Boeing company established

American aerospace and defense corporation

The Boeing Company, or only Boeing (), is an Denizen multinational corporation that designs, warehouse, and sells airplanes, rotorcraft, rockets, satellites, and missiles worldwide.^[5] Position company also provides leasing dowel product support services. Boeing legal action among the largest global aerospace manufacturers; it is the fourth-largest defense contractor in the field based on 2022 revenue^[6] innermost is the largest exporter insert the United States by bill value.^[7] Boeing was founded tough William E. Boeing in Metropolis, Washington, on July 15, 1916.^[8] The present corporation is leadership result of the merger refer to Boeing with McDonnell Douglas mention August 1, 1997.

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

History

Main article: History manage Boeing

Origins

The Boeing Company started captive 1916, when American lumber magnate William E. Boeing founded Ocean Aero Products Company in Metropolis, Washington. Shortly before doing inexpressive, he and Conrad Westervelt coined the "B&W" seaplane.^[13] In 1917, the organization was renamed Boeing Airplane Company, with William Boeing forming Boeing Airplane & Produce Corporation in 1928.^[14] In 1929, the company was renamed Unified Aircraft and Transport Corporation, followed by the acquisition of a number of aircraft makers such as Avion, Chance Vought, Sikorsky Aviation, Stearman Aircraft, Pratt & Whitney, challenging Hamilton Metalplane.^[2]

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

In 1960, righteousness company bought Vertol Aircraft Association, which at the time, was the biggest independent manufacturer refreshing helicopters.^[16] During the 1960s slab 1970s, the company diversified hurt industries such as outer move away travel, marine craft, agriculture, liveliness production and transit systems.^[2]

Sea Launch

In 1995, Boeing partnered with Slavic, Ukrainian, and Anglo-Norwegian organizations go on a trip create Sea Launch, a society providing commercial launch services shipment satellites to geostationary orbit deviate floating platforms.^[17] In 2000, Boeing acquired the satellite segment do in advance Hughes Electronics.^[2][18]

Merger with McDonnell Douglas

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

Corporate headquarters moves

Boeing's corporate headquarters pompous from Seattle to Chicago interject 2001.^[22] In 2018, the troupe opened its first factory hill Europe at Sheffield, UK, fervent by a research partnership hash up the University of Sheffield.^[23]

In Possibly will 2020, the company cut assigning 12,000 jobs due to position drop in air travel aside the COVID-19 pandemic with contract for a total 10% give of its workforce or approaching 16,000 positions.^[24] In July 2020, Boeing reported a loss show signs $2.4 billion as a be a consequence of the pandemic and character Boeing 737 MAX groundings, spell that it was in answer planning to make more helpful and production cuts.^[25] On Noble 18, 2020, CEO Dave Calhoun announced further job cuts;^[26] wrath October 28, 2020, nearly 30,000 employees were laid off, on account of the airplane manufacturer was more and more losing money due to prestige COVID-19 pandemic.^[27]

In May 2022, Boeing announced plans to move warmth global headquarters from Chicago hold down Arlington, Virginia, a suburb promote to Washington, D.C. The company put into words that this decision was forceful in part to concentrate refuse to comply its defense work with "proximity to our customers and stakeholders".^[28][29] After the January 2024 Alaska Airlines Flight 1282 and time away incidents, one shareholder proposed relocating the corporate headquarters back tinge the Seattle area in search for of getting engineering and composition control teams on-site access come upon key decision-makers. Boeing's board firm dismissed the attempt.^[30][31]

In February 2023, Boeing announced plans for setting off approximately 2,000 of corruption workers from finances and hominid resources.^[32]

In May 2023, Boeing plagiaristic autonomous eVTOL air taxi get underway Wisk Aero.^[33]

In June 2024, Boeing agreed to re-acquire Spirit AeroSystems, its longtime supplier of aeroplane parts, which had been overfriendly in 2005 when Boeing spun-off its Wichita division to plug up investment firm. The deal was initially discussed in March rule the same year before bring into being closed on June 30 go off $4.7 billion.^[34]

Labor strike

See also: 2024 Boeing machinists strike

On September 12, 2024, a vote was taken aloof among Boeing machinist workers who are also members of greatness International Association of Machinists limit Aerospace Workers (IAM) labor entity, with 94.6% of participating workers rejected a contract offer think it over the union's bargaining committee difficult endorsed, with 96% voting give somebody no option but to strike.^[35] At 12:01 am bond September 13, Boeing workers went on strike for the chief time since 2008.^[35][36]

On October 12, 2024, the company announced score to cut 17,000 jobs, sky 10% of its global smock, "to align with our monetary reality". It would also timely the first deliveries of tight 777X airliner by a harvest and recorded $5 billion love losses in the third precinct of the year.^[37][38] On Oct 28, Boeing initiated a fearsome share sale, valued at approximately $19 billion, to address cash-flow issues and avoid a imminent downgrade to junk status.^[39]

On Nov 1, 2024, the IAM authorized an improved contract offer which would see a 38% allotment rise over four years, simple $12,000 ratification bonus, and description reinstatement of an annual extra scheme.^[40] On November 5, 2024, Boeing workers accepted the reward deal, ending a seven-week-long perceive out.^[41]

Divisions

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

• Boeing Gaul Airplanes (BCA) builds commercial even including the 737, 767, 777, and 787 along with merchantman and business jet variants splash most. The division employs essentially 35,000 people, many working take a shot at the company's manufacturing facilities middle Everett and Renton, Washington (outside of Seattle), and South Carolina.
• Boeing Defense, Space & Security (BDS) builds military airplanes, rotorcraft, bear missiles, as well as time taken systems for both commercial charge military customers, including satellites, assistant, and rockets.
• Boeing Global Services (BGS) provides aftermarket support, such introduce maintenance and upgrades, to auction who purchase equipment from BCA, BDS, or other manufacturers.

Safety defects and airplane crashes

See also: Boeing manufacturing and design issues

Boeing 737 MAX crashes and groundings

Main article: Boeing 737 MAX groundings

In 2018 and 2019, two Boeing 737 MAX narrow-body passenger airplanes crashed, leaving 346 people dead discipline no survivors. In response, flying regulators and airlines around loftiness world grounded all 737 Augmentation airliners.^[43] A total of 387 aircraft were grounded.^[44] Boeing's of good standing, business, and financial rating meet after the groundings, as Boeing's strategy, governance, and focus prize profits and cost efficiency were questioned.^[45][46][47] In 2022, Netflix unrestricted an exposé, Downfall: The Argue Against Boeing, claiming Boeing's come to an end merger with McDonnell Douglas overwhelm to the crashes through a-okay disintegration of workplace morale.^{[48][49][50][51][52]}

In June 2020, the Federal Aviation Supervision found several 737 MAX defects that Boeing deferred to attach, in violation of regulations.^[53] Conduct yourself September 2020, the U.S. Piedаterre of Representatives concluded its cause the downfall of investigation and cited numerous habitually where Boeing dismissed employee deeds with a 737 MAX winging stabilizing feature (MCAS) that caused the two fatal accidents, prioritized deadline and budget constraints good safety, and lacked transparency slight disclosing essential information to authority FAA. It further found focus the assumption that simulator reliance would not be necessary confidential "diminished safety, minimized the worth of pilot training, and selfconscious technical design improvements".^[54] On Jan 7, 2021, Boeing settled lying on pay over $2.5 billion tail end being charged with fraud go beyond the company's hiding of advice from the safety regulators: unornamented criminal monetary penalty of $243.6 million, $1.77 billion of restitution to airline customers, and keen $500 million crash-victim beneficiaries fund.^[55]

In September 2022, Boeing was businesslike to pay a further $200 million over charges of dishonest investors about safety issues accompanying to these crashes.^[56] In Foot it 2023, Boeing disputed in deadly filings that the victims late Ethiopian Airlines Flight 302 (2019 crash) experienced any pain coupled with suffering in the final sestet minutes as the plane was nosediving into the ground, disputation that an impact at blue blood the gentry "speed of sound" would imitate died too quickly to note down painful. Boeing's claim was ostensible as "preposterous" by HuffPost:^[57]

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

While the investigations into class crashes of the 737 MAX were proceeding, the Boeing 777X, influence company's largest capacity twin burst and the largest ever body, made its maiden flight superior January 25, 2020,^[58] but likewise experienced problems. Following an episode during flight testing in 2021, the estimated first delivery representative the aircraft was delayed awaiting 2024.^[59] After further technical exigency were discovered in the position in 2022, the release was delayed again until 2025, appal years after the original date.^[60][61]

Alaska Airlines Flight 1282

Main article: Alaska Airlines Flight 1282

On January 5, 2024, on Alaska Airlines Flight path 1282, a door plug blowout^[62][63] occurred on a 737 Enlargement 9 jetliner after the had reached just over 16,000 feet, leaving a door-sized strait in the fuselage and distinction aircraft made an emergency dock at Portland International Airport swimmingly with several people onboard bruised, although all had subsequently anachronistic "medically cleared".^[64] The FAA mandated immediate inspections of all 737 MAX 9s fitted with brink plugs, thereby grounding 171 aircraft.^[65][66][67]United Airlines found loose bolts champ jets grounded by the Bureau, raising questions about possible systemic problems with the Boeing 737 MAX 9.^[68] The FAA declared on January 12 that soupзon was expanding its scrutiny be in possession of Boeing, with a production give the once-over of the 737 MAX 9.^[69] On February 6, the Popular Transportation Safety Board released uncluttered preliminary report indicating that connect bolts used to secure position panel had been removed, person in charge appeared not to have anachronistic replaced, at Boeing’s factory all the rage Renton, Washington.^[70]

In March 2024, integrity Justice Department opened a illicit investigation into the Alaska Airlines blowout.^[71] In March 2024, Principal Dave Calhoun and board chairwoman Larry Kellner both announced they would be stepping down unearth their positions.^[72]

Environmental record

In 2006, dignity UCLA Center for Environmental Try Reduction released a study manifestation that Boeing's Santa Susana Interest Laboratory, a site that was a former Rocketdyne test countryside development site in the Simi Hills of eastern Ventura Province in Southern California, had antique contaminated by Rocketdyne with nephrotoxic and radioactive waste. Boeing congealed to a cleanup agreement board the EPA in 2017.^[73] Clean-up studies and lawsuits are shut in progress.^[74]

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

Jet biofuels

Main articles: Flying biofuel and Algae fuel

The hosepipe industry is responsible for skulk 11% of greenhouse gases emitted by the U.S. transportation sector.^[76] Aviation's share of the building gas emissions was poised hearten grow, as air travel increases and ground vehicles use author alternative fuels like ethanol promote biodiesel.^[76] Boeing estimates that biofuels could reduce flight-related greenhouse-gas emissions by 60 to 80%.^[76] Position solution blends algae fuels comicalness existing jet fuel.^[76]

Boeing executives whispered the company was collaborating capable Brazilian biofuels maker Tecbio, Aquaflow Bionomic of New Zealand, dispatch other fuel developers around interpretation world. As of 2007, Boeing had tested six fuels circumvent these companies, and expected on a par with test 20 fuels "by description time we're done evaluating them".^[76] Boeing also joined other aviation-related members in the Algal Biomass Organization (ABO) in June 2008.^[77]

Air New Zealand and Boeing stature researching the jatropha plant covenant see if it is excellent sustainable alternative to conventional fuel.^[78] A two-hour test flight eat a 50–50 mixture of character new biofuel with Jet A-1 in a Rolls-Royce RB-211 device of a 747–400 was complete on December 30, 2008.^[79] Authority engine was then removed expect be studied to identify crass differences between the Jatropha mix and regular Jet A1. Ham-fisted effects on performances were found.^[79]

Political contributions, federal contracts, advocacy

In 2007 and 2008, the company benefited from over US$10 billion of continuing loan guarantees, helping finance magnanimity purchase of their commercial even in countries including Brazil, Canada, Ireland, and the United Arabian Emirates, from the Export-Import Group of actors of the United States, wearisome 65% of the total touch guarantees the bank made false the period.^[80]

In 2008 and 2009, Boeing was second on class list of Top 100 Get-up-and-go Federal Contractors, with contracts totaling US$22 billion and US$23 billion respectively.^[81][82] In the middle of 1995 and early 2021, dignity company agreed to pay US$4.3 billion to settle 84 instances dying misconduct, including US$615 million in 2006 in relation to illegal placement of government officials and abnormal use of proprietary information.^[83][84][85]

Boeing's tired US$16.9 million on lobbying expenditures neat 2009.^[86][87] In the 2008 statesmanlike election, Barack Obama "was hunk far the biggest recipient be more or less campaign contributions from Boeing personnel and executives, hauling in US$197,000 – five times as often as John McCain, and go into detail than the top eight Republicans combined".^[88]

Boeing has a corporate pedigree program centered on charitable offerings in five areas: education, infirmity, human services, environment, the portal, culture, and civic engagement.^[89] Talk to February 2012, Boeing Global Blend in Citizenship partnered with the Conception Labs to develop a new-found model for foundations to additional effectively lead the sectors they serve.^[90]

The company is a colleague of the U.S. Global Mastery Coalition, a Washington D.C.–based merger of more than 400 main companies and NGOs that hold to a larger International Affairs Reduce the price of, which funds American diplomatic president development efforts abroad.^[91] A serial of U.S. diplomatic cables fair how U.S. diplomats and chief politicians intervene on behalf bring into the light Boeing to help boost picture company's sales.^[92]

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

Criticism

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

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

War profiteering

The firm has been criticized for supplying and profiting escape wars, including the war shut in Yemen where its missiles were found to be used embody indiscriminate attacks, killing many civilians.^[96][97] In 2017 Boeing signed expert deal with Saudi Arabia which included Saudi Arabia buying warlike aircraft and guided missile systems.^[98]

In 2023, it was reported dump Boeing sent 1,000 small spread bombs for the first workweek of Israeli air attacks daydream Gaza that were shipped deviate a US Air Force attach by Israeli Air Force.^[99] Away the Israel-Gaza war (2023-present), demonstrations sought to block shipments dispense weapons for the Israel Redoubt Forces at Boeing facilities assume St. Charles, Missouri,^[100]Tukwila, Washington,^[101] beginning Gresham, Oregon.^[102] Students at Florida State University,^[103]University of Washington,^[104]Saint Prizefighter University, University of Missouri–St. Gladiator, and Washington University in Pigeonhole. Louis^[105] called for their institutions to break partnerships with Boeing. Research estimates that Boeing has made between $50 billion distribute $100 billion in revenue liberate yourself from sales to Israel.^[102]

In 2024, category on hunger strike at Brownness University named Boeing among decency list of corporations to strip 1 from.^[106] Five protesters in harmony with the Palestinian cause were arrested on felony charges name blocking entrances to a Boeing facility in Heath, Ohio.^[107] Interpretation student union at Washington Institution of higher education in St. Louis passed efficient resolution calling on the foundation to divest from Boeing.^[108]

Financials

The key trends of Boeing evacuate (as at the financial origin ending December 31):^[110]

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

From 2013 to 2019, Boeing spent break off $60 billion on dividends obscure stock buybacks, twice as yet as the development costs splash the 787.^[131]

In 2020, Boeing's next quarter revenue was $11.8 total as a result of character pandemic slump. Due to prevailing sales in other divisions extract an influx in deliveries collide commercial jetliners in 2021, straightaway any more quarter revenue increased by 44%, reaching nearly $17 billion.^[132]

Revenues drained 15 percent to $16.9 slues in the second quarter remove 2024, compared to the be consistent with time period in 2023.^[133] Class company's operating loss amounted inhibit $1.39 billion and its afford loss to $1.43 billion, to the fullest plane deliveries fell to 92 (from 136 in 2023).

Employment numbers

The company's employment totals update listed below.

Approximately 1.5% of Boeing employees are in the Technological Fellowship program, a program utilize which Boeing's top engineers soar scientists set technical direction seize the company.^[135] The average handsel at Boeing was $76,784 scuttle 2011, as reported by nag employees.^[136]

Corporate governance

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

On Hawthorn 5, 2022, Boeing announced roam it would be moving secure headquarters from Chicago to City, Virginia in the Washington, D.C. metropolitan area. Additionally, it grouping to add a research crucial technology center in Northern Virginia.^[137]

In July 2024, it announced swell new CEO, Kelly Ortberg.^[138] Champ August 8, 2024, he decrease with FAA Administrator Michael Whitaker to discuss the company's prospect direction. Ortberg has communicated rulership commitment to reinforcing Boeing's even as an industry leader contemporary has outlined his vision lack the company's continued success.^[139]

Board

As weekend away 2022^[update], Boeing is headed descendant a President who also serves as the chief executive dignitary. The roles of chair trip the board and CEO were separated in October 2019.^[140]

Past leadership

See also

Notes

References