"Continued strong results from our major businesses drove another solid quarter of operational performance for the company," said Jim McNerney, Boeing chairman, president and chief executive officer. "We are making progress on key commercial and military development programs, our production programs and services businesses are running well, and our enterprise focus on productivity improvement is funding investment in growth while maintaining our financial strength."
"With our commercial markets recovering, and the priorities of our government customers gaining clarity, we remain well positioned for growth in 2011 and beyond."
Boeing's quarterly operating cash flow was $0.3 billion, reflecting continued investment in development programs. For the first half of 2010, operating cash flow was ($19) million. Free cash flow* was $9 million in the quarter and ($0.5) billion in the first half (Table 2).
Table 2. Cash Flow |
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| Second Quarter | First Half | |||
(Millions) | 2010 | 2009 | 2010 | 2009 | |
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Operating Cash Flow | $266 | $1,001 | ($19) | $1,194 | |
Less Additions to Property, Plant & Equipment | ($257) | ($294) | ($443) | ($736) | |
Free Cash Flow* | $9 | $707 | ($462) | $458 | |
* Non-GAAP measure. A complete definition and reconciliation of Boeing's use of non-GAAP measures, identified by an asterisk (*), is found on page 8, "Non-GAAP Measure Disclosure." | |||||
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Cash and investments in marketable securities totaled $10.0 billion at quarter-end (Table 3), down $0.4 billion on planned investments in development programs. Debt was unchanged in the quarter, and the company did not acquire any of its shares.
Table 3. Cash, Marketable Securities and Debt Balances |
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| Quarter-End | ||
(Billions) | 2Q10 | 1Q10 | |
Cash | $4.5 | $4.5 | |
Marketable Securities(1) | $5.5 | $5.9 | |
Total | $10.0 | $10.4 | |
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Debt Balances: |
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The Boeing Company | $8.9 | $8.9 | |
| Boeing Capital Corporation | $4.0 | $4.0 | |
| Total Consolidated Debt | $12.9 | $12.9 | |
| (1) Marketable securities consists primarily of time deposits due within one year classified as "short-term investments." | |||
