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Boeing trims back 747 jet production

Image: Boeing 747
A Boeing 747-8 jet is assembled at the company’s factory in Everett. (Credit: Boeing)

The Boeing Co. says it will cut back the production rate for its 747 jets to one every two months and report an $885 million pre-tax charge against earnings, due to the slower-than-expected recovery of the air cargo market.

“Global air passenger traffic growth and airplane demand remain strong, but the air cargo market recovery that began in late 2013 has stalled in recent months and slowed demand for the 747-8 Freighter,” Ray Conner, Boeing vice chairman and president and CEO of Boeing Commercial Airplanes, said Jan. 21 in a news release.

He voiced confidence that business would pick up for the 747-8 jet as companies replace their older 747-400 freight airplanes, but said cutting back production was a “prudent step to further align production with current market requirements.”

Some observers were less sanguine about the 747’s prospects.

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By Alan Boyle

Mastermind of Cosmic Log, contributing editor at GeekWire, author of "The Case for Pluto: How a Little Planet Made a Big Difference," president of the Council for the Advancement of Science Writing. Check out "About Alan Boyle" for more fun facts.

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