Japan Airlines management is so upset about delays in the Boeing (NYSE: BA) 787 that it may turn to Airbus for planes.
According to Reuters "JAL, which had planned to buy 55 787 planes, favoring their greater fuel-efficiency, was looking at purchasing Airbus planes as it wants to offset the cost of higher fuel prices quickly by using more mid-sized airliners."
It is not clear whether airlines, facing delayed deliver of the 787, can cancel their orders outright. If so, Boeing could see a substantial drop in its revenue.
Boeing stock has already been crushed. It trades at under $82, down from a 52-week high of $107.83.
Douglas A. McIntyre