“We remain confident in our defense business. Demand is strong and we will continue to improve operational performance to more normalized levels.”

In context

“quarter, we are progressing through these contracts and getting closer to putting them in the rearview mirror. Despite the challenges, we are hitting some important milestones that increase our confidence. Most importantly, these programs will meet or beat the high-performance standards of the war fighter. Given the fixed price nature of some of our contracts, we are very transparent about these financial impacts and we are working to stabilize, to derisk and mature them through development. Quarterly charges have declined significantly over the last 18 months. Demand side of BDS is strong. We see solid order activity. In the quarter, we booked orders valued at $6 billion, including key contracts from the U.S. Army for 19 Chinooks and Germany also shared its plans to purchase 60 Chinooks. We remain confident in our defense business. Demand is strong and we will continue to improve operational performance to more normalized levels. Following Global Services, another very strong quarter both on the commercial and government side of BGS, healthy revenue and expanding earnings and margin. We are really proud of this team. They have had solid, steady performance. And they have enabled both commercial and military customers to keep fleets flying through a very dynamic time. Some of our highlights this quarter include the expansion in Poland with a new parts distribution site, Japan Airlines adopting Boeing Insight Accelerator, our digital predictive maintenance solution for the 787 fleet. To wrap up my comments, we have had no shortage of challenges pop up to the start of this year and we knew that would be the case. We have had conformance items that we have identified or external challenges within the supply chain, eve”