McNerney also says Boeing is evaluating design and production locations for the 777X, raising the prospect that its North Charleston facility could play a big role in the product update. Boeing currently produces and assembles the entire aircraft in Everett.
Boeing recently agreed to invest $1 billion and hire 2,000 more workers in North Charleston in exchange for training and tax breaks from the South Carolina legislature. Boeing, however, has not specified what additional work is to be performed at the facility.
“We have figured out by and large what airplane to build,” McNerney says of the 777X. “The question is where to assemble and build the major components,” including a new composite wing. “We’re in the middle of that process,” the CEO adds.
Boeing reported a 24% increase in earnings per share of $1.73 for the quarter. Revenues were down 3% year-on-year to $18.9 billion, largely because of the 787 grounding. But operating margins were up 11.4% for commercial airplanes and 10.3% in defense, despite pressures from decreasing defense budgets.