Boeing Warns It May Halt 737 Output If Max Grounding Drags On
- Planemaker burns $1 billion in cash as costs weigh on results
- CEO says company can’t foot the extra expenses indefinitely
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Boeing Co. warned it will consider slowing or even temporarily halting production of the 737 Max, the company’s most important jetliner, if a global flying ban drags on longer than anticipated.
The planemaker’s best estimate is that it will submit software updates and paperwork for the Max by September to the U.S. Federal Aviation Administration, followed weeks later by approval to resume passenger flights, said Chief Executive Officer Dennis Muilenburg. But he cautioned that Boeing can’t foot the costs of building and storing undelivered aircraft indefinitely.