January 21, 2020

Boeing Hiked Fourth-Quarter Lobby Spend in 737 Max Crisis
(Bloomberg) -- Boeing Co.’s spending on federal lobbying rose to $3.4 million in the last quarter of 2019 as the embattled plane-maker faced new threats in Washington after its 737 Max jetliner was grounded following two fatal crashes.The aerospace giant’s lobbying outlay in the last three months of 2019 jumped 8% compared with the third quarter as the company’s crisis over the 737 Max deepened.Former chief executive officer Dennis Muilenburg faced a bipartisan pummeling in two days of testimony in late October, with even GOP stalwarts like Senator Ted Cruz, a Texas Republican, delivering blows. That performance was the beginning of the end for Muilenburg, who was ousted in late December and replaced with David Calhoun.The same month, the company was publicly rebuked by Federal Aviation Administration chief Steve Dickson for a litany of grievances. The agency complained that Boeing’s projections for returning the 737 Max to service were too optimistic and amounted to an attempt to put pressure on the regulator, according to an email the agency sent to lawmakers.A Boeing spokesman declined to comment on the company’s lobbying spending.Boeing said Tuesday that the grounded 737 Max won’t be cleared to fly until the middle of this year, months later than previously anticipated, in a new delay that will add to the company’s financial burden. The FAA hasn’t set a time frame for completing work on the Max.Boeing’s shares fell 3.3% to $313.37 at the close in New York, the biggest decline on the Dow Jones Industrial Average and the lowest closing price in more than a year.The FAA grounded the 737 Max in March of 2019 after two crashes within five months killed 346 people. Representative Rick Larsen, the Democrat who represents Boeing’s Seattle industrial hub, is spearheading a House investigation of the Max crashes with Peter DeFazio, an Oregon Democrat.For decades, Boeing has spread big money around Washington, but the company struggled to shore up its image last year.Lawmakers have accused Boeing of putting shareholders ahead of safety and questioned the design lapses behind a flight-control system that played a role in two fatal Max crashes. The company at times also clashed with federal regulators, though its interactions with FAA mostly aren’t considered lobbying under the law.Boeing’s fourth-quarter lobbying spend was down 12% compared with a year earlier. Overall Boeing spent $13.8 million on federal lobbying last year, down 9% from what it spent in 2018. Congress is mulling whether to rein in a decades-old program that delegates some certification work to aircraft manufacturers including Boeing. Though the FAA retains the ultimate responsibility for ensuring safe designs, Boeing approved features of the 737 jetliner with little input from the agency.Earlier this month, key lawmakers vowed to change the system following the release of internal Boeing documents showing employees discussed deep unease with the 737 Max and the flight simulators used to train pilots on the new jetliner, while also mocking senior managers and regulators in messages.(Updates with Boeing comment in fifth paragraph)\--With assistance from Bill Allison, Julie Johnsson and Alan Levin.To contact the reporter on this story: Naomi Nix in Washington at nnix1@bloomberg.netTo contact the editors responsible for this story: Sara Forden at sforden@bloomberg.net, Jon MorganFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Related Stories
Latest News
Top news around the world
Academy Awards

‘Oppenheimer’ Reigns at Oscars With Seven Wins, Including Best Picture and Director

Get the latest news about the 2024 Oscars, including nominations, winners, predictions and red carpet fashion at 96th Academy Awards

Around the World

Celebrity News

> Latest News in Media

Watch It
Millie Bobby Brown & Jake Bongiovi Celebrate “Three Years of Bliss” Ahead of Wedding
March 24, 2024
C4Ehegcq1-A
Kate Middleton & Prince William "Enormously Touched" by Public Support
March 24, 2024
s8fig-RCjFc
Gisele Bündchen Denies Cheating on Ex-Husband Tom Brady
March 23, 2024
_SpRMagA8BM
Eminem, 50 Cent & Snoop Dogg Present Dr. Dre with a Star on the Walk of Fame
March 19, 2024
4bNLs1hxVp8
Opening Remarks for the Variety Summit October 20th, 2023 Jay Penske
March 18, 2024
c6Z707iLq8E
'Everybody Was S----ing Their Pants': Nick Thune Jokes About Being Born in the '70s and Fatherhood
March 16, 2024
mm7Baf6o2d8
Gunna Says Tour Will Up Creativity in Rap, Endorses Flo Milli | TMZ
March 22, 2024
QfMU24fw-Qo
Reporter Taylor Lorenz Says Palace Botched Kate Cancer News Rollout | TMZ Live
March 22, 2024
o43ZucdiyEo
Riley Strain's Body Found After Going Missing in Nashville 2 Weeks Ago | TMZ NOW
March 22, 2024
1m1zM-4_Cs8
Kyle Richards hasn’t spoken to co-star Dorit Kemsley, denies sending her a ‘manipulative’ text
March 24, 2024
LqLZzDP1hm4
Jordan Emanuel on her connection to 'RHOSLC' star Meredith Marks, advice from Amanda Batula
March 24, 2024
5NPAwlOov1Y
Kate Middleton’s uncle Gary apologizes after slamming ‘fickle’ Meghan Markle in scathing interview
March 24, 2024
JWG9kitALZk
TV Schedule
Late Night Show
Watch the latest shows of U.S. top comedians

Sports

Latest sport results, news, videos, interviews and comments
Latest Events
20
Mar
CHAMPIONS LEAGUE: Playoffs - Women
SK Brann W - Barcelona W
20
Mar
CHAMPIONS LEAGUE: Playoffs - Women
Hacken W - PSG W
19
Mar
CHAMPIONS LEAGUE: Playoffs - Women
SL Benfica W - Lyon W
19
Mar
CHAMPIONS LEAGUE: Playoffs - Women
Ajax W - Chelsea W
17
Mar
SPAIN: La Liga
Atletico Madrid - Barcelona
17
Mar
ENGLAND: FA Cup
Manchester United - Liverpool
17
Mar
ITALY: Serie A
Inter Milan - Napoli
17
Mar
ENGLAND: Premier League
Brighton - Manchester City
17
Mar
GERMANY: Bundesliga
Borussia Dortmund - Eintracht Frankfurt
17
Mar
ENGLAND: FA Cup
Chelsea - Leicester City
17
Mar
ITALY: Serie A
Roma - Sassuolo
17
Mar
ITALY: Serie A
Verona - AC Milan
17
Mar
ITALY: Serie A
Juventus - Genoa
16
Mar
GERMANY: Bundesliga
Darmstadt - Bayern Munich
16
Mar
ENGLAND: FA Cup
Manchester City - Newcastle United
16
Mar
ENGLAND: Premier League
Fulham - Tottenham Hotspur
16
Mar
SPAIN: La Liga
Osasuna - Real Madrid
13
Mar
CHAMPIONS LEAGUE: 1/8 Final
Atletico Madrid - Inter Milan
12
Mar
CHAMPIONS LEAGUE: 1/8 Final
Barcelona - Napoli
12
Mar
CHAMPIONS LEAGUE: 1/8 Final
Arsenal - Porto
11
Mar
ENGLAND: Premier League
Chelsea - Newcastle United
10
Mar
ENGLAND: Premier League
Liverpool - Manchester City
10
Mar
SPAIN: La Liga
Real Madrid - Celta Vigo
10
Mar
ENGLAND: Premier League
Aston Villa - Tottenham Hotspur
10
Mar
ITALY: Serie A
Juventus - Atalanta
10
Mar
ITALY: Serie A
Fiorentina - Roma
10
Mar
ITALY: Serie A
AC Milan - Empoli
Find us on Instagram
at @feedimo to stay up to date with the latest.
Featured Video You Might Like
zWJ3MxW_HWA L1eLanNeZKg i1XRgbyUtOo -g9Qziqbif8 0vmRhiLHE2U JFCZUoa6MYE UfN5PCF5EUo 2PV55f3-UAg W3y9zuI_F64 -7qCxIccihU pQ9gcOoH9R8 g5MRDEXRk4k
Copyright © 2020 Feedimo. All Rights Reserved.