Boeing could lose one-third of 777X orders on jet's latest delay

Boeing could lose one-third of 777X orders on jet
# 03 February 2021 10:40 (UTC +04:00)

Boeing signaled it’s at risk of losing more than a third of its 777X order haul because the latest delay to the behemoth jet’s debut – now slated for late 2023 – gives some customers the right to walk away from sales contracts, APA reports citing Reuters.

The U.S. planemaker lowered the backlog for the 777X family to just 191 jets in a regulatory filing on Monday, or 38% fewer than the firm orders listed on the company’s website.

The reason for the drop is an accounting standard that requires sales at risk of falling through to be removed, the company said in an email.

The falling tally underscores the precarious future of Boeing’s newest jetliner, which is heir to the 747 jumbo as the largest passenger plane in the company’s product lineup.

The coronavirus pandemic has crushed demand for twin-aisle aircraft built to cruise across oceans, and orders for wide-body jets such as the 777X, Boeing’s 787 Dreamliner and competing Airbus models are expected to be the last to recover from the slump.

Boeing announced a US$6.5 billion charge for the 777X when it reported fourth-quarter earnings last week and said the latest delay would leave the plane’s debut three years behind its original schedule.