Boeing Posts $6.2 Billion Loss Amid Six-Week Strike; Workers Vote on 35% Pay Hike Deal

Oct 23, 2024, 01:31 PM

Boeing reported a third-quarter loss of $6.2 billion, or $10.44 per share, attributing the decline to ongoing strikes by unionized workers and issues within its defense and space programs. The aerospace manufacturer announced that approximately 33,000 unionized workers will vote on a new contract proposal that includes a 35% wage increase over four years and a $7,000 signing bonus, potentially ending a nearly six-week-long strike that has crippled production. Newly appointed CEO Kelly Ortberg emphasized the need for a fundamental culture change within the company, stating, "It will take time to return Boeing to its former legacy, but with the right focus and culture, we can be an iconic company and aerospace leader once again." Boeing's revenue dipped 1% year-over-year to $17.84 billion, missing analysts' expectations of $17.93 billion. The company reported a negative operating cash flow of $1.35 billion and negative free cash flow of $1.96 billion. Boeing's backlog stands at $511 billion, including over 5,400 commercial airplanes.