Boeing's Bold Financial Maneuvers Amid Turbulent Times

Boeing plans to raise up to $25 billion through stock and debt offerings while securing a $10 billion credit line to manage challenges from a strike and production issues. The company seeks to maintain credit ratings amid significant financial strains and labor disputes with union workers.

Boeing made waves on Tuesday by submitting paperwork to the U.S. markets regulator, aiming to raise as much as $25 billion through a combination of stock and debt offerings. They also secured a $10 billion credit line, a strategic move amid ongoing strikes and looming debt obligations.

The aerospace giant is looking to bolster its strained finances, hit hard by a production slump of its 737 MAX jet due to technical setbacks and union strikes dating back to September 13. Analysts suggest Boeing needs to raise between $10 billion and $15 billion to protect its credit rating, precariously close to junk status.

Boeing shares saw a minor uptick, gaining 1% in premarket trading, as the company assured no current drawing from its credit resources. Aiming to navigate tough financial seas, Boeing highlighted these maneuvers as essential for maintaining liquidity and exploring diverse capital avenues across a three-year horizon.

(With inputs from agencies.)