Why do you continue to be surprised at the standard business model of the aircraft manufacturing industry? It works and the back end is very profitable. Its called the 'learning curve'.
No, it is NOT.
Launching a new aircraft, there is a big difference between the routine practice of selling below initial manufacturing cost, vs. selling below the book value of the aircraft.
E.g., let's say a plane has a list price of $100 million. For a simple math (ignoring inflation, etc.), assume the plane costs $60 million to build at program start, but only $40 million at program end, averaging $50 million per plane throughout the program.
In a normal "learning curve" you might sell the plane at $55 million (45% discount), which is a $5 million loss under unit-cost accounting.
But this amount is still higher than the program average cost. And in fact under GAAP you are allowed to record a $5 million
profit against the program average.
That's very different than selling the same plane at $45 million (55% discount).
You are now selling the plane below the program average cost. You will never recoup money under this deal. You are getting $45 million revenue but must deliver $50 million in average value. So in all cases you must record a loss.