Fitch Ratings revises Boeing outlook to negative following cash flow, production issues

Fitch Ratings has revised its stable rating for Boeing to negative following the company grapples with its cash flow and production issues in the wake of the company’s safety crisis that came to light following the Alaska Airlines’ door plug blowout in January. Fitch said: “The negative outlook reflects Boeing’s heightened execution risks over the next 12 to 24 months as it eliminates legacy inventory, stabilises and increases aircraft production rates, navigates seasonal cash flow volatility, pursues additional corporate actions that should enhance longer-term operations and fulfils its commitment to repay debt and return to [investment grade] metrics.” The credit