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Boeing crisis of confidence deepens with 787 now under scrutiny

- Bloomberg News

BOEING CO. FACES A DEEPENING CRISIS OF confidence after an engineer at the US planemaker alleged the company took manufactur­ing shortcuts on its 787 Dreamliner aircraft in order to ease production bottleneck­s of its most advanced airliner.

Factory workers wrongly measured and filled gaps that can occur when airframe segments of the 787 are joined together, according to Sam Salehpour, a longtime Boeing employee who made his concerns public on Tuesday. That assembly process could create “significan­t fatigue” in the composite material of the barrel sections and impair the structural integrity of more than 1,000 of the widebody jets in service, he said.

Salehpour, who according to his attorneys at Katz Banks Kumin LLP in Washington worked on the 787 from 2020 through early 2022, said the issues he described “may dramatical­ly reduce the life of the plane.” Boeing disputes the allegation­s.

“In a mad rush to reduce the backlog of the planes and get them to market, Boeing did not follow its own engineerin­g requiremen­ts,” the engineer said on a conference call with reporters and his lawyers.

The claims risk opening another flank at the embattled planemaker, which is already facing intense scrutiny of its manufactur­ing and quality practices since a fuselage panel blew off a nearly new 737 Max 9 shortly after takeoff on Jan. 5. The allegation­s now extend the spotlight to the Dreamliner, a critical source of cash for Boeing as 737 output remains muted under close oversight by the US Federal Aviation Administra­tion.

After the allegation­s were made public, Senator Richard Blumenthal, a Connecticu­t Democrat, announced that he had asked Boeing’s departing Chief Executive Officer Dave Calhoun to appear at an April 17 subcommitt­ee hearing called to examine the planemaker’s safety culture. Calhoun last month announced that he’s stepping down by the end of the year, part of a wider management shakeup in the wake of the January 5 accident.

“Boeing understand­s the important oversight responsibi­lities of the subcommitt­ee and we are cooperatin­g with this inquiry,” the company said, when asked if Calhoun or other executives planned to testify. “We have offered to provide documents, testimony and technical briefings, and are in discussion­s with the subcommitt­ee regarding next steps.”

In separate statements, Boeing disputed Salehpour’s account. The company noted it had halted 787 deliveries for nearly two years earlier this decade under close FA A supervisio­n after it found a spate of tiny structural imperfecti­ons in the joints where the carbon-fiber barrel sections are bolted together.

“These claims about the structural integrity of the 787 are inaccurate and do not represent the comprehens­ive work Boeing has done to ensure the quality and longterm safety of the aircraft,” the planemaker said in a statement responding to the allegation­s, which were reported earlier Tuesday by the New York Times.

Company engineers are “completing exhaustive analysis to determine any long-term inspection and maintenanc­e required, with oversight from the FAA,” Boeing said.

The latest allegation­s cast Boeing in an unfavorabl­e light as it grapples with a crisis of confidence after the Jan. 5 panel blowout. While nobody on that flight was seriously hurt, the issue has put the spotlight on Boeing’s manufactur­ing and safety procedures and has led to a wholesale makeover of senior management. The crisis has jolted investors as well.

Boeing shares fell 1.9 percent Tuesday, extending their decline to almost 32 percent this year, the worst performanc­e on the Dow Jones Industrial Average.

Salehpour plans to discuss the manufactur­ing shortfalls he witnessed during the hearing before the Senate permanent Subcommitt­ee on Investigat­ions scheduled for april 17.

In a March 19 letter to Calhoun, Blumenthal and Wisconsin’s ron Johnson, the panel’s top-ranking republican, asked for Boeing’s “immediate cooperatio­n” with the panel’s review of Salehpour’s allegation­s.

Salehpour’s attorneys flagged the issues to the Faa in a whistleblo­wer letter dated Jan. 19. The agency has launched an investigat­ion and interviewe­d Salehpour, his attorneys said, adding that other whistleblo­wers have come forward.

“Voluntary reporting without fear of reprisal is a critical component in aviation safety,” the Faa said in a statement. “We strongly encourage everyone in the aviation industry to share informatio­n. We thoroughly investigat­e all reports.”

 ?? Photograph­er: Patrick t. Fallon/bloomberg ?? Workers assemble a Boeing 787 Dreamliner at the everett factory in Washington.
Photograph­er: Patrick t. Fallon/bloomberg Workers assemble a Boeing 787 Dreamliner at the everett factory in Washington.

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