Moderators: jsumali2, richierich, ua900, hOMSaR

 
User avatar
kanban
Posts: 4019
Joined: Sun Jan 06, 2008 1:00 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Fri Jul 19, 2019 7:26 pm

funny we call a company's strategy "cheap" when things go wrong, but call it "innovative" when they go right. The problem here is neither this fiasco nor the 787 was caused by "cheap", they were caused by human errors. this time an engineering miscue, the other by procurement and manufacturing engineering inexperience.

The main problem with carte blanche changing of management, is you lose more good people and replace then with new untrained dunderheads who will find new ways to create chaos. Yes a few twits need removal.

goosebayguy, you're lacking in long range vision, and business economics. the write-down is to cover expenditures while the 737max is stored and to keep the line running (as well as paying suppliers). once the fix is approved and implemented, there will over 200 737max to be delivered and final payments collected. Boeing may have stopped collecting progress payments on planes coming off the line, so those payments are still owed. yes Boeing will pay some compensation to airlines, but it will probably be in the form of reduced selling prices. there are law suits by big investors, but as in the past Boeing will remind them that although they offer the best information available, the stock market is still a form of gambling and rewards are not guaranteed.
 
mxaxai
Posts: 1756
Joined: Sat Jun 18, 2016 7:29 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Fri Jul 19, 2019 7:50 pm

kanban wrote:
the write-down is to cover expenditures while the 737max is stored and to keep the line running (as well as paying suppliers). once the fix is approved and implemented, there will over 200 737max to be delivered and final payments collected. Boeing may have stopped collecting progress payments on planes coming off the line, so those payments are still owed.

The money in this write-down is gone, or will be gone in the future.
It's not there to pay suppliers or to account for undelivered assets. Buying parts from suppliers does not change the bottom line, you exchange money for assets. The same applies to undelivered jets. Each of these jets is still worth its sale price on Boeing's sheets.

This loss is for the direct cost of the storage, additional engineering and manufacturing efforts, flight tests, damage compensation, legal investigations, etc.
 
Absynth
Posts: 82
Joined: Wed Apr 17, 2019 5:37 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Fri Jul 19, 2019 8:05 pm

kanban wrote:
goosebayguy, you're lacking in long range vision, and business economics. the write-down is to cover expenditures while the 737max is stored and to keep the line running (as well as paying suppliers). once the fix is approved and implemented, there will over 200 737max to be delivered and final payments collected. Boeing may have stopped collecting progress payments on planes coming off the line, so those payments are still owed. yes Boeing will pay some compensation to airlines, but it will probably be in the form of reduced selling prices. there are law suits by big investors, but as in the past Boeing will remind them that although they offer the best information available, the stock market is still a form of gambling and rewards are not guaranteed.


I'm sorry but this is pertinently incorrect. The cost is related to penalties for the carriers and lowered production / increased cost, financing cost for the lack of cash flow. This is not about lost revenue from frames in storage not sold, that will still be sold next year. Those frames didn't just 'disappear', they still represent their value on Boeings balance sheet but haven't crossed ownership where product is exchanged for money. I guess your local baker doesn't bankrupt every morning sitting on those breads.

Many future costs have not been included yet as compensation to the victims, possible further grounding, lost sales from lower production and lower ASPs, increased spending for retraining and possible compensation for the airliners. Sorry to burst your bubble but the bill will grow larger, not smaller.
 
smartplane
Posts: 1428
Joined: Fri Aug 03, 2018 9:23 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Fri Jul 19, 2019 9:30 pm

par13del wrote:
The key thing here is that the majority of the charge will not be cash paid out.
Small airlines will require cash compensation, larger one's can also but if they have additional a/c on order, their progress payment will go away and or be much smaller.
I suspect Boeing has a lot hidden in the value if it as of now is just a one time charge writing off cash.

Indeed that is the way it works just like retrospective credits (discounts) on new aircraft purchases. 90% if taken as cash. Say 105-110% if taken in parts and services, or 120% plus if new orders.

Boeing are still viewing losses through rose-tinted glasses. For example, customers should have earned retrospective credits on MAX's that would have been delivered, but haven't. Customers will expect adjustments to reflect as if those aircraft had been delivered, at the contracted times. Unless Boeing 'catch up' with production, these payments will be out of sync for the remaining unconditional orders.
 
morrisond
Posts: 2648
Joined: Thu Jan 07, 2010 12:22 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Fri Jul 19, 2019 11:09 pm

Absynth wrote:
morrisond wrote:
SteelChair wrote:

Well, yes, thank you. But $5.6B gone is still a huge hit. I wouldn't characeize it as insignificant.

There has been so much written on this website about the 787 program accounting, I wonder how this grounding and lack of deliveries affects the 737 program accounting, wasnt so much commenting on Boeing as a whole.


It's actually pretty small if you assume that they maybe build 7-8,000 MAX's before they are done - only $1 Million per frame. But it sounds like they are not charging this against the program and instead are just writing it off in one shot. They are probably taking this reserve now - so when they discount future frames they can charge that discount against this reserve and then still report there normal margin. Oh the games you can play with numbers!

This is basically just one year of share repurchases. It hurts but it's not crippling.


If you think Boeing will sell 7-8000 MAX's I have a bridge to sell you. The Max won't last long past 2028, it's already on borrowed time today.

If they don't launch the NSA program soon Airbus will ramp up aggressively. So a maximum of 10 yrs life span against an average 50 p/m would be about 6000, best case. If they launch an NSA around 2030+, airlines will defect and it'll turn into a 757 even earlier.

Keeping sales up will only work in the short run and the only thing holding Airbus (and Comac) back from ramping up aggressively is the prospect of an NSA around the corner.

There are also many costs not taken into account yet: the likely extention of the grounding till early '20, compensation for the victims, lower sales long term and lower ASP long term (which could be about a million or more lower since it's reputation is completely in the gutter for the flying public AND operators - and will remain there when problems are solved - PR will always be PR to regain trust of the public in the planes they operate and gets them goodwill from Boeing).

2 million in lost profits per plane and 1 million in lower ASP seems the more realistic estimate to me.


Which bridge? They are already at 5,000 and between Ryanair and Southwest they need to still order about another 800 to replace all their NG's, plus the 200 that IAG has provisionally ordered. That leaves 1,000 more to sell to get to 7,000. Just their existing customers could take them over that easily on top ups, or do you think there will be no more orders for the MAX in the next 9 years?

Boeing has already talked about going to rate 57 early next year or 684 per year - and possibly higher. Including 2028 assuming that they only remain at rate 57 for the whole time that is 6,156 planes produced plus the 376 already delivered, plus the ones sitting on Boeing's runway's and those yet to be produced in 2019 - which should be about another 400. Call it 6,932 in total at current projected rates.

I am one of the most optimistic around here thinking that NSA might be here by 2028 as I think it will be based on NMA - but that does not mean that will stop selling or producing the MAX as it will take sometime to ramp up NSA volumes.

There could easily be another 1,000-1,500 produced before production ends - I wouldn't be surprised that even if NSA starts production in 2028, MAX is still being produced in 2030.

I'll be surprised if it's as low as 8,000 before production ends and if they go to something like Rate 70 and NSA doesn't show up to 2030 it could be 10,000.
 
SteelChair
Posts: 1428
Joined: Fri Aug 25, 2017 11:37 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Fri Jul 19, 2019 11:16 pm

What about "the brand?" That's been the buzzword among corporate weasels and syncophants for the last few years. "Protect the brand," "grow the brand," etc. I would say the Boeing brand is suffering as a result of this and the other fiascos. How do you value the damage to the brand?
 
morrisond
Posts: 2648
Joined: Thu Jan 07, 2010 12:22 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Fri Jul 19, 2019 11:24 pm

SteelChair wrote:
What about "the brand?" That's been the buzzword among corporate weasels and syncophants for the last few years. "Protect the brand," "grow the brand," etc. I would say the Boeing brand is suffering as a result of this and the other fiascos. How do you value the damage to the brand?


As the Barriers to entry are so high - and the ability for another manufacturer to replace the production very difficult as well - it's not that big of a problem yet - assuming that this all gets fixed.
 
User avatar
keesje
Posts: 13827
Joined: Thu Apr 12, 2001 2:08 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Fri Jul 19, 2019 11:40 pm

I don't want to put oil on the fire, but the MAX backlog hasn't become more solid. Boeing can't meet contracted deliveries. Airlines can decide to fly existing fleets longer, e.g. NG's for 35-40 yrs, deferring/ cancelling orders, take less aircaft, change their fleetmix, optimizing their network, order / lease A320s, A220s, or other aircaft. They can also renegotiate pricing, lowering margin for Boeing.
"Never mistake motion for action." Ernest Hemingway
 
TranscendZac
Posts: 138
Joined: Sat Jun 13, 2015 12:50 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Fri Jul 19, 2019 11:41 pm

Boeing is a microcosm of what American Capitalism, err rather corporatism. It’s sad as they have a lot of talent, but the nasty side of capitalism has damaged an otherwise incredible company.
Zac
 
SteelChair
Posts: 1428
Joined: Fri Aug 25, 2017 11:37 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Fri Jul 19, 2019 11:58 pm

morrisond wrote:
SteelChair wrote:
What about "the brand?" That's been the buzzword among corporate weasels and syncophants for the last few years. "Protect the brand," "grow the brand," etc. I would say the Boeing brand is suffering as a result of this and the other fiascos. How do you value the damage to the brand?


As the Barriers to entry are so high - and the ability for another manufacturer to replace the production very difficult as well - it's not that big of a problem yet - assuming that this all gets fixed.


So in other words, all that "brand" stuff was BS.
 
WBM
Posts: 38
Joined: Sun Jul 22, 2018 4:48 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sat Jul 20, 2019 12:15 am

TranscendZac wrote:
Boeing is a microcosm of what American Capitalism, err rather corporatism. It’s sad as they have a lot of talent, but the nasty side of capitalism has damaged an otherwise incredible company.


I think you are thinking back on a golden age that never was. There never was a time when companies, or individuals for that matter did not make mistakes. There has never been a time when organizations were perfect. There is no system capitalistic or otherwise where every avoidable mistake is avoided, and every avoidable death averted. It is in fact quite likely that the market will provide the biggest punishment to Boeing for the mistakes that were made. This loss is just part of that punishment.

If anything the Aviation industry is an example of the way that our society has been improving in regards to safety. It truly amazes me to think how many flights there are, and how few incidents. While Boeing may deserve some scorn for the mistakes with the MAX, they are also a part of the story of generally improving safety.
 
MSPNWA
Posts: 3698
Joined: Thu Apr 23, 2009 2:48 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sat Jul 20, 2019 12:36 am

$5.6B seems fair at this point. I could see it being less or more in the end. It's going to sting, but the in the grand scheme of things it's a speed bump for Boeing. It's not even a full year of profit.

Absynth wrote:
If you think Boeing will sell 7-8000 MAX's I have a bridge to sell you. The Max won't last long past 2028, it's already on borrowed time today.


Where is this bridge located? I'd like to buy it.
 
User avatar
tlecam
Posts: 1498
Joined: Tue Jul 23, 2013 1:38 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sat Jul 20, 2019 1:24 am

Boeing also probably has some protection through product liability insurance.
BOS-LGA-JFK | A:319/20/21, 332/3, 346 || B:717, 735, 737, 738, 739, 752, 753, 762, 763, 764, 787, 772, 744 || MD80, MD90
 
User avatar
hOMSaR
Moderator
Posts: 2331
Joined: Tue Jan 19, 2010 4:47 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sat Jul 20, 2019 1:36 am

tlecam wrote:
Boeing also probably has some protection through product liability insurance.


Honest question: Is there any insurance out there that is going to pay out billions of dollars for something like this? I don’t know much about insurance for extremely-high-value items, but it seems unlikely that there would really be a practical insurance policy that would represent any kind of meaningful mitigation against liability that could easily reach 10 or 11 figures.
I was raised by a cup of coffee.
 
User avatar
Finn350
Posts: 1601
Joined: Tue Jul 09, 2013 4:57 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sat Jul 20, 2019 2:00 am

hOMSaR wrote:
tlecam wrote:
Boeing also probably has some protection through product liability insurance.


Honest question: Is there any insurance out there that is going to pay out billions of dollars for something like this? I don’t know much about insurance for extremely-high-value items, but it seems unlikely that there would really be a practical insurance policy that would represent any kind of meaningful mitigation against liability that could easily reach 10 or 11 figures.


There isn't, and if there were an insurance cover, Boeing wouldn't have had to take the charge.
 
User avatar
Revelation
Posts: 23694
Joined: Wed Feb 09, 2005 9:37 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sat Jul 20, 2019 2:15 pm

ScottB wrote:
kurtverbose wrote:
Yes, just think, if they'd stumped up a bit more they could've had a new NSA instead of this mess.

The problem with NSA wasn't just development cost; it was also time to market for NSA versus another revision of the 737 and the relatively limited benefits the NSA could deliver over 737-MAX.

Indeed, reading this thread and some other comments online made me want to whip out the HL Mencken quote:

For every complex problem there is an answer that is clear, simple, and wrong.

It's pretty clear Boeing wanted to build a new small airplane, but in addition to what you say they found they could not manufacture it at the rate and cost the narrow body market needs, and they also found that they could get more gains than they originally thought from re-engining along with aero cleanups. Once Airbus moved forward with NEO and captured customer interest, Boeing really had no option than launch MAX.

There really was no option to launch NSA as other than an expensive nice product given where tech was in 2011 or so.

If Boeing had stuck to their guns with NSA then Airbus would be selling large numbers of A320s against the limited number of NSAs that could be produced and whatever NGs customers might still be willing to buy given their inferior engine tech, and the result would have been an even bigger backlog than the one they now have.

This is why we see NMA being positioned as a small narrow body aimed at the gap between 787-10/A321 and 787/A330: there still is no confidence one could build CFRP wings and barrels at the rate needed for narrow body airliners.

kanban wrote:
OK they take a hit now to cover costs to suppliers and to keep the program running. then when the issue is resolved and all those planes in storage are delivered, in comes the cash to nearly balance the books. the trouble is sometimes we don't look further out then the current news blip.

there are heads rolling and there will be more.. the problem is some of the heads are needed to design and implement the fix .. Boeing seldom sends the execution list to the press, and does it quietly. (except when CEO's get caught with their "pens in the company ink well"

Sad to hear about collateral damage. Hopefully it is minimized.
Wake up to find out that you are the eyes of the world
The heart has its beaches, its homeland and thoughts of its own
Wake now, discover that you are the song that the morning brings
The heart has its seasons, its evenings and songs of its own
 
Alfons
Posts: 306
Joined: Sun Feb 03, 2013 1:17 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sat Jul 20, 2019 3:31 pm

MSPNWA wrote:
$5.6B seems fair at this point. I could see it being less or more in the end. It's going to sting, but the in the grand scheme of things it's a speed bump for Boeing. It's not even a full year of profit.


Normally I'm not answering to such text. And it's also of no value. It's just for you, MSPNWA: there is no money on this planet, which is fair for an economically-driven killing of 345 human beings, whole families, children, elderlies. Nothing. It's not going to sting? I hope that it's going to hurt the image of Boeing for a very long, long time, the sales, and everything else of them, until they decide to put a bigger percentage of investment of new IP's into security innovation. And I hope it's also a lesson for Airbus.

Alfons
 
art
Posts: 3311
Joined: Tue Feb 08, 2005 11:46 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sat Jul 20, 2019 6:17 pm

planecane wrote:
WayexTDI wrote:
planecane wrote:

No, the tax payer isn't footing any of the bill. Boeing will only pay less taxes by making less profit. These costs are real. It isn't like they have made up a charge to reduce the tax liability on profits.

A company making less profit and therefore paying less taxes isn't a subsidy or a tax credit.

However, the portion of these costs that get paid to US based airlines will mitigate losses for the airlines. Therefore, the airlines will essentially pay the taxes on the profit that wouldn't have existed without the compensation.

Wait for Boeing asking for more tax break, with this "hit" as a justification. THEN the tax payer will foot the bill.


When was the last time a company had a situation that led to a large charge and then asked for a tax break? There is nothing in the tax code that provides a way to do it. They'd need to pass a law specifically for this situation and I can guarantee you that will not happen.


This all sounds weird to me. I have not checked but seem to recall that Boeing have spent quite a bit on buying their own stock. Do they need help? OK, perhaps if the grounding lasts another 6 months they may need support. I would not favour that if they were sitting on their own stock worth $billions (if they are).
 
User avatar
tlecam
Posts: 1498
Joined: Tue Jul 23, 2013 1:38 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sat Jul 20, 2019 9:06 pm

Finn350 wrote:
hOMSaR wrote:
tlecam wrote:
Boeing also probably has some protection through product liability insurance.


Honest question: Is there any insurance out there that is going to pay out billions of dollars for something like this? I don’t know much about insurance for extremely-high-value items, but it seems unlikely that there would really be a practical insurance policy that would represent any kind of meaningful mitigation against liability that could easily reach 10 or 11 figures.


There isn't, and if there were an insurance cover, Boeing wouldn't have had to take the charge.


There are complex (effectively custom) insurance products that work very differently than the insurance that we’re all familiar with for our auto and homes and also different than most standard commercial insurance products. They don’t pay all of Boeing’s liabilities in these instances, but they probably do provide some form of relief; Boeing would be insane not to have some form of this for risk management purposes. They’re likely loss sensitive with some form of significant retention by Boeing and involve significant placements in primary, excess and reinsurance markets.
BOS-LGA-JFK | A:319/20/21, 332/3, 346 || B:717, 735, 737, 738, 739, 752, 753, 762, 763, 764, 787, 772, 744 || MD80, MD90
 
User avatar
Aesma
Posts: 12940
Joined: Sat Nov 14, 2009 6:14 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sun Jul 21, 2019 12:47 am

Revelation wrote:
nikeherc wrote:
That’s not as bad as it may sound. I’m not denying that it is an eye watering amount of money, but BellSouth took multiple hits of over a billion just for restructuring about 20 years ago. What they do is take a loss on the books upfront and then reduce the accrual as they pay out the penalties in whatever form. When everything has settled out, they will show any balance as a profit or any additional costs as an additional charge. As of now, they haven’t reduced their cash for this, but they have greatly reduced their tax liability.

The markets seem to agree:

Boeing shares rose 2 percent in aftermarket trading, a sign that investors were comfortable with the size of the initial charge, disclosed less than a week before the company plans to release financial results on July 24.

Ref: https://www.reuters.com/article/us-boei ... SKCN1UD30K


Currently you can borrow money very cheaply, so it seems the markets let go of many things as long as the business is kinda sound, they also favor companies spending tons of money in share buybacks, even though the money should be used to invest, research, hire talent, etc. This will not end well.
New Technology is the name we give to stuff that doesn't work yet. Douglas Adams
 
RickNRoll
Posts: 1868
Joined: Fri Jan 06, 2012 9:30 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sun Jul 21, 2019 4:17 am

kurtverbose wrote:
planewasted wrote:
majano wrote:
The article refers to USD5.6 plus a further USD 1.7 to be spread over future accounting periods. I am not challenging that it doesn't sound too bad, but just clarifying the actual cost announced.


That's 7.2 billion in total. The A350 development cost was 12.38 billions according to Wikipedia. I would say that more than half of the A350 development cost is quite much.


Yes, just think, if they'd stumped up a bit more they could've had a new NSA instead of this mess.


Airbus knew that they were taking a gamble with the NEO. They must heaved a big sigh of relief when Boeing decided to take the cheap option.
 
RickNRoll
Posts: 1868
Joined: Fri Jan 06, 2012 9:30 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Sun Jul 21, 2019 4:18 am

Finn350 wrote:
SteelChair wrote:
At what point are profits wiped out for the entire 737 program? Does anyone know how much that program has made? Although its been high volume for years, margins were probably a lot less than for widebodies.


Boeing Commercial Airplanes Unit yearly earnings (profits) of (about $8 billion in an average year) exceeds the proposed charge for the 737 MAX disruptions, so in a big picture the charge is insignificant.
The 737 makes up the majority of that cashflow.
 
User avatar
PW100
Posts: 4108
Joined: Mon Jan 28, 2002 9:17 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Mon Jul 22, 2019 3:25 pm

aaexecplat wrote:
Lol. I find it comical that the same folks who have derided the A380 program as catastrophic to Airbus on this site for months/years are now twisting themselves into a pretzel to describe this initial set of charges as inconsequential to Boeing.

If 6-7B is sort of inconsequential to Boeing, one wonders why they haven't launched the NSA and/or MoM long time ago.
Immigration officer: "What's the purpose of your visit to the USA?" Spotter: "Shooting airliners with my Canon!"
 
User avatar
Revelation
Posts: 23694
Joined: Wed Feb 09, 2005 9:37 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Mon Jul 22, 2019 5:16 pm

PW100 wrote:
If 6-7B is sort of inconsequential to Boeing, one wonders why they haven't launched the NSA and/or MoM long time ago.

The cost of the MAX tragedy doesn't change the fact that the only real way forward for Boeing is to work on getting fixes for MAX approved and for MAX to resume deliveries.

If they admit that their engineering organization has fatal flaws and throw in the towel on MAX, who is going to buy a NSA or MOM from them?
Wake up to find out that you are the eyes of the world
The heart has its beaches, its homeland and thoughts of its own
Wake now, discover that you are the song that the morning brings
The heart has its seasons, its evenings and songs of its own
 
SteelChair
Posts: 1428
Joined: Fri Aug 25, 2017 11:37 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Mon Jul 22, 2019 5:23 pm

Revelation wrote:
PW100 wrote:
If 6-7B is sort of inconsequential to Boeing, one wonders why they haven't launched the NSA and/or MoM long time ago.

The cost of the MAX tragedy doesn't change the fact that the only real way forward for Boeing is to work on getting fixes for MAX approved and for MAX to resume deliveries.

If they admit that their engineering organization has fatal flaws and throw in the towel on MAX, who is going to buy a NSA or MOM from them?


Pretty much everyone that doesn't want a re-engined A330, of that just wants a smaller (than an A330) widebody.
 
Insertnamehere
Posts: 292
Joined: Tue Jul 24, 2018 3:44 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Mon Jul 22, 2019 5:52 pm

mxaxai wrote:
BoeingGuy wrote:
mxaxai wrote:
oof

That's a big hit that may not be available to finance NMA development.


The NMA will happen. You can bet on it.

I have no doubt but 5.6 billion can pay for a lot of extra R&D.


Or in Boeing's case it can pay for more a lot of extra bonuses for top mgmt.
 
User avatar
DL757NYC
Posts: 299
Joined: Wed Nov 02, 2016 6:07 am

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Tue Jul 23, 2019 3:55 pm

BoeingGuy wrote:
mxaxai wrote:
oof

That's a big hit that may not be available to finance NMA development.


The NMA will happen. You can bet on it.



They will fall further behind Airbus if they don’t. They have been dragging their feet like a bride with second thoughts with this NMA
 
User avatar
glideslope
Posts: 1607
Joined: Sun May 30, 2004 8:06 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Tue Jul 23, 2019 4:13 pm

ScottB wrote:
Kindanew wrote:
mxaxai wrote:
oof

That's a big hit that may not be available to finance NMA development.


Its ok. They will lobby even harder for tax breaks.


Maybe they should ask for "repayable loans."


This is Boeing not Pre 2017 EADS. :rotfl:
To know your Enemy, you must become your Enemy.” Sun Tzu
 
Scotron12
Posts: 463
Joined: Fri Mar 01, 2019 2:13 pm

Re: Boeing Expects a $5.6 Billion Hit for 737 Max Disruptions

Tue Jul 23, 2019 5:25 pm

Yes indeed...this is Boeing...WTF happened? After all is said and done.. there seems to be no direction.

Was this $5B a smokescreen to signal Wall Street that this is the total they will endure for the whole fiasco? Normal service will soon resume?

Eerie silence all around on a definite date of return.

Who is online

Popular Searches On Airliners.net

Top Photos of Last:   24 Hours  •  48 Hours  •  7 Days  •  30 Days  •  180 Days  •  365 Days  •  All Time

Military Aircraft Every type from fighters to helicopters from air forces around the globe

Classic Airliners Props and jets from the good old days

Flight Decks Views from inside the cockpit

Aircraft Cabins Passenger cabin shots showing seat arrangements as well as cargo aircraft interior

Cargo Aircraft Pictures of great freighter aircraft

Government Aircraft Aircraft flying government officials

Helicopters Our large helicopter section. Both military and civil versions

Blimps / Airships Everything from the Goodyear blimp to the Zeppelin

Night Photos Beautiful shots taken while the sun is below the horizon

Accidents Accident, incident and crash related photos

Air to Air Photos taken by airborne photographers of airborne aircraft

Special Paint Schemes Aircraft painted in beautiful and original liveries

Airport Overviews Airport overviews from the air or ground

Tails and Winglets Tail and Winglet closeups with beautiful airline logos