STRATEGY IN ACTION THE EFFECT OF ASIA’S WOES ON BOEING
ASIA’S TROUBLES MARKET DECLINES OF UP TO 80% WIPED OUT BILLIONS IN ASSETS INDONESIAN ECONOMY DOWN BY 20% IN ONE YEAR JAPAN- $600 BILLION IN BAD DEBTS, 70% DECLINE IN PROPERTY VALUES CHINA- 75% OF BANK CREDIT IN STATE ENTERPRISES, $240 BILLION IN BAD DEBTS
WEALTH LOSS DUE DROP IN STOCK PRICES HONG KONG - $75 BILLION KOREA - $60 BILLION INDONESIA - $45 BILLION THAILAND - $21 BILLION TOTAL IS $201 BILLION DOLLARS
EFFECT ON BOEING 30% OF BOEINGS BACKLOG INTENDED FOR ASIAN CUSTOMERS ORDERS ARE DEFERRED OR CANCELLED ALTOGETHER ASIAN WEAKNESS IS STRONGEST IN 747 AND 777 MODELS JOB LOSS 25% CUT IN PRODUCTION SHARE PRICE HAS FALLEN ABOUT 25% 25% CUT IN COMMERCIAL JET PRODUCTION
BOEING’S PROJECTIONS OPERATING REVENUE $58 B $50 B TOTAL R&D SPENDING $1.7 B $1.5 B DELIVERIES EMPLOYMENT PROFIT MARGINS COMMERCIAL SPACE & DEFENSE.08.09