Fears the Boeing Co. won’t deliver its 787 on-time drove down the company’s stock this morning.
According to MarketWatch, Lehman Brothers aerospace analyst Joseph Campbell wrote in a research note:
“In our view, the acknowledged challenges makes it more appropriate for Boeing to say while they hope to stay close to schedule, it is more likely that the program could slip by four to six months. Boeing might also say that the production ramp-up currently planned may not be achievable.”
Boeing’s stock fell as low as 3 percent to $101.39 from Thursday’s close but have climbed back up to $103.35 at 11 a.m.
Perhaps Boeing should take a cue from Airbus …
What’s the best thing about a tentative jet order?
Play your cards right, and you can make a fuss over it twice. Play your cards wrong, and you rarely get caught.
It’s a strategy Airbus has employed pretty well.
During the Paris Air Show, the European jet maker announced a number of “non-firm” orders — 303 to be exact. On Friday, Airbus announced that it moved 92 of those tentative commitments over to the “real” deals column.
The reiteration of the deal Airbus reached with U.S. Airways is particularly sweet for Boeing’s rival. Not only did Airbus win a $10 billion order from a carrier based in Boeing’s home country, but the company also picked up a significant supporter for its A350 XWB jet. U.S. Airways put 22 on order.
Possibly the best aspect of the re-announced U.S. Airways deal is its timing. It’s good news for Airbus while the plane maker and its parent company, EADS, are making headlines over insider trading allegations.
Late Thursday, Airbus chief executive Thomas Enders sent a letter to his employees denying the allegations. A report out this week alleges “massive” insider trading at EADS and Airbus.
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