Boeing

Last updated

The Boeing Company
Formerly
Pacific Aero Products Co. (1916–1917)
Public
Traded as
Industry
FoundedJuly 15, 1916;102 years ago (1916-07-15) (as Pacific Aero Products Co.)
Seattle, Washington, U.S.
Founder William Boeing
Headquarters,
U.S.
Area served
Worldwide [1] (p1)
Key people
Dennis Muilenburg
(Chairman, President & CEO)
Products
Production output
  • 806 commercial aircraft (2018)
  • 96 military aircraft (2018)
  • 2 satellites (2018)
Services
  • Leasing
  • Support solutions
[1] (pp35–36)
RevenueIncrease2.svg US$101.127 billion (2018)
Increase2.svg US$11.987 billion (2018)
Increase2.svg US$10.460 billion (2018)
Total assets Increase2.svg US$117.359 billion (2018)
Total equity Decrease2.svg US$410 million (2018)
Number of employees
153,027 (January 1, 2018) [2]
Divisions
[1]
Subsidiaries
Website www.boeing.com
Footnotes /references
[3]

The Boeing Company ( /ˈb.ɪŋ/ ) is an American multinational corporation that designs, manufactures, and sells airplanes, rotorcraft, rockets, satellites, and missiles worldwide. The company also provides leasing and product support services. Boeing is among the largest global aircraft manufacturers; it is the fifth-largest defense contractor in the world based on 2017 revenue, [4] and is the largest exporter in the United States by dollar value. [5] Boeing stock is included in the Dow Jones Industrial Average.

Multinational corporation large corporation doing business in many countries

A multinational corporation (MNC) or worldwide enterprise is a corporate organization which owns or controls production of goods or services in at least one country other than its home country. Black's Law Dictionary suggests that a company or group should be considered a multinational corporation if it derives 25% or more of its revenue from out-of-home-country operations. A multinational corporation can also be referred to as a multinational enterprise (MNE), a transnational enterprise (TNE), a transnational corporation (TNC), an international corporation, or a stateless corporation. There are subtle but real differences between these three labels, as well as multinational corporation and worldwide enterprise.

Airplane structure, machine, or contrivance, especially a vehicle, designed to be supported by the air, either by the dynamic action of the air upon the surfaces of the structure or object or by its own buoyancy

An airplane or aeroplane is a powered, fixed-wing aircraft that is propelled forward by thrust from a jet engine, propeller or rocket engine. Airplanes come in a variety of sizes, shapes, and wing configurations. The broad spectrum of uses for airplanes includes recreation, transportation of goods and people, military, and research. Worldwide, commercial aviation transports more than four billion passengers annually on airliners and transports more than 200 billion tonne-kilometres of cargo annually, which is less than 1% of the world's cargo movement. Most airplanes are flown by a pilot on board the aircraft, but some are designed to be remotely or computer-controlled.

Rotorcraft Heavier-than-air aircraft which generates lift over rotating wings

A rotorcraft or rotary-wing aircraft is a heavier-than-air flying machine that uses lift generated by wings, called rotary wings or rotor blades, that revolve around a mast. Several rotor blades mounted on a single mast are referred to as a rotor. The International Civil Aviation Organization (ICAO) defines a rotorcraft as "supported in flight by the reactions of the air on one or more rotors". Rotorcraft generally include those aircraft where one or more rotors are required to provide lift throughout the entire flight, such as helicopters, autogyros, and gyrodynes. Compound rotorcraft may also include additional thrust engines or propellers and static lifting surfaces.

Contents

Boeing was founded by William Boeing on July 15, 1916, in Seattle, Washington. [6] The present corporation is the result of merger of Boeing with McDonnell Douglas on August 1, 1997. Former Boeing's chair and CEO Philip M. Condit continued as the chair and CEO of the new Boeing, while Harry Stonecipher, former CEO of McDonnell Douglas, became the president and chief operating officer of the newly merged company. [6]

William Boeing American aviation pioneer

William Edward Boeing was an American aviation pioneer who founded The Boeing Company in 1916.

McDonnell Douglas was a major American aerospace manufacturing corporation and defense contractor formed by the merger of McDonnell Aircraft and the Douglas Aircraft Company in 1967. Between then and its own merger with Boeing in 1997, it produced a number of well-known commercial and military aircraft such as the DC-10 airliner and F-15 Eagle air-superiority fighter.

Philip Murray Condit is an American businessman who was Chair and Chief executive officer (CEO) of the Boeing company from 1996 to 2003.

The Boeing Company has its corporate headquarters in Chicago, Illinois. The company is led by President and CEO Dennis Muilenburg. [7] [8] [9] Boeing is organized into five primary divisions: Boeing Commercial Airplanes (BCA); Boeing Defense, Space & Security (BDS); Engineering, Operations & Technology; Boeing Capital; and Boeing Shared Services Group. In 2017, Boeing recorded $93.3 billion in sales, ranked 24th on the Fortune magazine "Fortune 500" list (2018), [10] ranked 64th on the "Fortune Global 500" list (2018), [11] and ranked 19th on the "World's Most Admired Companies" list (2018). [12]

Chicago City in Illinois, United States

Chicago, officially the City of Chicago, is the most populous city in Illinois and the third most populous city in the United States. With an estimated population of 2,716,450 (2017), it is the most populous city in the Midwestern United States. Chicago is the county seat of Cook County, the second most populous county in the United States, and the principal city of the Chicago metropolitan area, which is often referred to as "Chicagoland." The Chicago metropolitan area, at nearly 10 million people, is the third-largest in the United States; the fourth largest in North America ; and the third largest metropolitan area in the world by land area.

Dennis Muilenburg President, chairman and CEO of The Boeing Company

Dennis A. Muilenburg is an American businessman who is the president, chairman and chief executive officer of The Boeing Company since July 1, 2015.

Boeing Commercial Airplanes Designs, assembles, markets and sells commercial jet aircraft

Boeing Commercial Airplanes (BCA) is a division of the Boeing Company. It designs, assembles, markets, and sells jet airliners and business jets ; it also provides product-related maintenance and training to customers worldwide. It operates from division headquarters in Renton, Washington, with more than a dozen engineering, manufacturing, and assembly facilities located throughout the U.S. and internationally. BCA includes the assets of the Douglas Aircraft division of the former McDonnell Douglas Corporation, which merged with Boeing in 1997.

History

Before 1930

William E. Boeing in 1929 William Boeing.jpg
William E. Boeing in 1929

In March 1910, William E. Boeing bought Heath's shipyard in Seattle on the Duwamish River, which later became his first airplane factory. [13] Boeing was incorporated in Seattle by William Boeing, on July 15, 1916, as "Pacific Aero Products Co". [6] Boeing was later incorporated in Delaware; the original Certificate of Incorporation was filed with the Secretary of State of Delaware on July 19, 1934. Boeing, who studied at Yale University, worked initially in the timber industry, where he became wealthy and learned about wooden structures. This knowledge proved invaluable in his subsequent design and assembly of airplanes. The company stayed in Seattle to take advantage of the local supply of spruce wood. [14]

Seattle City in Washington, United States

Seattle is a seaport city on the West Coast of the United States. It is the seat of King County, Washington. With an estimated 730,000 residents as of 2018, Seattle is the largest city in both the state of Washington and the Pacific Northwest region of North America. According to U.S. Census data released in 2018, the Seattle metropolitan area’s population stands at 3.87 million, and ranks as the 15th largest in the United States. In July 2013, it was the fastest-growing major city in the United States and remained in the Top 5 in May 2015 with an annual growth rate of 2.1%. In July 2016, Seattle was again the fastest-growing major U.S. city, with a 3.1% annual growth rate. Seattle is the northernmost large city in the United States.

Duwamish River name of the lower 12 miles (19 km) of Washington states Green River

The Duwamish River is the name of the lower 12 miles (19 km) of Washington state's Green River. Its industrialized estuary is known as the Duwamish Waterway.

Delaware State of the United States of America

Delaware is a state located in the Mid-Atlantic region of the United States. It is bordered to the south and west by Maryland, north by Pennsylvania, and east by New Jersey and the Atlantic Ocean. The state takes its name from Thomas West, 3rd Baron De La Warr, an English nobleman and Virginia's first colonial governor.

Boeing's original logo Boeinglogo.png
Boeing's original logo

One of the two "B&W" seaplanes built with the assistance of George Conrad Westervelt, a U.S. Navy engineer, took its maiden flight on June 15, 1916. Boeing and Westervelt decided to build the B&W seaplane after having flown in a Curtiss aircraft. Boeing bought a Glenn Martin "Flying Birdcage" seaplane (so called because of all the guy-wires holding it together) and was taught to fly by Glenn Martin himself. Boeing soon crashed the Birdcage and when Martin informed Boeing that replacement parts would not become available for months, Boeing realized he could build his own plane in that amount of time. He and his friend Cdr. G.C. Westervelt agreed to build a better airplane and soon produced the B&W Seaplane. [15] This first Boeing airplane was assembled in a lakeside hangar located on the northeast shore of Seattle's Lake Union. Many of Boeing's early planes were seaplanes.

Boeing Model 1 floatplane by Boeing

The Boeing Model 1, also known as the B & W Seaplane, was a United States single-engine biplane seaplane aircraft. It was the first Boeing product and carried the initials of its designers, William Boeing and Lt. Conrad Westervelt USN.

George Conrad Westervelt American businessman, naval engineer

George Conrad Westervelt was a U.S. Navy engineer who created the company "Pacific Aero Products Co." together with William Boeing. Westervelt left the company in 1916 and Boeing changed the name of the company to the Boeing Airplane Company the following year.

United States Navy Naval warfare branch of the United States Armed Forces

The United States Navy (USN) is the naval warfare service branch of the United States Armed Forces and one of the seven uniformed services of the United States. It is the largest and most capable navy in the world and it has been estimated that in terms of tonnage of its active battle fleet alone, it is larger than the next 13 navies combined, which includes 11 U.S. allies or partner nations. with the highest combined battle fleet tonnage and the world's largest aircraft carrier fleet, with eleven in service, and two new carriers under construction. With 319,421 personnel on active duty and 99,616 in the Ready Reserve, the Navy is the third largest of the service branches. It has 282 deployable combat vessels and more than 3,700 operational aircraft as of March 2018, making it the second largest and second most powerful air force in the world.

Replica of Boeing's first plane, the Boeing Model 1, at the Museum of Flight Boeing B&W.jpg
Replica of Boeing's first plane, the Boeing Model 1, at the Museum of Flight

On April 6, 1917, the U.S. declared war on Germany and entered World War I. On May 9, 1917, the company became the "Boeing Airplane Company". [16] With the U.S. entering the war, Boeing knew that the U.S. Navy needed seaplanes for training. So Boeing shipped two new Model Cs to Pensacola, Florida, where the planes were flown for the Navy. The Navy liked the Model C and ordered 50 more. [17] The company moved its operations to a larger former shipbuilding facility known as Boeing Plant 1, located on the lower Duwamish River, Washington state.

World War I 1914–1918 global war originating in Europe

World War I, also known as the First World War or the Great War, was a global war originating in Europe that lasted from 28 July 1914 to 11 November 1918. Contemporaneously described as "the war to end all wars", it led to the mobilisation of more than 70 million military personnel, including 60 million Europeans, making it one of the largest wars in history. It is also one of the deadliest conflicts in history, with an estimated nine million combatants and seven million civilian deaths as a direct result of the war, while resulting genocides and the 1918 influenza pandemic caused another 50 to 100 million deaths worldwide.

Boeing Model 2 training floatplane family by Boeing

The Boeing Model 2, also referred to as the Boeing Model C and its derivatives were United States two-place training seaplanes, the first "all-Boeing" design and the company's first financial success.

Boeing Plant 1

Boeing Plant 1 was the second Boeing airplane production facility which was the home of The Boeing Company between 1917 and 1965 in Seattle, Washington, USA. Boeing Plant 1 was responsible for the assembly and production of all aspects of the early Boeing airplane models produced until the completion of Boeing Plant 2 in 1936.

When World War I ended in 1918, a large surplus of cheap, used military planes flooded the commercial airplane market, preventing aircraft companies from selling any new airplanes, driving many out of business. Others, including Boeing, started selling other products. Boeing built dressers, counters, and furniture, along with flat-bottom boats called Sea Sleds. [17]

In 1919 the Boeing B-1 flying boat made its first flight. It accommodated one pilot and two passengers and some mail. Over the course of eight years, it made international airmail flights from Seattle to Victoria, British Columbia. [18] On May 24, 1920, the Boeing Model 8 made its first flight. It was the first plane to fly over Mount Rainier. [19]

P-12 air superiority fighter Ray Wagner Collection Image (16387643040).jpg
P-12 air superiority fighter

In 1923, Boeing entered competition against Curtiss to develop a pursuit fighter for the U.S. Army Air Service. Although Curtiss finished its design first and was awarded the contract, Boeing continued to develop its PW-9 fighter. That plane, along with the Boeing P-12/F4B fighter, [20] made Boeing a leading manufacturer of fighters over the course of the next decade.

In 1925, Boeing built its Model 40 mail plane for the U.S. government to use on airmail routes. In 1927, an improved version of this plane was built, the Model 40A which won the U.S. Post Office's contract to deliver mail between San Francisco and Chicago. The 40A also had a passenger cabin that accommodated two. [21]

That same year, Boeing created an airline named Boeing Air Transport, which merged a year later with Pacific Air Transport and the Boeing Airplane Company. The first airmail flight for the airline was on July 1, 1927. [21] In 1929 the company merged with Pratt & Whitney, Hamilton Aero Manufacturing Company, and Chance Vought under the new title United Aircraft and Transport Corporation. The merge was followed by the acquisition of the Sikorsky Manufacturing Corporation, Stearman Aircraft Corporation, and Standard Metal Propeller Company. United Aircraft then purchased National Air Transport in 1930.

On July 27, 1928, the 12-passenger Boeing 80 biplane made its first flight. With three engines, it was Boeing's first plane built with the sole intention of being a passenger transport. An upgraded version, the 80A, carrying eighteen passengers, made its first flight in September 1929. [21]

1930s and 1940s

In the early 1930s Boeing became a leader in all-metal aircraft construction, and in the design revolution that established the path for other transport aircraft through the 1930s. In 1930, the Monomail, a low-wing monoplane that carried mail, was built. Built entirely out of metal, it was more aerodynamic, and had retractable landing gear. In fact, its design was so revolutionary that the engines and propellers of the time were not adequate to realize the potential of the plane. By the time controllable pitch propellers were developed, Boeing was building its Model 247 airliner. Two Monomails were built. The second one, the Model 221, had a 6-passenger cabin. [22] [23] In 1931, the Monomail design became the foundation of the Boeing YB-9, the first all-metal, cantilever-wing, monoplane bomber. Five examples entered service between September 1932 and March 1933. The performance of the twin-engine monoplane bomber led to reconsideration of air defense requirements, although it was soon rendered obsolete by rapidly-advancing bomber designs.

In 1932, Boeing introduced the Model 248, the first all-metal monoplane fighter. The P-26 Peashooter was in front-line service with the US Army Air Corps from 1934 to 1938.

In 1933, the Boeing 247 was introduced, which set the standard for all competitors in the passenger transport market. The 247 was an all-metal low-wing monoplane that was much faster, safer, and easier to fly than other passenger aircraft. For example, it was the first twin engine passenger aircraft that could fly on one engine. In an era of unreliable engines, this vastly improved flight safety. Boeing built the first 59 aircraft exclusively for its own United Airlines subsidiary's operations. This badly hurt competing airlines, and was typical of the anti-competitive corporate behavior that the U.S. government sought to prohibit at the time. The direction established with the 247 was further developed by Douglas Aircraft, resulting in one of the most successful designs in aviation history.

The Air Mail Act of 1934 prohibited airlines and manufacturers from being under the same corporate umbrella, so the company split into three smaller companies – Boeing Airplane Company, United Airlines, and United Aircraft Corporation, the precursor to United Technologies. Boeing retained the Stearman facilities in Wichita, Kansas. Following the breakup of United Aircraft, William Boeing sold off his shares and left Boeing. Clairmont "Claire" L. Egtvedt, who had become Boeing's president in 1933, became the chairman as well. He believed the company's future was in building bigger planes. [24] [25] Work began in 1936 on Boeing Plant 2 to accommodate the production of larger modern aircraft.

From 1934 to 1937, Boeing was developing an experimental long range bomber, the XB-15. At its introduction in 1937 it was the largest heavier-than-air craft built to date. Trials revealed that its speed was unsatisfactory, but the design experience was used in the development of the Model 314 that followed a year later.

Overlapping with the period of the YB-15 development, an agreement with Pan American World Airways (Pan Am) was reached, to develop and build a commercial flying boat able to carry passengers on transoceanic routes. The first flight of the Boeing 314 Clipper was in June 1938. It was the largest civil aircraft of its time, with a capacity of 90 passengers on day flights, and of 40 passengers on night flights. One year later, the first regular passenger service from the U.S. to the UK was inaugurated. Subsequently, other routes were opened, so that soon Pan Am flew with the Boeing 314 to destinations all over the world.

In 1938, Boeing completed work on its Model 307 Stratoliner. This was the world's first pressurized-cabin transport aircraft, and it was capable of cruising at an altitude of 20,000 feet (6,100 m) – above most weather disturbances. It was based on the B-17, using the same wings, tail and engines.

Boeing B-29 assembly line in Wichita, Kansas, 1944 Boeing-Whichata B-29 Assembly Line - 1944.jpg
Boeing B-29 assembly line in Wichita, Kansas, 1944

During World War II, Boeing built a large number of B-17 and B-29 bombers. Boeing ranked twelfth among United States corporations in the value of wartime production contracts. [26] Many of the workers were women whose husbands had gone to war. In the beginning of March 1944, production had been scaled up in such a manner that over 350 planes were built each month. To prevent an attack from the air, the manufacturing plants had been covered with greenery and farmland items. During the war years the leading aircraft companies of the U.S. cooperated. The Boeing-designed B-17 bomber was assembled also by Lockheed Aircraft Corp. and Douglas Aircraft Co., while the B-29 was assembled also by Bell Aircraft Co. and by Glenn L. Martin Company. [27] In 1942 Boeing started development of the C-97 Stratofreighter, the first of a generation of heavy-lift military transports; it became operational in 1947. The C-97 design would be successfully adapted for use as an aerial refueling tanker, although its role as a transport was soon limited by designs that had advantages in either versatility or capacity.

Boeing 377 Stratocruiser of BOAC Boeing 377 Stratocruiser, BOAC.jpg
Boeing 377 Stratocruiser of BOAC

After the war, most orders of bombers were canceled and 70,000 people lost their jobs at Boeing.[ citation needed ] The company aimed to recover quickly by selling its Stratocruiser (the Model 377), a luxurious four-engine commercial airliner derived from the C-97. However, sales of this model were not as expected and Boeing had to seek other opportunities to overcome the situation.[ citation needed ] In 1947 Boeing flew its first jet aircraft, the XB-47, from which the highly successful B-47 and B-52 bombers were derived.

1950s

The Boeing 707 in British Overseas Airways Corporation (BOAC) livery, 1964 Boac 707 at london airport in 1964 arp.jpg
The Boeing 707 in British Overseas Airways Corporation (BOAC) livery, 1964
B-52 bomber B-52 over Afghanistan.JPG
B-52 bomber

Boeing developed military jets such as the B-47 Stratojet [28] and B-52 Stratofortress bombers in the late-1940s and into the 1950s. During the early 1950s, Boeing used company funds to develop the 367–80 jet airliner demonstrator that led to the KC-135 Stratotanker and Boeing 707 jetliner. Some of these were built at Boeing's facilities in Wichita, Kansas, which existed from 1931 to 2014.

Between the last delivery of a 377 in 1950 and the first order for the 707 in 1955, Boeing was shut out of the commercial aircraft market.

In the mid-1950s technology had advanced significantly, which gave Boeing the opportunity to develop and manufacture new products. One of the first was the guided short-range missile used to intercept enemy aircraft. By that time the Cold War had become a fact of life, and Boeing used its short-range missile technology to develop and build an intercontinental missile.

In 1958, Boeing began delivery of its 707, the United States' first commercial jet airliner, in response to the British De Havilland Comet, French Sud Aviation Caravelle and Soviet Tupolev Tu-104, which were the world's first generation of commercial jet aircraft. With the 707, a four-engine, 156-passenger airliner, the U.S. became a leader in commercial jet manufacturing. A few years later, Boeing added a second version of this aircraft, the Boeing 720, which was slightly faster and had a shorter range.

Boeing was a major producer of small turbine engines during the 1950s and 1960s. The engines represented one of the company's major efforts to expand its product base beyond military aircraft after World War II. Development on the gas turbine engine started in 1943 and Boeing's gas turbines were designated models 502 (T50), 520 (T60), 540, 551 and 553. Boeing built 2,461 engines before production ceased in April 1968. Many applications of the Boeing gas turbine engines were considered to be firsts, including the first turbine-powered helicopter and boat. [29]

1960s

The 707 and 747 formed the backbone of many major airline fleets through the end of the 1970s, including United (747 shown) and Pan Am (707 shown) UA747.HNL.1973..reprocessed.arp.jpg
The 707 and 747 formed the backbone of many major airline fleets through the end of the 1970s, including United (747 shown) and Pan Am (707 shown)
Lufthansa Boeing 727 Lufthansa Boeing 727-30C Fitzgerald.jpg
Lufthansa Boeing 727
A Boeing 737, the best-selling commercial jet aircraft in aviation history Lufthansa 737-130 D-ABED.jpg
A Boeing 737, the best-selling commercial jet aircraft in aviation history

Vertol Aircraft Corporation was acquired by Boeing in 1960, [30] and was reorganized as Boeing's Vertol division. The twin-rotor CH-47 Chinook, produced by Vertol, took its first flight in 1961. This heavy-lift helicopter remains a work-horse vehicle to the present day. In 1964, Vertol also began production of the CH-46 Sea Knight.

In December 1960, Boeing announced the model 727 jetliner, which went into commercial service about three years later. Different passenger, freight and convertible freighter variants were developed for the 727. The 727 was the first commercial jetliner to reach 1,000 sales. [31]

On May 21, 1961, the company shortened its name to the current "Boeing Company". [32] [ not specific enough to verify ]

Boeing won a contract in 1961 to manufacture the S-IC stage of the Saturn V rocket, manufactured at the Michoud Assembly Facility in New Orleans, Louisiana.

In 1966, Boeing president William M. Allen asked Malcolm T. Stamper to spearhead production of the new 747 airliner on which the company's future was riding. This was a monumental engineering and management challenge, and included construction of the world's biggest factory in which to build the 747 at Everett, Washington, a plant which is the size of 40 football fields. [33]

In 1967, Boeing introduced another short- and medium-range airliner, the twin-engine 737. It has since become the best-selling commercial jet aircraft in aviation history. [34] Several versions have been developed, mainly to increase seating capacity and range. The 737 remains in production as of February 2018 with the latest 737 MAX series.

The roll-out ceremonies for the first 747-100 took place in 1968, at the massive new factory in Everett, about an hour's drive from Boeing's Seattle home. The aircraft made its first flight a year later. The first commercial flight occurred in 1970. The 747 has an intercontinental range and a larger seating capacity than Boeing's previous aircraft.

Boeing also developed hydrofoils in the 1960s. The screw-driven USS High Point (PCH-1) was an experimental submarine hunter. The patrol hydrofoil USS Tucumcari (PGH-2) was more successful. Only one was built, but it saw service in Vietnam and Europe before running aground in 1972. Its waterjet and fully submersed flying foils were the example for the later Pegasus-class patrol hydrofoils and the Model 929 Jetfoil ferries in the 1980s. The Tucumcari and later boats were produced in Renton. While the Navy hydrofoils were withdrawn from service in the late 1980s, the Boeing Jetfoils are still in service in Asia.

1970s

In the early 1970s Boeing suffered from the simultaneous decline in Vietnam War military spending, the slowing of the space program as Project Apollo neared completion, the recession of 1969–70, [35] :291 and the company's $2 billion debt as it built the new 747 airliner. [35] :303 Boeing did not receive any orders for more than a year. Its bet for the future, the 747, was delayed in production by three months because of problems with its Pratt & Whitney engines. Then in March 1971, Congress voted to discontinue funding for the development of the Boeing 2707 supersonic transport (SST), the US's answer to the British-French Concorde, forcing the end of the project. [36] [37] [38] [39] [40] [41]

Commercial Airplane Group, by far the largest unit of Boeing, went from 83,700 employees in 1968 to 20,750 in 1971. Each unemployed Boeing employee cost at least one other job in the Seattle area, and unemployment rose to 14%, the highest in the United States.[ citation needed ] Housing vacancy rates rose to 16% from 1% in 1967.[ citation needed ] U-Haul dealerships ran out of trailers because so many people moved out. A billboard appeared near the airport: [35] :303–304

Will the last person
leaving SEATTLE -
Turn out the lights. [35] :303

In January 1970, the first 747, a four-engine long-range airliner, flew its first commercial flight with Pan American World Airways. The 747 changed the airline industry, providing much larger seating capacity than any other airliner in production. The company has delivered over 1,500 Boeing 747s. The 747 has undergone continuous improvements to keep it technologically up-to-date. Larger versions have also been developed by stretching the upper deck. The newest version of the 747, the 747-8, remains in production as of 2018.[ citation needed ]

Boeing launched three Jetfoil 929-100 hydrofoils that were acquired in 1975 for service in the Hawaiian Islands. When the service ended in 1979 the three hydrofoils were acquired by Far East Hydrofoil for service between Hong Kong and Macau. [42]

During the 1970s, Boeing also developed the US Standard Light Rail Vehicle, which has been used in San Francisco, Boston, and Morgantown, West Virginia. [43]

1980s

The narrow body Boeing 757 replaced the 727. This example is in Turkmenistan Airlines livery. Turkmenistan Boeing 757-200 Beltyukov-1.jpg
The narrow body Boeing 757 replaced the 727. This example is in Turkmenistan Airlines livery.
The Boeing 767 replaced the Boeing 707. This example is in Qantas livery. Boeing 767-338-ER, Qantas AN0398522.jpg
The Boeing 767 replaced the Boeing 707. This example is in Qantas livery.

In 1983, the economic situation began to improve. Boeing assembled its 1,000th 737 passenger aircraft. During the following years, commercial aircraft and their military versions became the basic equipment of airlines and air forces. As passenger air traffic increased, competition was harder, mainly from Airbus, a European newcomer in commercial airliner manufacturing. Boeing had to offer new aircraft, and developed the single-aisle 757, the larger, twin-aisle 767, and upgraded versions of the 737. An important project of these years was the Space Shuttle, to which Boeing contributed with its experience in space rockets acquired during the Apollo era. Boeing participated also with other products in the space program, and was the first contractor for the International Space Station program.

During the decade several military projects went into production, including Boeing support of the B-2 stealth bomber. As part of an industry team led by Northrop, Boeing built the B-2's outer wing portion, aft center fuselage section, landing gear, fuel system, and weapons delivery system. At its peak in 1991, the B-2 was the largest military program at Boeing, employing about 10,000 people. The same year, the US's National Aeronautic Association awarded the B-2 design team the Collier Trophy for the greatest achievement in aerospace in America. The first B-2 rolled out of the bomber's final assembly facility in Palmdale, California, in November 1988 and it flew for the first time on July 17, 1989. [44]

The Avenger air defense system and a new generation of short-range missiles also went into production. During these years, Boeing was very active in upgrading existing military equipment and developing new ones. Boeing also contributed to wind power development with the experimental MOD-2 Wind Turbines for NASA and the United States Department of Energy, and the MOD-5B for Hawaii. [45]

1990s

Air France 777-300ER Boeing 777-328ER, Air France JP6572618.jpg
Air France 777-300ER

Boeing was one of seven competing companies that bid for the Advanced Tactical Fighter. Boeing agreed to team with General Dynamics and Lockheed, so that all three companies would participate in the development if one of the three companies designs was selected. The Lockheed design was eventually selected and developed into the F-22 Raptor. [46]

In April 1994, Boeing introduced the most modern commercial jet aircraft at the time, the twin-engine 777, with a seating capacity of approximately 300 to 370 passengers in a typical three-class layout, in between the 767 and the 747. The longest range twin-engined aircraft in the world, the 777 was the first Boeing airliner to feature a "fly-by-wire" system and was conceived partly in response to the inroads being made by the European Airbus into Boeing's traditional market. This aircraft reached an important milestone by being the first airliner to be designed entirely by using computer-aided design (CAD) techniques. [47] The 777 was also the first airplane to be certified for 180 minute ETOPS at entry into service by the FAA. [48] Also in the mid-1990s, the company developed the revamped version of the 737, known as the 737 "Next-Generation", or 737NG. It has since become the fastest-selling version of the 737 in history, and on April 20, 2006 sales passed those of the "Classic 737", with a follow-up order for 79 aircraft from Southwest Airlines.

In 1995, Boeing chose to demolish the headquarters complex on East Marginal Way South instead of upgrading it to match new seismic standards. The headquarters were moved to an adjacent building and the facility was demolished in 1996. [49] In 1997, Boeing was headquartered on East Marginal Way South, by King County Airport, in Seattle. [50]

In 1996, Boeing acquired Rockwell's aerospace and defense units. The Rockwell business units became a subsidiary of Boeing, named Boeing North American, Inc. In August 1997, Boeing merged with McDonnell Douglas in a US$13 billion stock swap, with Boeing as the surviving company. [32] [ not specific enough to verify ] Following the merger, the McDonnell Douglas MD-95 was renamed the Boeing 717, and the production of the MD-11 trijet was limited to the freighter version. Boeing introduced a new corporate identity with completion of the merger, incorporating the Boeing logo type and a stylized version of the McDonnell Douglas symbol, which was derived from the Douglas Aircraft logo from the 1970s.

An aerospace analyst criticized the CEO and his deputy, Philip M. Condit and Harry Stonecipher, for thinking of their personal benefit first, and causing the problems to Boeing many years later. Instead of investing the huge cash reserve to build new airplanes, they initiated a program to buy back Boeing stock for more than US$10 billion. [51] [ importance? ]

In May 1999, Boeing studied buying Embraer to encourage commonality between the E-Jets and the Boeing 717, but this was nixed by then president Harry Stonecipher. He preferred buying Bombardier Aerospace, but its owner, the Beaudoin family, asked for a price too high for Boeing which remembered its mid-1980s purchase of de Havilland Canada, losing a million dollars every day for three years before selling it to Bombardier in 1992. [52]

2000–2009

International Space Station STS-134 International Space Station after undocking.jpg
International Space Station
Boeing Everett Factory in 2011 Aerial Boeing Everett Factory October 2011.jpg
Boeing Everett Factory in 2011

In January 2000, Boeing chose to expand its presence in another aerospace field of satellite communications by purchasing Hughes Electronics. [53]

In September 2001, Boeing moved its corporate headquarters from Seattle to Chicago. Chicago, Dallas and Denver – vying to become the new home of the world's largest aerospace concern – all had offered packages of multimillion-dollar tax breaks. [54] Its offices are located in the Fulton River District just outside the Chicago Loop. [9]

On October 10, 2001, Boeing lost to its rival Lockheed Martin in the fierce competition for the multibillion-dollar Joint Strike Fighter contract. Boeing's entry, the X-32, was rejected in favor of Lockheed's X-35 entrant. Boeing continues to serve as the prime contractor on the International Space Station and has built several of the major components.

Boeing began development of the KC-767 aerial refueling tanker in the early 2000s. Italy and Japan ordered four KC-767s each. After development delays and FAA certification, Boeing delivered the tankers to Japan from 2008 [55] [56] with the second KC-767 following on March 5. [57] to 2010. [58] Italy received its four KC-767 during 2011. [59] [60] [61]

In 2004, Boeing ended production of the 757 after 1,050 aircraft were produced. More advanced, stretched versions of the 737 were beginning to compete against the 757, and the planned 787-3 was to fill much of the top end of the 757 market. Also that year, Boeing announced that the 717, the last civil aircraft to be designed by McDonnell Douglas, would cease production in 2006. The 767 was in danger of cancellation as well, with the 787 replacing it, but orders for the freighter version extended the program.

After several decades of success, Boeing lost ground to Airbus and subsequently lost its lead in the airliner market in 2003. Multiple Boeing projects were pursued and then canceled, notably the Sonic Cruiser, a proposed jetliner that would travel just under the speed of sound, cutting intercontinental travel times by as much as 20%. It was launched in 2001 along with a new advertising campaign to promote the company's new motto, "Forever New Frontiers", and to rehabilitate its image. However, the plane's fate was sealed by the changes in the commercial aviation market following the September 11 attacks and the subsequent weak economy and increase in fuel prices.

Subsequently, Boeing streamlined its production and turned its attention to a new model, the Boeing 787 Dreamliner, using much of the technology developed for the Sonic Cruiser, but in a more conventional aircraft designed for maximum efficiency. The company also launched new variants of its successful 737 and 777 models. The 787 proved to be a highly popular choice with airlines, and won a record number of pre-launch orders. With delays to Airbus' A380 program several airlines threatened to switch their A380 orders to Boeing's new 747 version, the 747-8. [62] Airbus's response to the 787, the A350, received a lukewarm response at first when it was announced as an improved version of the A330, and then gained significant orders when Airbus promised an entirely new design. The 787 program encountered delays, with the first flight not occurring until late 2009. [63]

After regulatory approval, Boeing formed a joint venture, United Launch Alliance with its competitor, Lockheed Martin, on December 1, 2006. The new venture is the largest provider of rocket launch services to the U.S. government. [64]

In 2005, Gary Scott, ex-Boeing executive and then head of Bombardier's CSeries program, suggested a collaboration on the upcoming CSeries, but an internal study assessed Embraer as the best partner for regional jets. The Brazilian government wanted to retain control and blocked an acquisition. [52]

On August 2, 2005, Boeing sold its Rocketdyne rocket engine division to Pratt & Whitney. On May 1, 2006, Boeing agreed to purchase Dallas, Texas-based Aviall, Inc. for $1.7 billion and retain $350 million in debt. Aviall, Inc. and its subsidiaries, Aviall Services, Inc. and ILS formed a wholly owned subsidiary of Boeing Commercial Aviation Services (BCAS). [65]

Realizing that increasing numbers of passengers have become reliant on their computers to stay in touch, Boeing introduced Connexion by Boeing, a satellite based Internet connectivity service that promised air travelers unprecedented access to the World Wide Web. The company debuted the product to journalists in 2005, receiving generally favorable reviews. However, facing competition from cheaper options, such as cellular networks, it proved too difficult to sell to most airlines. In August 2006, after a short and unsuccessful search for a buyer for the business, Boeing chose to discontinue the service. [66] [67]

On August 18, 2007, NASA selected Boeing as the manufacturing contractor for the liquid-fueled upper stage of the Ares I rocket. [68] The stage, based on both Apollo-Saturn and Space Shuttle technologies, was to be constructed at NASA's Michoud Assembly Facility near New Orleans; Boeing constructed the S-IC stage of the Saturn V rocket at this site in the 1960s.

The Boeing 787 Dreamliner on its first flight Boeing 787first flight.jpg
The Boeing 787 Dreamliner on its first flight

Boeing launched the 777 Freighter in May 2005 with an order from Air France. The freighter variant is based on the −200LR. Other customers include FedEx and Emirates. Boeing officially announced in November 2005 that it would produce a larger variant of the 747, the 747-8, in two versions, commencing with the Freighter version with firm orders for two cargo carriers. The second version, named the Intercontinental, is for passenger airlines. Both 747-8 versions feature a lengthened fuselage, new, advanced engines and wings, and the incorporation of other technologies developed for the 787.

Boeing also received the launch contract from the U.S. Navy for the P-8 Poseidon Multimission Maritime Aircraft, an anti-submarine warfare patrol aircraft. It has also received orders for the 737 AEW&C "Wedgetail" aircraft. The company has also introduced new extended range versions of the 737. These include the 737-700ER and 737-900ER. The 737-900ER is the latest and will extend the range of the 737–900 to a similar range as the successful 737–800 with the capability to fly more passengers, due to the addition of two extra emergency exits.

The record-breaking 777-200LR Worldliner, presented at the Paris Air Show 2005. B777-200LR Paris Air Show 2005 display.jpg
The record-breaking 777-200LR Worldliner, presented at the Paris Air Show 2005.

The 777-200LR Worldliner embarked on a well-received global demonstration tour in the second half of 2005, showing off its capacity to fly farther than any other commercial aircraft. On November 10, 2005, the 777-200LR set a world record for the longest non-stop flight. The plane, which departed from Hong Kong traveling to London, took a longer route, which included flying over the U.S. It flew 11,664 nautical miles (21,601 km) during its 22-hour 42-minute flight. It was flown by Pakistan International Airlines pilots and PIA was the first airline to fly the 777-200LR Worldliner.

On August 11, 2006, Boeing agreed to form a joint-venture with the large Russian titanium producer, VSMPO-Avisma for the machining of titanium forgings. The forgings will be used on the 787 program. [69] In December 2007, Boeing and VSMPO-Avisma created a joint venture, Ural Boeing Manufacturing, and signed a contract on titanium product deliveries until 2015, with Boeing planning to invest $27 billion in Russia over the next 30 years. [70]

In February 2011, Boeing received a contract for 179 KC-46 U.S. Air Force tankers at a value of $35 billion. [71] The KC-46 tankers are based on the KC-767.

Graphic representation of the XM1202 Mounted Combat System vehicle XM1202 MCS.jpg
Graphic representation of the XM1202 Mounted Combat System vehicle

Boeing, along with Science Applications International Corporation (SAIC), were the prime contractors in the U.S. military's Future Combat Systems program. [72] The FCS program was canceled in June 2009 with all remaining systems swept into the BCT Modernization program. [73] Boeing works jointly with SAIC in the BCT Modernization program like the FCS program but the U.S. Army will play a greater role in creating baseline vehicles and will only contract others for accessories.

Defense Secretary Robert M. Gates' shift in defense spending to, "make tough choices about specific systems and defense priorities based solely on the national interest and then stick to those decisions over time" [74] hit Boeing especially hard, because of their heavy involvement with canceled Air Force projects. [75]

Unethical conduct

In May 2003, the U.S. Air Force announced it would lease 100 KC-767 tankers to replace the oldest 136 KC-135s. In November 2003, responding to critics who argued that the lease was more expensive than an outright purchase, the DoD announced a revised lease of 20 aircraft and purchase of 80. In December 2003, the Pentagon announced the project was to be frozen while an investigation of allegations of corruption by one of its former procurement staffers, Darleen Druyun (who began employment at Boeing in January) was begun. The fallout of this resulted in the resignation of Boeing CEO Philip M. Condit and the termination of CFO Michael M. Sears. [76] Harry Stonecipher, former McDonnell Douglas CEO and Boeing COO, replaced Condit on an interim basis. Druyun pleaded guilty to inflating the price of the contract to favor her future employer and to passing information on the competing Airbus A330 MRTT bid. In October 2004, she received a sentence of nine months in federal prison, seven months in a community facility, and three years probation. [77]

In March 2005, the Boeing board forced President and CEO Harry Stonecipher to resign. Boeing said an internal investigation revealed a "consensual" relationship between Stonecipher and a female executive that was "inconsistent with Boeing's Code of Conduct" and "would impair his ability to lead the company". [78] James A. Bell served as interim CEO (in addition to his normal duties as Boeing's CFO) until the appointment of Jim McNerney as the new Chairman, President, and CEO on June 30, 2005.

Industrial espionage

In June 2003, Lockheed Martin sued Boeing, alleging that the company had resorted to industrial espionage in 1998 to win the Evolved Expendable Launch Vehicle (EELV) competition. Lockheed Martin claimed that the former employee Kenneth Branch, who went to work for McDonnell Douglas and Boeing, passed nearly 30,000 pages of proprietary documents to his new employers. Lockheed Martin argued that these documents allowed Boeing to win 19 of the 28 tendered military satellite launches. [79] [80]

In July 2003, Boeing was penalized, with the Pentagon stripping seven launches away from the company and awarding them to Lockheed Martin. [79] Furthermore, the company was forbidden to bid for rocket contracts for a twenty-month period, which expired in March 2005. [80] In early September 2005, it was reported that Boeing was negotiating a settlement with the U.S. Department of Justice in which it would pay up to $500 million to cover this and the Darleen Druyun scandal. [81]

1992 EC-US Agreement notes

Until the late 1970s, the U.S. had a near monopoly in the Large Civil Aircraft (LCA) sector. [82] The Airbus consortium (created in 1969) started competing effectively in the 1980s. At that stage the U.S. became concerned about European competition and the alleged subsidies paid by the European governments for the developments of the early models of the Airbus family. This became a major issue of contention, as the European side was equally concerned by subsidies accruing to U.S. LCA manufacturers through NASA and Defense programs.

Europe and the U.S. started bilateral negotiations for the limitation of government subsidies to the LCA sector in the late 1980s. Negotiations were concluded in 1992 with the signing of the EC-US Agreement on Trade in Large Civil Aircraft which imposes disciplines on government support on both sides of the Atlantic which are significantly stricter than the relevant World Trade Organization (WTO) rules: Notably, the Agreement regulates in detail the forms and limits of government support, prescribes transparency obligations and commits the parties to avoiding trade disputes. [83]

Subsidy disputes

In 2004, the EU and the U.S. agreed to discuss a possible revision of the 1992 EC-US Agreement provided that this would cover all forms of subsidies including those used in the U.S., and in particular the subsidies for the Boeing 787; the first new aircraft to be launched by Boeing for 14 years. In October 2004 the U.S. began legal proceedings at the WTO by requesting WTO consultations on European launch investment to Airbus. The U.S. also unilaterally withdrew from the 1992 EU-US Agreement. [84] The U.S. claimed Airbus had violated a 1992 bilateral accord when it received what Boeing deemed "unfair" subsidies from several European governments. Airbus responded by filing a separate complaint, contesting that Boeing had also violated the accord when it received tax breaks from the U.S. Government. Moreover, the EU also complained that the investment subsidies from Japanese airlines violated the accord.

On January 11, 2005, Boeing and Airbus agreed that they would attempt to find a solution to the dispute outside of the WTO. However, in June 2005, Boeing and the United States government reopened the trade dispute with the WTO, claiming that Airbus had received illegal subsidies from European governments. Airbus has also responded to this claim against Boeing, reopening the dispute and also accusing Boeing of receiving subsidies from the U.S. Government. [85]

On September 15, 2010, the WTO ruled that Boeing had received billions of dollars in government subsidies. [86] Boeing responded by stating that the ruling was a fraction of the size of the ruling against Airbus and that it required few changes in its operations. [87] Boeing has received $8.7 billion in support from Washington state. [88]

Future concepts

In May 2006, four concept designs being examined by Boeing were outlined in The Seattle Times based on corporate internal documents. The research aims in two directions: low-cost airplanes, and environmental-friendly planes. Codenamed after some of The Muppets characters, a design team known as the Green Team concentrated primarily on reducing fuel usage. All four designs illustrated rear-engine layouts. [89]

As with most concepts, these designs are only in the exploratory stage, intended to help Boeing evaluate the potentials of such radical technologies. [89]

In 2015, Boeing patented its own force field technology, also known as the shock wave attenuation system, that would protect vehicles from shock waves generated by nearby explosions. [90] Boeing has yet to confirm when they plan to build and test the technology. [91]

The Boeing Yellowstone Project is the company's project to replace its entire civil aircraft portfolio with advanced technology aircraft. New technologies to be introduced include composite aerostructures, more electrical systems (reduction of hydraulic systems), and more fuel-efficient turbofan engines, such as the Pratt & Whitney PW1000G Geared Turbofan, General Electric GEnx, the CFM International LEAP56, and the Rolls-Royce Trent 1000. The term "Yellowstone" refers to the technologies, while "Y1" through "Y3" refer to the actual aircraft.

2010–2016

In summer 2010, Boeing acquired Fairfax, VA-based C4ISR and combat systems developer Argon ST to expand its C4ISR, cyber and intelligence capabilities. [92]

In 2011, Boeing was hesitating between re-engineing the 737 or developing an all-new small airplane for which Embraer could have been involved, but when the A320neo was launched with new engines, that precipitated the 737 MAX decision. [52] On November 17, Boeing received its largest provisional order for $21.7 billion at list prices from Indonesian LCC Lion Air for 201 737 MAX, 29 737-900ERs and 150 purchase rights, days after its previous order record of $18 billion for 50 777-300ER from Emirates. [93]

In 2012, Boeing announced it would close its pictured facility in Wichita, Kansas. Boeing Wichita.jpg
In 2012, Boeing announced it would close its pictured facility in Wichita, Kansas.

On January 5, 2012, Boeing announced it would close its facilities in Wichita, Kansas with 2,160 workers before 2014, more than 80 years after it was established, where it had employed as many as 40,000 people. [94] [95]

In May 2013, Boeing announced it would cut 1,500 IT jobs in Seattle over the next three years through layoffs, attrition and mostly relocation to St. Louis and North Charleston, South Carolina − 600 jobs each. [96] [97] In September, Boeing announced their Long Beach facility manufacturing the C-17 Globemaster III military transport would shut down. [98]

In January 2014, the company announced US$1.23 billion profits for Q4 2013, a 26% increase, due to higher demand for commercial aircraft. [99] The last plane to undergo maintenance in Boeing Wichita's facility left in May 2014. [100]

In September 2014, NASA awarded contracts to Boeing and SpaceX for transporting astronauts to the International Space Station. [101]

In June 2015, Boeing announced that James McNerney would step down as CEO to be replaced by Boeing's COO, Dennis Muilenburg, on July 1, 2015. [7] The 279th and last C-17 was delivered in summer before closing the site, affecting 2,200 jobs. [98]

In February 2016, Boeing announced that Boeing President and CEO Dennis Muilenburg was elected the 10th Chairman of the Board, succeeding James McNerney. [102] In March, Boeing announced plans to cut 4,000 jobs from its commercial airplane division by mid-year. [103] On May 13, 2016, Boeing opened a $1 billion, 27-acre (11-hectare) factory in Washington state that will make carbon-composite wings for the Boeing 777X to be delivered from 2020. [104]

CSeries dumping petition

The CSeries CS100 demonstrated for Delta Air Lines in Atlanta C-FFCO (23872468999).jpg
The CSeries CS100 demonstrated for Delta Air Lines in Atlanta

On 28 April 2016, Bombardier Aerospace sold 75 CSeries CS100 firmly plus 50 options to Delta Air Lines. On 27 April 2017, Boeing filed a petition for dumping them at $19.6m each, below their $33.2m production cost.

On 9 June 2017, the US International Trade Commission (USITC) found the US industry could be threatened. On 26 September, the US Department of Commerce (DoC) observed subsidies of 220% and will collect deposits based on these. It will add an 80% preliminary anti-dumping duty on top, resulting in a total duty of 300%. The DoC announced its final ruling, a total duty of 292%, on 20 December. On 10 January 2018, the Canadian government filed a complaint at the World Trade Organization against the US.

On 26 January 2018, the USITC four commissioners unanimously determined the US industry is not threatened and no duty orders will be issued, overturning the imposed duties. The Commission public report was made available by February 2018. On March 22, Boeing declined to appeal the ruling.

2017-present

In October 2017, Boeing announced plans to acquire Aurora Flight Sciences to expand its capabilities to develop autonomous, electric-powered and long-flight-duration aircraft for its commercial and military businesses, pending regulatory approval. [105] [106]

In 2017, Boeing won 912 net orders for $134.8 billion at list prices including 745 737s, 94 787s and 60 777s, and delivered 763 airliners including 529 737s, 136 787s and 74 777s. [107]

In January 2018, a joint venture was formed by auto seat maker Adient (50.01%) and Boeing (49.99%) to develop and manufacture airliner seats for new installations or retrofit, a $4.5 billion market in 2017 which will grow to $6 billion by 2026, to be based in Kaiserslautern near Frankfurt and distributed by Boeing subsidiary Aviall, with its customer service center in Seattle. [108]

Boeing CEO Dennis Muilenburg and President Trump at the 787-10 Dreamliner rollout ceremony Boeing 787-10 rollout with President Trump (32335755473) (cropped).jpg
Boeing CEO Dennis Muilenburg and President Trump at the 787-10 Dreamliner rollout ceremony

On June 4, 2018, Boeing and Safran announced a 50-50 partnership to design, build and service APUs after regulatory and antitrust clearance in the second half of 2018. [109] This could threaten the dominance of Honeywell and United Technologies in the APU market. [110]

At a June 2018 AIAA conference, Boeing unveiled a hypersonic transport project. [111]

On July 5, 2018, Boeing and Embraer announced a joint venture, covering Embraer's airliner business. [112] This is seen as a reaction to Airbus acquiring a majority of the competing Bombardier CSeries on October 16, 2017. [113]

In September 2018, Boeing signed a deal with the Pentagon worth up to $2.4 billion to provide helicopters for protecting nuclear-missile bases. [114] Boeing enhanced its space business by acquiring the satellite company Millennium Space System in September 2018. [115]

On March 10, 2019, an Ethiopian Airlines Boeing 737 MAX 8 crashed just minutes after take-off from Addis Ababa. Initial reports noted similarities with the crash of a Lion Air MAX 8 in October 2018. In the following days, numerous countries and airlines grounded all 737 MAX aircraft. [116] On March 13, the FAA became the last major authority to ground the aircraft, reversing its previous stance that the MAX was safe to fly. [117] On March 19, the U.S. Department of Transportation requested an audit of the regulatory process that led to the aircraft's certification in 2017, [118] [119] amid concerns that current U.S. rules allow manufacturers to largely "self-certify" aircraft. [120]

Environment

Environmental record

In 2006, the UCLA Center for Environmental Risk Reduction released a study showing that Boeing's Santa Susana Field Laboratory, in the Simi Hills of eastern Ventura County in Southern California, had been contaminated with toxic and radioactive waste. The study found that air, soil, groundwater, and surface water at the site all contained radionuclides, toxic metals, and dioxins; air and water additionally contained perchlorate, TCE, and hydrazines, while water showed the presence of PCBs as well. [121] Clean up studies and lawsuits are in progress. [122] [123]

Jet biofuels

The airline industry is responsible for about 11% of greenhouse gases emitted by the U.S. transportation sector. [124] Aviation's share of the greenhouse gas emissions is poised to grow, as air travel increases and ground vehicles use more alternative fuels like ethanol and biodiesel. [124] Boeing estimates that biofuels could reduce flight-related greenhouse-gas emissions by 60 to 80%. [124] The solution blends algae fuels with existing jet fuel. [124]

Boeing executives said the company is informally collaborating with leading Brazilian biofuels maker Tecbio, Aquaflow Bionomic of New Zealand and other fuel developers around the world. So far, Boeing has tested six fuels from these companies, and will probably have gone through 20 fuels "by the time we're done evaluating them". [124] Boeing was also joining other aviation-related members in the Algal Biomass Organization (ABO) on June 2008. [125]

Air New Zealand and Boeing are researching the jatropha plant to see if it is a sustainable alternative to conventional fuel. [126] A two-hour test flight using a 50–50 mixture of the new biofuel with Jet A-1 in the number one position Rolls Royce RB-211 engine of 747-400 ZK-NBS, was successfully completed on December 30, 2008. The engine was then removed to be scrutinised and studied to identify any differences between the Jatropha blend and regular Jet A1. No effects to performances were found.

On August 31, 2010, Boeing worked with the U.S. Air Force to test the Boeing C-17 running on 50% JP-8, 25% Hydro-treated Renewable Jet fuel and 25% of a Fischer–Tropsch fuel with successful results. [127]

Electric propulsion

For NASA's N+3 future airliner program, Boeing has determined that hybrid electric engine technology is by far the best choice for its subsonic design. Hybrid electric propulsion has the potential to shorten takeoff distance and reduce noise. [128]

Political contributions, federal contracts, advocacy

In both 2008 and 2009, Boeing was second on the list of Top 100 US Federal Contractors, with contracts totalling $22 billion and $23 billion respectively. [129] [130] Since 1995, the company has agreed to pay $1.6 billion to settle 39 instances of misconduct, including $615 million in 2006 in relation to illegal hiring of government officials and improper use of proprietary information. [131] [132]

Boeing secured the highest ever tax breaks at the state level in 2013. [133]

Boeing's 2010 lobbying expenditure by the third quarter was $13.2 million (2009 total: $16.9 million). [134] [135] In the 2008 presidential election, Barack Obama "was by far the biggest recipient of campaign contributions from Boeing employees and executives, hauling in $197,000 – five times as much as John McCain, and more than the top eight Republicans combined". [136]

Boeing has a corporate citizenship program centered on charitable contributions in five areas: education, health, human services, environment, the arts, culture, and civic engagement. [137] [ better source needed ] In 2011, Boeing spent $147.3 million in these areas through charitable grants and business sponsorships. [138] In February 2012, Boeing Global Corporate Citizenship partnered with the Insight Labs to develop a new model for foundations to more effectively lead the sector that they serve. [139] [ better source needed ]

The company is a member of the U.S. Global Leadership Coalition, a Washington D.C.-based coalition of over 400 major companies and NGOs that advocates for a larger International Affairs Budget, which funds American diplomatic and development efforts abroad. [140] A series of U.S. diplomatic cables show how U.S. diplomats and senior politicians intervene on behalf of Boeing to help boost the company's sales. [141]

In 2007 and 2008, the company benefited from over $10 billion of long-term loan guarantees, helping finance the purchase of their commercial aircraft in countries including Brazil, Canada, Ireland and the United Arab Emirates, from the Export-Import Bank of the United States, some 65% of the total loan guarantees the bank made in the period. [142]

In December 2011, the non-partisan organization Public Campaign criticized Boeing for spending $52.29 million on lobbying and not paying taxes during 2008–2010, instead getting $178 million in tax rebates, despite making a profit of $9.7 billion, laying off 14,862 workers since 2008, and increasing executive pay by 31% to $41.9 million in 2010 for its top five executives. [143]

Divisions

Boeing plant in Ridley Park, Pennsylvania Ridley Park PA Boeing.JPG
Boeing plant in Ridley Park, Pennsylvania

The two largest divisions are Boeing Commercial Airplanes and Boeing Defense, Space & Security (BDS). [144]

Financial numbers

For the fiscal year 2017, Boeing reported earnings of US$8.191 billion, with an annual revenue of US$93.392 billion, a 1.25% decline over the previous fiscal cycle. Boeing's shares traded at over $209 per share, and its market capitalization was valued at over US$206.6 billion. [145]

YearRevenue
in million US$
Net income
in mil. US$
Price per Share
in US$
Employees
200553,6212,57245.42
200661,5302,21559.20
200766,3874,07471.05
200860,9092,67250.76
200968,281 [146] 1,31235.73
201064,306 [147] 3,29853.89
201168,735 [148] 4,00958.20
201281,698 [149] 3,90062.65
201386,623 [150] 4,57890.39168,400
201490,762 [151] 5,440114.72165,500
201596,114 [152] 5,172131.43161,400
201694,571 [153] 4,892125.66150,500
201793,392 [154] 8,191209.85140,800

Between 2010 and 2018, Boeing increased its operating cash flow from $3 to $15.3 billion, sustaining its share price, by negotiating advance payments from customers and delaying payments to its suppliers. This strategy is sustainable only as long as orders are good and delivery rates are increasing. [155]

Employment numbers

The company's employment count is listed on its website below.

Employment by division
(Feb 8, 2019) [156]
GroupEmployees
Boeing Commercial Airplanes (BCA)63,715
Boeing Defense, Space & Security (BDS)36,742
Corporate29,520
Global Services23,050
Total Company153,027
Employment by location
(Feb 8, 2019) [156]
LocationEmployees
Alabama 3,049
Arizona 4,336
California 12,869
Missouri 14,566
Oklahoma 3,158
Pennsylvania 4,580
South Carolina 7,343
Texas 3,860
Washington 69,830
Other Locations29,436
Total Company153,027

Approximately 1.5% of Boeing employees are in the Technical Fellowship program, a program through which Boeing's top engineers and scientists set technical direction for the company. [157] The average salary at Boeing is $76,784, reported by former employees. [158]

Corporate governance

Board of directors

Chief executive officer

1933–1939 Clairmont "Claire" L. Egtvedt [161]
1939–1944 Philip G. Johnson
1944–1945Clairmont L. Egtvedt
1945–1968 William M. Allen
1969–1986 Thornton "T" A. Wilson
1986–1996 Frank Shrontz [162]
1996–2003 Philip M. Condit
2003–2005 Harry C. Stonecipher
2005 James A. Bell (acting)
2005–2015 James McNerney
2015–presentDennis Muilenburg [163]

Chairman of the board

1916–1934 William E. Boeing
1934–1939Clairmont L. Egtvedt (acting)
1939–1966Clairmont L. Egtvedt
1968–1972William M. Allen
1972–1987Thornton "T" A. Wilson
1988–1996Frank Shrontz
1997–2003Philip M. Condit
2003–2005 Lewis E. Platt
2005–2016James McNerney
2016–present Dennis Muilenburg

President

1922–1925 Edgar N. Gott [164]
1926–1933Philip G. Johnson
1933–1939Clairmont L. Egtvedt
1939–1944Philip G. Johnson
1944–1945Clairmont L. Egtvedt
1945–1968William M. Allen
1968–1972Thornton "T" A. Wilson
1972–1985 Malcolm T. Stamper
1985–1996Frank Shrontz
1996–1997Philip M. Condit
1997–2005Harry C. Stonecipher
2005 James A. Bell (acting)
2005–2013James McNerney
2013–presentDennis Muilenburg [165]

See also

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Boeing 737 Single aisle airliner family

The Boeing 737 is a short- to medium-range twinjet narrow-body airliner developed and manufactured by Boeing Commercial Airplanes in the United States. Originally developed as a shorter, lower-cost twin-engine airliner derived from the 707 and 727, the 737 has developed into a family of thirteen passenger models with capacities from 85 to 215 passengers. The 737 is Boeing's only narrow-body airliner in production, with the 737 Next Generation and the re-engined and updated 737 MAX variants also in use.

Iran Air flag carrier airline of the Islamic Republic of Iran

Iran Air, branded as The Airline of the Islamic Republic of Iran, is the flag carrier of Iran headquartered on the grounds of Mehrabad Airport in Tehran. As of 2018, it operates scheduled services to 71 destinations in Asia and Europe. Iran Air’s main bases are Imam Khomeini International Airport and Mehrabad Airport, both situated in Tehran, capital of Iran. Domestically, Iran Air is commonly known as Homa, which is the name of a mythical Persian griffin, and also the acronym of Iran National Airlines in the Persian language. The airline's cargo division, Iran Air Cargo, operates scheduled services internationally using three cargo aircraft.

Wide-body aircraft twin-aisle jet airliner classification

A wide-body aircraft, also known as a twin-aisle aircraft, is a jet airliner with a fuselage wide enough to accommodate two passenger aisles with seven or more seats abreast. The typical fuselage diameter is 5 to 6 m. In the typical wide-body economy cabin, passengers are seated seven to ten abreast, allowing a total capacity of 200 to 850 passengers. The largest wide-body aircraft are over 6 m (20 ft) wide, and can accommodate up to eleven passengers abreast in high-density configurations.

Air China flag carrier of the Peoples Republic of China

Air China Limited is the flag carrier and one of the major airlines of the People's Republic of China, with its headquarters in Shunyi District, Beijing. Air China's flight operations are based at Beijing Capital International Airport. In 2017, the airline carried 102 million domestic and international passengers with an average load factor of 81%.

Boeing 747-400 Wide-body airliner, improved production series of the 747

The Boeing 747-400 is an American wide-body jet airliner developed by Boeing Commercial Airplanes. Derived from the earlier versions of the Boeing 747, the 747-400 retains the four-engine wide-body layout of its predecessors, whilst incorporating numerous technological and structural changes to produce a more efficient airframe. Its most distinguishing features versus preceding 747 models are 6-foot (1.8 m) winglets mounted on 6-foot (1.8 m) wing tip extensions, which are found on all 747-400s except for Japanese domestic market versions. It is the best-selling model of the Boeing 747 family of jet airliners.

ETOPS

ETOPS is an acronym used in aviation for Extended Operations. The ICAO coined the acronym for Extended Twin Operations for twin-engine aircraft operation further than one hour from a diversion airport at the one-engine inoperative cruise speed, over water or remote lands, on routes previously restricted to three- and four-engine aircraft. The ICAO issues Standards and Recommended Practices (SARPS) for ETOPS, and ETOPS were extended to four-engine aircraft like the Boeing 747-8.

Azerbaijan Airlines airline

Azerbaijan Airlines, also known as AZAL, is the flag carrier and largest airline of the country of Azerbaijan. Based in Baku, adjacent to Heydar Aliyev International Airport, the carrier operates to destinations across Asia, the CIS, Europe and the USA. Azerbaijan Airlines is a member of the International Air Transport Association. The airline was founded on 7 April 1992 as the first national airline established after the country gained its independence.

Yellowstone is a Boeing Commercial Airplanes project to replace its entire civil aircraft portfolio with advanced technology aircraft. New technologies to be introduced include composite aerostructures, more electrical systems, and more fuel-efficient turbofan engines. The term "Yellowstone" refers to the technologies, while "Y1" through "Y3" refer to the actual aircraft.

Boeing 747-8 Wide-body airliner, current production series of the 747

The Boeing 747-8 is a wide-body jet airliner developed by Boeing Commercial Airplanes. It was officially announced in 2005. The 747-8 is the third generation of the 747, with a lengthened fuselage, redesigned wings, new engines, and improved efficiency. The 747-8 is the largest 747 version, the largest commercial aircraft built in the United States, and the longest operational passenger aircraft in the world.

Twinjet aircraft propelled by two jet engines

A twinjet or twin-engine jet is a jet aircraft powered by two engines. A twinjet is able to fly well enough to land with a single working engine, making it safer than a single-engine aircraft in the event of failure of an engine. Fuel efficiency of a twinjet is better than that of aircraft with more engines. These considerations have led to the widespread use of aircraft of all types with twin engines, including airliners, fixed-wing military aircraft, and others.

Competition between Airbus and Boeing

The competition between Airbus and Boeing has been characterised as a duopoly in the large jet airliner market since the 1990s. This resulted from a series of mergers within the global aerospace industry, with Airbus beginning as a European consortium while the American Boeing absorbed its former arch-rival, McDonnell Douglas, in 1997. Other manufacturers, such as Lockheed Martin and Convair in the United States, and British Aerospace and Fokker in Europe, were no longer able to compete and effectively withdrew from this market.

Comac aerospace manufacturer

The Commercial Aircraft Corporation of China, Ltd. (Comac) is a Chinese state-owned aerospace manufacturer established on 11 May 2008 in Shanghai, China. The headquarters are in Pudong, Shanghai. The company has a registered capital of RMB 19 billion. The corporation is a designer and constructor of large passenger aircraft with capacities of over 150 passengers, in an effort aimed at reducing China's dependency on Boeing and Airbus.

Boeing 737 MAX Airliner family by Boeing

The Boeing 737 MAX is a narrow-body aircraft series designed and produced by Boeing Commercial Airplanes as the fourth generation of the Boeing 737, succeeding the Boeing 737 Next Generation (NG).

Boeing New Midsize Airplane Proposed aircraft to fill the middle of the market segment

The New Midsize Airplane (NMA), or New Midsize Aircraft, is a concept airliner designed by Boeing to fill the middle of the market segment.

This is a list of aviation-related events in 2018.

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Further reading