Like The Herald Business Journal on Facebook!
The Herald of Everett, Washington
Heraldnet.com

The top local business stories in your email

Contact Us:

Josh O'Connor
Publisher
Phone: 425-339-3007
joconnor@heraldnet.com

Jody Knoblich
General Sales Manager
Phone: 425-339-3445
Fax: 425-339-3049
jknoblich@heraldnet.com

Jim Davis
Editor
Phone: 425-339-3097
jdavis@heraldnet.com

Site address:
1800 41st Street, S-300,
Everett, WA 98203

Mailing address:
P.O. Box 930
Everett, WA 98206

HBJ RSS feeds

Boeing to shut California plant 3 months earlier than expected

SHARE: facebook Twitter icon Linkedin icon Google+ icon Email icon |  PRINTER-FRIENDLY  |  COMMENTS
By W.J. Hennigan
Los Angeles Times
Published:
Boeing Co. announced plans to stop production of C-17 cargo jets at the company’s sprawling Long Beach, Calif., plant three months earlier than it previously anticipated.
The aerospace giant said Monday it will shutter the 1.1-million-square-foot facility in mid-2015 because of “current market trends and the timing of expected orders.” The plane maker had initially said that production would come to an end in late 2015.
The company said it expects to record $50 million in accounting charges in the first quarter as a result of Monday’s announcement.
Boeing said about 2,200 employees support the C-17 Globemaster III program in California. The company already began workforce reductions this year and plans to continue the cuts through closure.
The C-17 Globemaster III is a massive, four-engine jet that can haul 60-ton tanks, troops and medical gear across continents and land on short runways.
The Air Force awarded the contract for the C-17 in 1981 as the United States faced potential military threats that required massive cargo lifts.
Design work soon followed, and the first C-17 to fly - known as T-1 - took off in 1991.
Boeing announced plans to close the plant in September, just a week after it delivered its 223rd and final C-17 to the Air Force. The company still has a few foreign orders to fill.
The plant is one of the last vestiges of an era in which aviation and aerospace helped build Southern California’s middle class, and it was a major employer in Long Beach for decades.
There are no plans to move a new production program to the plant.
Boeing has said some workers may be moved to other jobs inside the company, but many will have to enter a still-tough job market, with unemployment at 8.7 percent in Los Angeles County.

MORE HBJ HEADLINES

CALENDAR

Share your comments: Log in using your HeraldNet account or your Facebook, Twitter or Disqus profile. Comments that violate the rules are subject to removal. Please see our terms of use. Please note that you must verify your email address for your comments to appear.

You are logged in using your HeraldNet ID. Click here to update your profile. | Log out.

Our new comment system is not supported in IE 7. Please upgrade your browser here.

comments powered by Disqus

Market roundup