Boeing to build 737 into 2020s: Bair

The Renton (WA) Reporter has this story that Boeing will continue to build the 737 into the 2020 decade, further extending the timeline for a replacement aircraft, says Mike Bair, vice president of Business Strategy and Marketing for the company.

This is highly significant on a number of levels. First, it tends to match the timeline Airbus has already foretold about a replacement for the A320 about 2024. Neither company can really afford to undertake yet another new airplane program, given the cost overruns and customer penalties for their respective A380, A400M, 787 and 747-8 programs. Airbus is also engaged in R&D for the A350, with a price tag of roughly $15bn. With engineering and production resources stretched already, there simply are limitations for Airbus on taking on an entirely new development program.

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Prediction: Boeing offers KC-767

Update: Defense News just published this article detailing the continuing problems Boeing has with the KC-767 Italian tanker, including the centerline hose-and-drogue problems we previously exclusively revealed in this column.

Original Post:

With Boeing and Northrop Grumman still in the Q&A stage with the USAF in advance of a Final Request for Proposals in the KC-X competition, we predict that Boeing will offer the KC-767 and not the KC-777.

Here’s why:

Boeing’s secrets

Evening Magazine, a 30-minute feature program by KING5 TV (NBC-Seattle) aired two segments November 4 about Boeing. The first is called “Boeing’s Secrets,” a feature about places, things or companies that the ordinary Joe doesn’t ordinarily know about (catchy phrase, there, eh?). The second is about Boeing’s Aircraft Psychology (no jokes or cracks, now–this is an upbeat and interesting segment). Both are about 2 1/2 minutes.

Both videos are on the KING5 website, precluding inserting them here.

Here is the Boeing’s Secrets video.

Here is the Boeing’s Aircraft Psychology video.

 

 

Updating the KC-X competition

Update: The Mobile Press Register has this story saying that the USAF won’t include the WTO dispute in the KC-X competition because WTO rules prohibit doing so while the case is pending–something we’ve been telling the doggone politicians since they started their campaign to include it.

Original Post:

While the drama over the 787 Line 2 siting dominated the news last week, there was some stuff happening on the KC-X tanker front.

Boeing released this video about its tanker program. Note that KC-767 is shown with winglets, which in airline service are improving fuel burn by more than 4%.

[youtube=http://www.youtube.com/watch?v=ZYIY2I3jQdE]

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787 Line 2 Post Mortem

The Background

It had been a long time coming. Boeing’s 787 repeated delays and great backlog meant that the company had to have a second production line to catch up and to offer delivery positions within reasonable time periods for new customers.

Observers and analysts long predicted that Boeing would put Line 2 in the growing 787 facility in Charleston (SC) rather than Everett (WA). By now, all the signs are well known to Boeing followers and need not be recounted here.

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Polling on Boeing

With the siting of 787 Line 2 in Charleston, we’ve created several polls to gauge opinion. These are unscientific, to be sure: anyone can vote, as opposed to a specified cross-section of respondents. But we think the results will be interesting nonetheless.

The polls are after the jump.

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How SC won the Boeing deal

This 5-page story (when printed out) picked up by several SC newspapers tells how Boeing selected Charleston for Line 2 and it paints a very different picture than the one in the previous post of the Everett Herald story.

One key item that will be of interest to Washington officials: Boeing held last minute negotiations with SC for an incentive package while keeping Washington in the dark, maintaining that incentives were an issue.

The Seattle Times’ Sunday (Nov. 1) edition has the following special reports, totaling 10 pages when printed out:

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Boeing talks a sham: newspaper

Update: Boeing spokesman Tim Healy provided this response to us when we asked about the article:

“We were utterly serious about reaching an agreement. And we told the IAM quite precisely what we needed from them and when.”

Original Post:

The Everett Herald has this stunning story that virtually confirms the IAM’s allegations that talks with Boeing over siting 787 Line 2 were a sham.

US Sen. Patty Murray (D-WA), Boeing’s biggest supporter in the Senate, was aware of the situation and tried to persuade Boeing to choose Everett, according to the story–which explains why she issued a statement after Boeing’s decision to select Charleston to not blame the union.

Here is the story from The Herald:

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Dueling Messages: Boeing vs IAM

The spin wars continue. Earlier today Boeing issued a message to employees explaining, from its perspective, why a deal with the IAM could not be reached.

A few hours later, the IAM 751 responded. We have both after the jump. The Boeing message is first because it was issued first, followed by the IAM note.

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787 Line 2 aftermath

Update, Oct. 30: We’ll be posting our post mortem Monday, Nov. 2.

This isn’t the post mortem we’re working on but there is a lot of traffic to this site today, obviously looking for some thoughts, so here are a few rapid-fire ones:

  • Boeing says it didn’t go into the labor negotiations with a preconceived decision. But we think if it looks like a duck, walks like a duck and quacks like a duck, it’s a duck. We always felt Line 2 was Charleston’s to “lose,” so to speak, and that Everett was a very, very long shot.

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