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Friday
August 2020
10:43 AM IST
News Headlines
Sports Minister Rijiju to launch Fit India Freedom Run on Friday        Hoping to get the speed gun up, Starc works on muscular body during COVID lockdown        SpiceJet offers automated customer service and check-in facility on WhatsApp        Sebi issues procedure for exchanges to handle investor complaints against listed cos        Experts warn Spain is losing the 2nd round in virus fight        Bhutan imposes 1st nationwide virus lockdown        Pilot meets Gehlot, handshake signals his return        Over 3 Cr N95 masks, 1.28 Cr PPEs, 10 Cr HCQ tablets given to states, UTs by Centre for free        Bengal govt encourages organ donation: Mamata        PM unveils new tax reforms - faceless tax assessment, taxpayers' charter        Virus outbreak threatens New Zealand's fan-filled stadiums        Lahiri back in action after 5 months, joins Atwal at Wyndham        HAL s Light Combat Helicopters deployed for operations at Leh        Sensex falls over 200 pts in early trade; Nifty below 11,300        Black women, Democrats celebrate Indian-origin Senator Harris' nomination as VP        Joe Biden names Indian-American Senator Kamala Harris as running mate        Biden 'nailed this decision' in picking Harris to be his running mate: Obama        Terrorist gunned down, soldier killed in encounter in J-K's Pulwama        Mulayam Singh Yadav's condition under control: Hospital        COVID-19: 60,963 fresh cases take India's tally to 23,29,638        
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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.


SpiceJet offers automated customer service and check-in facility on WhatsApp
Sebi issues procedure for exchanges to handle investor complaints against listed cos
HAL s Light Combat Helicopters deployed for operations at Leh
Sensex falls over 200 pts in early trade; Nifty below 11,300
Gold declines Rs 1,317; silver also plunges Rs 2,943
Rupee opens flat against US dollar
Patanjali considering bidding for IPL title sponsorship
Rupee edges 4 paise lower to 74.98 against US dollar in early deals
Vodafone Idea shares plunge nearly 8 pc on Q1 loss
Insider trading: Sebi asks Top Class to disgorge Rs 3.77 cr made in Aurobindo Pharma''s scrip
Sugar production to increase to 305 lakh tonnes in marketing year 2020-21: Ind-Ra
SBI SBI Q1 profit surges 81 pc to Rs 4,189 cr
19 income tax return filing deadline extended till Sept 30
Ashok Leyland’s latest range, ‘AVTR’, delivered to customers in Goa
Irani asks textiles sector to 'commercialise opportunities'
ICICI Bank Q1 net profit rises 36% to Rs 2,599 crore
Govt's endeavour has been to further simplify Direct Tax laws: Sitharaman
Vistara receives its first Airbus A321neo aircraft
Wipro to launch 5G edge services solutions suite
Rupee surges 15 paise to 74.59 against US dollar in early trade
KERALA NEWS
Toll in Idukki landslide rises to 52 as three more bodies recovered
 Idukki (Ker): The toll in the landslip in Pettimudi in the high range Idukki district rose to 52 wit  
1,417 Covid cases in Kerala; 36 health workers also infected
SIT formed by Kerala police to probe air crash
Kerala logs 1,211 fresh coronavirus cases; aggregate reaches 34,331
INTERNATIONAL NEWS
Experts warn Spain is losing the 2nd round in virus fight
 Barcelona: Not two months after battling back the coronavirus, Spain's hospitals are beginning to se
Bhutan imposes 1st nationwide virus lockdown
Black women, Democrats celebrate Indian-origin Senator Harris' nomination as VP
Joe Biden names Indian-American Senator Kamala Harris as running mate
NATIONAL NEWS
Pilot meets Gehlot, handshake signals his return
 Jaipur: Sachin Pilot met Rajasthan Chief Minister Ashok Gehlot Thursday, the first time after he ope
Over 3 Cr N95 masks, 1.28 Cr PPEs, 10 Cr HCQ tablets given to states, UTs by Centre for free
Bengal govt encourages organ donation: Mamata
Terrorist gunned down, soldier killed in encounter in J-K's Pulwama
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