Boeing39;s cash flow impacted by slowed 737 MAX production and deliveries
Moodys and SP expect Boeing to hit monthly 737 MAX production rate of 38 in 2025
Boeing expects to increase MAX output to 38 per month by year39;s end

Aug 13 Reuters Boeing will likely miss a key 737 MAX jet production target in 2024, analysts at rating agencies Moody39;s and SP told Reuters, saying that the company faces challenges as it ramps up its strongestselling plane.

The U.S. aerospace giant39;s goal is to produce 38 MAX jets a month by the end of 2024, up from 25 jets a month in July.

But Moody39;s and SP said that goal may not be reached until 2025 due to risks like possible labor disruptions at the planemaker39;s facilities in the Seattle area. Boeing, however, faces no immediate risk of a credit downgrade that would drop its rating to junk levels, the two rating agencies said on Friday.

Jonathan Root, lead Boeing analyst at Moody39;s, assumes the planemaker will end 2024 producing 32 MAX jets per month, and reach the target of 38 in the second half of 2025. We remain in a 39;show me39; state of mind, he said.

MAX production and deliveries, which are closely watched by investors and airlines, mostly slowed following a Jan. 5 midair panel blowout on a new 737 MAX 9that exposed longstanding qualitycontrol problems at the jetmaker.

Boeing slowed output so it could improve production quality, but the decline in output and deliveries has taken a toll on cash flow. It burned about 8.3…