Boeing is announced that it is delaying the production of its 787 Dreamliner by a little more than a year.
The aircraft, the manufacturer's push into a new realm of aviation technology and construction, will likely force the company to pay billions of dollars in compensation to its airline customers.
The U.S. plane maker, which vies with EADS unit Airbus for dominance of the commercial airplane market, pushed its target for the first test flight of the new plane to the fourth quarter of this year, as opposed to its last target of end-June 2008.
Boeing said the first 787 delivery, to Japan's All Nippon Airways Co, would take place in the third quarter of next year, as opposed to its previous target of early 2009. The first 787 delivery was originally planned for May 2008.
Full production of the Dreamliner wasn't expected until 2009, with relatively few deliveries expected in late 2008. So the delays' financial impact, while significant, is somewhat muted. Still, the setbacks remain a serious problem for the aircraft maker.