NYTimes.com Article: Boeing Contracts Japan for New 7E7 Jets

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Boeing Contracts Japan for New 7E7 Jets

November 21, 2003
 By THE ASSOCIATED PRESS





Filed at 4:55 a.m. ET

SEATTLE (AP) -- Boeing Co. will base design and development
work for its proposed new 7E7 jetliner at its massive
Everett manufacturing complex, but Japanese suppliers will
build more than a third of the aircraft, including major
wing components, the company said Thursday.

Boeing confirmed earlier reports that three Japanese
companies will play a significantly larger role in
manufacturing the fuel-efficient jet than in earlier Boeing
models and will handle the complicated wing production,
previously done almost entirely in-house.

The Japanese companies will provide about 35 percent of the
7E7. Currently, Boeing's Japanese partners build about 21
percent of the Boeing 777 airframe, and 15 percent of the
767.

Chicago-based Boeing has said the new midsize
fuel-efficient airplane will be assembled in the United
States, but has not announced where. Boeing currently
builds three widebody jet models at its Everett factory.

The 7E7 program headquarters and development and
design-integration center will be in Everett, Boeing said.

Boeing, through its divisions in Frederickson, Wash.;
Tulsa, Okla.; Wichita, Kan.; and other locations, also will
manufacture about 35 percent of the aircraft, including the
vertical fin, flight deck and forward fuselage.

Two other suppliers, Alenia Aeronautica of Italy and Vought
Aircraft Industries of Dallas, will build much of the rest
of the plane's body.

Boeing is conducting a nationwide search to determine where
to assemble the 7E7 and is expected to announce the winning
site by the end of the year. The plant would employ about
800 to 1,200 people. A number of states, including
Washington, have been trying to lure the site with tax
packages and other incentives.

Boeing said it would build the plane's vertical tail fin in
Frederickson, near Tacoma and about 50 miles south of the
Everett plant. The fixed and movable leading edges of the
wing will be built at its Tulsa plant, the flight deck and
part of the forward fuselage section at Wichita, the
movable trailing edges at its Australian plant and the
wing-to-body fairing at its Winnipeg, Canada, factory.

Japan's Mitsubishi Heavy Industries will be responsible for
the wing box. Kawasaki Heavy Industries will provide the
remaining part of the forward fuselage, the main
landing-gear wheel well and the main wing fixed trailing
edge. Fuji Heavy Industries will make the center wing box.

Vought and Alenia will build the horizontal stabilizer and
the center and aft fuselage, about 26 percent of the 7E7
structure.

Boeing said about 4 percent of the structure work remains
to be awarded to subcontractors.

A decision on who will supply the engines for the aircraft
is expected by the middle of next year, Boeing said.

In trading on the New York Stock Exchange, Boeing shares
fell 5 cents to close at $39.35.

------

On the Net:

www.boeing.com


http://www.nytimes.com/aponline/business/AP-Boeing-New-Jetliner.html?ex=1070440255&ei=1&en=c052c910525a8ee0


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