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Boeing Faces Financial Turmoil Amid Strikes and Production Delays

The aerospace giant seeks to raise $25 billion to stabilize finances as it grapples with ongoing worker strikes and operational challenges.

  • Boeing plans to raise up to $25 billion through stock and debt offerings to address financial instability caused by years of losses.
  • A $10 billion credit agreement has been arranged to provide short-term liquidity and ease immediate financial pressures.
  • The company is dealing with a significant strike involving 33,000 workers, which has halted production of key aircraft models.
  • Boeing has not reported an annual profit since 2018, following the 737 Max crashes, and is now experiencing a cash burn of over $1 billion per month.
  • S&P Global and Fitch Ratings have warned of potential credit downgrades, but recent financial moves may help maintain investment-grade status.
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