Boeing’s (NYSE:BA) 777X is expected to fly commercially for the first time in early 2027 instead of next year, the latest setback for the company that sets the stage for potentially billions of dollars in writedowns, Bloomberg reported Thursday.
Analysts estimate the non-cash accounting charge could run from $2.5 billion to as much as $4 billion, according to the report, although Boeing (NYSE:BA) has not detailed the extent of the cost.
Deutsche Lufthansa (OTCQX:DLAKF) (OTCQX:DLAKY), the launch customer for the 777X, reportedly is already laying the groundwork for a fresh setback by not including the jet in its fleet plans until 2027, and officials at Emirates, the 777X’s biggest customer, are said to have grown more cautious.
The 777X, already six years late, is of vital importance to Boeing (BA) in its battle with rival Airbus; Boeing executives are expected to discuss the extent and cost of the jet’s latest delay when the company reports earnings on October 29.