Boeing absorbs high costs of tardy jetliners

Chicago

BOEING Co said that it expects to report a US$2.1 billion after- tax accounting loss for the second quarter as it absorbs the costs from programmes with well-publicised stumbles: the 787 Dreamliner, the 747-8 jumbo jet and a refuelling tanker for the US Air Force.

The largest blow is related to the Dreamliner, Boeing's carbon-fibre jet, which debuted more than two years late in 2011, according to a company statement on Thursday. The US planemaker is writing off two flight-test aircraft, at a cost of US$847 million, after determining it can't find any buyers.