Boeing says its 777X orders fell by a third after delivery delays

Boeing cut its 777X aircraft portfolio by more than a third after the aerospace giant announced further delays for the debut of its newest aircraft, according to a new bond deposit.

The Chicago-based manufacturer said last week that it does not expect the 777X to enter service until the end of 2023, more than two years later than expected. Boeing said its order count for the 777X in late 2020 was 191, compared with 309 a year earlier, according to the filing on Monday.

Boeing routinely removes aircraft from its portfolio because of an accounting rule that determines how orders with a risk of cancellation are recorded. Aircraft purchase contracts generally allow customers to cancel orders more easily if the planes are delayed.

Boeing charged $ 6.5 billion in the fourth quarter for delays in the 777X.

The company removed hundreds of 737 Max orders from its order book under similar accounting rules and permanent cancellations. These narrow-body aircraft, Boeing’s best-selling jet, are flying passengers again after almost stranding for two years following two fatal accidents.

Boeing said last week that additional regulatory scrutiny over the larger 777X planes after the Max crash, as well as a diminished appetite for new planes from customers in the midst of the pandemic, contributed to delays in the delivery of large planes.