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28-Apr-2016 10:49 AM

Boeing: 787 continues at 'near breakeven', but programme loss risks remain

Boeing reported (27-Apr-2016) the 787 programme "continues to have near breakeven gross margins". The combination of production challenges, change incorporation on early build aircraft, schedule delays, customer and supplier impacts and changes to price escalation factors has created significant pressure on programme profitability. If risks related to this programme, including risks associated with productivity improvements, supply chain management, planned production rate increases or introducing and manufacturing the 787-10 derivative as scheduled cannot be mitigated, the programme could face additional customer claims and/or supplier assertions, as well as a reach-forward loss that may be material. [more - original PR]

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