Tuesday, July 1, 2014

15 787's In June Caps Quarter

2nd Quarter Boeing Quips:

Boeing has delivered 15 787's in June, including one 787-9 delivered to Air New Zealand yesterday. The plane will fly out by July 9th to New Zealand. What does this all mean for Customers and Boeing? It means that Boeing during the second quarter in 2014 has achieved its 10 a month in deliveries as it has maintained it would do from the production floor. Currently it has delivered a total of 162 of its type provided by information from Allthings787 blog site, since 2011.

You may remember the KC-46 project, its still on track. The KC-Tanker project is moving tanker towards those big delivery doors, as the Air force is anxiously awaiting the new Tankers for deployment.

The 737 has received commitments for over two hundred 737 Orders in MOU intent from China alone as pointed out from Boeing's Randy's Journal entry during June.

The concerning position for 2014 orders, is that there are so few orders for the wide body types, where they only have 9 ordered in 2014 as of YTD point out. It appears the lull in WB orders is a market pause, as a battle is going on between those orders for both Airbus and Boeing. Emirates has canceled 70 Airbus orders for wide bodies, while reloading the bid process with both Airbus and Boeing in pursuit. Its a sea change effort in the market place. Boeing hopes to win it with its family of aircraft from the 787 and 777X options,  making the retooling Emirates fleets with like mannered aircraft. This is a strategic test for Boeing. When Emirates first ordered those 70 Airbus wide bodies, the Boeing 777X did not exist. However, since then. the 777X is rapidly becoming a reality. Emirates canceled the 70 Airbus A350's and reopened the bidding wars with Airbus and Boeing. Its a wise maneuver by Emirates, as the market offering has changed, since it made its original commitments to Airbus for those original ordered 70 WB's.

The second quarter report and summary has plenty of puff information for its stock holders. Several achievements have been made on the Military, Commercial and scientific fronts during second quarter as mentioned above. Boeing's association with space endeavors with rocket design on secret projects continues.

Summary: Boeing is poised for a market change after mid-year with Wide Body market orders. It should catch up its WB order book in the second half of 2014, after the A350 launch in late fall. Emirates decision will be made by the time A350's are flying with customers during late 2014. The December 2014 order book for Boeing will be an interesting feature regarding the WB market.  The house of Airbus cards could fall in that category against Boeing's offering of aircraft.

Will Boeing Announce the mid sized "bridge plane" from 737 to the 787 that would have long range legs? The answer is, yes it will! Long live the 757! The skinny on this venture points towards placing in everything 787, and then a rapid deployment project. Hence, a metal body Maxed out with 787 treatments, and beyond its skin which contains laminar flow motifs, and yes new engines taking it 9 hours on less fuel.  This 757 knock-off is a step child in the Boeing family, filling the gap between Max and the 787-8. Its the hope that the aborted 787-3 had, but now it can be fulfilled. Therefore, you heard it here first, The "757-300-ER", the globe trotting  sprinter single aisle.