Associated Press
LOS ANGELES – California’s love affair with the car is rivaled only by its love affair with the airplane.
From 1910, when the first international air meet was held just south of Los Angeles, to the design of the next-generation Joint Strike Fighter, California has played a key role in world aviation history.
So a decision by the Boeing Co. to end production of its 717 passenger jetliner in Long Beach would have an impact far beyond the jobs lost. The Boeing 717 is the last passenger plane built in the state that produced one of the first, the historic DC-1 built by Douglas Aircraft in 1933 for TWA.
“Since the 1910 Los Angeles County air meet, flight has been a central metaphor for Southern California,” said California state historian Kevin Starr. “It’s part of the DNA code of Southern California economically.”
Boeing, which inherited the 100-seat airplane program when it acquired McDonnell Douglas in 1997, said last month it is considering scrapping the money-losing line. The company said it will decide the fate of the plane and 4,500 workers at the Long Beach factory that assembles it by the end of the year.
To be sure, the disappearance of commercial airline manufacturing in the state wouldn’t signal the end of the aerospace industry here. Boeing still remains the largest private employer in California, and firms such as Northrop Grumman are hiring as they prepare to manufacture the Joint Strike Fighter, the richest defense contract in military history.
California also remains a center of research and manufacturing for satellites, the space program and the military.
Even if 717 production is halted, it might be years before orders are filled and the last jet leaves the production line. Midwest Express recently placed an order for 20 to be delivered one per quarter beginning in 2003. The contract includes an option to order another 30.
“We’ve been assured by Boeing that they intend to fulfill the contract,” Lisa Bailey, a Midwest Express spokeswoman said. “What that means, I don’t know yet.”
The massive aircraft factory in Long Beach was built in 1940 by Douglas Aircraft to build warplanes. After Boeing merged with McDonnell Douglas, the company phased out production of the MD11, MD80 and MD90. The last of the planes rolled off the assembly line earlier this year.
Today, most of the complex is shuttered, except for those used for final assembly of the Boeing 717. A separate facility is used to assemble giant C-17 cargo planes.
Analysts say it is more likely than not Boeing will scrap the 717.
There are more than 60 of the planes operated by regional airlines for flights of between 300 to 500 miles. Earlier this year, Boeing announced the elimination of 1,200 jobs in Long Beach because of lower than expected orders.
“For Boeing to make a public statement that they’re mulling the future of the aircraft, it’s a fairly strong statement about their intentions,” said Joseph Nadol, an analysts at J.P. Morgan. “It’s a good aircraft and it’s a hot segment, but demand hasn’t materialized as quickly as the company needs.”
Boeing officials in California are awaiting the fate of the program as nervously as workers and city officials.
“This is a new review and a new process,” said John Thom, a Boeing spokesman. “Down here, we’re keeping our fingers crossed that we can continue production and go on for years and years.”
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