"in an all-stock deal"
https://www.reuters.com/markets/deals/boeing-agrees-deal-buy...
https://www.reuters.com/markets/deals/boeing-agrees-deal-buy...
Just from a strategic standpoint, USA has Boeing, EU Airbus and China has the Chinese Boeing /Airbus. Major aviation companies just aren't created any more, no major government would let their strategic assets fall like that.
Comac have a long long way to go yet; they have yet to tackle the certification issue let alone the delivery and operational issues. Maybe another decade?
Only then could it be considered a proper international airframer.
Just hazarding a cynical guess.
> Patrick Michael Shanahan (…) is a former United States federal government official who served as the acting United States Secretary of Defense in 2019.
which is to say that these are companies that are, in essence, controlled by the US Government when it comes to their strategic future, so in cases like this one here the money involved is of secondary importance.
Shanahan was in government for two years under a different administration, after 31 years at Boeing, and then returned to the private sector at the helm of a publicly-traded company. Nothing about this screams “controlled by the U.S. government.”
Spirit has negligible government contracts. They supply Boeing, Airbus and Bombardier.
> Had this happened in Russia or China the Western media would have had no qualms in painting said companies as Government pawns
No. If anything, it would have been pitched as quasi-oligarchic.
There are two commercial airline manufacturers in the world and a rapidly growing global population. Boeing has a 10+ year manufacturing backlog of 5600+ aircraft. Airbus has a backlog of about 7500. Both companies produce around 550 commercial units a year.
Boeing has significantly lower production rates nowadays - due to supply chain issues and massive incompetence that led to a near crash. For the 737 Max, their highest selling model, they're capped at 38 by the FAA, below the 45 they did last year and well below their 57 target (all figures in per month).
Their only other jet in manufacturing is the 787 which has a healthy backlog.
The 777X is delayed for years and won't see any deliveries before 2026.
Also, they have union negotiations with two important unions that have been saving money for years for a strike coming up in the next few months. And they're in the midst of a CEO change after the previous CEO was ousted by airline customers. Oh and their credit rating is on its way to a downgrade, meaning it will become even more expensive for them to get the loans they need to fix themselves.
Boeing are not going to get any better any soon. It will take years of hard effort and lots of money, which means their stock will be in the gutter for years to come.
You're missing the point of my reply. The person was acting like accepting billions of dollars in $BA stock was an unconscionable thing. It's a highly liquid and relatively stable stock. Even if they have a 6-month lockup, the price won't likely materially change. Will Airbus continue to take market share from Boeing? Sure. But Boeing isn't going anywhere in any of our lifetimes.
And the problem is that when the foreseeable future is over, it will be the 2030s and we'll probably have entirely new radical designs flying. Hydrogen propulsion, CFM Rise, blended wings, etc. etc. If Boeing are bleeding money and taking on expensive debt, how will they prepare for those times? If multiple of their designs are being years late, how will they have the engineering capacity to think of future designs?
Boeing the company is going nowhere. Boeing the commercial airplane maker is circling the drain in terms of how competitive they are. Their military and cargo jets, as long as the massive backlog, will keep them up for the next two decades easy. However if they can't improve themselves by next decade, they'll be forever behind.
Do you find yourself doing this a lot? Forcing conversations into a direction where you can drop your fifteen minutes of research on a topic?
Nobody fucking cares dude.
This is the part I'm arguing with, directly quoted from you. They're in for a bad decade of heavy and expensive debts, missing delivery targets, prolonged strikes. This does not make for a stable stock price.
From the 2023 Airbus annual report[1]: ...deliveries rise 11% to 735 aircraft. So in 2022 it would've been 660. Quite a bit more than 550.
[1] https://www.airbus.com/en/investors/financial-results-annual...