Boeing strike headlines $4.4 billion Q4 loss

The Street

TheStreet’s Conway Mittens brings you the biggest news of the day, including what investors are watching and just ow bad Boeing’s fourth quarter real was.

Transcript

00:00I'm Conway Giddens reporting from the New York Stock Exchange. Here's what we're watching on the street today.

00:05Investors are taking some money off the table one day after the S&P 500 closed above

00:106,100 for the first time in history.

00:13American Express is on the radar.

00:15Quarterly profits at the credit card company jumped 12% as higher income consumers whipped out that card during the holidays,

00:21but that number was a whisper below forecast.

00:25Turning to other business headlines,

00:27$4 billion. That's how much money Boeing lost in the fourth quarter alone,

00:33according to preliminary results released by the company. The aerospace giant has been befuddled by a number of problems,

00:40including quality concerns, labor tensions,

00:43problems at its space division, and a national port worker strike that led to supply chain hiccups.

00:49That $4 billion loss is roughly triple what Wall Street was expecting and puts Boeing on track to post a

00:57$12 billion loss for all of 2024. A loss of that sheer size matches the same historic loss of

01:052020. That 2020 loss was due to the unprecedented

01:09pandemic shutdown of air travel. This 2024 money-losing year, however, was nearly all of Boeing's making.

01:17Boeing has been bleeding billions since 2019 after two fatal plane crashes involving the

01:23737 MAX airplane. Safety and quality concerns

01:26resurfaced in 2024 after a door panel blew off a Boeing plane mid-flight, prompting a temporary grounding of the plane.

01:34Then came the very expensive strike of 33,000 workers, which halted production for seven weeks.

01:41Boeing took a fourth quarter charge of nearly $1 billion to reflect the higher labor costs it agreed to.

01:47All these problems led to fewer planes being delivered, which for Boeing meant fewer billions of dollars

01:54flying into its bank account.

01:56That'll do it for your daily briefing from the New York Stock Exchange. I'm Conway Gittins with The Street.

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