00:00 Speaker A
Boeing, um, some of its employees poised for a strike, the second latest strike that we’ve seen in less than a year.
00:08 Speaker B
Yeah.
00:09 Speaker A
Um, what do we, who does this affect, what do we know about it? How likely is it to actually happen?
00:14 Speaker B
So, you’re right, the defense unit is their workers are striking about 3,200 workers or so, uh, as compared to the, you know, 50,000 or so that they’re working in the commercial unit, right? So, uh, they make the F-15 fighter jet, they’re supposed to make the new upcoming next generation fighter, which is a big deal that Boeing won a contract for. Um, the defense business is profitable, um, which is more than you can say about the commercial business unit right now, but it’s much smaller in terms of revenue. Boeing made about 22.6 billion last quarter, uh, but 6.6 of that was with the defense business. So it’s a, you know, it’s a nice chunk, but it’s not the lion’s share there. Uh, CEO Kelly Ortberg said during their earnings call that he said did not to worry about this strike, it was coming, they perhaps expected it, and he said it wouldn’t have a significant impact on their business, uh, and that they probably see a resolution coming in the next month or so, but we’ll see, you never know these things can extend. The last, apparently, the last strike for Boeing’s defense workers was, I think, around 90 days, uh, um, maybe like 30 years ago. So, uh, it’s a little rare.
02:32 Speaker A
Right.
02:34 Speaker B
but
02:35 Speaker A
And the shares are not that much changed today, so it sounds like investors are, you know, they are reassured by what Ortberg has said. All right, thanks, Pras. Appreciate it.
02:50 Speaker B
Yeah.
