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Fri, Oct 17, 2003

Boeing to Axe 757

Shutdown in Renton (WA) Late Next Year

Boeing announced Thursday in Chicago that it will take a pretax charge of $184 million, and close down production of the 22-year-old 757 late next year.

As the 737 grew and Airbus made deeper inroads into the 757's territory, orders dropped off. Now, with over 1000 of the 757s flying and the similar-capacity, but thoroughly modern 7E7 presumably on the way, Boeing has bitten the bullet on the old bird.

The last time Boeing discontinued a commercial line was in 1984, when the 727 went out of production; the military side of 707 production finally ceased in 1991.

Speculation remains that there may yet be a discontinuation of the tiny (for Boeing) 717; but its growing reputation for customer satisfaction and economy may save that last vestige of McDonnell Douglas.

FMI: www.boeing.com

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