This entry was posted on 4/27/2008 6:50 PM and is filed under uncategorized.
27 April 2008
Blaring Catastrophes Redux II
Recently, I wrote about Boeing subcontracting Alcoa to forge titanium parts on the US Air Force's F-22 Raptor fighter jets and the sub-par job Alcoa did, using "shoddy manufacturing" techniques causing the jets to fly with a "manufacturing defect in crucial titanium supports" with the very likely outcome of causing "a catastrophic failure in flight" that "could result in the loss of the aircraft" (Dominic Gates, "Boeing sues Alcoa over parts for F-22 Raptor fighters," The Seattle Times, 11 April 2008). Apparently, Alcoa "failed to add a crucial extra 20 minutes in the furnace that was needed for proper forging."
The reason Boeing, Lockheed Martin, and the US Air Force decided to use the defective F-22s is that to remove the defect would cause "substantial cost and disruption to aircraft-production operations," according to Boeing's filing.
Ahem, cost and disruption to operations?!?
To address the cost issue, it seems Boeing is really not hurting when it comes to turning a profit. In fact, the company reported an earnings of $1.2 billion, or 38% increase in profit over 2007 (The Associated Press, "Boeing Profit Jumps 38% as Orders Grow," 23 April 2008).
So then what is the real reason here? At the expense of our US Air Force's Airmen, Boeing just wants to maintain its stance on capitalist greed?
What about Boeing's future and it earnings potential?
Well, that too looks highly favorable with the Delta-Northwest impending merger because Boeing already has orders from Northwest for over fifty of its 787 Dreamliners and from Delta for roughly twenty of its 787s, 777s, and 747s, and about six of its 777-200LR ultra-long-range jets through the end of 2009 (Susanna Ray, "Airlines' merger may be good for Boeing, too," The Seattle Times, 16 April 2008).
Clearly, Boeing is not hurting, despite its mistakes and its defective products. Rather, it is profiting very well and looks to do so through 2009. Unfortunately, it will be to the sacrifice of not just the consumer, but the US Air Force, the nation...
Good going, Boeing. With vendors like you, we really don't need saboteurs.
Rather than news of Boeing's Profit Jumping 38%, it would be rewarding, albeit a fantasy, to read an article with the headline: "Boeing Reallocates Profits to Fix Defective Jets for the US Air Force and Meets Its Deadline" - now that would be noteworthy indeed!
