How to strike the right balance in high yield bonds
Strong 2016 performance and a sharp rally in credit spreads have prompted some investors to take a cautious view of high yield bonds.
Boeing Co. is ready for the next production increases in 737 jetliners as it prepares to deliver the first of the revamped Max models in the summer, according to the Wall Street Journal.
Boeing is stress-testing its production system as it readies to boost monthly output to 47 from 42 this year, said Keith Leverkuhn, vice president and general manager of the 737 Max program.
Boeing is transitioning to the Max version of the 50-year old 737 platform and phasing out existing models while boosting its output rate to record levels. It has sold more than 3,600 of the Max jets.
“We are very comfortable with the ability of our shops to accommodate the higher rates,” said Leverkuhn.
Leverkuhn added that the focus of stress testing is with external suppliers, many of whom also provide parts to Airbus. Boeing has said around 15% of the 737 jets it delivers this year will be the Max model, which includes new engines and other upgrades to improve fuel efficiency and reduce maintenance costs. The first delivery is expected in the second quarter. (Source: Wall Street Journal)
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