The Boeing Company (NYSE:BA) will decrease the manufacturing of its 747-8 jumbo jetliner by additional 14% due to low orders for the big passenger and freighter aircraft. The company also added it will decrease on monthly basis manufacturing to 1.5 aircrafts in the early period of next year.
The Chicago-based aircraft manufacture also added having pennants strategy earlier in 2013 to decrease its existing production of two units on monthly basis to 1.75 each month in early 2014. The latest plan will also be continue in 2015.
General manager and vice president of the 747 program, Eric Lindblad, said in his statement that the new rate will run through 2015 in a strategy that support the plane maker with short term orders while even out its manufacture rate.
Mr. Lindblad also added even though the plane maker is making a small modification to its production rate, it doesn’t transform its obligation to the program and its assurance in the 747-8.
The aircraft manufacture 467-seat passenger and four-engine 747-8 freighter model has affected due to low orders from airlines, and the move of cargo from air to ocean, has pressurized aircraft purchase to choose smaller long- range duel-engine aircraft.
Up till now The Boeing Company (NYSE:BA) has constructed 107 demands for the updated jumbo that underwent service in 2011, and has up till now distributed 56 aircrafts, majority of them were freighters. In 2013 the firm has secured 5 shipment orders, counterbalance by 5 postponements.
According to analyst by lowering the manufacture of its production won’t influence its financial forecasts, as manufacturing of the aircraft is so limited. Just roughly 50 aircrafts, with a tag price of $357 million, at the present are on demands. Analysts anticipate the aircraft manufacture to declare a better Q3 report on coming Wednesday, and many predict its stock, at present is at all time high levels, and expected to increase gradually.