BOEING IS TO raise production to 43 airliners a month by mid-1998 - the sixth rate increase announced over the past 14 months - citing its 1,389-aircraft firm-order backlog and the signing of long-term exclusive agreements with American Airlines and Delta Air Lines. Continental Airlines reportedly has agreed an exclusive deal with Boeing as part of a 40-aircraft purchase.

Production is now running at 29 aircraft a month, and is due to reach 40 a month in the fourth quarter of 1997, beating the previous peak of 39.5 a month reached in 1992. Production of current and next-generation 737s will increase to 24 a month, double the present rate.

Boeing says it will not need to increase its workforce, now 93,000 in the Seattle area, because of improved efficiency.

Source: Flight International