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In this videoShare Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailYou need an engineer at the top of Boeing's management team, says BofA's Ron EpsteinRon Epstein, Bank of America Securities research analyst, joins 'Squawk Box' to break down Boeing's quarterly earnings results, questions over the company's next management team, and more.
Persons: Ron Epstein Ron Epstein Organizations: Bank of America Securities
An aerial photo shows Boeing 737 Max airplanes parked on the tarmac at the Boeing Factory in Renton, Washington, on March 21, 2019. Here is what Wall Street expects for Boeing for the period that ended March 31, according to estimates from LSEG:Loss per share: $1.76 adjusted$1.76 adjusted Revenue: $16.23 billionBoeing has been hamstrung in ramping up production, especially of its best-selling 737 Max planes. After the door plug blew out on the Alaska Airlines Max 9 on Jan. 5, the Federal Aviation Administration has barred Boeing from increasing output. Questions abound for Boeing's lame duck CEO Dave Calhoun, who announced in March that he would step down by year-end. Among those questions: When will Boeing stabilize its production line and increase production of the 737 Max and other planes?
Persons: Dave Calhoun, Max Organizations: Boeing, Max, Boeing Factory, Alaska Airlines Max, Federal Aviation Administration, FAA Locations: Renton , Washington
Boeing 787 Dreamliners are built at the aviation company's North Charleston, South Carolina, assembly plant on May 30, 2023. Boeing told employees on Monday that it expects a slower increase in production and deliveries of new 787 Dreamliner planes because of supplier shortages of "a few key parts." The company had separately been trying to boost output of 787 Dreamliners after quality problems suspended deliveries for nearly two years, ending in mid-2022. "To that end, we have shared with our customers that we expect a slower increase in our rate of production and deliveries," he wrote in the memo, reported earlier by Reuters, adding that the company still plans to increase the rate steadily because of high demand. Boeing reports quarterly results and will likely detail its production plans before the market opens on Wednesday.
Persons: Scott Stocker, Stocker Organizations: Boeing, Boeing's South, Reuters Locations: North Charleston , South Carolina, Boeing's, Boeing's South Carolina
Both Alaska and United Airlines reported quarterly losses this week. But the airlines' bosses said they would've turned profits if it weren't for Boeing's door plug fiasco. AdvertisementThe Boeing door blowout in January tanked Alaska Airlines' first quarter earnings — and it's not the only airline to have been hurt by the incident. Alaska said Thursday its results were "significantly impacted" by the door plug blowout and subsequent grounding of its fleet of 737-9 MAX planes. This story is available exclusively to Business Insider subscribers.
Persons: , it's Organizations: United Airlines, Boeing, Service, Alaska Airlines, Business Locations: Alaska
Alaska received $162 million from Boeing for the Jan. 5 accident, which caused the Federal Aviation Administration to briefly ground the planes. The accident has added additional regulator scrutiny on Boeing and slowed its deliveries of new Max planes, of which Alaska is a major customer. "Alaska [Airlines] needs Boeing, our industry needs Boeing and our country needs Boeing to be a leader in airplane manufacturing," he said. Alaska forecast adjusted earnings per share of between $2.20 and $2.40, above the $2.12 analysts polled by LSEG expected. Adjusting for one-time items, Alaska posted a net loss of 62 cents a share in the second quarter, less than the $1.05 per-share loss analysts were expecting, according to LSEG.
Persons: Ben Minicucci, Minicucci, CNBC's, Dave Calhoun, LSEG Organizations: Alaska Airlines, Boeing, Federal Aviation Administration, Airlines, Airline Locations: Alaska, Seattle, Delta
Boeing's corporate planes collectively flew about 4,500 hours across some 1,800 flights last year, according to data from the aviation-tracking website JetSpy. Jet Edge InternationalThe fleet's top airports include Chicago International Airport, Washington Dulles International Airport, and Boeing Field King County International Airport — all located near Boeing's corporate offices and factories. AdvertisementThe locations of Boeing's corporate fleet on April 12, according to JetSpy data. For instance, JetSpy data shows aerospace company Lockheed Martin collectively flew its five private jets for about 2,700 hours in 2023. AdvertisementBoeing wrote in the filing that its CEO "is required to use company aircraft for all business and personal travel for security reasons."
Persons: , Dave Calhoun, Calhoun, Brian West, Lockheed Martin, Taylor Swift, Elon Musk, Max, messier Organizations: Service, Business, Boeing Business Jets, Canadian, Bombardier, Challenger, Jet Edge, Chicago International Airport, Washington, International Airport, Boeing Field King County International, Airport, Lebanon Municipal Airport, Wall Street Journal, Boeing, Lockheed, PepsiCo, Costco, Alaska Airlines, Calhoun . Locations: Westchester, New York, Lebanon, New Hampshire, South Carolina, New Canaan , Connecticut, American
In this videoShare Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailSen. Blumenthal on Boeing whistleblower testimony: Company is really at a moment of reckoningSenate Homeland Security Permanent Subcommittee on Investigations Chairman Sen. Richard Blumenthal (D-Conn.) joins 'Squawk Box' to preview the testimony of a Boeing whistleblower on Capitol Hill today, Boeing's quality control issues, FAA's oversight lapses, and more.
Persons: Email Sen, Blumenthal, Sen, Richard Blumenthal Organizations: Email, Boeing, Senate Homeland Security, Capitol
Washington DC CNN —Boeing’s already battered reputation took another hit at two Senate committee hearings Wednesday on Capitol Hill, with witnesses questioning how the company builds airplanes and the safety of those planes. Boeing did not have any witnesses at either hearing Wednesday, but at a briefing earlier this week it defended the standards used to build planes. Boeing recently said it has searched for records but believes its employees did not document the work. Bill Clark/CQ Roll Call/SipaHe said that since the hearing was announced, his committee has heard from other whistleblowers inside of Boeing. “What I don’t want this committee to do is to scare the you-know-what out of the American public,” he said.
Persons: Washington DC CNN — Boeing’s, Sam Salehpour, he’s, , Salehpour, , don’t, , Ed Pierson, Max, Democratic Sen, Richard Blumenthal, Bill Clark, ” Blumenthal, Republican Sen, Ron Johnson Organizations: Washington DC CNN, Capitol, Boeing, The Foundation for Aviation Safety, National Transportation Safety, Alaska Airlines, Alaska Air, Democratic, Richard Blumenthal of Connecticut, Senate Homeland Security, Governmental, Republican Locations: Richard Blumenthal of, Dirksen, nonunion South Carolina, Alaska, Wisconsin
Read previewA veteran Boeing engineer told a panel of lawmakers that he received verbal and physical threats for voicing safety concerns to the company. In a Senate hearing on Wednesday, Sam Salehpour, a veteran Boeing employee turned whistleblower, said the company repeatedly ignored his reports of safety lapses during the production of at least 1,400 widebody airplanes. Salehpour said a Boeing quality manager told him not to document concerns or notify experts of the gaps he said exist on the fuselage of hundreds of Boeing 787 Dreamliners. Salehpour — who said he still has his job thanks to whistleblower-protection laws — told lawmakers that has has also received threats against his physical safety. He told lawmakers that although he has "no proof" of where or who the nail came from, he believes it happened at work.
Persons: , Sam Salehpour, Salehpour, Salehpour —, Sen, Richard Blumenthal, Drew Angerer, Taylor Rains Organizations: Service, Boeing, Business, Getty, BI, Alaska Airlines, FAA Locations: AFP, Boeing's Washington
Boeing 's safety and quality were under fire again in two Senate hearings on Wednesday as the manufacturer faces mounting scrutiny after a midair door blowout and near catastrophe on one of its planes in January. A Boeing engineer-turned-whistleblower testified before a Senate panel, reiterating his allegations that the planemaker cut corners to move wide-body planes through the production line, despite flaws. "I believe that Boeing can do better and that the public's trust in Boeing can be restored," he said in prepared remarks to the Senate Homeland Security committee ahead of the hearing "Examining Boeing's Broken Safety Culture: Firsthand Accounts." New plane deliveries from Boeing have slowed as the Federal Aviation Administration ramps up its scrutiny on the company's production lines. A separate hearing, before the Senate Commerce Committee on Wednesday, addressed Boeing's safety culture after a report issued earlier this year from an expert panel ordered by Congress found a "disconnect" between Boeing's senior management and other members of the organization on safety culture.
Persons: Richard Blumenthal, Sam Salehpour, shim, Scott Kirby, CNBC's, Dave Calhoun Organizations: Boeing, Senate Homeland Security, Governmental, Investigations, Senate Homeland, United Airlines, Max, Alaska Airlines, Federal Aviation Administration, Senate, Congress Locations: Washington ,
United Airlines on Tuesday cut its aircraft-delivery expectations for the year as it grapples with delays from Boeing , the latest airline to face growth challenges because of the plane-maker's safety crisis. "We've adjusted our fleet plan to better reflect the reality of what the manufacturers are able to deliver," CEO Scott Kirby said in an earnings release. In January, United said it was taking Boeing's not-yet-certified Max 10 out of its fleet plan. The airline said it has converted some Max 10 planes for Max 9s. United is also facing a Federal Aviation Administration safety review, which has prevented some of its planned growth.
Persons: Scott Kirby, United, Boeing's, Max, Max 9s Organizations: Airlines, Boeing, Airbus A321neos, Max, Federal Aviation Administration, CNBC, FAA, Alaska Airlines, United, Revenue Locations: U.S, Newark , New Jersey, Faro, Portugal, Tokyo, Cebu, Philippines, Southwest
An employee works on the tail of a Boeing Co. Dreamliner 787 plane on the production line at the company's final assembly facility in North Charleston, South Carolina. Boeing denied the allegations, calling them "inaccurate" and said it stood by the planes' safety. Salehpour is scheduled to appear along with another whistleblower who worked at Boeing, a former aviation official and an independent safety expert at a Senate hearing on Wednesday about aircraft safety called "Examining Boeing's Broken Safety Culture: Firsthand Accounts." Boeing last week declined to comment on those specific allegations, citing the FAA's ongoing whistleblower investigation, but said, "Retaliation is strictly prohibited at Boeing." The company is scheduled to report quarterly results on April 24, when it will face investor questions about aircraft safety, production rates and FAA oversight.
Persons: Sam Salehpour, Steve Chisholm Organizations: Boeing Co, Boeing, Federal Aviation Administration, FAA Locations: North Charleston , South Carolina
Boeing's upcoming 777X airliner is set to compete with the Airbus A350 widebody family. The 777-9 has better capacity than the biggest A350 variant, but it has less range and costs more. NEW LOOK Sign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. AdvertisementThe upcoming Boeing 777X is the world's largest twin-engine commercial aircraft in production. This story is available exclusively to Business Insider subscribers.
Persons: Organizations: Airbus, Service, Boeing 777X, British Airways, Emirates, Business
Morgan Stanley raised its price target on Netflix to $700 from $600. 7:13 a.m.: JPMorgan cuts Boeing price target, but says demand should push strong long-term growth Investors shouldn't give up on Boeing as a long-term investment, according to JPMorgan. Analyst Seth Seifman lowered his price target by $20 to $210, implying 21.1% potential upside for shares of the aerospace company. He raised his target price by $14 to $62, which suggests 4.2% potential upside for DocuSign over the next year. The analyst kept his neutral rating on the stock but cut his price target by $16 to $180.
Persons: Morgan Stanley, Seth Seifman, Seifman, — Pia Singh, Evan Seigerman, Seigerman, Karl Keirstead, DocuSign, Keirstead, Itay Michaeli, Michaeli, Tesla, Elon Musk, Benjamin Swinburne, Swinburne, Wolfe, Shreyas Patil, Patil, Fred Imbert Organizations: CNBC, Netflix, Wolfe Research, JPMorgan, Boeing, Novo Nordisk, BMO Capital Markets BMO Capital, pharma, UBS, Adobe, Citi, Citi Research, Tesla, Netflix Netflix, Mobileye Locations: China, Novo, U.S, Netflix's
Boeing execs used an additional $545,520 for personal travel expenses in 2021 and 2022. The Wall Street Journal first reported Boeing had improperly classified personal trips on private jets as business travel. AdvertisementBoeing's execs have been using the company's private jets for personal travel — and it's more than we thought. The Wall Street Journal reports Boeing made the revisions after an investigation last year into the use of private jets by its top executives. The revised stats for Boeing's outgoing CEO, Dave Calhoun, amounted to an additional $142,315 in personal travel in 2021 and 2022.
Persons: Boeing execs, , Dave Calhoun, Brian West, Theodore Colbert, Calhoun Organizations: Boeing, Street Journal, IRS, Service, Top Boeing, Company, SEC, Stanley, Business, Alaska Airlines Locations: Calhoun's, New Hampshire, South Carolina, Chicago, Arlington , VA
Besides the soap, FAA auditors say they saw Spirit mechanics use a hotel key card to check a door seal. In March, The Times reported that Federal Aviation Administration's (FAA) auditors saw Spirit AeroSystems' mechanics applying soap to a door seal. AdvertisementAccording to Buccino, Spirit also tried using other household products such as Vaseline, cornstarch, and talcum powder as a lubricant before settling on liquid Dawn soap. Buccino said the Dawn soap became their top choice because it didn't cause the door seal to degrade over time. Representatives for Boeing, Spirit, and the FAA did not immediately respond to a request for comment from Business Insider sent outside regular business hours.
Persons: Spirit AeroSystems, , Joe Buccino, Buccino, Spirit, Sean Black, Black, Dave Calhoun, Jennifer Homendy Organizations: Boeing, Spirit, FAA, Service, New York Times, The Times, Aviation, Times, Alaska Airlines, National Transportation Safety Board, NTSB, Business Insider
Raymond James raised its price target on Nvidia to $1,100, noting revenue momentum will stay strong. On a more sour note, Bank of America lowered its price target on Boeing to $190, citing risks around the company's ongoing safety issues. He raised his price target by $30 to $160, which suggests more than 25% potential upside for shares. Analyst Bryan Bergin initiated coverage of Mastercard with a buy rating and $545 price target, which indicates 16.2% potential upside. — Pia Singh 5:50 a.m.: Bank of America cuts Boeing price target Boeing's latest troubles made Bank of America even more skeptical on the stock's prospects.
Persons: Raymond James, Berenberg, Andres Castanos, Mollor, — Pia Singh, Bernstein, Johnson, Callum Elliott, Kenvue, Elliott, Lorraine Hutchinson, Hutchinson, Nike's, TD Cowen, Bryan Bergin, Bergin, Blackwell, Srini Pajjuri, Ronald Epstein, Dave Calhoun, Epstein, Fred Imbert Organizations: CNBC, Nvidia, Bank of America, Boeing, Johnson, Nike, Mastercard, Visa, of America, New York Times Locations: Albemarle, underperform, China, Europe, Asia
The NTSB is investigating how a door plug came off an Alaska Airlines Boeing 737 Max 9. Its chair said it could survey every Boeing employee about its safety culture. AdvertisementThe head of the National Transportation Safety Board said it is considering surveying every Boeing employee about its safety culture. Related storiesAll of the firm's 20,000 staff were surveyed about its safety culture, Homendy said. "With respect to documentation, if the door plug removal was undocumented there would be no documentation to share," the planemaker said in a statement.
Persons: , Jennifer Homendy, Dave Calhoun, Homendy, Maria Cantwell, They're Organizations: NTSB, Alaska Airlines Boeing, Boeing, Norfolk Southern, Service, National Transportation Safety Board, Commerce, Science, Transportation Locations: Ohio
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailFormer United Airlines CEO Oscar Munoz weighs in on Boeing's controversial new hireHosted by Brian Sullivan, “Last Call” is a fast-paced, entertaining business show that explores the intersection of money, culture and policy. Tune in Monday through Friday at 7 p.m. ET on CNBC.
Persons: Oscar Munoz, Brian Sullivan, Organizations: Former United Airlines, CNBC
Can China's Comac break up the Airbus-Boeing duopoly?
  + stars: | 2024-04-10 | by ( Nessa Anwar | ) www.cnbc.com   time to read: +2 min
China is on a mission to break up the Airbus -Boeing duopoly and it hopes the domestically made Comac C919 will be its first big break into foreign markets. Made by the Commercial Aircraft Corporation of China (Comac), the passenger aircraft has been touted as the "dream of a nation" by Chinese President Xi Jinping. However, there are still several hurdles Comac would need to clear before it could take on the French and American aerospace giants' dominance. "As a customer and operator of China's Comac products, we can get financial support from China's import-export bank, and also central banks," Cham told CNBC in an interview. According to Cham, Comac said it would consider creating aircraft maintenance, repair and overhaul support for its aircraft in Brunei.
Persons: Xi Jinping, Cham, Comac, Adam Cowburn, Cowburn, Brendan Sobie, It's, Brendan Organizations: Airbus, Boeing, Commercial Aircraft Corporation of China, Cham Chi, CNBC, Alton Aviation Consultancy, " Industry, Sobie Aviation, Airlines Locations: China, American, Brunei, Cham, Shanghai
In this videoShare Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailDelta Air Lines CEO Ed Bastian on Q1 EPS beat: There's more opportunity aheadCNBC’s Phil LeBeau and Delta Air Lines CEO Ed Bastian joins 'Squawk Box' to discuss the airline's quarterly earnings results, business travel demand, state of aviation safety, Boeing's quality concerns, international travel demand, and more.
Persons: Ed Bastian, Phil LeBeau Organizations: Air, Delta Air
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailBoeing is at its bottom but could stay at current levels for a while, says Sheila KahyaogluSheila Kahyaoglu, Aerospace and Defense Analyst at Jefferies, discusses Delta's earnings report and Boeing's whistleblower investigation.
Persons: Sheila Kahyaoglu Sheila Kahyaoglu Organizations: Boeing, Aerospace, Defense, Jefferies
A whistleblower has come forward with allegations about the safety of at least 1,400 Boeing planes. He said production shortcuts have led to misaligned fuselages on Boeing 777 and Boeing 787 jets. AdvertisementAnother Boeing whistleblower has come forward with concerns over one of the planemaker's family of passenger jetliners, pointing to safety concerns in at least 1,400 widebody airplanes. He noted his concerns about the 787 and 777 airplanes were backed by Boeing data but that his complaints were ignored. "This analysis has validated that these issues do not present any safety concerns, and the aircraft will maintain its service life over several decades."
Persons: misaligned, , Sam Salehpour, Salehpour, Max, I'm Organizations: Boeing, Service, New York Times, FAA, BI, Times, Alaska Airlines
Boeing airplane deliveries dropped in the first quarter as the company faces increased scrutiny after a door plug blew out from one of its 737 Max 9 planes midair in January. Boeing customers are still ordering new jets from the manufacturer, which along with Airbus dominates the large-jetliner market. The latest tally comes after the Jan. 5 accident on Alaska Airlines 1282 brought Boeing inches from a catastrophe. Since the accident, the Federal Aviation Administration has inspected Boeing's 737 Max production and barred the plane maker from increasing production of the jets until it signs off on its quality control procedures. "We won't rush or go too fast," Boeing CFO Brian West said at a Bank of America conference last month.
Persons: Brian West, we're, Dave Calhoun Organizations: Boeing, Airbus, American Airlines, Alaska Airlines, Federal Aviation Administration, Bank of America, Aircraft
IATA predicted this year will beat the pre-pandemic record for air travel. But both Boeing and Airbus jets are having problems that are reducing capacity. download the app Email address Sign up By clicking “Sign Up”, you accept our Terms of Service and Privacy Policy . In December 2023, the International Air Travel Association predicted 2024 would break records for the most air passengers ever. But airlines are warning they'll have fewer seats available than they initially thought, as both Boeing and Airbus are dealing with problems.
Persons: , Martha Neubauer, Dave Calhoun, Boeing's, Willie Walsh Organizations: Boeing, Airbus, Service, International Air Travel Association, Reuters, Airlines, Max, Ryanair, Alaska Airlines, Federal Aviation Administration, Pratt & Whitney, London Starbucks Locations: London
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