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Related: About this forumBoeing's crisis is largely of its own making
Business Perspective
Boeings crisis is largely of its own making
Wall Street got Boeings cash; Main Street gets the relief bill
A sign warns of a deactivated employee turnstile at Boeing's manufacturing facility in Renton, Wash. (Ted S. Warren/AP)
By Allan Sloan
Columnist
March 26
If you want an example of how keeping Wall Street happy can undermine your business, look at Boeing. If youre also interested in seeing how already-well-paid corporate directors can get a raise while presiding over a horrendous mess that helped lead a company to need federal relief, you can look at how Boeings directors gave themselves a $20,000 raise (to $366,000) last year from what they got in 2018.
Finally, if you want to see an act of utter cluelessness given whats going on in our country, look at how Boeing sent more than $1 billion of dividend checks to its shareholders three weeks ago, as the coronavirus crisis and corporate stimulus requests were both metastasizing.
It wouldnt have been easy or comfortable for Boeing to revoke or delay the dividend, which had been declared in December before covid-19, the disease caused by the coronavirus, became a household term. But the company didnt even try.
[Senate package quietly carves out billions for Boeing, officials say]
Its not clear how big a bailout Boeing will get or what its terms will be. The company was already financially stressed before the coronavirus pandemic struck because the 2018 and 2019 crashes of two of its 737 Max planes had led to the worldwide grounding of what had been a huge moneymaker.
The pandemic, of course, greatly increased the financial stress on Boeing and the rest of the aerospace industry, on whose behalf Boeing had been seeking $60 billion in relief.
But Boeing wouldnt need anywhere near as big a bailout as its likely to get if it hadnt spent almost $60 billion $59.994 billion by my read of its financial statements for dividends and stock buybacks from 2014 through 2019.
Here is a table of the numbers from Boeings Securities and Exchange Commission filings. (All dollars are in millions.)
{snip}
Allan Sloan
Allan Sloan is a columnist for The Washington Post. He is a seven-time winner of the Loeb Award, business journalism's highest honor.
Boeings crisis is largely of its own making
Wall Street got Boeings cash; Main Street gets the relief bill
A sign warns of a deactivated employee turnstile at Boeing's manufacturing facility in Renton, Wash. (Ted S. Warren/AP)
By Allan Sloan
Columnist
March 26
If you want an example of how keeping Wall Street happy can undermine your business, look at Boeing. If youre also interested in seeing how already-well-paid corporate directors can get a raise while presiding over a horrendous mess that helped lead a company to need federal relief, you can look at how Boeings directors gave themselves a $20,000 raise (to $366,000) last year from what they got in 2018.
Finally, if you want to see an act of utter cluelessness given whats going on in our country, look at how Boeing sent more than $1 billion of dividend checks to its shareholders three weeks ago, as the coronavirus crisis and corporate stimulus requests were both metastasizing.
It wouldnt have been easy or comfortable for Boeing to revoke or delay the dividend, which had been declared in December before covid-19, the disease caused by the coronavirus, became a household term. But the company didnt even try.
[Senate package quietly carves out billions for Boeing, officials say]
Its not clear how big a bailout Boeing will get or what its terms will be. The company was already financially stressed before the coronavirus pandemic struck because the 2018 and 2019 crashes of two of its 737 Max planes had led to the worldwide grounding of what had been a huge moneymaker.
The pandemic, of course, greatly increased the financial stress on Boeing and the rest of the aerospace industry, on whose behalf Boeing had been seeking $60 billion in relief.
But Boeing wouldnt need anywhere near as big a bailout as its likely to get if it hadnt spent almost $60 billion $59.994 billion by my read of its financial statements for dividends and stock buybacks from 2014 through 2019.
Here is a table of the numbers from Boeings Securities and Exchange Commission filings. (All dollars are in millions.)
{snip}
Allan Sloan
Allan Sloan is a columnist for The Washington Post. He is a seven-time winner of the Loeb Award, business journalism's highest honor.
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Boeing's crisis is largely of its own making (Original Post)
mahatmakanejeeves
Mar 2020
OP
gibraltar72
(7,487 posts)1. As it was in the beginning,and always shall be. Amen.
3Hotdogs
(12,212 posts)2. Instead of a bailout, they could reissue the stock they bought back.
MontanaMama
(23,242 posts)3. Probably why MF45 keeps talking about them...
He can relate to self destructive behaviors.
lark
(23,006 posts)4. This will be one of the co. drumpf gives money to.
Expecting it to be returned with interest to his re-election campaign and/or to RNC.