Boeing could use some good news, following more revelations last week and this about the wing-body issues of the 787, and this is it.
Southwest Airlines plans a $113m bid for bankrupt Frontier Airlines in an auction next month. In a conference call, WN officials said that Frontier’s fleet of 51 Airbus A320 family members will be phased out in favor of Boeing 737NGs, probably over a two year period. (If WN wins the auction, government approvals will push consummation of the deal to the end of this year or into 1Q10.)
Dominic Gates of The Seattle Times has this story about the prospect of the IAM agreeing to a no-strike clause for Boeing.
The national head of the IAM is quoted as saying no way, no how. Although this is dismissed by an unidentified source as aggressive posturing by the national president, whether it is or isn’t, here’s an angle not covered in the story.
Boeing’s defense unit in San Antonio, TX, is bidding on USAF KC-10 upgrade work. See this story.
For the conspiracy theorists and those in Seattle terrorized by the prospect Boeing Commercial Airplanes could locate the second 787 production line elsewhere–with San Antonio a prospective site–is this an effort by Boeing to beef up its airplane expertise in SAT? Is this an indication Boeing wants to beef up its presence in this non-unionized facility? Is this an effort to build its presence in a right-to-work state?
Is this more Perils of Pauline?
The Boeing 787 could be the most profitable aircraft ever for Boeing, according to one aerospace analyst, but short-selling the stock is at its highest level ever.
Boeing stock short sales have fluctuated with the rise and fall of expectations on the 787 program. Here is the history since the airplane was launched in 2004 through July 15, 2009.
Update, 10:30 PDT: Here’s a synopsis of the EADS earnings call and our comments.