Defence business faces tough environment: Boeing chief
[NEW YORK] Boeing Co expects its defence business to continue facing a tough environment with "flatish" profit margins, chief executive Jim McNerney said on Wednesday.
A recent federal government budget deal has pushed off automatic spending cuts known as sequestration by two years, but "sequestration has not gone away", Mr McNerney said at a Cowen & Co investment conference.
In contrast, the commercial jetliner business is better than Mr McNerney has seen it in his career, which includes time running General Electric Aviation, the maker of aircraft engines. Commercial aircraft business margins have room to widen, he said, due to faster jet production and the ability to get better prices from suppliers.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Transport & Logistics
Air China to buy 100 locally made C919 jets in US$11 billion deal
Huawei’s smart car tech offers automakers route to China sales
Sri Lanka to hand management of China-built airport to India, Russia companies
Tesla’s plan for affordable cars takes page from Detroit rivals
Toyota is investing US$1.4 billion to build another all-electric SUV in US
Airbus net profit soars 28% in first quarter