:Boeing Co said on Wednesday it was halting 777X production through 2023 due to a fresh delay in its entry into service after certification problems and weak demand, with $1.5 billion in added costs for the mini-jumbo program.
On the plus side, Boeing said it submitted a certification plan to U.S. air-safety regulators in a step toward resuming deliveries of its 787 Dreamliner, halted for nearly a year by inspections and repairs in an industrial headache costing about $5.5 billion. Boeing has"completed the required work on initial airplanes and is conducting check flights", Chief Executive Dave Calhoun told employees in a memo on Wednesday, a development that should cheer airlines that have cut back on flying long routes due to delivery delays.
"We've got to give ourselves the time and freedom to get this right," Calhoun told analysts on a call after the company posted results. "We are concerned that this delay may allow airlines to cancel without penalty," Citi Research analyst Charles Armitage said. Calhoun reiterated Boeing was on track to return to positive cash flow in 2022 as it ramps up deliveries of the 737 MAX cash-cow narrow-body aircraft, with travel rebounding from the pandemic.It reported a quarterly core loss per share of $2.75, compared with a loss of $1.53 per share a year ago. Revenue fell to $13.99 billion from $15.22 billion.