Boeing Secures $36.2 Billion Korean Air Commitment but Deliveries Won't Come Until 2030s
Boeing has secured a $36.2 billion commitment from Korean Air for various aircraft models, including the stretched 737 MAX, 787-10, and 777X in passenger and freighter variants.
The deliveries are expected to begin in the early 2030s, but this order is largely comprised of existing backlog rather than new demand. Boeing's commercial backlog already exceeds 6,200 aircraft valued at a record $597 billion, within a total company backlog of $715 billion.
The stock has been sliding after CEO Kelly Ortberg conceded that stabilizing 737 MAX output is taking longer than expected, with the price down 11.66% over the past month and 9.24% year to date.
Boeing's CFO Jay Malabe believes that $10 billion of annual free cash flow is 'very attainable' as the backlog converts, with Q2 2026 free cash flow of $631 million tied to delivering 171 airplanes.
The certification of the 737-10, entry into service for the 777X, and factory output are key variables that will determine whether the early-2030s window holds, with the 737-10 targeted for certification in 2026 and the first delivery expected in 2027.