Problems with re-work and flight test results continue to plague the beleaguered 787 program, and we understand that  only 3-5 deliveries will occur in 2011, down from a projected 12-20 as of Boeing’s last earnings call.  Compounding the problem, we understand that only 5 747-8 will be delivered this year also.  This is not good news for Boeing, which is expected to formally announce additional program delays at its earnings call on Wednesday the 27th of July.

This eighth (we’re losing count) delay for the 787 program continues to erode Boeing’s credibility with respect to deliveries and meeting its commitments.  The key question is whether potential will accept the 787, or be leery of the new technology and book around it, given the massive negative publicity the program has incurred over the last few years.

We hope Boeing can resolve the issues and finally get this certified and into production soon, as it is becoming a continuing embarrassment that has seriously eroded the competitive position of the company and its planned Yellowstone strategy.

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