Boeing refutes whistleblower claims on 787 assembly flaws

In This Article:

Boeing (BA) is refuting claims made by a whistleblower alleging manufacturing faults in the company's assembly of its 787 Dreamliner jets. Yahoo Finance Senior Reporter Pras Subramanian breaks down the complaints reported by the New York Times ahead of the Boeing whistleblower's testimony before the US Senate Commerce Committee on Wednesday, April 17.

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This post was written by Luke Carberry Mogan.

Video Transcript

SEANA SMITH: Can you look at Boeing? Boeing coming to its own defense once again. The planemaker saying that it has found no signs of fatigue on its 787 Jets despite the claims of a whistleblower. Joining us now with more on this is Pras Subramanian. And Pras, this comes ahead of testimony that's expected to take place tomorrow.

PRAS SUBRAMANIAN: Yeah, in front of the Senate, Boeing kind of leaning in on the PR front here. Having a briefing with reporters a couple of hours for two hours yesterday talking about how there's no assembly problems with the assembly of the 787 and 777, that the parts fit together, there's no kind of fatigue there like you mentioned. This whistleblower that the New York Times had worked with had said that people were jumping on parts to get them to fit into like different shims to fit the fuselage is really some damning testimony or damning sort of allegations that the whistleblower gave the New York Times.

And tomorrow, we'll hear from him at the Senate panel. It's probably not going to go good for Boeing because I think there's a lot of bipartisan sort of concern over America's Premier playmaker. What is going on there? Have they fixed the culture?

We're hearing about how the helpline they have for safety tips has exploded at the Boeing plant. And that's a good thing. But the question is, how far have they come to change what's happening there? And we'll see more about that tomorrow.

MADISON MILLS: Pras, I'm just curious. When you think about the performance of the company under Dave Calhoun's leadership, and whether or not he is going to be able to stick around, at least metaphorically, moving forward throughout the rest of the year, what do we know about what that process is looking like for a successor and the degree to which he is going to be still overseeing things, even if he's taken a bit of a step back?

PRAS SUBRAMANIAN: Yeah, I think he's still basically the CEO until the end of the year. As of right now, he's running the show. And we're going to hear more about that next week probably during the earnings report, how that succession plan is going.