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Commercial Airplanes

  
The year 2001 was profoundly challenging for Commercial Airplanes. The events of September 11 sharply reduced near-term demand for new airplanes. Working with our customers, Commercial Airplanes responded aggressively and decisively to deliver airplanes in the near term, re-phase deliveries in the intermediate term and swiftly reduce production and resources accordingly. Product development is focused on critical technologies for products like longer-range 777s, a quieter 747 and the Sonic Cruiser, and planned production efficiencies are proceeding.
A major key to continuing profitability lies in manufacturing innovations. Commercial Airplanes is revolutionizing manufacturing with continuously moving production lines and simplified designs that are easier and faster to assemble. The 737 moving line has achieved substantial reductions in lead time, cycle time, inventory, defects, crane movement and tool maintenance. Similarly, the 717 moving line has dramatically reduced production build time. Complete conversion of the single-aisle model production lines to moving lines is expected in 2002, when time in final assembly for these models will have been cut by half.
In 2001, the 717 enjoyed dispatch reliability exceeding 99 percent. Boeing delivered the first 737-900, and the Next-Generation 737 family celebrated its 1,000th delivery. We launched the 747-400 Long-Range Freighter, and expanded the 757-300 into new markets, including North America and the United Kingdom. The 767 celebrated 20 years of service, while the new Longer-Range 777-300 achieved 25 percent design release.
The Sonic Cruiser, announced in 2001, will allow travelers to go where they want to go, when they want to go, with preferred point-to-point service. Intended for speeds around .98 Mach, it will fly faster and higher than any airplane in production today and achieve time savings of 15 to 20 percent. Quieter, with all-new engines to achieve “Design for the Environment” goals for fuel burn, noise and emissions, the first Sonic Cruiser could enter service in 2008.
Aviation services remains a significant potential growth market. Commercial Aviation Services continues to expand, placing key focus on electronic tools like the Boeing Laptop Tool for pilots, extension of the Portable Maintenance Aid to non-Boeing airplanes and online warranty claim filing. Aviation Services also introduced the Global Aviation Inventory Network to help airlines manage their spare parts, delivered the first Boeing Business Jet 2, introduced the first modified 757 Special Freighter and established a Security and Safety Services initiative to help our customers make the global transportation system more secure and efficient.
Our consistent gains in lean manufacturing mean faster, more efficient airplane assembly.
     
  
As part of the lean manufacturing efforts, factory floor time markers allow employees to gauge status of the 737 moving assembly line for paced and efficient production. This manufacturing tool is a key aspect of our lean enterprise approach.
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