Dreamliner to Return to Service

Boeing Co. (NYSE: BA) may be able to put its 787 Dreamliner back in service shortly. The problems with a battery on the plane that had caused fires and smoke have been resolved. Boeing’s airline partners have had to take the plane off of their routes and use alternative aircraft, which they claim has cost them money. Boeing may have to pay these carriers penalties. More importantly, the flying public may be afraid that the 787 is unsafe, and that belief may take some time to overcome. The Wall Street Journal said about the Dreamliner’s return to service:

The Federal Aviation Administration is expected to move as soon as Friday to end a three-month grounding of Boeing Co.’s BA -0.66% 787 Dreamliner jet, according to people familiar with the matter.

Barring some last minute delay, these people said, the FAA will announce Boeing has demonstrated that the 787’s redesigned batteries are safe, convincing regulators in the process that various internal enhancements and a new protective metal container will prevent fires and automatically suck smoke or toxic fumes out of the cutting-edge plane.

Blackstone’s Bid for Dell

Several news sources report that Blackstone Group L.P. (NYSE: BX) has dropped its bid to buy out Dell Inc. (NASDAQ: DELL). This may leave the offer of Michael Dell and Silver Lake Partners as the only alternative. Carl Icahn owns Dell shares, but he may have neither the capital nor inclination to take over the company. He has said he would set a proxy fight, which means he will try to gain seats on the board. However, if Michael Dell remains chief executive officer and keeps his 14% ownership, Icahn’s efforts might be useless. Without Blackstone, the way may be open for the Michael Dell group to close a buyout deal quickly. The Financial Times wrote about the Blackstone bid for Dell:

Blackstone has abandoned its $25bn offer for Dell after weeks of due diligence, people familiar with the matter said.

The withdrawal follows reservations expressed by Blackstone’s private equity fund investors on the merits of the deal, and concerns that the stock market had already valued Dell fairly, these people said.

There were also concerns among Blackstone management about the ability to withdraw from a Dell investment profitably, they added. Dell shares last night closed at $13.95, valuing the group at $24.4bn.

The Best Green Car

Kelly Blue Book, the auto research firm, named the Nissan Leaf as its best green car. Since Nissan is a second-tier car company, its larger rivals will be annoyed. Cars that run on electricity have become a larger part of the market, as the number of consumers who want to part with gas-powered automobiles continues to grow. But gas prices are falling, and shale discoveries may drive the price lower. That eventually could erode the advantages of green car ownership. KBB reports about the best green cars:

Just in time for Earth Day, eco-friendly drivers in the market for a new car can see which models the experts recommend in the list of 10 Best Green Cars of 2013 by the editors of Kelley Blue Book www.kbb.com, the leading provider of new and used car information.

Regarding the Leaf:

You won’t find an all-electric car that offers a better balance of range, practicality, refinement and value than the Leaf.  Nissan reduced the Leaf’s starting price by $6,000 for 2013, so after the $7,500 federal tax savings, you can go all-electric for about $22,000.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.