SFGate: Boeing's 787 on Schedule, Demand Strong

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Wednesday, December 6, 2006 (AP)
Boeing's 787 on Schedule, Demand Strong
By DAVE CARPENTER, AP Business Writer


   (12-06) 08:21 PST Chicago (AP) --

   Boeing Co.'s 787 Dreamliner remains on schedule for its first test flight
next summer and for delivery to airlines in 2008 despite the ongoing
challenge to make it lighter, the new head of the company's commercial
airplanes unit said Wednesday.

   Scott Carson told an investment conference in New York that Boeing has 4=
35
firm orders for the new jet from 35 customers along with another 21
nonbinding commitments. The continuing demand makes it "the very strongest
product launch in the history of this industry," he maintained.

   Boeing officials have said since earlier this fall that they need to trim
the 787's weight significantly from parts scattered throughout the entire
plane, in some cases switching from aluminum to titanium, in order to meet
its promises for greater fuel efficiency.

   Carson, the unit's sales chief until September when Alan Mulally left to
become CEO of Ford Motor Co., said the first six 787s, all test aircraft,
will be above weight specifications. All the company's energies are
focused on the seventh and a plan is in place to get the weight off, he
said.

   Boeing shares rose 79 cents to $91.52 in morning trading on the New York
Stock Exchange, just off last month's all-time high of $92.05.

   Sizzling demand for the 787 coupled with lengthy delays involving Airbus'
planned A380 superjumbo have enabled Boeing to seize momentum and close
the gap on Airbus in the commercial airplane market. But Carson, making
his first formal presentation to Wall Street, expects the competition to
remain intense and said his company must fight complacency with things
going so well.

   "People say, 'Well, you're in a favorite position to Airbus because
they're struggling,'" he said. "I say Airbus emerges from this stronger
than they've ever been in, and we better be ready for it."

   Asked when the largest U.S. carriers are likely to order new planes agai=
n,
Carson said he expects UAL Corp.'s United Airlines, AMR Corp.'s American
Airlines and Delta Air Lines Inc. to be ready in late 2007 or 2008.

   ___

   On the Net:

   www.boeing.com ---------------------------------------------------------=
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Copyright 2006 AP

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