Market share risk steered Boeing away from all-new narrowbody

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Boeing's decision to re-engine the 737 was strongly influenced by the possibility of jeopardising its market share if it went for an all-new aircraft in the narrowbody segment, said Boeing chief executive Jim McNerney.

McNerney said that the company had been evaluating its two narrowbody options over the past year and a half. He said that it became clear that Boeing did not have a "clear answer" on the architecture of a production system to bring a New Single Aisle to market which delivered the 50-60 aircraft each month that it forecasts will be required by the end of the decade.

The "broader customer view" was also that they were prepared to accept the "incremental performance improvement" promised by a re-engined aircraft.

McNerney said: "If it looked like we were putting meaningful market share at risk by doing a new airplane then we would review that decision."