Boeing Likes Order Outlook

"Fundamentally, this is a solid company with a strong growing core business," he said. "[But] the global economy continues to weaken and is adversely affecting air traffic growth and financing."

Boeing shares were trading Wednesday at $43.34, up 12 cents.

In the fourth quarter, hobbled by a strike that pushed 70 aircraft deliveries out of the quarter, Boeing reported a loss of $56 million. On a per-share basis, the loss in the quarter was 8 cents a share, as special items combined to reduce earnings by $1.79 a share. That includes $1.09 a share for the strike, 61 cents for a charge related to the 747 program and 9 cents for a litigation-related reserve.

Analysts surveyed by Thomson Reuters had estimated earnings of 78 cents a share, not accounting for all of the one-time charges. In the fourth quarter a year earlier, Boeing earned $1 billion, or $1.36 a share.

Revenue was $12.7 billion, down 27%. Analysts had estimated $13.4 billion. The 58-day strike by the International Association of Machinists reduced revenue by an estimated $4.3 billion, Boeing said.

During the quarter, Boeing Commercial Airplanes recorded a loss on operations of $968 million, compared with earnings of $973 million a year earlier. Revenue was $4.6 billion, down 48%. Deliveries fell to 50 airplanes from 112.

Boeing reiterated Wednesday that it expects the first 787 flight in the second quarter of 2009 and the first delivery in the first quarter of 2010. It said an unnamed customer recently rescinded a 787 order for 15 deliveries late in the next decade. The customer is the S7 Group in Russia, sources told The Seattle-Post Intelligencer. The order book now includes 895 orders from 58 customers.