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Boeing Co (BA) SEC Filing 8-K Material Event for the period ending Wednesday, July 28, 2021

Boeing Co

CIK: 12927 Ticker: BA

Exhibit 99.1
pressreleaseheader.jpg
Boeing Reports Second-Quarter Results
Continued progress on global safe return to service of 737 MAX
Revenue of $17.0 billion, GAAP earnings per share of $1.00 and core (non-GAAP)* earnings per share of $0.40
Operating cash flow of ($0.5) billion; cash and marketable securities of $21.3 billion
Commercial Airplanes backlog grew to $285 billion and added 180 net orders
Table 1. Summary Financial Results
Second QuarterFirst Half
(Dollars in Millions, except per share data)20212020Change20212020Change
Revenues$16,998 $11,807 44%$32,215 $28,715 12%
GAAP
Earnings/(Loss) From Operations$1,023 ($2,964)NM$940 ($4,317)NM
Operating Margin6.0 %(25.1)%NM2.9 %(15.0)%NM
Net Earnings/(Loss)$567 ($2,395)NM$6 ($3,036)NM
Earnings/(Loss) Per Share$1.00 ($4.20)NM$0.09 ($5.31)NM
Operating Cash Flow($483)($5,280)NM($3,870)($9,582)NM
Non-GAAP*
Core Operating Earnings/(Loss)$755 ($3,319)NM$402 ($5,019)NM
Core Operating Margin4.4 %(28.1)%NM1.2 %(17.5)%NM
Core Earnings/(Loss) Per Share$0.40 ($4.79)NM($1.12)($6.49)NM
*Non-GAAP measure; complete definitions of Boeing’s non-GAAP measures are on page 6, “Non-GAAP Measures Disclosures."    
    CHICAGO, July 28, 2021 – The Boeing Company [NYSE: BA] reported second-quarter revenue of $17.0 billion, driven by higher commercial airplanes and services volume. GAAP earnings per share of $1.00 and core earnings per share (non-GAAP)* of $0.40 primarily reflects higher commercial volume and lower period costs (Table 1). Boeing recorded operating cash flow of ($0.5) billion.
    “We continued to make important progress in the second quarter as we focus on driving stability across our operations and transforming our business for the future,” said Boeing President and Chief Executive Officer David Calhoun. “While our commercial market environment is improving, we’re closely monitoring COVID-19 case rates, vaccine distribution and global trade as key indicators for our industry’s stability. As we continue to position for a robust recovery, we remain committed to safety and quality, while investing in our people, products and technology. I am proud of our team’s resilience and commitment as we work to rebuild trust, improve our performance and deliver for our commercial, defense, space and services customers.”
As part of Boeing's ongoing focus on global sustainability, the company published its first integrated Sustainability Report in July. "This was an important step in our continued efforts to reinforce our Environmental, Social, and Governance principles," Calhoun said.

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Table 2. Cash Flow
Second QuarterFirst Half
(Millions)2021202020212020
Operating Cash Flow($483)($5,280)($3,870)($9,582)
Less Additions to Property, Plant & Equipment($222)($348)($513)($776)
Free Cash Flow*($705)($5,628)($4,383)($10,358)
*Non-GAAP measure; complete definitions of Boeing’s non-GAAP measures are on page 6, “Non-GAAP Measures Disclosures."    
    Operating cash flow improved to ($0.5) billion in the quarter, driven by higher commercial deliveries, higher order receipts, and lower expenditures (Table 2).
Table 3. Cash, Marketable Securities and Debt Balances
Quarter-End
(Billions)Q2 21Q1 21
Cash$8.2 $7.0 
Marketable Securities1
$13.1 $14.9 
Total$21.3 $21.9 
Debt Balances:
The Boeing Company, net of intercompany loans to BCC$62.1 $62.0 
Boeing Capital, including intercompany loans$1.5 $1.6 
Total Consolidated Debt$63.6 $63.6 
1 Marketable securities consists primarily of time deposits due within one year classified as "short-term investments."
    Cash and investments in marketable securities decreased to $21.3 billion, compared to $21.9 billion at the beginning of the quarter, primarily driven by operating cash outflows (Table 3). The company has access to credit facilities of $14.8 billion which remain undrawn.
    Total company backlog at quarter-end was $363 billion.
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Segment Results
Commercial Airplanes
Table 4. Commercial AirplanesSecond QuarterFirst Half
(Dollars in Millions)20212020Change20212020Change
Commercial Airplanes Deliveries79 20 295%156 70 123%
Revenues$6,015 $1,633 268%$10,284 $7,838 31%
Loss from Operations($472)($2,762)NM($1,328)($4,830)NM
Operating Margin(7.8)%(169.1)%NM(12.9)%(61.6)%NM
Commercial Airplanes second-quarter revenue increased to $6.0 billion primarily driven by higher commercial airplane deliveries. Second-quarter operating margin improved to (7.8) percent, primarily due to lower period costs as well as higher delivery volume (Table 4).
Boeing is continuing to make progress on the global safe return to service of the 737 MAX. Since the FAA's approval to return the 737 MAX to operations in November 2020, Boeing has delivered more than 130 737 MAX aircraft and airlines have returned more than 190 previously grounded airplanes to service. 30 airlines are now operating the 737 MAX, safely flying nearly 95,000 revenue flights totaling more than 218,000 flight hours (as of July 25, 2021). The 737 program is currently producing at a rate of approximately 16 per month and continues to expect to gradually increase production to 31 per month in early 2022 with further gradual increases to correspond with market demand. The company will continue to assess the production rate plan as it monitors the market environment and engages in customer discussions.
As Boeing has previously shared, the company is conducting inspections and rework and continues to engage in detailed discussions with the FAA on verification methodology for 787. In connection with these efforts, the company announced earlier this month that it has identified additional rework that will be required on undelivered 787s. Based on our assessment of the time required to complete this work, Boeing is reprioritizing production resources for a few weeks to support the inspection and rework. As that work is performed, the 787 production rate will temporarily be lower than five per month and will gradually return to that rate. Boeing expects to deliver fewer than half of the 787s currently in inventory this year.
Commercial Airplanes secured orders for 200 737 aircraft for United Airlines, 34 737 aircraft for Southwest Airlines, and a total of 31 freighter aircraft. Commercial Airplanes delivered 79 airplanes during the quarter and backlog included over 4,100 airplanes valued at $285 billion.
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Defense, Space & Security
Table 5. Defense, Space & Security
Second QuarterFirst Half
(Dollars in Millions)20212020Change20212020Change
Revenues$6,876 $6,588 4%$14,061 $12,630 11%
Earnings from Operations$958 $600 60%$1,363 $409 233%
Operating Margin13.9 %9.1 %53%9.7 %3.2 %203%
    Defense, Space & Security second-quarter revenue increased to $6.9 billion driven by higher KC-46A Tanker and P-8A Poseidon volume. Second-quarter operating margin increased to 13.9 percent, primarily reflecting the absence of a charge on the KC-46A Tanker program as compared to second quarter 2020, as well as a favorable non-US contract adjustment.
    During the quarter, Defense, Space & Security secured an award for 14 H-47 extended-range Chinook helicopters for the U.K. Royal Air Force and signed an agreement with the German Ministry of Defense for five P-8A Poseidon aircraft. Defense, Space & Security conducted the first MQ-25 unmanned aerial refueling of a F/A-18 Super Hornet and successfully joined T-7A Red Hawk front and aft sections in under 30 minutes enabled by digital design. Also, the first Core Stage for NASA's Space Launch System began stacking with other Artemis I elements.
     Backlog at Defense, Space & Security was $59 billion, of which 32 percent represents orders from customers outside the U.S.
Global Services
Table 6. Global Services
Second QuarterFirst Half
(Dollars in Millions)20212020Change20212020Change
Revenues$4,067 $3,488 17%$7,816 $8,116 (4)%
Earnings/(Loss) from Operations$531 ($672)NM$972 $36 NM
Operating Margin13.1 %(19.3)%NM12.4 %0.4 %NM
    Global Services second-quarter revenue increased to $4.1 billion and second-quarter operating margin increased to 13.1 percent primarily driven by higher commercial services volume. Operating margin was also favorably impacted by lower asset impairments, lower severance costs, and mix of products and services.
    During the quarter, Global Services signed an expanded parts agreement with Turkish Technic and announced a partnership to expand capacity for 737-800 Boeing Converted Freighters. Global Services was also selected to provide P-8A training and sustainment as well as C-17 training to the U.K. Royal Air Force, and was awarded a modification for KC-46A interim contract support for the U.S. Air Force.
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Additional Financial Information
Table 7. Additional Financial Information
Second QuarterFirst Half
(Dollars in Millions)2021202020212020
Revenues
Boeing Capital$78 $69 $138 $134 
Unallocated items, eliminations and other($38)$29 ($84)($3)
Earnings/(Loss) from Operations
Boeing Capital$36 ($7)$57 $17 
FAS/CAS service cost adjustment$268 $355 $538 $702 
Other unallocated items and eliminations($298)($478)($662)($651)
Other income, net$199 $94 $389 $206 
Interest and debt expense($673)($553)($1,352)($815)
Effective tax rate(3.3)%30.0 %126.1 %38.4 %
    At quarter-end, Boeing Capital's net portfolio balance was $1.9 billion. The change in revenue from other unallocated items and eliminations was primarily due to the timing of allocations. The loss from other unallocated items and eliminations was impacted by lower deferred compensation expense as compared to the second quarter of 2020. Interest and debt expense increased due to higher debt balances. The second quarter 2021 effective tax rate primarily reflects benefits from a lower valuation allowance.

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Non-GAAP Measures Disclosures
    We supplement the reporting of our financial information determined under Generally Accepted Accounting Principles in the United States of America (GAAP) with certain non-GAAP financial information. The non-GAAP financial information presented excludes certain significant items that may not be indicative of, or are unrelated to, results from our ongoing business operations. We believe that these non-GAAP measures provide investors with additional insight into the company’s ongoing business performance. These non-GAAP measures should not be considered in isolation or as a substitute for the related GAAP measures, and other companies may define such measures differently. We encourage investors to review our financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure. The following definitions are provided:
Core Operating Earnings, Core Operating Margin and Core Earnings Per Share
    Core operating earnings is defined as GAAP earnings from operations excluding the FAS/CAS service cost adjustment. The FAS/CAS service cost adjustment represents the difference between the Financial Accounting Standards (FAS) pension and postretirement service costs calculated under GAAP and costs allocated to the business segments. Core operating margin is defined as core operating earnings expressed as a percentage of revenue. Core earnings per share is defined as GAAP diluted earnings per share excluding the net earnings per share impact of the FAS/CAS service cost adjustment and Non-operating pension and postretirement expenses. Non-operating pension and postretirement expenses represent the components of net periodic benefit costs other than service cost. Pension costs, comprising service and prior service costs computed in accordance with GAAP are allocated to Commercial Airplanes and BGS businesses supporting commercial customers. Pension costs allocated to BDS and BGS businesses supporting government customers are computed in accordance with U.S. Government Cost Accounting Standards (CAS), which employ different actuarial assumptions and accounting conventions than GAAP. CAS costs are allocable to government contracts. Other postretirement benefit costs are allocated to all business segments based on CAS, which is generally based on benefits paid. Management uses core operating earnings, core operating margin and core earnings per share for purposes of evaluating and forecasting underlying business performance. Management believes these core earnings measures provide investors additional insights into operational performance as they exclude non-service pension and post-retirement costs, which primarily represent costs driven by market factors and costs not allocable to government contracts. A reconciliation between the GAAP and non-GAAP measures is provided on pages 13-14.
Free Cash Flow
    Free cash flow is GAAP operating cash flow reduced by capital expenditures for property, plant and equipment. Management believes free cash flow provides investors with an important perspective on the cash available for shareholders, debt repayment, and acquisitions after making the capital investments required to support ongoing business operations and long term value creation. Free cash flow does not represent the residual cash flow available for discretionary expenditures as it excludes certain mandatory expenditures such as repayment of maturing debt. Management uses free cash flow as a measure to assess both business performance and overall liquidity. Table 2 provides a reconciliation of free cash flow to GAAP operating cash flow.


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Caution Concerning Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “may,” “should,” “expects,” “intends,” “projects,” “plans,” “believes,” “estimates,” “targets,” “anticipates,” and similar expressions generally identify these forward-looking statements. Examples of forward-looking statements include statements relating to our future financial condition and operating results, as well as any other statement that does not directly relate to any historical or current fact. Forward-looking statements are based on expectations and assumptions that we believe to be reasonable when made, but that may not prove to be accurate. These statements are not guarantees and are subject to risks, uncertainties, and changes in circumstances that are difficult to predict. Many factors could cause actual results to differ materially and adversely from these forward-looking statements. Among these factors are risks related to: (1) the COVID-19 pandemic and related industry impacts, including with respect to our operations, our liquidity, the health of our customers and suppliers, and future demand for our products and services; (2) the 737 MAX, including the timing and conditions of remaining 737 MAX regulatory approvals, lower than planned production rates and/or delivery rates, and increased considerations to customers and suppliers; (3) general conditions in the economy and our industry, including those due to regulatory changes; (4) our reliance on our commercial airline customers; (5) the overall health of our aircraft production system, planned commercial aircraft production rate changes, our commercial development and derivative aircraft programs, and our aircraft being subject to stringent performance and reliability standards; (6) changing budget and appropriation levels and acquisition priorities of the U.S. government; (7) our dependence on U.S. government contracts; (8) our reliance on fixed-price contracts; (9) our reliance on cost-type contracts; (10) uncertainties concerning contracts that include in-orbit incentive payments; (11) our dependence on our subcontractors and suppliers, as well as the availability of raw materials; (12) changes in accounting estimates; (13) changes in the competitive landscape in our markets; (14) our non-U.S. operations, including sales to non-U.S. customers; (15) threats to the security of our or our customers’ information; (16) potential adverse developments in new or pending litigation and/or government investigations; (17) customer and aircraft concentration in our customer financing portfolio; (18) changes in our ability to obtain debt financing on commercially reasonable terms and at competitive rates; (19) realizing the anticipated benefits of mergers, acquisitions, joint ventures/strategic alliances or divestitures; (20) the adequacy of our insurance coverage to cover significant risk exposures; (21) potential business disruptions, including those related to physical security threats, information technology or cyber-attacks, epidemics, sanctions or natural disasters; (22) work stoppages or other labor disruptions; (23) substantial pension and other postretirement benefit obligations; and (24) potential environmental liabilities.
Additional information concerning these and other factors can be found in our filings with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Any forward-looking statement speaks only as of the date on which it is made, and we assume no obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by law.

# # #
Contact:
Investor Relations:  
Maurita Sutedja or Keely Moos (312) 544-2140
Communications:  
Michael Friedman media@boeing.com

7


The Boeing Company and Subsidiaries
Consolidated Statements of Operations
(Unaudited)
Six months ended June 30Three months ended June 30
(Dollars in millions, except per share data)2021202020212020
Sales of products$26,672 $23,254 $14,154 $9,063 
Sales of services5,543 5,461 2,844 2,744 
Total revenues32,215 28,715 16,998 11,807 
Cost of products(23,895)(25,091)(12,263)(10,378)
Cost of services(4,483)(4,632)(2,316)(2,589)
Boeing Capital interest expense(18)(23)(9)(11)
Total costs and expenses(28,396)(29,746)(14,588)(12,978)
3,819 (1,031)2,410 (1,171)
Income/(loss) from operating investments, net75 (47)38 (45)
General and administrative expense(2,072)(2,034)(1,040)(1,161)
Research and development expense, net(996)(1,297)(497)(625)
Gain on dispositions, net114 92 112 38 
Earnings/(loss) from operations940 (4,317)1,023 (2,964)
Other income, net389 206 199 94 
Interest and debt expense(1,352)(815)(673)(553)
(Loss)/earnings before income taxes(23)(4,926)549 (3,423)
Income tax benefit29 1,890 18 1,028 
Net earnings/(loss)6 (3,036)567 (2,395)
Less: net loss attributable to noncontrolling interest(44)(32)(20)(19)
Net earnings/(loss) attributable to Boeing Shareholders$50 ($3,004)$587 ($2,376)
Basic earnings/(loss) per share$0.09 ($5.31)$1.00 ($4.20)
Diluted earnings/(loss) per share$0.09 ($5.31)$1.00 ($4.20)
Weighted average diluted shares (millions)588.6566.1590.2566.4




8


The Boeing Company and Subsidiaries
Consolidated Statements of Financial Position
(Unaudited) 
(Dollars in millions, except per share data)June 30
2021
December 31
2020
Assets
Cash and cash equivalents$8,271 $7,752 
Short-term and other investments13,071 17,838 
Accounts receivable, net2,490 1,955 
Unbilled receivables, net9,203 7,995 
Current portion of customer financing, net74 101 
Inventories81,799 81,715 
Other current assets, net4,187 4,286 
Total current assets119,095 121,642 
Customer financing, net1,865 1,936 
Property, plant and equipment, net of accumulated depreciation of $20,567 and $20,507
11,341 11,820 
Goodwill8,076 8,081 
Acquired intangible assets, net2,702 2,843 
Deferred income taxes84 86 
Investments883 1,016 
Other assets, net of accumulated amortization of of $863 and $729
4,889 4,712 
Total assets$148,935 $152,136 
Liabilities and equity
Accounts payable$11,450 $12,928 
Accrued liabilities19,502 22,171 
Advances and progress billings50,738 50,488 
Short-term debt and current portion of long-term debt6,534 1,693 
Total current liabilities88,224 87,280 
Deferred income taxes1,064 1,010 
Accrued retiree health care4,017 4,137 
Accrued pension plan liability, net13,519 14,408 
Other long-term liabilities1,571 1,486 
Long-term debt57,025 61,890 
Total liabilities165,420 170,211 
Shareholders’ equity:
Common stock, par value $5.00 – 1,200,000,000 shares authorized; 1,012,261,159 shares issued
5,061 5,061 
Additional paid-in capital8,481 7,787 
Treasury stock, at cost - 426,385,230 and 429,941,021 shares
(52,223)(52,641)
Retained earnings38,660 38,610 
Accumulated other comprehensive loss(16,661)(17,133)
Total shareholders’ deficit(16,682)(18,316)
Noncontrolling interests197 241 
Total equity(16,485)(18,075)
Total liabilities and equity$148,935 $152,136 


9


The Boeing Company and Subsidiaries
Consolidated Statements of Cash Flows
(Unaudited)
Six months ended June 30
(Dollars in millions)20212020
Cash flows – operating activities:
Net earnings/(loss)$6 ($3,036)
Adjustments to reconcile net earnings/(loss) to net cash used by operating activities:
Non-cash items – 
Share-based plans expense493 115 
Treasury shares issued for 401(k) contribution628 
Depreciation and amortization1,087 1,103 
Investment/asset impairment charges, net38 280 
Customer financing valuation adjustments(1)
Gain on dispositions, net(114)(92)
Other charges and credits, net(1)815 
Changes in assets and liabilities – 
Accounts receivable(523)143 
Unbilled receivables(1,207)285 
Advances and progress billings251 1,822 
Inventories413 (6,741)
Other current assets324 433 
Accounts payable(2,035)(3,181)
Accrued liabilities(2,613)514 
Income taxes receivable, payable and deferred(130)(1,894)
Other long-term liabilities(127)(109)
Pension and other postretirement plans(576)(357)
Customer financing, net83 62 
Other134 247 
Net cash used by operating activities(3,870)(9,582)
Cash flows – investing activities:
Property, plant and equipment additions(513)(776)
Property, plant and equipment reductions51 96 
Contributions to investments(20,108)(12,557)
Proceeds from investments24,989 543 
Other4 
Net cash provided/(used) by investing activities4,423 (12,686)
Cash flows – financing activities:
New borrowings9,826 42,302 
Debt repayments(9,882)(8,265)
Stock options exercised29 27 
Employee taxes on certain share-based payment arrangements(40)(164)
Dividends paid(1,158)
Net cash (used)/provided by financing activities(67)32,742 
Effect of exchange rate changes on cash and cash equivalents, including restricted(14)(11)
Net increase in cash & cash equivalents, including restricted472 10,463 
Cash & cash equivalents, including restricted, at beginning of year7,835 9,571 
Cash & cash equivalents, including restricted, at end of period8,307 20,034 
Less restricted cash & cash equivalents, included in Investments36 42 
Cash and cash equivalents at end of period$8,271 $19,992 

10


The Boeing Company and Subsidiaries
Summary of Business Segment Data
(Unaudited)
Six months ended June 30Three months ended June 30
(Dollars in millions)2021202020212020
Revenues:
Commercial Airplanes$10,284 $7,838 $6,015 $1,633 
Defense, Space & Security14,061 12,630 6,876 6,588 
Global Services7,816 8,116 4,067 3,488 
Boeing Capital138 134 78 69 
Unallocated items, eliminations and other(84)(3)(38)29 
Total revenues$32,215 $28,715 $16,998 $11,807 
Earnings/(loss) from operations:
Commercial Airplanes($1,328)($4,830)($472)($2,762)
Defense, Space & Security1,363 409 958 600 
Global Services972 36 531 (672)
Boeing Capital57 17 36 (7)
Segment operating earnings/(loss)1,064 (4,368)1,053 (2,841)
Unallocated items, eliminations and other(662)(651)(298)(478)
FAS/CAS service cost adjustment538 702 268 355 
Earnings/(loss) from operations940 (4,317)1,023 (2,964)
Other income, net389 206 199 94 
Interest and debt expense(1,352)(815)(673)(553)
(Loss)/earnings before income taxes(23)(4,926)549 (3,423)
Income tax benefit29 1,890 18 1,028 
Net earnings/(loss)6 (3,036)567 (2,395)
Less: Net loss attributable to noncontrolling interest(44)(32)(20)(19)
Net earnings/(loss) attributable to Boeing Shareholders$50 ($3,004)$587 ($2,376)
Research and development expense, net:
Commercial Airplanes$524 $786 $255 $361 
Defense, Space & Security337 330 174 167 
Global Services50 65 25 35 
Other85 116 43 62 
Total research and development expense, net$996 $1,297 $497 $625 
Unallocated items, eliminations and other:
Share-based plans($142)($43)($14)($25)
Deferred compensation(94)73 (42)(120)
Amortization of previously capitalized interest(44)(50)(22)(27)
Research and development expense, net(85)(116)(43)(62)
Eliminations and other unallocated items(297)(515)(177)(244)
Sub-total (included in core operating loss)(662)(651)(298)(478)
Pension FAS/CAS service cost adjustment384 513 191 258 
Postretirement FAS/CAS service cost adjustment154 189 77 97 
FAS/CAS service cost adjustment538 702 $268 $355 
Total($124)$51 ($30)($123)
11


The Boeing Company and Subsidiaries
Operating and Financial Data
(Unaudited)
  
DeliveriesSix months ended June 30Three months ended June 30
Commercial Airplanes2021202020212020
737113 50 
7472 1 
76713 14 8 
77714 10 8 
78714 36 12 
Total156 70 79 20 
Defense, Space & Security
AH-64 Apache (New)151169
AH-64 Apache (Remanufactured)31321618
CH-47 Chinook (New)61536
CH-47 Chinook (Renewed)411
F-15 Models8353
F/A-18 Models11974
KC-46A Tanker4621
P-8 Models6633
Total backlog (Dollars in millions)
June 30
2021
December 31
2020
Commercial Airplanes$285,332 $281,588 
Defense, Space & Security58,705 60,847 
Global Services19,029 20,632 
Unallocated items, eliminations and other400 337 
Total backlog$363,466 $363,404 
Contractual backlog$342,261 $339,309 
Unobligated backlog21,205 24,095 
Total backlog$363,466 $363,404 
12


The Boeing Company and Subsidiaries
Reconciliation of Non-GAAP Measures
(Unaudited)
The tables provided below reconcile the non-GAAP financial measures core operating earnings/(loss), core operating margin, and core earnings/(loss) per share with the most directly comparable GAAP financial measures, earnings/(loss) from operations, operating margin, and diluted earnings/(loss) per share. See page 6 of this release for additional information on the use of these non-GAAP financial measures.
(Dollars in millions, except per share data)Second Quarter 2021Second Quarter 2020
$ millionsPer Share$ millionsPer Share
Revenues16,998 11,807 
Earnings/(loss) from operations (GAAP)1,023 (2,964)
Operating margin (GAAP)6.0 %(25.1)%
FAS/CAS service cost adjustment:
Pension FAS/CAS service cost adjustment(191)(258)
Postretirement FAS/CAS service cost adjustment(77)(97)
FAS/CAS service cost adjustment(268)(355)
Core operating earnings/(loss) (non-GAAP)$755 ($3,319)
Core operating margin (non-GAAP)4.4 %(28.1)%
Diluted earnings/(loss) per share (GAAP)$1.00 ($4.20)
Pension FAS/CAS service cost adjustment($191)(0.32)($258)(0.46)
Postretirement FAS/CAS service cost adjustment(77)(0.13)(97)(0.17)
Non-operating pension expense(175)(0.30)(84)(0.14)
Non-operating postretirement expense(5)(0.01)14 0.02 
Provision for deferred income taxes on adjustments 1
94 0.16 89 0.16 
Subtotal of adjustments($354)($0.60)($336)($0.59)
Core earnings/(loss) per share (non-GAAP)$0.40 ($4.79)
Weighted average diluted shares (in millions)590.2 566.4 
1 The income tax impact is calculated using the U.S. corporate statutory tax rate.
























13


The Boeing Company and Subsidiaries
Reconciliation of Non-GAAP Measures
(Unaudited)
The tables provided below reconcile the non-GAAP financial measures core operating earnings/(loss), core operating margin, and core earnings/(loss) per share with the most directly comparable GAAP financial measures, earnings/(loss) from operations, operating margin, and diluted earnings/(loss) per share. See page 6 of this release for additional information on the use of these non-GAAP financial measures.
(Dollars in millions, except per share data)First Half 2021First Half 2020
$ millionsPer Share$ millionsPer Share
Revenues32,215 28,715 
Earnings/(loss) from operations (GAAP)940 (4,317)
Operating margin (GAAP)2.9 %(15.0)%
FAS/CAS service cost adjustment:
Pension FAS/CAS service cost adjustment(384)(513)
Postretirement FAS/CAS service cost adjustment(154)(189)
FAS/CAS service cost adjustment(538)(702)
Core operating earnings/(loss) (non-GAAP)$402 ($5,019)
Core operating margin (non-GAAP)1.2 %(17.5)%
Diluted earnings/(loss) per share (GAAP)$0.09 ($5.31)
Pension FAS/CAS service cost adjustment($384)(0.65)($513)(0.91)
Postretirement FAS/CAS service cost adjustment(154)(0.26)(189)(0.33)
Non-operating pension expense(352)(0.60)(171)(0.30)
Non-operating postretirement expense(10)(0.02)27 0.05 
Provision for deferred income taxes on adjustments 1
189 0.32 178 0.31 
Subtotal of adjustments($711)($1.21)($668)($1.18)
Core loss per share (non-GAAP)($1.12)($6.49)
Weighted average diluted shares (in millions)588.6 566.1 
1 The income tax impact is calculated using the U.S. corporate statutory tax rate.
14

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K

 CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported): July 28, 2021
 
THE BOEING COMPANY
(Exact name of registrant as specified in its charter)
1-442
  Commission file number  
 
Delaware 91-0425694
(State or other jurisdiction of
incorporation or organization)
 (I.R.S. Employer Identification No.)
100 N. Riverside Plaza,Chicago,IL 60606-1596
(Address of principal executive offices) (Zip Code)
(312)544-2000
(Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, $5.00 Par ValueBANew York Stock Exchange

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.





Item 2.02 Results of Operations and Financial Condition
On July 28, 2021, The Boeing Company issued a press release reporting its financial results for the second quarter of 2021. A copy of the Company’s press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K.


Item 9.01 Financial Statements and Exhibits
(d) Exhibits
Exhibit No.Description
99.1 
104104 Cover Page Interactive Data File (embedded within the Inline XBRL document)


2



SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.






THE BOEING COMPANY
(Registrant)
/s/ Carol J. Hibbard
Carol J. Hibbard
Senior Vice President and Controller
July 28, 2021



          
3

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Boeing Co provided additional information to their SEC Filing as exhibits

Ticker: BA
CIK: 12927
Form Type: 8-K Corporate News
Accession Number: 0000012927-21-000068
Submitted to the SEC: Wed Jul 28 2021 7:33:32 AM EST
Accepted by the SEC: Wed Jul 28 2021
Period: Wednesday, July 28, 2021
Industry: Aircraft
Events:
  1. Earnings Release
  2. Financial Exhibit

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