The most important thing to come out of Boeing's April 24 conference call is that it withdrew its forecast for 2019
A United Airlines Boeing 787 Dreamliner sits parked at the terminal at San Francisco International Airport on April 24, 2019 in San Francisco, California. Boeing's first quarter profits fell 21 percent following the Boeing 737 Max technical issues that have grounded all of the Max aircraft around the world. Two Boeing 737 Max 8 aircraft crashed in a six months period. The most important thing to come out of Boeing's April 24 conference call is that it withdrew its forecast for 2019.
Boeing's free cash flow will fall $5 billion in my most likely scenario and $9 billion in my pessimistic one -- below the $17 billion to $17.5 billion forecast Boeing provided in January. Will Boeing be able to convince U.S. and international regulators that it has identified and solved the problems that contributed to the 737 MAX crashes?
Beyond what is covered by insurance, how much will Boeing need to pay the families of the victims of the 737 MAX crashes and the airlines for revenues lost due to grounding of the 737 MAX? Aboulafia strikes me as optimistic about Boeing's ability to get the 737 MAX back on track. As he told me in an April 25 interview,"I think the FAA will work with Boeing and approve the fix not long after Boeing finalizes it, but international reciprocity has taken a blow. Still, there are promising signs that international regulators are coordinating, with relatively low levels of dissent, so far.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Boeing abandons financial outlook, sees $1 billion in extra cost on 737 MAXBoeing Co on Wednesday abandoned its 2019 financial outlook, halted share buybac...
Read more »
Boeing pulls 2019 forecast and suspends buybacks in aftermath of 737 Max crashesBoeing Co. said Wednesday that it is pulling its 2019 forecast over issues surrounding its 737 Max aircraft, and that it's suspending its stock buybacks.
Read more »
Boeing abandons 2019 outlook after 737 MAX groundingsBoeing Co missed sharply-lowered Wall Street estimates for revenue and cashflow ...
Read more »
Boeing pulls 2019 guidance, pauses share buybacks due to 737 Max uncertaintyBoeing delivered first-quarter earnings that were in-line with Wall Street expectations while revenue was lighter than expected.
Read more »
Norwegian Air reschedules aircraft delivery, to cut 2019-20 capex by $2.1 billionNorwegian Air has agreed with Airbus and Boeing to reschedule delivery of aircra...
Read more »
Boeing 737 MAX return to service paced by regulators, customers: Boeing CEOThe return of the Boeing Co 737 MAX to service in the wake of two deadly crashes...
Read more »
Boeing suffers $1B hit over 737 MAX crisisThe aviation giant announced on Wednesday it has suffered $1 billion after two deadly Boeing 737 MAX crashes. The company officials said they need to win back consumers' trust again.
Read more »
Boeing says it will take $1 billion hit on grounding of the 737 Max jetBoeing says it will take $1 billion hit on the grounding of the 737 Max jet.
Read more »
Boeing Says 737 MAX Grounding Will Cost More Than $1 BillionBoeing said it would take an initial hit of more than $1 billion on the global grounding of the 737 MAX jetliner following two fatal crashes as the plane maker suspended full-year financial guidance.
Read more »
Microsoft pops on earnings report after better-than-expected third-quarter revenueMicrosoft reported higher-than-expected revenue in Q3 2019, bringing in $30.57 billion last quarter compared to the estimated $29.84 billion.
Read more »