Boeing to cut 17,000 jobs as losses deepen during factory strike

When your cutting jobs fast as your worried about your cashflow while you still have a massive outstanding order book that is a big sign of trouble. The preliminary third quarter losses were a lot larger than market analysts had been predicting due to unexpectedly $2 more write-downs on military contracts including Air Force One yet again (the gift that never stops giving) & $700m on the tanker contract, $400m from ending 767 freighter production in 2027 and a $2.4bn write-down on the 777X.
 
Interesting to compare Boeing and Airbus assets and liabilities for 2023. Airbus is managing to pay-off debt and yet increase cash on hand, the opposite of Boeing.

Cash on hand:
Boeing $12bn, 8% down
Airbus $22bn, 1% up

Long-term debt:
Boeing $54bn, 12% up
Airbus $18bn, 16% down

Total liabilities:
Boeing $160bn, 7% up
Airbus $109bn, 1% up
 
We need to break up the big primes so that bankruptcy will not have an unrecoverable impact on national security. If Boeing has to be kept alive and bailed out, which is probably the case, then they either shouldn't be a private company or should be split up into smaller corporations that individually can survive and be replaceable.
 
Kiltonge said:
Interesting to compare Boeing and Airbus assets and liabilities for 2023. Airbus is managing to pay-off debt and yet increase cash on hand, the opposite of Boeing.

Cash on hand:
Boeing $12bn, 8% down
Airbus $22bn, 1% up

Long-term debt:
Boeing $54bn, 12% up
Airbus $18bn, 16% down

Total liabilities:
Boeing $160bn, 7% up
Airbus $109bn, 1% up
Click to expand...
Airbus seems to have avoided little mistakes like hiding significant changes in flight-control software & systems from both regulators and the pilots who fly their aircraft to save money - forgetting to bolt door plugs to the airframe due to a complete disregarding of basic accountability procedures on the assembly floor - etc.
 
BlackBat242 said:
Airbus seems to have avoided little mistakes like hiding significant changes in flight-control software & systems from both regulators and the pilots who fly their aircraft to save money - forgetting to bolt door plugs to the airframe due to a complete disregarding of basic accountability procedures on the assembly floor - etc.
Click to expand...
From the department of “it’s easy to have good financials when you’re not lighting sticks of dynamite and then sticking them in your pockets.”
 
Kiltonge said:
Interesting to compare Boeing and Airbus assets and liabilities for 2023. Airbus is managing to pay-off debt and yet increase cash on hand, the opposite of Boeing.

Cash on hand:
Boeing $12bn, 8% down
Airbus $22bn, 1% up

Long-term debt:
Boeing $54bn, 12% up
Airbus $18bn, 16% down

Total liabilities:
Boeing $160bn, 7% up
Airbus $109bn, 1% up
Click to expand...

Airbus are using their large pile of surplus cash to repurchase 4.25m (10%) of their shares over the next 12 months.
 
joshjosh said:
We need to break up the big primes so that bankruptcy will not have an unrecoverable impact on national security. If Boeing has to be kept alive and bailed out, which is probably the case, then they either shouldn't be a private company or should be split up into smaller corporations that individually can survive and be replaceable.
Click to expand...
If you want Boeing to be able to compete with Airbus, it needs to be the size it is. Air transport purchases are historically cyclical, which means you need to have a significant defence sector to cover the times that the airliner business is in the doldrums.

And a smaller company just can't handle the cost exposure of bringing a new aircraft to market. When Boeing last looked at bringing the New Midsize Aircraft to market in 2021 the estimate was development would cost $25Bn.

(And the primes are the size they are because DoD told them to combine or die at SecDef Les Aspin's 'Last Supper' in 1993)
 

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