Boeing shares rose early Monday as the aviation giant drew closer to final regulatory approval to resume deliveries of the 787 jet.
The Federal Aviation Administration has signed off on Boeing’s certification plan for its best-selling widebody, a person familiar with the situation told AFP.
“Deliveries are not imminent and there are additional steps in the process that we will be following,” said this person.
Shares rose 5.8 percent early Monday to $168.60, reflecting enthusiasm about restoring earnings from a cash-cow plane whose struggles have weighed on company finances for more than a year.
Deliveries have been suspended since spring 2021 while officials from the company and the FAA have worked to develop an inspection and repair system after manufacturing defects were discovered on the plane.
Referring questions to Boeing, the FAA said, “We do not comment on ongoing certifications.”
A Boeing spokesman said, “We will continue to transparently work with the FAA and our customers to resume 787 deliveries.”
The 787’s troubles date back to late summer 2020, when the company uncovered manufacturing defects on some jets. Boeing then identified other problems, including with the horizontal stabilizer.
The difficulties limited deliveries between November 2020 and March 2021. Boeing later halted deliveries in spring 2021 after more problems surfaced.
On a July 27 conference call on the results, Chief Executive Dave Calhoun described the company as “close to” receiving US Air Traffic Safety Authority approval for the 787, though he declined to give a specific target date.
At the end of June, Boeing had 120 Dreamliner aircraft in stock and was producing the jet “at very low prices,” the company said in a filing.
The FAA is expected to inspect every 787 before it is delivered to airlines.
#Boeing #shares #rise #resumption #deliveries
