Posted by John McHaleSEATTLE, 21 May 2010.Boeing (NYSE: BA) announced that it will increase production rates on the Next-Generation 737 program to 34 airplanes per month in early 2012. The planned rate increase is aimed at satisfying continued strong demand for the Next-Generation 737. In addition, the company continues to study further potential 737 rate increases, given continued customer demand."With over 5,200 sold to date, the Next-Generation 737 is the workhorse in our customers' fleets around the world," says Jim Albaugh, Boeing Commercial Airplanes president and chief executive officer. "Even through the global economic downturn, our diverse 737 backlog has remained very strong. Increasing the 737 production rate is the right thing to do to meet the growth and fleet replacement needs of our customers."The current production rate on the 737 program is 31.5 airplanes per month. Suppliers for the 737 program are prepared to support the rate increase. The production rate decision is not expected to have a material impact on 2010 financial results. "The global economy continues to recover this year and we believe that airlines will return to profitability in 2011," says Randy Tinseth, vice president of marketing for Boeing Commercial Airplanes. "We believe that there will be an increased demand for airplanes -- especially in the market served by the Next-Generation 737 -- in 2012 and beyond."
Voice your opinion!
Voice your opinion!
To join the conversation, and become an exclusive member of Military Aerospace, create an account today!
Airbus
Photo 326175359 © Julija Matuka | Dreamstime.com
