Boeing News

ST. LOUIS, Sept. 22, 2008 -- The Boeing Company [NYSE: BA] today launched a new division within its Integrated Defense Systems (IDS) business designed to better serve customers in the vast services market.

The newly established Defense & Government Services will operate as a division of Boeing IDS's Global Services & Support business (formerly Support Systems) unit. Boeing estimates that the defense and government services market is worth approximately $400 billion over the next 10 years.

The 4,400-employee division will be led by Greg Deiter and will include current company subsidiaries Boeing Service Company and Boeing Aerospace Operations.

"We are confident that the Defense & Government Services division will add tremendous value for our customers and grow our business profitably," said Dennis Muilenburg, Global Services & Support president. "Our organization's design, and its services-market strategies, leverage our integration capabilities, our talented people, and the entire Boeing enterprise, with special emphasis on working with Commercial Aviation Services at Boeing Commercial Airplanes. We're already doing work in these markets very successfully, and we want to do more."

Boeing is performing in, or engaged in active proposals for, several service-market areas. Examples include networked technical services such as logistics command and control, satellite operations, launch support, and SBInet maintenance; managed network and communications services such as the Boeing Broadband Satellite Network for the U.S. executive fleet; energy management and integrated facilities management for the U.S. government; and other aviation and logistics services such as field maintenance and modifications, intelligence, surveillance and reconnaissance services, contractor logistics support, field service representatives, and fleet support.

EVERETT, Wash, J

 The Boeing Company [NYSE: BA] recently delivered to Cargolux Airlines International S.A. its 16th and last 747-400 Freighter with a ceremony at Paine Field in Everett, Wash.

This year celebrates the 30th anniversary of Cargolux taking delivery of its first Boeing 747 Freighter. The airplane, dubbed "City of Contern," was delivered before a contingent of official representatives from the commune of Contern, Luxembourg, as well as Luxembourg-based media.

Cargolux is the launch customer for the 747-8, and will take delivery of the first of its 13 Boeing 747-8 Freighters in 2009.

Cargolux's new 747-8 Freighters will offer significant capacity benefits over their 747-400F fleet, with a maximum structural payload capacity of 140 metric tonnes (154 tons) and 16 percent more revenue cargo volume, with slightly greater range and 16 percent lower tonne-kilometer costs

Boeing [NYSE: BA] and Cathay Pacific Airways celebrated the delivery of the airline's first 747-400ERF (Extended Range Freighter) last Friday.

The airplane, the first of six Boeing 747-400ERFs to be delivered to Cathay Pacific, was unveiled last week at a pre-flight ceremony at the Boeing Delivery Center in Everett, Wash. Among those present were Cathay Pacific's Ron Mathison, director and general manager for Cargo; senior managers from Cathay's North America and Hong Kong cargo team and invited senior cargo industry executives.

Cathay Pacific currently operates 115 airplanes, 18 of which are freighters, including six 747-400BCFs (Boeing Converted Freighters), six 747-400 and six 747-200 Freighters. The airline has remaining orders for two 747-400BCFs to further expand its freighter fleet. Cathay Pacific also has an order for 10 747-8F freighters.

The 747-400ER Freighter, which entered service in October 2002, has a maximum takeoff weight of 910,000 pounds (412,770 kg). This takeoff weight increase over existing 747-400 Freighters allows the 747-400ER Freighter to fly an additional 525 nautical miles (972 km), or it can carry an additional 22,000 pounds (9,980 kg) of payload on long-range flights at maximum takeoff weight.

The new aircraft is powered by Pratt & Whitney PW4062A engines and will be deployed on trunk routes to North America to take full advantage of the airplane's superior payload range capability.

The Boeing Company [NYSE: BA] and El Al Israel Airlines have completed an order for four 777-200ERs (Extended Range). The Israeli airline has secured options for two additional 777s and holds conversion rights for the 777-300ER, a larger version of the 777 with increased payload and range capability. The order is valued at $850 million at list prices.

El Al's long-haul fleet already includes six Boeing 777s. The relationship between Boeing and El Al dates back to 1948 when El Al started operations with a Douglas C-54. "In the year of its 60th anniversary, El Al continues a proud tradition of operating the most modern equipment available on the market. The 777 is a valuable asset to El Al's successful long-haul operations," said Marlin Dailey, vice president of Sales for Europe, Russia and Central Asia, Boeing Commercial Airplanes.

SEATTLE, Jan. 03, 2008 -- The Boeing Company [NYSE: BA] recorded 1,413 net commercial airplane orders during 2007, reaching more than 1,000 orders for an unprecedented third consecutive year, and setting a Boeing record for total orders in a single year.

Boeing also set new order records for the 787 Dreamliner, the 737, and for Boeing freighters.

The 2007 total surpasses the previous Boeing records of 1,044 net orders in 2006 and the 1,002 orders set in 2005. Gross orders in 2007, which exclude cancellations and conversions, totaled 1,423. Boeing recorded 1,050 gross orders in 2006 and 1,029 gross orders in 2005. Unfilled orders for Boeing Commercial Airplanes is now over 3,400 airplanes.

"It has been another strong year for commercial aviation, and we are grateful for our customers' trust in our team, and our products and services," said Scott Carson, Boeing Commercial Airplanes president and chief executive officer. "We deeply appreciate the role we play in our customers' plans for growth and success, and we are focused on meeting our commitments.

"Clearly we've had our share of challenges during the past year, but our customers understand the issues, and market acceptance of our products and services has been nothing short of remarkable," Carson said. "With a balanced base of customers from all regions of the world, from airlines with varied business models, and with strong orders across our product line, we are now focused on executing this strong backlog position."

In total, 80 different customers ordered Boeing airplanes in 2007, including passenger airlines, cargo carriers, leasing companies, and unidentified customers.

"2007 told us that global demand for commercial airplanes remains strong and sustained. And we've responded with what is clearly the strongest product lineup that we've ever had, from the Next-Generation 737 through the 747-8, 767, 777, and our newest family, the 787 Dreamliner," Carson said. "We are able to offer more new-technology airplanes to our customers than ever before, aircraft that are quieter and more fuel efficient, with significantly lower carbon dioxide emissions and reduced impact on local communities."

The 787 program enjoyed a record-setting year with 369 orders in 2007. The Dreamliner is the fastest-selling new airplane program in history with a total of 817 orders since launch in 2004. Contracts finalized at the end of 2007 included the 787th (British Airways) and 800th (Vietnam Airlines/Vietnam Aircraft Leasing) orders for the Dreamliner.

The 737 program had the strongest sales year in its history, setting a third consecutive record, with net orders of 846 airplanes. The previous record totals for a single year for the 737 program were 729 net orders in 2006 and 569 net orders in 2005.

Boeing freighters also enjoyed a third consecutive record sales year, with 83 gross orders for freighters in 2007, compared with gross orders for 81 freighters in 2006 and 74 freighters in 2005.

Twin-aisle commercial airplane sales continued strong, in a year in which both the 767 and 777 surpassed 1,000 total program orders. 777 orders marked the second strongest year in program history, with 141 net orders in 2007. The 747 program finished the year with 21 net orders, and the 767 program had 36 net orders.

Boeing has posted its year-end orders information on its Orders and Deliveries Website http://active.boeing.com/commercial/orders/index.cfm.

The 200 orders booked since the Dec. 18, 2007, update include: Boeing Business Jet (one 737 and one 787), British Airways (24 787s), Dubai Aerospace Enterprise (70 737s, five 747-8Fs, 10 777s, and 15 787s), GOL Airlines (40 737s), Jeju Air (five 737s), VALC (eight 787s), Vietnam Airlines (four 787s), and Unidentified (17 737s). Below are the net and gross orders totals for Boeing for the past three years:

*Net total reflects deduction of 14 cancelled orders resulting from the 717 program termination in 2005

Among notable highlights for Boeing Commercial Airplanes in 2007:

ST. LOUIS, Jan. 03, 2008 -- The Boeing Company [NYSE: BA], industry teammates and the U.S. Missile Defense Agency have achieved the final 2007 milestone for the Airborne Laser (ABL) program, capping a successful year for the revolutionary airborne directed energy weapon system.

The final event for 2007 occurred when:

Earlier in 2007, the Airborne Laser completed a series of flight tests of the Lockheed Martin-developed beam control/fire control system at Edwards. In the tests, ABL tracked an airborne target, measured and compensated for atmospheric turbulence and fired a surrogate high-energy laser at the target.

The team is now installing the high-energy laser in the aircraft at Edwards. When integration is completed, the program will conduct an extensive series of system-level ground and flight tests, leading to an intercept test against an in-flight ballistic missile in 2009.

"The team has done a tremendous job completing system flight tests with the surrogate high-energy laser and commencing installation of the actual high-energy laser," said Scott Fancher, vice president and general manager of Boeing Missile Defense Systems. "Once again, we made and demonstrated enormous progress toward ushering in a new age of directed energy weapons."

The Airborne Laser consists of a modified Boeing 747-400F whose back half will hold the high-energy laser, designed and built by Northrop Grumman. The aircraft's front half contains the beam control/fire control system, provided by Lockheed Martin, and the battle management system, provided by Boeing.

Boeing is the prime contractor for ABL, which will provide speed-of-light capability to destroy all classes of ballistic missiles in their boost phase of flight. ABL's speed, precision and lethality also have potential for other missions, including destroying air-to-air, cruise and surface-to-air missiles. Boeing provides the modified aircraft and the battle management system and is the overall systems integrator. ABL partners are Northrop Grumman [NYSE: NOC], which supplies the high-energy and beacon illuminator lasers, and Lockheed Martin [NYSE: LMT], which provides the nose-mounted turret and the beam control/fire control system

Today Boeing [NYSE: BA] marks the 50th anniversary of the first flight of its 707 jetliner, and the point in commercial aviation history when propellers gave way to the jet age and air travel became affordable and available.

On a typically cold and rainy Northwest Friday afternoon Dec. 20, 1957, Boeing's chief of flight test Tex Johnston, his copilot Jim Gannet and flight engineer Tom Layne sat on the drenched runway at Renton Municipal Airport in the first production 707, checked weather reports and waited for the chance to take the new airplane up for its maiden flight.

At 12:30 p.m., the decision was made to go. But as the 707 climbed over the city of Renton, the unpredictable weather immediately closed in around the airliner and forced a landing at nearby Boeing Field after just seven minutes in the air. Later that day, the sky cleared enough for the crew to take the 707 up for a 71-minute flight. This historic day was the culmination of five years of hard work and gut-wrenching decisions. With the 707, Boeing President William Allen and his leadership team had "bet the company" on a vision that the future of commercial aviation was in jets.

The prototype model 367-80 or "Dash 80" led to a revolution in air transportation. Although it never entered commercial service itself, the Dash 80 gave birth to the 707 series of jetliners. Much larger, faster and smoother than the propeller airplanes it was replacing, the Boeing 707 quickly changed the face of international travel.

The first commercial 707s, labeled the 707-120 series, had a larger cabin and other improvements compared to the prototype. Powered by early Pratt & Whitney turbojet engines, these initial 707s had range capability that was barely sufficient to cross the Atlantic Ocean. Boeing soon introduced the long-range 707-320 Intercontinental that in May 1959 flew 5,382 miles nonstop from Seattle to Rome in 11 hours and 6 minutes. A number of variants were developed for special use, including shorter-bodied airplanes and the 720 series, which was lighter and faster with better runway performance.

Pan Am World Airways was the first 707 customer, signing up for 20 Boeing 707-120s in October 1955. In 1962, Pan Am also took delivery of the last 707-120 series airplane. Production of commercial 707s ended in 1978 after 878 had been built. The number rose to more than 1,000 by 1994, when limited production of military variants ended. Most civil 707s left in service today have been converted to freighters, while a number are used as corporate transports. Approximately 130 remain in commercial service.

Boeing [NYSE: BA] has conducted a successful first mission system flight test of a 737 Airborne Early Warning and Control (AEW&C) aircraft for Turkey's Peace Eagle program.

During the flight from Boeing Field in Seattle, Wash., Boeing and Turkish industry engineers tested the aircraft's communications system, including establishing links with a ground-based Boeing system integration lab and local air traffic control towers using UHF, VHF and HF radios. Engineers also tested the internal communications system between personnel within the aircraft.

"This is the first time the integrated mission system has operated in the flight environment and clears the path for additional airborne tests in the months ahead," said Mark Ellis, Boeing Peace Eagle program manager.

The Peace Eagle program includes four 737 AEW&C aircraft plus ground support segments for mission crew training, mission support and system maintenance. Modification of the first aircraft is under way at Boeing facilities in Seattle. Turkish Aerospace Industries in Ankara, Turkey, will modify the remaining three aircraft.

The 737-700 features 21st century avionics, navigation equipment and flight deck features. Because of its advanced technology and a worldwide base of suppliers, parts and support equipment, the aircraft requires minimal downtime for maintenance.

Additionally, the aircraft is equipped with Northrop Grumman's Multi-role Electronically Scanned Array antenna with integrated Identification Friend-or-Foe capabilities. The system also includes a flexible, open architecture for cost-effective future upgrades, an extensive communications suite and aerial refueling capability.

Boeing-led Missile Defense Team Completes Flight Test and Intercepts Target Missile

ST. LOUIS, Sept. 28, 2007 -- The Boeing Company [NYSE: BA], working with industry teammates and the U.S. Missile Defense Agency, successfully completed a missile defense flight test today that resulted in the intercept of a target warhead and demonstrated the capability and reliability of the nation's only defense against long-range ballistic missiles.

The test of the Ground-Based Midcourse Defense (GMD) system began at 4:01 p.m. Eastern when a long-range ballistic missile target lifted off from the Kodiak Launch Complex in Alaska. Seventeen minutes later, military operators launched an interceptor from Vandenberg Air Force Base, Calif. As the interceptor flew toward the target, it received target data updates from the upgraded missile-warning radar at Beale Air Force Base, Calif. After flying into space, the interceptor released its exoatmospheric kill vehicle, which proceeded to track, intercept and destroy the target warhead.

The test, GMD's seventh intercept overall, was the second intercept with an operationally configured interceptor since September 2006.

"Today's successful test is the team's second intercept in less than 13 months and further demonstrates GMD's evolution to a robust and reliable capability for the warfighter," said Pat Shanahan, vice president and general manager of Boeing Missile Defense Systems. "Team members are energized and focused as they continue to see the pivotal role they play in developing and deploying a missile defense system that protects the United States."

"With another intercept under our belts, we have even greater confidence that the GMD system, if called upon in a real-world scenario, will defend the nation against a limited ballistic missile attack," said Scott Fancher, Boeing vice president and program director for GMD.

The Boeing-led test was highly complex, involving a wide range of assets, including the Sea-Based X-Band Radar (SBX). SBX, a powerful new sea-based sensor developed by Boeing, tracked the target missile to prepare for the next GMD flight test, which will see SBX provide target updates to an in-flight interceptor for the first time.

"Flight tests are complex; they involve about 1,000 government and contractor personnel and integrate over 50 assets worldwide," said Norm Tew, Boeing director of weapon systems integration for GMD. "Our government and industry partners worked together as one team to make this exercise a successful reality."

GMD defends the nation against a limited number of long-range ballistic missiles, with interceptors deployed in underground silos at Vandenberg and Ft. Greely, Alaska. An integral element of the global ballistic missile defense system, GMD also consists of radars, other sensors, command-and-control facilities, communications terminals and a 20,000-mile fiber optic communications network. The U.S. government has announced plans to extend this capability to Europe.

Boeing is the prime contractor for GMD, the central element of the Missile Defense Agency's overall layered ballistic missile defense architecture. Industry partners include Raytheon, Orbital Sciences Corp., and Northrop Grumman.

Boeing, Air New Zealand and Rolls-Royce Announce Biofuel Flight Demo

Demonstration in 2008 targets the viability of alternative fuels for reducing carbon emissions

Click image to view Photo Release.

SEATTLE, Sept. 28, 2007 -- Boeing [NYSE: BA], Air New Zealand and Rolls-Royce today announced a Memorandum of Understanding to conduct a biofuel demonstration flight designed to help accelerate the development of viable and sustainable alternative fuels for commercial aviation uses. Boeing is exploring second-generation biofuel feed stocks and processes that have the potential to reduce greenhouse gases throughout their entire lifecycle.

The demonstration flight is planned for the second half of 2008 using an Air New Zealand Boeing 747-400 equipped with Rolls-Royce engines. Boeing is in discussions with fuel-source providers around the globe to identify potential biofuels that are available in suitable quantities for laboratory and jet-engine performance testing and in compliance with stringent aviation requirements. Additional details will be announced closer to the actual demonstration flight date.

"Our near-term goal in this pioneering effort is to identify sustainable alternative bio-jet fuel sources for the planes that are flying today," said Craig Saddler, president of Boeing Australia. A significant first step is identifying progressive fuel sources that will provide better economic and environmental performance for air carriers, without any change to aircraft engines or the aviation fuel infrastructure."

The Air New Zealand bio-jet fuel demo flight will highlight the suitability of environmentally progressive fuel solutions (bio-jet fuels) that differ from traditional biofuel development. Bio-jet fuels will incorporate second-generation methodologies relative to sustainable feedstock source selection and fuel processing, which are uniquely suited for aerospace applications. These bio-jet fuels can potentially be blended with traditional kerosene fuel (Jet-A) to reduce dependency on petroleum-based fuels. Additionally, sustainable bio-jet feedstock sources avoid deforestation practices and potential competition with global food resources, while helping to lower aviation carbon dioxide outputs.

"This test flight is another step in our plan to lead the globe in development of the most environmentally responsible airline," said Air New Zealand Chief Executive Officer Rob Fyfe. "We have already taken large steps toward this goal by introducing fuel-efficient Boeing 777s and we eagerly await the first of our 787-9 Dreamliners which will burn 20 percent less fuel than the planes they replace."

Air New Zealand, one of the world's most progressive airlines, is a launch customer for the Boeing 787 Dreamliner, scheduled for entry into service in 2008. Air New Zealand will receive its first 787-9 in 2010. In addition to providing passengers with a better flying experience, it also will provide operators with a more environmentally efficient jetliner including lower carbon emissions and quieter takeoffs and landings.

Boeing Completes Eight-hour Flight of A160T Hummingbird

Unmanned rotorcraft carries 1,000-pound payload on longest flight to date

ST. LOUIS, Sept. 28, 2007 -- The Boeing Company [NYSE: BA] successfully flew its A160T Hummingbird unmanned rotorcraft Sept. 26 for eight hours while carrying a 1,000-pound payload.

During its longest flight to date and the program's 42nd flight overall, the aircraft reached an altitude of 5,000 feet near Victorville, Calif. The half-ton payload simulated the delivery of critical supplies to the battlefield. Future payloads will include a combination of sensors, weapons and systems to perform a variety of missions.

"This is a major milestone for Boeing, the A160 program and unmanned rotorcraft," said Jim Martin, Boeing A160T program manager. "The ability to carry a 1,000-pound payload and fly for that duration puts the A160T in a category by itself."

Since its first flight in June, the A160T has logged several additional flights, including a five-hour flight on Aug. 29. Ultimately, Boeing plans to fly the aircraft for 18 consecutive hours with a 300-pound payload. The A160T, a turbine-powered version of the innovative piston-powered A160 helicopter, features unmatched range, endurance, payload and altitude for an unmanned rotorcraft. The flexible payload module can carry supplies or retrieve downed personnel.

The aircraft used during the tests is the second of 11 A160Ts Boeing Advanced Systems is building for the Defense Advanced Projects Research Agency.

The Hummingbird features a unique optimum speed rotor technology that significantly improves overall performance efficiency by adjusting the rotor's speed at different altitudes, gross weights and cruise speeds. The autonomous unmanned aircraft, measuring 35 feet long with a 36-foot rotor diameter, eventually will fly more than 140 knots with a ceiling of 25,000 to 30,000 ft. (high hover capability up to 15,000 ft.) for up to 20 hours. Operational A160Ts will be capable of persistent intelligence, surveillance and reconnaissance; target acquisition; direct action; communication relay and precision re-supply missions.

A unit of The Boeing Company, Boeing Integrated Defense Systems is one of the world's largest space and defense businesses specializing in innovative and capabilities-driven customer solutions. Headquartered in St. Louis, Boeing Integrated Defense Systems is a $32.4 billion business with 72,000 employees worldwide.

Boeing Projects $120 Billion Latin America Market for New Commercial Airplanes

RIO DE JANEIRO, Brazil, Sept. 26, 2007 -- Boeing [NYSE:BA] forecasts that Latin American airlines will need 1,730 airplanes worth $120 billion over the next 20 years, according to an analysis presented Monday at the Latin America Airfinance Conference in Rio de Janeiro.

Air travel within Latin America will grow 6.6 percent during this period, well above the world average growth of 5 percent -- second only to China's 8.8 percent forecasted growth rate.

The "Current Market Outlook" is Boeing's analysis of the future of commercial aviation over the next 20 years. Compiled annually, it presents global and regional insights into aviation growth.

"Boeing understands aviation better than anyone else," said Michael Barnett, Boeing's director of Marketing for Latin America, who presented the analysis at the conference. "What our analysis shows is Latin America's rich aviation history will continue with robust, above-average growth.

"In fact, we forecast air travel within the region will increase at a rate second only to China, demonstrating continued regional vitality. Boeing has and will continue to provide the right products and solutions for the region to sustain that growth."

Deliveries to airlines in Latin America will represent approximately 4 percent of the deliveries measured by dollar value worldwide between 2006 and 2025.

Over the next 20 years, deliveries of new airplanes in Latin American will consist of: