Boeing posts first annual loss in two decades as 737Max costs rise and sales plummet

UNITED STATES – Boeing Co, an Icon of American manufacturing has reported its first annual loss since 1997 as 737 MAX costs doubled to nearly $19 billion. Boeing’s core operating loss was $2.53 billion, or $2.33 per share, compared with a profit of $3.87 billion, or $5.48 per share, a year earlier. Boeing also reported negative free cash flow of $2.67 billion for the fourth quarter ended Dec. 31, compared with a positive free cash flow of $2.45 billion a year earlier. Analysts on average expected Boeing to post earnings…

Read More

Airlines’ profit projected to reach US$29.3bn in 2020, says IATA

GLOBAL – The International Air Transport Association has said that the global airline industry will have a 13.13 percent increase in net profit this year. The association forecasts that the industry would produce a net profit of US$29.3bn in 2020, an impressive improvenent over a net profit of US$25.9bn expected in 2019. IATA stated that the forecast for 2019 was revised downward from a US$28bn forecast in June, adding that if achieved, this would mark the industry’s 11th consecutive year in the black. According to the association and umbrella body…

Read More

Boeing’s 737 crisis deepens as production stops for first time in two decades

UNITED STATES – Leading aerospace manufacturer, Boeing Co has said it would suspend production of its best-selling 737 MAX jetliner in January 2020. The move to stop production, is the company’s biggest assembly-line halt in more than 20 years, as fallout from two fatal crashes of the now-grounded aircraft drags into 2020. A spokesman said that the aerospace giant would however continue production of a military derivative of the 737, the P-8 maritime surveillance jet. Boeing, which builds the 737 aircraft series in south of Seattle, said it would not…

Read More

Boeing reorganizes its board amid prolonged 737 MAX crisis

USA – America’s Aircraft Manufacturer Boeing Co has in October this year, restructured its board, stripping chief executive Dennis Muilenburg of his chairmanship title. The moves by the U.S plane maker comes as an unexpected strategy shift announced only hours after a global aviation panel criticized development of the troubled 737 MAX and is the latest step the board has taken in recent weeks to improve executive oversight of its engineering ranks and industrial operations. Boeing said in a statement that Separating the role of Chairman and CEO which will…

Read More