Boeing is exploring asset sales to stabilize its precarious financial situation, focusing on divesting from non-core or underperforming divisions, including a recently finalized sale of a small defense subsidiary. The company’s challenges have escalated this year following a safety incident with the 737 MAX, the resignation of its CEO, and a strike involving 33,000 union workers, which has significantly impacted production and finances.
In response, new CEO Kelly Ortberg is assessing the value of various company units, while the board is actively involved in reviewing reports on their status.
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The striking workers are set to vote on a new contract proposal that includes a 35% pay increase over four years, but the ongoing strike has halted production of key aircraft models. Earlier this month, Boeing announced plans to lay off approximately 17,000 employees, or 10% of its workforce, amid expectations of $5 billion in financial charges.
Despite potential agreements with union members, Boeing’s financial outlook remains challenging as it seeks to navigate through these crises.
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