As Boeing PR Stresses Safety, 787 Remains Grounded

Photo of Douglas A. McIntyre
By Douglas A. McIntyre Published
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Boeing Co.’s (NYSE: BA) major public relations push, at least based on a look at its website, is that it has created “Runway Situation Awareness Tools” that “are making the safest transportation even safer.” The tools were built in cooperation with another airplane maker — Embraer S.A. (NYSE: ERJ).

While Boeing presses the features of this system, investor money is wasted. Public and media attention continue to be focused on the safety record of Boeing’s new 787 Dreamliner, which has fire problems with the lithium ion battery on the plane. The National Transportation Safety Board started to review these, and the 787 has been taken out of service and remains so.

The Runway Situation Awareness Tools public relations push is an example of how large public companies try to steer customer attention away from extremely severe problems. In the case of Boeing, the targets are airlines, safety officials and consumers, all of which are worried about the 787’s safety and not runway safety.

The Runway Situation Awareness Tools are barely worth the expense of promoting them, based on assessment of their actual use. The two aircraft manufacturers announced that:

To significantly reduce runway excursions in the near term, Boeing and Embraer will provide customers with new pilot procedures and a training video on landing performance. In the longer term, the companies will also develop joint technology and systems for the flight deck to improve pilot information about approach and landing.

The training video is likely to be of little use to veteran airline pilots. In other words, the Runway Situation Awareness Tools probably do little to advance safety at all.

What did Boeing spend on the public relations about its runway safety system? There is no way to know from outside the Boeing public relations and management offices. Certainly the figure is in the hundreds of thousands of dollars, every dime of which is wasted while Boeing is under the cloud of the 787 disaster.

Boeing should heed the adage: “No one can fool all of the people, all of the time.”

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

Featured Reads

Our top personal finance-related articles today. Your wallet will thank you later.

Continue Reading

Top Gaining Stocks

CBOE Vol: 1,568,143
PSKY Vol: 12,285,993
STX Vol: 7,378,346
ORCL Vol: 26,317,675
DDOG Vol: 6,247,779

Top Losing Stocks

LKQ
LKQ Vol: 4,367,433
CLX Vol: 13,260,523
SYK Vol: 4,519,455
MHK Vol: 1,859,865
AMGN Vol: 3,818,618