Boeing HQ
There is some good news for Boeing today amidst the continuing strike against the company and angry employees. In good news, Boeing has delivered the first production MH-139A Gray Wolf helicopters to the USAF, with these new craft slated to replace the aging UH-1N Huey, which flew in the Vietnam war. That should be an attractive program for Boeing.Â
In other good news, Alaska Airlines CEO Ben Minicucci spoke of significant improvement at Boeing following their door plug incident. He also indicated that “there’s still a long road, and it’s not a road that’s going to be done in the next few months. This is a road that’s several years in the making. We’re not stopping our focus and attention on holding Boeing accountable to the highest levels of accountability and quality.” He also spoke highly of new Boeing CEO Kelly Ortberg.
Unfortunately, the other news is primarily negative. The resumption of contract talks were reported to be frustrating to the union, as management did not want to discuss the key issues in dispute, wage rates and pension. That doesn’t bode well for a quick resolution, which Boeing needs to avoid a credit downgrade during a cash crisis from the strike.
Boeing has also announced rolling furloughs, with 1 in 4 weeks off and unpaid, to reduce cash expenses for tens of thousands of employees. Details of the plans will be disclosed to affected employees later today, which are not expected to impact the non-union Charleston plant.
Finally, the Starliner remains in the news, with an editorial suggesting that NASA is not holding Boeing appropriately accountable. Boeing was expected to be the winner against the start-up SpaceX when the contracts were let, but the opposite has occurred. The expectations and technical strength of Boeing have apparently been over-estimated.
Links to today’s key stories follow:
- Boeing delivers first production Gray Wolf helicopters to USAF – Defence Blog
- Alaska CEO sees ‘significant improvement’ at Boeing after door plug incident – ReutersÂ
- Boeing contract talks continues after workers left ‘frustrated’ – BNN Bloomberg
- Boeing announces broad rolling furloughs keyed to Machinist’s strike – Seattle Times
- The stranded astronauts are stoic. NASA shouldn’t be – Fortune
