The Herald of Everett, Washington
Customer service  |  Subscribe   |   Log in or sign up   |   Advertising information   |   Contact us
HeraldNet on Facebook HeraldNet on Twitter HeraldNet RSS feeds HeraldNet Pinterest HeraldNet Google Plus The Daily Herald on Linked In HeraldNet Youtube
HeraldNet Newsletters  Newsletters: Sign up  Green editions icon Green editions
Dan Catchpole | dcatchpole@heraldnet.com
Published: Wednesday, February 13, 2013, 9:57 a.m.

Analyst 'concerned' about Boeing sluggishness on 777X

  • The Boeing Co.'s 1,000th 777 aircraft rolled out of the jet maker's factory in Everett on Feb. 14, 2012.

    Herald file

    The Boeing Co.'s 1,000th 777 aircraft rolled out of the jet maker's factory in Everett on Feb. 14, 2012.

The signals that Boeing executives are sending on the 777X have one of the world's most-influential aerospace analysts concerned.

Key 777 customers want the updated version to enter the market by 2019 or earlier. But Boeing's chief executive has indicated the company won't introduce the 777X until sometime next decade.

"That's not the message you want to send to the market," said Richard Aboulafia, an analyst with the Teal Group who is one of the most-quoted in the business. He addressed about 400 people Wednesday at an aerospace conference in Lynnwood.

The only reason to tell customers Boeing won't deliver the 777X when they want it is if "you want to see the (A350)-1000 do well," he said.

Aboulafia took Boeing to task over the company's unwillingness to invest in new products over the last decade. Airbus, on the other hand, has invested in research and development fairly consistently. Unfortunately for the European jet maker, it invested in the A380, he said.

Aboulafia is speaking at the Pacific Northwest Aerospace Alliance annual conference, which goes through Thursday.

A couple other comments from the analyst:

On Airbus' A380: "Boy, the A380 seems to have faded into irrelevance." But Boeing's 747-8 isn't doing that well either, he said.

On Boeing's recent 787 woes: "In the long run, I think they'll get it right. We're keeping the faith, despite ... what could be a difficult year."

On the A350: Airbus is "starting to get some traction" in terms of orders.

On automatic U.S. budget cuts: "I think there's a 15 to 20 percent chance of sequestration sticking."

On Boeing's KC-46 tanker and sequestration: "I think it will be OK." The fixed price tanker contract is "really beneficial for the Air Force."

Story tags » Lynnwood747777787AirbusAerospace

Subscribe to Weekly business headlines
See sample | Privacy policy

Most recent Aerospace blog posts

digital subscription promo

Subscribe now

Unlimited digital access starting at 99 cents, or included with any print subscription.

loading...
» More business
HeraldNet Classifieds

HeraldNet highlights

From NYPD to SCSO
From NYPD to SCSO: A New York cop opts for life in a slower lane, in Sultan
Unpaid caregivers
Unpaid caregivers: There's support for the thousands who look after a loved one
The empowering kind
The empowering kind: Lake Stevens teen openly shares struggles with other kids
Writing on the wall
Writing on the wall: Autistic boy can't speak, but he loves his words