PPRuNe Forums - View Single Post - Is 787 done for?
View Single Post
Old 6th Apr 2021, 04:20
  #39 (permalink)  
Big Pistons Forever
 
Join Date: Jan 2004
Location: Canada
Age: 63
Posts: 5,210
Received 134 Likes on 61 Posts
The 737 Max program budget was 3 Billion. The Max’s cost to this point is an estimated 17 Billion to settle all claims against Boeing and get all the grounded Max’s flying. They have also lost almost 1000 orders plus they are in a very cost competitive market and are undoubtedly going to have to offer an extra price incentive on new orders given the fact that it is damaged goods.

Bottom line it is hard to see how they can ever generate enough per unit profits to ever hit break even. It is important to point out that before the Max crashes the 737 Max program was setting up to be a massive cash cow for Boeing and was going to fund the NMA and 777X programs.

The only bright spot for Boeing is supporting the legacy 737 fleet. They used to do well on the wide body side too, but a lot of that legacy fleet is now in the desert and unlikely to fly again as well as representing parts that Boeing won’t be supplying.
Big Pistons Forever is offline