Crocodilian

Boeing: Five Causes for Concern

Corporate image advertising rarely has much to do with stock price. Companies that rely on government contracts have a tremendous stake in image, particularly among policy elites.

Hence Archer Daniels Midland's sponsorship of Sunday AM political talk shows and PBS news, and Boeing's full page ads in the Economist.

You do know that Boeing is a major defense contractor, yes?

Boeing's corporate image building is much less about stock price, and much more about politics.

Boeing: Five Causes for Concern

Its a horrible time for aviation. Its also been a very challenging time for aviation finance. The least visible part of the aviation story is the finance side, where GE has been a huge player, along with International Lease Finance (part of AIG).

Obviously both GE and International Lease Finance have been under enormous pressure, and you have to expect that this can flow through to Boeing.

The "image advertising" is probably about government contracts, particularly the tanker contract. This is a huge deal, and its up in the air (so to speak) after the first contract (to Boeing) was rescinded (the Druyan scandal), and the second contract (to EADS) was also rescinded (due to defects in the way that the Air Force rand the competition). Boeing is seeking to influence legislators and the Air Force by reminding them "who's the American company here".