On a pre-tax basis at the segment level, Boeing
Commercial Airplanes will report a charge of
$885 million. The earnings charge will not
affect the company's 2015 revenue or cash flow.
Boeing will announce its fourth quarter
financial results and provide guidance for 2016
on Jan. 27.
The most recent air transport industry data show
that air freight contracted in November, with
volumes declining by 1.2 percent compared to the
same time a year ago. This contrasts with global
passenger demand which grew at 5.9 percent,
above the 10-year average rate, according to the
International Air Transport Association (IATA).
"We are closely monitoring the air cargo market
as we work to win additional orders to support
ongoing future production. At the same time, we
continue to aggressively drive productivity to
lower costs across our production system to
offset the current market challenges," said Greg
Smith, executive vice president of Business
Development & Strategy and chief financial
officer.
|
