Sunday, July 14, 2019

June 787 Deliveries at 19 as Boeing ends second quarter on a bang


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Number
Testing Complete3
To be assembled in Everett99
To be assembled in Charleston99
Parts Arriving6
Undergoing final assembly8
Storage2
Storage/Change Incorporation and Re-Work0
Change Incorporation and Re-Work0
Pre-Flight Prep19
Production Testing2
Non Customer Flight Tests0
Ready for Delivery2
Donation3
Delivered859
TOTAL1102

Boeing delivered 19 787s (1 x 787-8, 14 x 787-9 and 4 x 787-10) in June which is anew delivery record for the program. This allowed them to make up for lackluster delivery numbers in April and May.  Boeing delivered 42 787s (2 x 787-8, 31 x 787-9 and 9 x 787-10) during the second quarter equating to an average of 14/month.  For the year through the end of June deliveries stand at 78 (2 x 787-8, 60 x 787-9, 16 x 787-10).  Boeing has delivered a total of 859 787 since program deliveries began in September 2011 (363 x 787-8, 465 x 787-9, 31 x 787-10).

The 787 is now an important revenue generator for Boeing given that the 737 MAX deliveries have been halted because of the two crashes.  I can see Boeing putting 787 deliveries on a priority path in order to limit the damage to revenues at BCA.



In terms of new orders, Boeing booked only 1 firm order from Air Lease Corporation in June even though they announced several 787 orders for 30 aircraft at the Paris Air Show, these were all LoIs and are not yet final.

The current undelivered backlog of 576 airplanes represents three and a half years of production.  Boeing continues to produce at 14 per month with both Everett and Charleston running in synch with production.  It was also revealed in June that the Department of Justice (DoJ) is investigating Boeing's Charleston operations and assembly practices as well as employees at that facility.  The DoJ has issued subpoenas relating to 787 production amid allegations of improper work and assembly oversight.  This action is an extension of the DoJ's investigation of potential fraud in the 737 MAX certification and testing program.  These subpoenas came after a New York Times article alleging workmanship issues at the South Carolina plant.  As far as I know there hasn't been any subpoenas for Boeing's 787 production line at Everett.

Of the 19 deliveries made in June, 8 787s were built in Charleston and 11 in Everett.  Additionally Eva Air, Turkish Airlines and Air Tahiti Nui received their first direct purchased 787s.  KLM received it's first 787-10 as well.

Keep track of all the 787 news and production by bookmarking the link to my 787 spreadsheets below.

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