Boeing to increase 777 production rate

Boeing (NYSE: BA) today announced its production rate for the 777 program will increase to 8.3 airplanes per month in the first quarter 2013. This is the second production increase announced for the program this year. In March the program announced it would increase production from five to seven airplanes per month beginning in mid-2011.

"In response to strong customer demand globally, we are increasing our yearly production to 100 777s," said Boeing Commercial Airplanes President and CEO Jim Albaugh. "The 777 is the twin-aisle market leader because of its superior operating economics, unmatched range and preference among travelers' needs."

The 777 has a large installed operator base, and a track record of proven performance including 1,163 orders, 907 deliveries and a backlog of more than 250 airplanes. Suppliers are prepared to support the rate increase.

The current production rate decision is not expected to have a material impact on 2010 financial results.