Boeing Cuts 787 Dreamliner Delivery Target After Finding New Problem. The Stock Is Falling.

2 weeks ago 9

Updated July 13, 2021 9:25 americium ET / Original July 13, 2021 9:21 americium ET

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Boeing present expects to present little than fractional of the 787s presently successful its inventory this year.

Photograph by SeongJoon Cho/Bloomberg

Boeing banal slipped successful premarket trading connected Tuesday, arsenic the level shaper chopped its transportation people for 787 Dreamliner planes aft discovering a accumulation defect.

The aerospace elephantine halted deliveries of 787 Dreamliners successful May aft the Federal Aviation Administration said it needed much accusation connected the company’s planned method for inspecting the jets.

Boeing said connected Tuesday that it has subsequently found “additional rework” that volition beryllium required connected undelivered 787 jets. The institution present expects to present little than fractional of the 787s presently successful its inventory this year. Boeing’s 787 accumulation complaint volition besides beryllium reduced to beneath 5 a month, portion enactment connected the occupation is prioritized.

The banal was 2.1% little successful premarket trading, weighing connected Dow Jones Industrial Average futures, which were 0.2% down, implying an 80-point nonaccomplishment astatine the open. Boeing banal is 11% up twelvemonth to date, arsenic of Monday’s close, but has fallen 11.5% from a caller highest successful March.

Boeing expects the defect to instrumentality astatine slightest 3 weeks to address, The Wall Street Journal reported, citing radical acquainted with the matter. The FAA said the contented posed nary contiguous information threat, the study added.

Dreamliner deliveries were initially halted successful the autumn for 5 months arsenic the FAA investigated manufacturing flaws, earlier restarting successful March 2021.

The recently identified occupation is different stroke for Boeing aft the FAA precocious told the level shaper its 777X pitchy likely won’t beryllium approved for commercialized service until mid-2023.

In much affirmative quality for Boeing, the institution resumed deliveries of the 737 MAX successful May aft securing regulatory support for a hole to an electrical problem. The 737 MAX returned to work successful November 2020 aft being grounded for 20 months pursuing 2 fatal crashes.

Write to Callum Keown astatine callum.keown@dowjones.com

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