Boeing has announced that it has resumed production of the 737 at its factory in Renton, Washington, despite experiencing declines in its November deliveries and orders both sequentially and annually. The aircraft manufacturer reached a labor agreement with members of the International Association of Machinists and Aerospace Workers union, which represents about 33,000 Boeing employees who had been on strike since mid-September. A spokesperson for Boeing stated, "Our team has worked methodically to restart factory operations in the Pacific Northwest.
We have now resumed 737 production in our Renton factory, with our Everett programs on plan to follow in the days ahead." The company has worked to complete aircraft in its inventory to ensure production resumes at levels seen prior to the work stoppage. Boeing's shares rose 4.5% in late-afternoon trading on Tuesday.
However, the stock is currently down nearly 37% for the year. In November, the company delivered 13 jets, including nine 737 Max aircraft. This represents a decline from 14 deliveries in October and a significant drop from 56 jets delivered a year ago. Boeing secured 49 orders in November, down from 63 orders in October and 114 a year earlier. These November deliveries marked the lowest totals in four years.
Reports suggest that Boeing plans to restart production lines for the 777, 777X, and 767 models "shortly." Recent updates indicate a restart in the production of the 737 Max took place last week, backed by information from three sources familiar with the matter. Year-to-date figures through November show that Boeing has delivered 318 aircraft and booked 427 orders, while the company reported having 6,268 unfilled orders as of November 30.
Earlier this year, Boeing confirmed its intention to acquire Spirit AeroSystems in a significant deal valued at approximately $8.3 billion, effectively reversing the companies' separation that took place in 2005..