Boeing's Deliveries, Orders Fell In 2016

Boeing's deliveries, orders fell in 2016

NEW YORK, (APP - UrduPoint / Pakistan Point News - 07th Jan, 2017 ) : Boeing said Friday its deliveries of commercial planes fell modestly in 2016 and it saw fewer orders compared to 2015. The US aerospace giant delivered 748 planes last year, down from 762 in 2015.

Boeing booked orders for 668 planes, down 13 percent in from orders in 2015. The 2016 orders are worth $94.1 billion at list prices, it said. Boeing's archrival Airbus said in November that it was targeting deliveries of 670 planes for the year.

Commercial airplane deliveries are tied to revenues and are closely monitored as a sign of financial strength. Boeing's most popular plane, the single-aisle 737, comprised about two-thirds of the deliveries and an even higher percentage of the orders.

The company on Wednesday announced a new order for 75 of the 737s, worth $8.25 billion, from General Electric's airplane leasing arm. However, deliveries of the iconic 747 jumbo jets fell by half to just nine.

The company announced in January 2016 it was cutting production of the planes in half due to weak demand in the cargo market. Airbus has also faired badly with its jumbo offering, the A380. Boeing said in December it also was cutting production of its wide-body 777 planes to five from seven due to slackening demand.

It delivered 99 of the planes in 2016, up one from the prior year. Shares of Boeing rose 0.1 percent to $158.87 in afternoon trading.