Grounded Boeing 737 MAX aircraft are seen parked in an aerial photo at Boeing Field in Seattle, Washington
Lindsey Wasson | Reuters
Boeing shares slid Monday after Fitch Ratings turned negative on the maker of the 737 Max, the manufacturer's best selling plane that has been grounded since March after two fatal crashes.
Boeing's stock was down 1.2% in morning trading, keeping a lid on the Dow Jones Industrials' gains for the day.
Boeing last week told investors it would take a $4.9 billion charge in the second quarter to compensate airlines affected by the worldwide grounding, now in its fifth month.
Fitch upheld Boeing's credit rating but warned that its debt could rise by $10 billion to more than $24 billion by the end of the year because of the Max grounding. It added that this amount would fall when deliveries of the planes resume.
Boeing paused deliveries of the Max and cut production by nearly 20% to 42 a month in the wake of the second crash.
Chicago-based Boeing reports second-quarter earnings on Wednesday morning.
This is breaking news. Please check back for updates.
https://www.cnbc.com/2019/07/22/boeing-slides-after-fitch-turns-negative-on-maker-of-grounded-737-max.html
2019-07-22 14:43:07Z
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