Boeing reaches deal to end machinist strike

• Boeing (NYSE:BA) reached a deal with leaders of its machinists union, the third time the aviation giant has sought to end a strike that has halted most factory output.
• The company offered a 38% wage increase over four years in its latest proposal, up from an original offer of 25% that was overwhelmingly rejected.
• The latest offer doesn’t bring back pensions, a key demand of many members. Instead, Boeing (BA) would increase company 401(k) contributions.
• The company also would keep paying yearly bonuses, which had been eliminated as part of the initial offer, and pay $12,000 ratification bonuses.
• The prior offer included a $7,000 ratification bonus and a $5,000 401(k) contribution that aren’t in the latest proposal.
• The company and its biggest labor union announced the deal Thursday. The union plans to vote on the deal Monday.
• The strike has cost the company an estimated $1 billion a month, pushing management this week to raise $24 billion in a sale of new shares. New Chief Executive Kelly Ortberg also set up a plan to cut 17,000 jobs to preserve cash.

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