Boeing makes more noise on B737 replacement
The likelihood that Boeing will move to develop an all-new replacement for the B737 is increasing, with Boeing CEO and Chairman, Jim McNerny, commenting that the company has a bias towards developing a new jet, to debut near the end of this decade or the beginning of the next. The B737 is the manufacturer’s best-selling product, with 508 ordered last year.
Boeing is reacting to new narrowbody competition from Bombardier's CSeries, due to enter service in 2013, and Airbus’ A320neo, a reworked version of the manufacturer’s narrowbody featuring new engines. COMAC and Irkut are also bringing new narrowbodies to the market from 2016. A decision on the future of the manufacturer's narrowbody programme is due in mid-2011.
Shares in Boeing were flat, while EADS shares gained 0.4%. Bombardier shares were down 1.1%, while Embraer shares dipped 1.2%.
Selected original equipment manufacturers' share price movements: (% change): 10-Feb-2011