Boeing Announces Plan to Deal with Delayed Deliveries

Boeing Commercial Airplane Group announced plans today to address challenges resulting from the steepest production increases since the dawn of the Jet Age.

The challenges, which include parts shortages, a stretched supplier base and an influx of new employees, will result in the delayed deliveries of some commercial jetliners in the near term.

Twelve airplanes Boeing had expected to deliver this month from its Everett and Renton production lines now will be delivered in the fourth quarter.

"We value our customers and our commitments, and that's why we are disappointed today," said Ron Woodard, president of Boeing Commercial Airplane Group. "We have been in contact with our customers to advise them of the situation and to assure them that we are doing everything we can to get back on schedule.

"Our plan includes working closely with suppliers to obtain needed parts, shifting personnel among our production lines, working overtime, talking with the unions to get industry-assist agreements, and exploring delivery-schedule changes with airlines in cases where they might prefer to reschedule a delivery for their own convenience," Woodard said. Industry-assist agreements allow employees from one company to be loaned to another.

The 12 airplanes originally scheduled for third-quarter delivery, now scheduled for the fourth quarter, include seven 737s; four 747s; and one 757.

Boeing still expects to deliver between 340 and 350 airplanes this year, which is consistent with its annual forecast.