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Friday
November 2020
4:06 AM IST
News Headlines
End of an era: Argentina football legend Diego Maradona dies        Greg Barclay elected ICC's Independent Chair        Have great respect for Indian bowlers but our batsmen have seen them a lot: Langer        Rupee rises 6 paise to 73.95 against US dollar in early trade        Biden seeks swift Cabinet votes, but GOP Senate stays silent        As virus cases spike, financial outlook for world's airlines dims        Nivar makes landfall, weakens into severe cyclonic storm        Senior Congress leader Ahmed Patel passes away at 71        India's COVID-19 caseload goes past 92 lakh; no. of active cases increases by 6,079        Left Govt moves ahead with projects having no central clearances: Chennithala        Kerala Cabinet decides to approach Governor to repeal new ordinance        Kerala reports 5,420 new COVID cases, 5,149 recoveries: CM        Cyclone Nivar : heavy rain lashes Chennai, suburbs, govt holiday today        UP okays ordinance against conversion for marriage, violators face up to 10 yrs in jail        Govts have to work as team to ensure vaccination drive is smooth, sustained: PM Modi        ICC nominates Kohli, Ashwin for Men''s Player of the Decade Award        Rohit, Ishant to miss first two Australia Tests, also doubtful for remaining two: BCCI source        India''s home series against England to feature four Tests instead of five        Odisha pay the penalty as Hyderabad keep first-ever clean sheet        Looking at India squad, Surya could have been there: Brian Lara        
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Business News
Troubles abound, Boeing losses bloom to USD 2.4 billion in 2Q
 
New York: Boeing lost USD 2.4 billion in the second quarter and the company will slow production and cut more jobs as demand for commercial aircraft shrinks during the coronavirus pandemic. The loss was far worse than Wall Street expected; so was the decline in revenue, which fell 25 per cent. "The reality is the pandemic''s impact on the aviation sector continues to be severe," CEO David Calhoun said.

He said airlines are delaying purchases, slowing down deliveries and deferring elective maintenance, "all of which affects our business and, ultimately, our bottom line." Calhoun said it will take around three years to return to 2019 passenger levels. On Tuesday, an airline industry trade group said air travel won''t recover to pre-pandemic levels until at least 2024, a year longer than its previous forecast.

The International Air Transport Association cited the inability of the United States and developing countries to contain the coronavirus. With interest from airlines in new planes fading, Boeing Co. said on Wednesday it will slow its production of the 787 and 777 models and delay the introduction of a new big plane, the 777X, by a year until 2022. It will stop building the cargo-carrying version of its giant 747 in 2022, signaling the end of the line for the iconic jumbo jet.

The company is also pushing back the expected return of the troubled 737 Max, which has been grounded since March 2019 after two crashes that killed 346 people. Chief Financial Officer Greg Smith said Boeing now expects the Federal Aviation Administration to allow the company to resume Max deliveries in the fourth quarter, one quarter later than Boeing''s most recent estimate. Boeing has 450 finished Max jets stacking at various locations. Smith said it expects to deliver most of them by late next year – potentially a desperately needed source of cash for the aircraft builder.

The company said it is still carrying out layoffs outlined earlier this year, and Calhoun said on Wednesday that the reduction in airplane production and lower airline demand for Boeing services "means we''ll have to further assess the size of our workforce." About 19,000 employees will leave this year, including 6,000 who left by June 30, Boeing said. The Chicago-based company had 161,100 workers at the start of the year. Calhoun said the defence unit is hiring, and Boeing still expects a net workforce reduction of around 10 per cent, or 16,000 people, by year-end.

So far this year, Boeing deliveries of new airliners are down 71 per cent. Boeing recorded 59 orders, but also 382 cancellations, mostly for the troubled Max. Another 323 orders, also mostly for Max planes, were removed from Boeing''s backlog because of uncertainty about the deals going through. Aircraft lessor AerCap said Wednesday that it cancelled orders for 15 Max jets; it still has 80 on order. The second quarter would have been worse for Boeing if not for its defence and space business, which depends on contracts with governments and has been largely insulated from the pandemic. Revenue in that business was flat with a year ago. The pandemic has compounded Boeing''s problems, which began with the grounding of its 737 Max airliner in March 2019 after two crashes killed 346 people.

The company has been forced to lay off thousands of workers, cut spending and suspend its dividend and share buybacks. It also issued USD 25 billion in new debt on the private market, which avoided the need to take coronavirus-relief money from the federal government this spring. The USD 2.40 billion loss included more than USD 1.3 billion in write-downs for production slowdowns, severance payments and temporary closures because of virus outbreaks in Boeing factories. It compared with a loss of US 2.94 billion in the same quarter last year, when Boeing took a USD 5.6 billion charge to cover compensation it owes airlines for the grounding of their Max jets.

The company reported a loss per share, after special items, of USD 4.79. The average forecast of 20 analysts in a FactSet survey was a loss of USD 2.57 per share. Revenue fell to USD 11.81 billion, down from USD 15.75 billion a year earlier. Analysts expected USD 12.95 billion, according to FactSet. Boeing shares fell nearly 4 per cent in midday trading. They were down nearly 50 per cent this year, compared with a gain of less than 1 per cent for the S&P 500.


Rupee rises 6 paise to 73.95 against US dollar in early trade
Rupee opens on flat note against US dollar
Petrol, diesel prices rise for third straight day
Rupee rises for 3rd day, up 27 paise to 74.19 per USD
Lakshmi Vilas Bank shares tank 20 pc after getting placed under moratorium
Diesel sales fall 5 pc in Nov after reaching pre-COVID levels in Oct
COVID-19 hits shopping mall launches in the country
Iffco reduces NP fertiliser price by Rs 50 to Rs 925/bag
Asian shares mostly higher as focus shifts to virus recovery
CII urges Union Finance Ministry to explore ECLGS for supporting resource starved stressed sectors
Tata Motors drives in new Altroz trim at Rs 6.6 lakh
Saudi PIF invest Rs 9,555 crore in Reliance Retail Ventures
OPPO India launches Wall of Knowledge initative
Rupee slumps 33 paise to 74.74 against US dollar in early trade
Two footwear units of Von Wellx Germany become operational in Agra
Sensex ends 144 pts higher; financial stocks sparkle
Vistara to start flights to Bangladesh from Nov 5 under air bubble pact
Sharing best practices, knowledge among SCO members to help startups: Goyal
Cathay Pacific cuts 8,500 jobs, shutters regional airline
Asian shares rise after Wall Street gains on solid earnings
KERALA NEWS
Left Govt moves ahead with projects having no central clearances: Chennithala
 Thiruvananthapuram: Opposition leader in Kerala Assembly Ramesh Chennithala on Tuesday alleged that  
Kerala reports 5,420 new COVID cases, 5,149 recoveries: CM
Ker FM hits out at ED over reported probe against KIIFB; Opp says he has "something to hide"
Kerala adds 5,294 fresh COVID-19 cases; Active cases 65,856
INTERNATIONAL NEWS
Biden seeks swift Cabinet votes, but GOP Senate stays silent
 Washington: As President-elect Joe Biden started rolling out his administrative team, one voice has
As virus cases spike, financial outlook for world's airlines dims
Biden's first Cabinet picks expected Tuesday amid roadblocks
Hong Kong's Joshua Wong to plead guilty to protest charges
NATIONAL NEWS
Nivar makes landfall, weakens into severe cyclonic storm
 Chennai: Very severe cyclonic storm Nivar made landfall near Puducherry in the early hours of Thursd
Senior Congress leader Ahmed Patel passes away at 71
India's COVID-19 caseload goes past 92 lakh; no. of active cases increases by 6,079
Cyclone Nivar : heavy rain lashes Chennai, suburbs, govt holiday today
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