Boeing’s Rally Moves the Dow Despite Dreamliner Concerns

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As of January 4, Boeing had 848 total orders for the 787 Dreamliner, 49 of which have been delivered, leaving 799 unfilled. At about $225.2 million per plane ($206.8 million for the 787-8, $243.6 million for the 787-9), it doesn’t take a quant to figure out that there is nearly $200 billion sitting on the table here. (Fun fact, Boeing invested about $32 billion to develop the Dreamliner.)

Here are the airlines who have received deliveries so far:

Airline Ordered Delivered
Air India 27 5
All Nippon Airways 66 17
Ethiopian Airlines 10 4
Japan Airlines 45 7
LAN Airlines 26 3
LOT Polish Airlines 8 2
Qatar Airways 30 5
United Air Lines 50 6

The fire and the fuel leak happened on Dreamliners owned by Japan Airlines, while the break problems were with a plane owned by All Nippon Airways. Both companies have since reiterated their commitment to their orders. An Air India spokesman commented on the news, “It’s a new plane, and some minor glitches do happen. It’s not a cause of concern.”

Even Qatar Airways CEO Akbar Al Baker, who previously criticized the plane for some minor faults — particularly an issue with engines made by General Electric (NYSE:GE) — said that the recent string of events “doesn’t mean we are going to cancel our orders. It’s a revolutionary airplane.”

Curiously enough, Boeing’s Wednesday rally makes it the day’s biggest Dow-component gainer, and has helped pull the index up 0.30 percent despite some steep losses from other members.

Investing Insights: Will the Dreamliner Carry Boeing through 2013?

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