Analyst: 787 Jetliner Delays May Hurt Boeing

WASHINGTON (AP) -- An analyst on Tuesday warned that Boeing Co.'s stock could slip further following recently announced delays to the plane maker's long-awaited 787 jetliner.

"While Boeing has corrected significantly in the last two weeks, we see further short-term downside given our outlook," wrote Broadpoint AmTech analyst Peter Arment in a note to clients.

Deliveries of the long-range widebody 787 have been delayed four times already. In an effort to resolve supplier problems that have contributed to costly delays, Boeing announced plans Tuesday to acquire a plant from Vought Aircraft Industries for $580 million in cash. The plant makes parts for the 787.

Last month, Boeing announced it will delay the first test flight of the 787 because of structural problems it discovered.

Arment said the first flight of the 787 has been pushed back at least three to six more months. He now anticipates the plane's first flight to happen late this year, or possibly in 2010.

Orders for 58 planes have been canceled so far this year.

Arment said he does not expect a new definitive 787 schedule to be announced in Boeing's second-quarter earnings call scheduled for July 22.

Based on the most recent delay, Broadpoint's 787 delivery forecast in 2010 is now 8 aircraft -- down from a previous estimate of 24 planes. Broadpoint expects 36 planes will be delivered in 2011, down from a prior forecast of 48.

Shares of Chicago-based Boeing fell $1, or 2.5 percent, to $39.56 in afternoon trading.

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