...Strong Competitive Positions: The Boeing Company's (BA) ratings reflect its competitive positions in the commercial aerospace and defense sectors, high barriers to entry in its key businesses and large backlog ($472 billion). The company's portfolio is less balanced than it once was, as commercial growth has reduced defense revenues to less than one-third of revenues. Healthy Commercial Aircraft Outlook: The commercial aerospace market is currently healthy, and BA's commercial backlog at the end of July 2016 (5,697 aircraft) reflects this strength. Several transitioning programs will mean BA's 2016 deliveries will not match production rates, and Fitch Ratings estimates this will lead to a delivery decline in 2016 to approximately 745 aircraft. Fitch expects 2017 deliveries will rebound to approximately 790¡800 deliveries. Defense Outlook Improving: U.S. defense investment spending increased this year after a three-year trough and Fitch expects continued solid spending levels in 2017 and...
