President Trump’s administration has agreed to inject $60 billion into the US aerospace sector to help manufacturers, suppliers, airlines and airports weather the Covid-19 crisis.
Boeing, which has been grappling with the grounding of its best-selling 737 Max and an airline industry plagued by a disappearance of demand, requested the money to boost liquidity in the marketplace.
In a statement, Boeing said: “The bill’s access to public and private liquidity, including loans and loan guarantees, is critical for airlines, airports, suppliers, and manufacturers to bridge to recovery.”
The US aerospace industry employs some 2.5 million people and features 17,000 suppliers.
“We have also taken a number of measures for affordability and liquidity as we navigate the challenges our industry currently faces, including forgoing pay for our CEO and board chairman, suspending our dividend until further notice, and extending our existing pause of any share repurchasing until further notice,” the statement added.
Trump previously criticised Boeing’s handling of the Max situation but ceded that the US Government “[has] to protect Boeing and help Boeing”.