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Commercialization

Boeing's 737/Starliner/SLS Problem Strategy: Blame The Media

By Keith Cowing
NASA Watch
December 19, 2019
Filed under ,
Boeing's 737/Starliner/SLS Problem Strategy: Blame The Media

Boeing Starliner launch on Friday comes at critical time for company amid 737 Max controversy, Washington Post
“A successful launch would be a moment of triumph amid the tumult that has dogged the company the past year and the news this week that it will halt production on its troubled 737 Max airplane in January, a decision that could not only harm Boeing’s bottom line but also send shock waves through the economy. And [Jim Chilton] issued an emotional call to arms, both defending the company and its workforce while also pushing back against critics and competitors. The email, a copy of which was obtained by The Post, is part of a broader strategy inside Boeing to fight back aggressively that includes a radio ad playing in Washington touting the flight, saying it “is paving the way for the new age of space exploration.” “Let’s not allow this inaccurate report or the critical media coverage it’s generating to become a distraction,” Chilton wrote. “Our Starliner teammates have put their hearts and souls into developing a spacecraft that we can all be proud of, and they need all the support they can get from our broader space and launch team in the countdown to first flight.”
Bridenstine Calls B.S. On Boeing Exploration Upper Stage Claim, earlier post

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11 responses to “Boeing's 737/Starliner/SLS Problem Strategy: Blame The Media”

  1. Tally-ho says:
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    NASA awarded Boeing $4.2 billion and SpaceX $2.6 billion”. Anyone know why the difference?

  2. Yashmak says:
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    To be fair, halting production of the 737 Max on a temporary basis, as is planned, is designed to HELP Boeing’s bottom line, not hurt it. They have a backlog of the aircraft either already built, or partially built, and it makes no sense to build even more additional aircraft until those are completed and/or delivered. In this, the Washington Post’s description (“a decision that could not only harm Boeing’s bottom line. . .“) is the opposite of the truth.

    Given that the 737 Max is slated to start flying again over the next three months (actual dates vary depending upon the nation involved), the suspension in production will likely not be long-lived.

    • Michael Spencer says:
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      re bottom line: recall that Boeing would be accounting on an accrual basis, meaning that income is realized when the work is completed, not when the money is received. This means that the ‘bottom line’ is aided by adding more airplanes on the tarmac.

      • Yashmak says:
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        Ok, but on accrual basis, wouldn’t this be offset by the expenses not being realized until the title on the aircraft have transferred to the buyers?

        I’m an engineer by trade, rather than an accountant, so it’s somewhat opaque to me.

        • Michael Spencer says:
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          LOL.

          I’ll answer by telling a story about me in grad school, where two semesters of grad-level accounting were required for graduation. Anyone who has done any sort of grad work knows that the Graduate School regards letter grade ‘A’ as acceptable, and letter grade ‘B’ as grounds for 24-hour surveillance.

          Skirting with ‘B’, I nearly failed because I just could not keep ‘debit’ and ‘credit’ properly assigned…a trip to the Dean’s office provided motivation:-)

          “wouldn’t this be offset by the expenses not being realized until the title on the aircraft have transferred to the buyers”

          Guessing here, I’d imagine there are some accounting rules governing this condition.

          (I have to add that accounting, like statistics, provided me an entirely new way of looking at the world).

          • Yashmak says:
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            “(I have to add that accounting, like statistics, provided me an entirely new way of looking at the world).”

            I can see that, having taken a few accounting classes of my own after graduating as an engineer, as part of an effort to complete an MBA.

  3. Michael Spencer says:
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    I’d not want the responsibility, working for Boeing, of lionizing Starliner while avoiding those pesky schedule and cost issues.

    On the other hand, the press’ standing army is ill informed, and unlikely to ask interesting questions. Hell, given open access to the Administrator, even the space press sat on their damn hands a week or so ago.

    I need a drink.

  4. ThomasLMatula says:
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    We will see tomorrow how good Starliner is with its first real flight on a never flown before second stage.