Gov. Nikki Haley and U.S. Sen. Lindsey Graham have joined local mayors to criticize a complaint against Boeing Co. that could affect its South Carolina operations. Graham said Thursday the National Labor Relations Board’s request for a court order forcing the aerospace company to maintain its second 787 assembly line in the Pacific Northwest shouldn’t be taken seriously. The complaint alleges Boeing decided to move the line to South Carolina because it was concerned about strikes by union workers in Washington state. Haley says she won’t allow the NLRB to bully businesses in South Carolina. A judge will hear the NLRB’s request in June. Graham says he sees no way the judge could stop Boeing’s plans to open its new $750 million North Charleston plant in July.
New 747s fly to Texas before their delivery
The Boeing Co. will send its five 747-8 flight test freighters to San Antonio, Texas, to be refurbished for delivery, a company spokeswoman said Thursday. Boeing doesn’t have capacity to do the work in Everett, said Lauren Penning. The jet maker is on schedule to deliver the first freighter mid-year, she said. But the freighters used in flight testing will need work before delivery. Flight test aircraft usually contain test equipment and wiring. The company needs to remove the test gear and restore the aircraft to delivery condition. Boeing previously said it will send some 787s to San Antonio to fix problems discovered during flight testing. Penning said that Boeing will do change work in Everett on 747-8 freighters that were built but not used for tests.
European sales boost McDonald’s earnings
McDonald’s Corp. said Thursday that it expects more price increases for beef and other key ingredients, sending its shares down even as it reported its first-quarter profit and revenue rose. The company spent the day emphasizing how sales have increased, beating analysts’ expectations, and showcasing strong demand in Europe and Asia. But analysts were more concerned about rising food prices, a global trend that is rippling to customers, franchisees and investors everywhere. The company said it’s likely to raise menu prices this year, but that could scare off some customers. It already raised prices 1 percent in early March. Net income rose 11 percent to $1.2 billion, or $1.15 a share, beating analysts’ estimates of $1.14. Its stock fell $1.49, 1.9 percent, to close at $76.91.
Italy’s Fiat increases its share of Chrysler
Italian automaker Fiat is closing in on its goal of taking a majority stake and full control of Chrysler LLC by the end of the year, announcing a deal Thursday to buy another 16 percent share sooner than expected at a price of $1.3 billion. Fiat SpA will exercise an equity call option, bringing its stake to 46 percent, once Chrysler has repaid $6.6 billion in outstanding loans to the U.S. and Canadian governments, which Fiat said would happen in three months.
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