Boeing Defense reports ‘immaterial’ financial impact in Q3 from machinist strike
Despite good performance during the quarter, Boeing announced a new $149 million loss on the KC-46 tanker due to ripple effects on the commercial 777X jet program.
Despite good performance during the quarter, Boeing announced a new $149 million loss on the KC-46 tanker due to ripple effects on the commercial 777X jet program.
“We've had our first hiring event. We've received hundreds of qualified applicants. We're working through that now,” said Dan Gillian, Boeing's vice president of its air dominance portfolio.
The strike is the first for Boeing's workforce in St. Louis, Mo., since 1996.
“There was an impact, of course, with the four-week stoppage on our ability to ship all the GTFs and F135s that was in our plan,” RTX CEO Chris Calio told investors.
Pratt & Whitney said in a statement that it has “contingency plans in place to maintain operations and meet our customer commitments” and has no “immediate” plans to resume negotiations with the union.
Members of the International Association of Machinists and Aerospace Workers (IAM), which represents about 33,000 Boeing workers mostly in Washington state and Oregon, voted in a 59 percent majority to end the strike and will return to work on Nov. 6.
The strike stops production of Boeing’s 737, 767 and 777 jetliners in the Seattle region as well as military derivatives of those aircraft, which include the 737-based P-8 Poseidon maritime aircraft and the 767-based KC-46 tanker.
"We've been applying pressure to members of Congress to make sure that this program is adequately funded," Hasan Solomon, IAM's political and legislative director, said of the union's campaign to support the F-35.