Boeing posts massive charge for 787 Dreamliner problems, sending losses soaring

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edition.cnn.com

Boeing posts massive charge for 787 Dreamliner problems, sending losses soaring

Boeing took nearly $4 billion in charges related to problems it had with its 787 Dreamliner, causing losses to soar for the third straight year.
edition.cnn.com edition.cnn.com

New York (CNN Business)Boeing took nearly $4 billion in charges related to problems it had with its 787 Dreamliner, causing losses to soar for the third straight year.

The company had already been hit with the problems surrounding the 737 Max, which was grounded for 20 months starting in 2019 following two fatal crashes. Demand then plunged for new aircraft because of massive airline losses caused by the pandemic.

Boeing has essentially been unable to deliver the widebody 787 jet for a year because of quality control issues.

The company said it will have to pay $3.5 billion to compensate customers for the delayed deliveries. It delivered only 14 of the jets in 2021, and none since June. It also said the delays would increase the costs of producing the plane by an estimated $2 billion, with most of those costs coming at the end of this year. It booked $285 million of those increased costs in the just completed quarter.

"We are progressing through a comprehensive effort to ensure every airplane in our production system conforms to our exacting specifications. This effort continues to impact our deliveries and our financial results — but we are fully confident it is the right thing to do," said Boeing CEO Dave Calhoun in a memo to employees Wednesday. "While we never want to disappoint our customers or miss expectations, the work we're putting in now will build stability and predictability going forward."

The charges caused the company to report a net loss of $4.3 billion for the year, which is actually an improvement from the $11.9 billion it lost in 2020. Its core loss, excluding special items, came to $4.1 billion for the year, reversing a narrow profit on that basis in the first nine months of 2021. It's a core quarterly loss on that basis of $4.5 billion. That was far worse than analysts had forecast.
 
You need an article/subs, but Google has a cached version: https://webcache.googleusercontent....+&cd=1&hl=en&ct=clnk&gl=at&client=firefox-b-d

It's an interesting read in regards to how Boeing is basically becoming the next McDonnell Douglas.
Still crazy how Boeing bought a failing company, and then basically changed their own business to be similar to it.

Boeing last launched a new jet near 18 years ago now, Douglas manged 30 years, all their plains are basically derive another one instead of trying to build something new.
 
Jeez I didn't know. I thought after a rough start the 787 was all good.

Airbus now also has groot kak with the paint falling off of the a350.
1643238678556.png

So no 787, airlines are scared of the a350 paint issue which could be more serious and a very delayed 777x what new widebodies are there?

I see a few a380's are back. Good.
 
Gnome said:
Looks like it is only cosmetic, why more serious?
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in some instances itself developed gaps, leaving the carbon-fibre fuselage exposed to possible weather or other damage.
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www.reuters.com

Insight: Costly Airbus paint flaw goes wider than the Gulf

A dispute between Airbus and Qatar Airways over paint and surface flaws on A350 jets stretches beyond the Gulf, with at least five other airlines raising concerns since the high-tech model entered service, according to documents seen by Reuters and several people with direct knowledge of the matter.
www.reuters.com www.reuters.com

The Qatar regulator has grounded all of them. And the problem is showing up at other airlines too.

Airbus and the European regulator say its fine... Clearly, something is up.
 
They should just cancel all new productions. Boeing is not the same company it was 10 years ago. Seems most experience and knowledge is gone. Best they could do is to take the 747 planes again and build those aircraft. Simply stick to what was working before. To hell with noise and gasses and the likes.
 
I noticed that Qatar Airways changed the aircraft on my upcoming flights to USA. For the past few years they've been Airbus A350s (900 and 1000). Now they're B777, with B787 on the return JNB leg. Dreamliner still my fave commercial jetliner.
 
Brawler said:
www.reuters.com

Insight: Costly Airbus paint flaw goes wider than the Gulf

A dispute between Airbus and Qatar Airways over paint and surface flaws on A350 jets stretches beyond the Gulf, with at least five other airlines raising concerns since the high-tech model entered service, according to documents seen by Reuters and several people with direct knowledge of the matter.
www.reuters.com www.reuters.com

The Qatar regulator has grounded all of them. And the problem is showing up at other airlines too.

Airbus and the European regulator say its fine... Clearly, something is up.
Click to expand...

While airlines and Airbus both maintain this is not a safety issue, it’s not a good look for a brand new plane. Qatar Airways is not so sure, and has grounded large numbers of aircraft on what it says is a demand from its local regulator. It is pressing for compensation from Airbus, and has paused deliveries of any new A350s until the issue is resolved.
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Well let's be real, they almost certainly can't fill those planes now during COVID times, so convenient excuse to ground a bunch of planes and still get paid.

At least it isn't nose diving for the ground.
Or catching fire every other week.
 
Gnome said:
Well let's be real, they almost certainly can't fill those planes now during COVID times, so convenient excuse to ground a bunch of planes and still get paid. No doubt a problem.
Click to expand...
They actually are short on planes.
A nice summary here:
 
Boeing has a long way to go, but the 787 is a sublime piece of machine. I flew on 2 of them last week and they are still very nice and quiet and comfortable - obviously also dependent on configuration.
 
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