Aerospace and Defense: On the Radar:7/20/26-7/24/26

Research evidence excerpt

Aerospace and Defense: On the Radar:7/20/26-7/24/26

pacity worth billions, the Wall Street Journal reported.

• Boeing will spend more on VC-25B (Air Force One) as costs continue to grow, Aviation

Week reported. The spending is needed to maintain the 2028 delivery target. With the

program already in a forward loss position, any additional costs beyond prior estimates

would become a new charge.

• Earnings recaps: GE

Commercial Aero News

• The FAA will allow Boeing to resume issuing airworthiness certificates at the end of the

production process for all 737 MAX and 787 aircraft, effective July 20th.

• The Air Current reported on Boeing’s rework plans for the ~40 777-9s it has already built,

noting that the company scrapped one of the aircraft (WH007). Boeing has already

accounted for tearing down this aircraft in the 777-9 charges it has booked, and while

rework is a major effort, we believe the company has been accounting for it in 777-9

program cost estimates. Regarding the certification process, the report cites the program

head as indicating that Boeing expects to complete TIA in the coming months and then

move to ETOPS certification, with first delivery still expected in 2027.

• Boeing released its 2026 Comm’l Market Outlook (CMO) forecasting that operators will

need nearly 44k new planes to support sustained air travel demand and air cargo

expansion over the next 20 years. Half of the deliveries are expected to replace previous

generation aircraft.

• Boeing delivered 64 jets in June including 13 787s and 42 737s. Boeing booked 121 gross

orders in June.

• Air China will buy 15 A350s with Shenzhen Airlines purchasing 40 A320neos. Hainan

Airlines will buy 40 A320neos, according to filings with the Shanghai stock exchange.