance the 757 with a new series when the -200 doesn't need any enhancements and the -300 didn't go over too well.
The 737NG competes better with the Airbus competition. Besides, if anyone wants any more 757s after they go into post-production, there will be plenty in the used aircraft market for them to buy/lease.
Dtw757 From United States of America, joined Oct 2003, 1623 posts, RR: 4
Reply 16, posted (11 years 12 months 4 days 9 hours ago) and read 9583 times:
I guess we can say one thing about it. You will probably be able to fly on them for at least 20 years. 727 production ended in 1984 and you can still find one here or there to fly on.
It really comes as a surprise to me. I figured at least another 10 years in production. I heard them say one time on a 777 tv show that I saw, that Boeing expected to have a 50 year production cycle for the 777.
American 767 From United States of America, joined May 1999, 4504 posts, RR: 12
Reply 18, posted (11 years 12 months 4 days 8 hours ago) and read 9405 times:
Oh yes, they'll be around for years to come. You'll still see them in large numbers at American, Delta, Northwest and United, those are the major carriers that operate them in large numbers. Don't worry, if you want to fly on one you'll still have plenty of occasions to get one long after it goes out of production end of next year. You'll see a lot of them in the United States till at least 2015, I estimate. Look at the 727, it has been out of production for now nearly two decades and it is only this year that the last 727 has been phased out from passenger service at major carriers. So it is reasonable to think that we'll still see 757's in passenger service till at least the mid 2010's.
Yes, it is sad to see the end of the 757 production is near. It's sad to see the end of any airliner. That rumour has been going around for a few months, I read in Airliners earlier this year that if no more orders were received then the 757 productin line could be shut down by 2005. It was then a rumour, Boeing was still accepting new orders for the 757, both the 200 and 300 series aircraft, but now Boeing has officially announced that the 757 production line would soon come to an end. That means Boeing will no longer accept new orders. I see three reasons why Boeing has taken this decision, according to what I've been reading on airliners.net:
1. Boeing wants to officially launch the 7E7 next year
2. Continental has decided to cancel 6 753's on order and convert those to 738's.
3. No 757 orders have been received within the last two years (9-11 being the main reason sales at Boeing drastically dropped down, but another reason is a lot of airlines showed interest in the Next Generation 737 series aircraft), I'm not positive about that one, but I remember seeing somewhere that besides the 753's due to be delivered to Continental, Boeing has in remaining orders to be filled only 7 more aircrafts to build and deliver.
Today the 757 is old like the 727-200 was old 20 years ago.
Duncan From United States of America, joined Apr 2002, 131 posts, RR: 0
Reply 19, posted (11 years 12 months 4 days 8 hours ago) and read 9246 times:
Shame, but we all knew it was coming....The 757 has been good to me, I've worked on it in various ways for 7 years now, in production at Boeing, in service at an airline and supporting the RB211 engines.. nice looking aircraft "Long Tall Sally".
The 757 will stay for some years as a venerable passenger aircraft and, with at least 1 STC out there for freighter conversions, sees a good long second life as a very fuel efficient and economical freighter to take up the slack when those 727 (and other stage 2/3) freighters start being mothballed.
FlagshipAZ From United States of America, joined Jan 2001, 3419 posts, RR: 13
Reply 20, posted (11 years 12 months 4 days 7 hours ago) and read 9130 times:
To 727LOVER...992 757-200s have been ordered, with 6 left to be built. 61 757-300s have been ordered, with 12 left to be built as well...but the CO deal with Boeing is probably changing this. All in all, there probably be roughly 1,040 757s assembled. It didn't quite make the number of 727-200s made. Regards.
"Beer is living proof that God loves us and wants us to be happy." --Ben Franklin
DCA-ROCguy From United States of America, joined Apr 2000, 4595 posts, RR: 32
Reply 21, posted (11 years 12 months 4 days 7 hours ago) and read 9052 times:
The 757 is a great plane and I love flying transcon in it. I think the main reason that 757 orders have fallen off is that the 757 is an orphan that doesn't fit with new market realities.
Airlines are trying to simplify fleets, especially in the US. Having two narrowbody families apparently doesn't fit those economic conditions, and the bulk of most carriers' narrowbody needs are in the 100-150-seat range. So the 73G series and A32X series--which as several people have noted have newer avionics as well--are the ones that stay in demand. As noted above, the 7E7 will cover the 753 and 762 capacity slots.
From what I read the 739 doesn't match the 757's range and stretches its range flying transcontinental. Is the 739X is supposed to solve that issue?
Continental and the few other 753 operators are exceptions--how many more a/c do they have on order? Fortunately, there are lots of 757's out there, so as Ben noted we'll no doubt be seeing them on the apron long after production ceases.
Need a new airline paint scheme? Better call Saul! (Bass that is)
PVD757 From United States of America, joined Aug 2003, 3447 posts, RR: 15
Reply 22, posted (11 years 12 months 4 days 7 hours ago) and read 8994 times:
I too love the 757, and am also very sad to here the news...the last two years have just sucked for the aviation industry. At least the oldest ones are only 20 years old, so they'll still be around for a few more.
Aloha717200 From United States of America, joined Aug 2003, 4542 posts, RR: 13
Reply 23, posted (11 years 12 months 4 days 6 hours ago) and read 8898 times:
This is terrible news.
The 757 is my second favourite aircraft, right behind the 727. I had hoped that boeing would at least consider the prospect that once the market picks up, the surplus 757s will get used again, and airlines will like to buy more new 757s off the line.
It'll take a miracle now to save the 757....nothing short of a very large order for a customer that projects wanting many of them over the years...placed in 2004...will save it. I hope this happens. Because like it or not, the 7e7 is not the replacement for the 757. The 739x might end up being one...but honestly, can a stretched-to-the-extreme 737NG really match the 757? The fuel economy and the power on the 757 are just two things to consider. The 739 right now is very underpowered compared to the 757.
Maybe boeing doesn't see the 757 market as having any future growth. I dont think this is true. The entire reason that the 757 isn't successful right now is simply because of the fact that there are so many surplus models out there. Once those go back into service, the demand will return, and itll take an economic recovery to make that happen.
I think this is a bad idea, to close the 757 line. I feel even worse knowing some people were cheering for this sort of news to come about. As much as you may like the 739 or the 7e7, they are no replacements for the 757. At least not yet. The 739 could never match the power and beauty of a 757. The 739 is just plain ugly by comparison.