Boeing Expands Canadian 737 Plant

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

Last month, Boeing (NYSE: BA  ) confirmed that strong demand for its airliners has convinced the company of the need to accelerate plane production. Boeing's building 777 and 787 aircraft faster than ever, while 737s will soon be churning out of Boeing factories at the rate of 38 planes per month, en route to a 42-per-month production rate early next year.

Of course, such breakneck production rates require increasing elbow room for Boeing workers, and so it was that on Tuesday, the company announced that it's expanding the size of its Murray Park Road manufacturing site in Winnipeg by more than 22% -- from 515,000 square feet to 665,000 square feet of manufacturing space.

The new production space is needed to accommodate work on the single-piece composite-material acoustic inner "barrel" on the redesigned 737 MAX's engine nacelle inlet. One key to the 737 MAX's sales success is the plane's quiet running, and key to that is the acoustic barrel, which helps to reduce operational noise on the aircraft by up to 40%.

Boeing didn't disclose the cost of the manufacturing plant's expansion, nor its effect on future profitability. This didn't faze investors, however, who bid up Boeing shares by 1.4% Tuesday, to a closing price of $88.18, within spitting distance of the stock's 52-week high.

Editor's note: A previous version of this article referred to the production rates as per day, rather than per month. The Fool regrets the error.

Read/Post Comments (2) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2382002, ~/Articles/ArticleHandler.aspx, 9/29/2016 1:05:11 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,206.25 -132.99 -0.73%
S&P 500 2,153.52 -17.85 -0.82%
NASD 5,275.86 -42.69 -0.80%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/29/2016 12:38 PM
BA $132.10 Down -0.13 -0.10%
Boeing CAPS Rating: ****