Boeing stock dives on fire in empty 787 in London

NEW YORK (AP) - Shares of Boeing dropped almost 5 percent Friday after an empty 787 experienced a fire at Heathrow Airport.

An unspecified technical issue forced another 787 to turn back to Manchester Airport.

British police said the fire aboard an Ethiopian Airlines plane is being treated as unexplained.

The entire fleet of Boeing 787s was grounded in January for problems involving the plane's lithium-ion batteries. One caught fire at Boston's Logan airport.

The planes were cleared to resume flying in April after Boeing redesigned the battery system and got approval for the changes from global aviation regulators. Ethiopian was the first airline to resume using the 787.

Boeing shares fell $5.01, or 4.7 percent, to $101.87 in trading Friday. The shares earlier dropped as low as $98.99.

Boeing spokesman Marc Birtel said in an email to The Associated Press that the company has personnel looking into the event at Heathrow.

Shares of Boeing suppliers also fell. Precision Castparts fell $3.49, or 1.5 percent, to $233.78. Spirit Aerosystems, which also makes parts for the 787, fell 48 cents, or 2.1 percent, to $22.65.

Citi analyst Jason Gursky said the cause of the fire may not be known until later Friday or over the weekend. So, the ultimate outcome for Boeing's stock might wait until Monday. He said a fire related to the plane's electrical system, even if it is not tied to the lithium-ion battery, would be a concern for investors.

"If the fire is related to a burned coffee pot or a mistake in the crew rest area.the stock should recover quickly to $106-$107," Gursky wrote in a note to clients.


(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Top Stories

  • Fact Check
    Jason Rantz says actually, there are laws to address negligent gun owners

  • Best in the House
    With Seahawks home games 'sold out' the ticket price of this seat doesn't seem so bad

  • Microsoft's Latest
    Microsoft releases a band that monitors more than just your fitness
ATTENTION COMMENTERS: We've changed our comments, but want to keep you in the conversation.
Please login below with your Facebook, Twitter, Google+ or Disqus account. Existing MyNorthwest account holders will need to create a new Disqus account or use one of the social logins provided below. Thank you.
comments powered by Disqus
Sign up for breaking news e-mail alerts from MyNorthwest.com
In the community
Do you know an exceptional citizen who has impacted and inspired others?
KIRO Radio and WSECU would like to recognize six oustanding citizens this year. Nominate them to be recognized and to receive a $2,000 charitable grant.