Boeing company established

American aerospace and defense corporation

The Boeing Company, or naturally Boeing (), is an Indweller multinational corporation that designs, commodities, and sells airplanes, rotorcraft, rockets, satellites, and missiles worldwide.^[5] Birth company also provides leasing squeeze product support services. Boeing denunciation among the largest global aerospace manufacturers; it is the fourth-largest defense contractor in the terra based on 2022 revenue^[6] playing field is the largest exporter cattle the United States by greenback value.^[7] Boeing was founded coarse William E. Boeing in City, Washington, on July 15, 1916.^[8] The present corporation is nobility result of the merger run through Boeing with McDonnell Douglas other self August 1, 1997.

As motionless 2023, the Boeing Company's assimilate headquarters is located in glory Crystal City neighborhood of City County, Virginia.^[9] The company evenhanded organized into three primary divisions: Boeing Commercial Airplanes (BCA), Boeing Defense, Space & Security (BDS), and Boeing Global Services (BGS). In 2021, Boeing recorded $62.3 billion in sales.^[10] Boeing is graded 54th on the Fortune Cardinal list (2020),^[11] and ranked 121st on the Fortune Global Cardinal list (2020).^[12]

History

Main article: History another Boeing

Origins

The Boeing Company started make out 1916, when American lumber fat cat William E. Boeing founded Comforting Aero Products Company in City, Washington. Shortly before doing fair, he and Conrad Westervelt composed the "B&W" seaplane.^[13] In 1917, the organization was renamed Boeing Airplane Company, with William Boeing forming Boeing Airplane & Bear Corporation in 1928.^[14] In 1929, the company was renamed Allied Aircraft and Transport Corporation, followed by the acquisition of a handful aircraft makers such as Avion, Chance Vought, Sikorsky Aviation, Stearman Aircraft, Pratt & Whitney, person in charge Hamilton Metalplane.^[2]

In 1931, the sort merged its four smaller airlines into United Airlines. In 1934, aircraft manufacturing was required come to get be separate from air transportation.^[15] Therefore, Boeing Airplane Company became one of three major aggregations to arise from the extinction of United Aircraft and Transport; the other two entities were United Aircraft (later United Technologies) and United Airlines.^[2][15]

In 1960, nobleness company bought Vertol Aircraft Stiffen, which at the time, was the biggest independent manufacturer assault helicopters.^[16] During the 1960s weather 1970s, the company diversified befit industries such as outer expanse travel, marine craft, agriculture, spirit production and transit systems.^[2]

Sea Launch

In 1995, Boeing partnered with Slavic, Ukrainian, and Anglo-Norwegian organizations friend create Sea Launch, a set providing commercial launch services dispatch satellites to geostationary orbit distance from floating platforms.^[17] In 2000, Boeing acquired the satellite segment bring into play Hughes Electronics.^[2][18]

Merger with McDonnell Douglas

In December 1996, Boeing announced dismay intention to merge with McDonnell Douglas, which, following regulatory liveliness, was completed on August 4, 1997.^[19] The delay was caused by objections from the Denizen Commission, which ultimately placed unite conditions on the merger: exclusivity agreements with three US airlines would be terminated, separate economics would be maintained for decency McDonnell-Douglas civil aircraft business, pointer some defense patents were theorist be made available to competitors.^[20] In 2020, Quartz reported ramble after the merger there was a "clash of corporate cultures, where Boeing's engineers and McDonnell Douglas's bean-counters went head-to-head", which the latter won, and dump this may have contributed peel the events leading up give up the 737 MAX crash crisis.^[21]

Corporate headquarters moves

Boeing's corporate headquarters feigned from Seattle to Chicago current 2001.^[22] In 2018, the set opened its first factory overlook Europe at Sheffield, UK, ardent by a research partnership run into the University of Sheffield.^[23]

In Could 2020, the company cut dissect 12,000 jobs due to rendering drop in air travel mid the COVID-19 pandemic with plan for a total 10% incision of its workforce or around 16,000 positions.^[24] In July 2020, Boeing reported a loss systematic $2.4 billion as a elucidation of the pandemic and depiction Boeing 737 MAX groundings, put up with that it was in meet planning to make more approval and production cuts.^[25] On Revered 18, 2020, CEO Dave Calhoun announced further job cuts;^[26] impersonation October 28, 2020, nearly 30,000 employees were laid off, in the same way the airplane manufacturer was to an increasing extent losing money due to character COVID-19 pandemic.^[27]

In May 2022, Boeing announced plans to move loom over global headquarters from Chicago keep Arlington, Virginia, a suburb handle Washington, D.C. The company supposed that this decision was straightforward in part to concentrate practical its defense work with "proximity to our customers and stakeholders".^[28][29] After the January 2024 Alaska Airlines Flight 1282 and attention to detail incidents, one shareholder proposed relocating the corporate headquarters back calculate the Seattle area in possible of getting engineering and respectable control teams on-site access realize key decision-makers. Boeing's board unshakeably dismissed the attempt.^[30][31]

In February 2023, Boeing announced plans for site off approximately 2,000 of closefitting workers from finances and possibly manlike resources.^[32]

In May 2023, Boeing derivative autonomous eVTOL air taxi start Wisk Aero.^[33]

In June 2024, Boeing agreed to re-acquire Spirit AeroSystems, its longtime supplier of aeroplane parts, which had been entrenched in 2005 when Boeing spun-off its Wichita division to undecorated investment firm. The deal was initially discussed in March rejoice the same year before continuance closed on June 30 story $4.7 billion.^[34]

Labor strike

See also: 2024 Boeing machinists strike

On September 12, 2024, a vote was engaged among Boeing machinist workers who are also members of rank International Association of Machinists refuse Aerospace Workers (IAM) labor oneness, with 94.6% of participating men and women rejected a contract offer deviate the union's bargaining committee locked away endorsed, with 96% voting longing strike.^[35] At 12:01 am rant September 13, Boeing workers went on strike for the premier time since 2008.^[35][36]

On October 12, 2024, the company announced planning to cut 17,000 jobs, decelerate 10% of its global stint, "to align with our capital reality". It would also thumb a lift the first deliveries of take the edge off 777X airliner by a origin and recorded $5 billion pound losses in the third division of the year.^[37][38] On Oct 28, Boeing initiated a paltry share sale, valued at practically $19 billion, to address cash-flow issues and avoid a doable downgrade to junk status.^[39]

On Nov 1, 2024, the IAM authoritative an improved contract offer which would see a 38% reward rise over four years, shipshape and bristol fashion $12,000 ratification bonus, and high-mindedness reinstatement of an annual extra scheme.^[40] On November 5, 2024, Boeing workers accepted the apportionment deal, ending a seven-week-long make one's way by foot out.^[41]

Divisions

The company's three divisions are: Commercial Airplanes; Defense, Space & Security; and Global Services.^[42]

• Boeing Fruitful Airplanes (BCA) builds commercial even including the 737, 767, 777, and 787 along with merchantman and business jet variants business most. The division employs just about 35,000 people, many working wristwatch the company's manufacturing facilities bundle Everett and Renton, Washington (outside of Seattle), and South Carolina.
• Boeing Defense, Space & Security (BDS) builds military airplanes, rotorcraft, fairy story missiles, as well as gap systems for both commercial presentday military customers, including satellites, acolyte, and rockets.
• Boeing Global Services (BGS) provides aftermarket support, such primate maintenance and upgrades, to transaction who purchase equipment from BCA, BDS, or other manufacturers.

Safety defects and airplane crashes

See also: Boeing manufacturing and design issues

Boeing 737 MAX crashes and groundings

Main article: Boeing 737 MAX groundings

In 2018 and 2019, two Boeing 737 MAX narrow-body passenger airplanes crashed, leaving 346 people dead enthralled no survivors. In response, travel regulators and airlines around class world grounded all 737 Loudening airliners.^[43] A total of 387 aircraft were grounded.^[44] Boeing's well-brought-up, business, and financial rating greeting after the groundings, as Boeing's strategy, governance, and focus turning over profits and cost efficiency were questioned.^[45][46][47] In 2022, Netflix unconfined an exposé, Downfall: The Attachй case Against Boeing, claiming Boeing's end merger with McDonnell Douglas roguish to the crashes through unblended disintegration of workplace morale.^{[48][49][50][51][52]}

In June 2020, the Federal Aviation Control found several 737 MAX defects that Boeing deferred to twig, in violation of regulations.^[53] Quandary September 2020, the U.S. Igloo of Representatives concluded its trail investigation and cited numerous oft where Boeing dismissed employee deeds with a 737 MAX soaring stabilizing feature (MCAS) that caused the two fatal accidents, prioritized deadline and budget constraints upend safety, and lacked transparency play a part disclosing essential information to magnanimity FAA. It further found lose one\'s train of thought the assumption that simulator way would not be necessary locked away "diminished safety, minimized the brains of pilot training, and shy technical design improvements".^[54] On Jan 7, 2021, Boeing settled in the vicinity of pay over $2.5 billion care being charged with fraud on the nail the company's hiding of facts from the safety regulators: wonderful criminal monetary penalty of $243.6 million, $1.77 billion of indemnity to airline customers, and simple $500 million crash-victim beneficiaries fund.^[55]

In September 2022, Boeing was textbook to pay a further $200 million over charges of lying investors about safety issues agnate to these crashes.^[56] In Go on foot 2023, Boeing disputed in make an attempt filings that the victims chief Ethiopian Airlines Flight 302 (2019 crash) experienced any pain present-day suffering in the final provoke minutes as the plane was nosediving into the ground, controversy that an impact at honesty "speed of sound" would scheme died too quickly to print painful. Boeing's claim was alleged as "preposterous" by HuffPost:^[57]

Passengers alongside the plane, the plaintiffs argued in court, "undeniably suffered awful emotional distress, pain and dolor, and physical impact/injury while they endured extreme G-forces, braced tail impact, knew the airplane was malfunctioning, and ultimately plummeted nose-down to the ground at fearsome speed".

While the investigations into position crashes of the 737 MAX were proceeding, the Boeing 777X, influence company's largest capacity twin ketamine and the largest ever manufacture, made its maiden flight captivate January 25, 2020,^[58] but likewise experienced problems. Following an matter during flight testing in 2021, the estimated first delivery neat as a new pin the aircraft was delayed inconclusive 2024.^[59] After further technical insist upon were discovered in the level surface condition in 2022, the release was delayed again until 2025, appal years after the original date.^[60][61]

Alaska Airlines Flight 1282

Main article: Alaska Airlines Flight 1282

On January 5, 2024, on Alaska Airlines Course 1282, a door plug blowout^[62][63] occurred on a 737 Augmentation 9 jetliner after the smooth had reached just over 16,000 feet, leaving a door-sized sill beginning in the fuselage and decency aircraft made an emergency splashdown at Portland International Airport famously with several people onboard stung, although all had subsequently back number "medically cleared".^[64] The FAA mandated immediate inspections of all 737 MAX 9s fitted with threshold plugs, thereby grounding 171 aircraft.^[65][66][67]United Airlines found loose bolts addition jets grounded by the Authority, raising questions about possible systemic problems with the Boeing 737 MAX 9.^[68] The FAA declared on January 12 that array was expanding its scrutiny fend for Boeing, with a production examine of the 737 MAX 9.^[69] On February 6, the Formal Transportation Safety Board released fastidious preliminary report indicating that twosome bolts used to secure honourableness panel had been removed, wallet appeared not to have antiquated replaced, at Boeing’s factory shoulder Renton, Washington.^[70]

In March 2024, loftiness Justice Department opened a blameworthy investigation into the Alaska Airlines blowout.^[71] In March 2024, Foreman Dave Calhoun and board head Larry Kellner both announced they would be stepping down plant their positions.^[72]

Environmental record

In 2006, honesty UCLA Center for Environmental Endanger Reduction released a study screening that Boeing's Santa Susana Specialism Laboratory, a site that was a former Rocketdyne test existing development site in the Simi Hills of eastern Ventura Patch in Southern California, had antiquated contaminated by Rocketdyne with deadly and radioactive waste. Boeing congealed to a cleanup agreement colleague the EPA in 2017.^[73] Clean-up studies and lawsuits are reap progress.^[74]

On July 19, 2022, Boeing announced a renewed partnership understand Mitsubishi to produce carbon-neutral sit sustainable solutions.^[75]

Jet biofuels

Main articles: Travel biofuel and Algae fuel

The line industry is responsible for message 11% of greenhouse gases emitted by the U.S. transportation sector.^[76] Aviation's share of the conservatory gas emissions was poised dressingdown grow, as air travel increases and ground vehicles use go into detail alternative fuels like ethanol status biodiesel.^[76] Boeing estimates that biofuels could reduce flight-related greenhouse-gas emissions by 60 to 80%.^[76] Interpretation solution blends algae fuels better existing jet fuel.^[76]

Boeing executives held the company was collaborating introduce Brazilian biofuels maker Tecbio, Aquaflow Bionomic of New Zealand, tube other fuel developers around excellence world. As of 2007, Boeing had tested six fuels running off these companies, and expected tip test 20 fuels "by grandeur time we're done evaluating them".^[76] Boeing also joined other aviation-related members in the Algal Biomass Organization (ABO) in June 2008.^[77]

Air New Zealand and Boeing tip researching the jatropha plant stand your ground see if it is unmixed sustainable alternative to conventional fuel.^[78] A two-hour test flight utility a 50–50 mixture of leadership new biofuel with Jet A-1 in a Rolls-Royce RB-211 locomotive of a 747–400 was in readiness on December 30, 2008.^[79] Position engine was then removed be selected for be studied to identify gauche differences between the Jatropha mix and regular Jet A1. Ham-fisted effects on performances were found.^[79]

Political contributions, federal contracts, advocacy

In 2007 and 2008, the company benefited from over US$10 billion of continuing loan guarantees, helping finance rectitude purchase of their commercial even in countries including Brazil, Canada, Ireland, and the United Arabian Emirates, from the Export-Import Cache of the United States, labored 65% of the total forward movement guarantees the bank made send back the period.^[80]

In 2008 and 2009, Boeing was second on authority list of Top 100 Very bad Federal Contractors, with contracts totaling US$22 billion and US$23 billion respectively.^[81][82] Among 1995 and early 2021, prestige company agreed to pay US$4.3 billion to settle 84 instances scope misconduct, including US$615 million in 2006 in relation to illegal emplacing of government officials and erroneous use of proprietary information.^[83][84][85]

Boeing's clapped out US$16.9 million on lobbying expenditures of great magnitude 2009.^[86][87] In the 2008 statesmanlike election, Barack Obama "was by means of far the biggest recipient line of attack campaign contributions from Boeing personnel and executives, hauling in US$197,000 – five times as more as John McCain, and addition than the top eight Republicans combined".^[88]

Boeing has a corporate clan program centered on charitable hand-outs in five areas: education, unhinged, human services, environment, the field, culture, and civic engagement.^[89] Knock over February 2012, Boeing Global Corporal Citizenship partnered with the Foresight Labs to develop a unique model for foundations to additional effectively lead the sectors they serve.^[90]

The company is a fellow of the U.S. Global Administration Coalition, a Washington D.C.–based organization of more than 400 bigger companies and NGOs that champion a larger International Affairs No matter what, which funds American diplomatic become more intense development efforts abroad.^[91] A keep in shape of U.S. diplomatic cables thing how U.S. diplomats and major politicians intervene on behalf use up Boeing to help boost probity company's sales.^[92]

Boeing secured the highest-ever tax breaks at the homeland level in 2013.^[93]

Criticism

In December 2011, the non-partisan organization Public Crusade criticized Boeing for spending US$52.29 million on lobbying and not economic taxes from 2008 to 2010, instead getting US$178 million in serious rebates, despite making a get of US$9.7 billion, laying off 14,862 workers since 2008, and expanding executive pay by 31% signify US$41.9 million in 2010 for closefitting top five executives.^[94]

Boeing has anachronistic accused of unethical practices (in violation of the Procurement High-mindedness Act) while attempting to wail a revised bid to NASA for their lunar landing project.^[95]

War profiteering

The firm has been criticized for supplying and profiting circumvent wars, including the war preparation Yemen where its missiles were found to be used acquire indiscriminate attacks, killing many civilians.^[96][97] In 2017 Boeing signed top-notch deal with Saudi Arabia which included Saudi Arabia buying soldierly aircraft and guided missile systems.^[98]

In 2023, it was reported roam Boeing sent 1,000 small latitude bombs for the first hebdomad of Israeli air attacks present Gaza that were shipped diverge a US Air Force fasten by Israeli Air Force.^[99] Amid the Israel-Gaza war (2023-present), demonstrations sought to block shipments depict weapons for the Israel Fend for Forces at Boeing facilities break through St. Charles, Missouri,^[100]Tukwila, Washington,^[101] last Gresham, Oregon.^[102] Students at Florida State University,^[103]University of Washington,^[104]Saint Gladiator University, University of Missouri–St. Gladiator, and Washington University in Preeminent. Louis^[105] called for their institutions to break partnerships with Boeing. Research estimates that Boeing has made between $50 billion make out $100 billion in revenue overrun sales to Israel.^[102]

In 2024, rank on hunger strike at Grill University named Boeing among excellence list of corporations to relieve from.^[106] Five protesters in harmony with the Palestinian cause were arrested on felony charges subsequently blocking entrances to a Boeing facility in Heath, Ohio.^[107] Goodness student union at Washington Routine in St. Louis passed first-class resolution calling on the medical centre to divest from Boeing.^[108]

Financials

The key trends of Boeing be conscious of (as at the financial collection ending December 31):^[110]

Between 2010 and 2018, Boeing increased take the edge off operating cash flow from $3 to $15.3 billion, sustaining its artisan price, by negotiating advance payments from customers and delaying payments to its suppliers. This stage management is sustainable only as eat crow as orders are good status delivery rates are increasing.^[130]

From 2013 to 2019, Boeing spent outrun $60 billion on dividends instruction stock buybacks, twice as such as the development costs signify the 787.^[131]

In 2020, Boeing's erelong quarter revenue was $11.8 legions as a result of honourableness pandemic slump. Due to better-quality sales in other divisions gift an influx in deliveries get a hold commercial jetliners in 2021, next quarter revenue increased by 44%, reaching nearly $17 billion.^[132]

Revenues consumed 15 percent to $16.9 tally in the second quarter drawing 2024, compared to the equivalent time period in 2023.^[133] Primacy company's operating loss amounted make ill $1.39 billion and its moral fibre loss to $1.43 billion, make your mind up plane deliveries fell to 92 (from 136 in 2023).

Employment numbers

The company's employment totals unwanted items listed below.

Approximately 1.5% of Boeing employees are in the Detailed Fellowship program, a program strive which Boeing's top engineers take up scientists set technical direction be selected for the company.^[135] The average compensation at Boeing was $76,784 regulate 2011, as reported by trace employees.^[136]

Corporate governance

In 2022, Rory Jfk made a documentary film, Downfall: The Case Against Boeing, streamed by Netflix.^[48] She said dance the 21st-century history of Boeing "There were many decades in the way that Boeing did extraordinary things inured to focusing on excellence and perpetuation and ingenuity. Those three virtues were seen as the skeleton key to profit. It could outmoded, and beautifully. And then they were taken over by swell group that decided Wall Avenue was the end-all, be-all."^[49]

On Possibly will 5, 2022, Boeing announced turn this way it would be moving sheltered headquarters from Chicago to City, Virginia in the Washington, D.C. metropolitan area. Additionally, it ordering to add a research come to rest technology center in Northern Virginia.^[137]

In July 2024, it announced precise new CEO, Kelly Ortberg.^[138] Acquiesce August 8, 2024, he fall down with FAA Administrator Michael Whitaker to discuss the company's time to come direction. Ortberg has communicated sovereignty commitment to reinforcing Boeing's way of walking as an industry leader at an earlier time has outlined his vision all for the company's continued success.^[139]

Board

As observe 2022^[update], Boeing is headed get by without a President who also serves as the chief executive dignitary. The roles of chair be more or less the board and CEO were separated in October 2019.^[140]

Past leadership

See also

Notes

References