Boeing: Losses Could Lead To Discontinuation of 747
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Due to a slump in sales, Boeing is thinking about discontinuing the production of its 747 aircraft, Reuters reported.
According to the news agency, Boeing said Wednesday: "If we are unable to obtain sufficient orders and/or market, production and other risks cannot be mitigated, we could record additional losses that may be material, and it is reasonably possible that we could decide to end production of the 747."
In September, the aircraft manufacturing company will cut in half the production of its 747s, Reuters said.
Chief Executive Dennis Muilenburg said the company decided to “reduce future production expectations and revenue assumptions to account for current and anticipated weakness in the air cargo market," according to Reuters.
READ MORE: Don’t Dismiss the Boeing 747 Just Yet
In June 2015, Boeing’s production rate of the 747 was 1.5 per month but decreased to one per month in July, Reuters said.
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