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Boeing

Boeing

Industry: 
Aerospace
Value of USG Contracts: 
2700
Symbol: 
NYSE:BA
States: 
IL
Country: 
USA
Sources: 

 

"Boeing Co.'s historic $25 billion deal with Iran Air potentially rides on hopes that Tehran would stop its past practice of using the airline's planes to ferry fighters and weapons across the Middle East. Exactly five years ago, the Obama administration imposed sanctions on the Iranian company for a number of infractions. Iran Air used passenger and cargo planes to transport rockets and missiles to places such as Syria, sometimes disguised as medicine or spare parts, the Treasury Department said at the time. In other instances, members of Iran's Revolutionary Guard Corps took control of flights carrying sensitive cargo. Although U.S. officials never have said such conduct ended, the administration used a technicality to drop those penalties as part of last year's seven-nation nuclear deal. The agreement also allowed the Treasury Department to license American firms to do business in Iran's civilian aviation sector... Yet the deal is not without risk, something the administration acknowledges. State Department spokesman John Kirby said that the sale and any possible follow future deals depend on Iran's good behavior. The U.S. could revoke the license for the deal if planes, parts or services are 'used for purposes other than exclusively civil aviation end-use' or if aircraft are transferred to individuals or companies on a U.S. terrorism blacklist, Kirby said. Any suggestion 'that we would or will turn a blind eye to Iran's state sponsorship of terrorism or their terrorist-supporting activities is completely without merit,' Kirby said. But speaking to reporters Thursday, he refused to spell out why the U.S. removed sanctions on Iran Air... if Iran Air continues supporting Iranian military or Revolutionary Guard operations, it would put the Obama administration or any successor in a bind." (AP, “Boeing's historic deal with Iran rests on shaky foundations,” 6/23/2016)

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"The Boeing Company on Thursday offered new details on its proposed passenger aircraft deal with Iran and rejected suggestions that it had not done sufficient homework in identifying end users of the planes. In a letter to congressional critics of the politically delicate deal, Boeing said Iran Air, the national airline, intended to buy 80 passenger planes in a variety of models worth $17.6 billion and lease 29 of the company’s 737s, with deliveries projected to begin as early as next year. The letter, by Tim Keating, vice president of government operations, also said 'we have a vigorous compliance mechanism at Boeing with regard to the screening of all parties with which we do business.' Mr. Keating wrote that Boeing had strictly adhered to dealings with Iranian entities approved by United States sanctions monitors. 'We could not, as a corporation, be reasonably expected to have better intelligence resources than that of the U.S. government,' Mr. Keating wrote. 'Therefore, we do rely upon the U.S. government to provide the information needed for us to remain compliant.' ... Mr. Keating was responding to a June 16 letter from two Republican congressmen, Peter Roskam of Illinois and Jeb Hensarling of Texas, who have been highly critical of any steps toward more normalized dealings with Iran after more than four decades of mutual hostility and mistrust.” (The New York Times, “Boeing Offers Details on Iran Deal, Saying All Was Done Legally,” 6/23/2016)

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"Boeing Co. on Tuesday said it had signed a tentative agreement to sell jetliners to Iran, in what would be one of the Islamic republic's biggest deals with a U.S. manufacturer since trade sanctions on Tehran were eased. The proposed deal comes after months of talks between Boeing and Iran Air about a deal. Details of the potential transaction haven't been disclosed by Boeing, although Iranian Transport Minister Abbas Akhoundi told state television Tuesday that the deal could have a value of up to $25 billion, according to the Associated Press. 'Boeing confirms the signing of a Memorandum of Agreement with Iran Air expressing the airline's intent to purchase Boeing commercial passenger airplanes,' the world's largest plane maker said. Iran's airlines have indicated a dire need for both medium-haul jets like Boeing's single-aisle 737 and long-haul aircraft like its 777 and 787 Dreamliners. State-owned Iran Air Monday said it planned to lease 737 and 777 planes pending approval from its own government and the U.S. Completing an agreement with Iran Air could take months, amid continued uncertainty from lenders about financing deals with Iran and the need for the U.S. government to sign off on any sale. The potential plane sale isn't without critics. Two U.S. Congressmen, Jeb Hensarling (R., Texas) and Peter Roskam (R., Ill.), last week sent a letter to Boeing expressing concern a plane deal could aid Iran's military. 'Iran's commercial aviation sector is deeply involved in supporting hostile actors,' they said in the letter in which they requested information to assess the national security implications of selling planes to Iran. 'Boeing will continue to follow the lead of the U.S. Government with regards to working with Iran's airlines, and any and all contracts with Iran's airlines will be contingent upon U.S. Government approval,' the Chicago-based plane maker said." (The Wall Street Journal, “Boeing Signs Deal to Sell Jets to Iran’s State Airline,” 6/21/2016)

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"Earlier Tuesday, Iran's Transportation Minister Abbas Akhoundi said possible deals between the Islamic Republic and Boeing could be worth as much as $25 billion, on par with the country's earlier agreement with its European rival, Airbus... 'The initial talks were held and I can say Boeing is negotiating with the U.S. officials and possibly the amount of our purchase is equal to Airbus,' Akhoundi said. If the deal goes through, he said the first Boeing plane could arrive in Iran in October. The overall size of the proposed Boeing sale to Iran remains unclear. Ali Abedzadeh, the head of Iran's Civil Aviation Organization, was quoted Sunday by the state-run IRAN newspaper as saying the sale would involve 100 Boeing aircraft, something the manufacturer has declined to discuss. Boeing has been cautious about entering Iran's market as other sanctions remain in place against Tehran. American officials had said as recently as last weekend that the sale would need permission from the U.S. Treasury. It's unclear what changed in the last few days. Treasury officials could not be immediately reached for comment. It is likely Boeing may run the sale through an overseas subsidiary and use a currency other than U.S. dollars in order to avoid running afoul of American laws." (AP,  “Boeing says it signs historic sales agreement with Iran Air,” 6/21/2016)

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"Iran said Sunday it has reached an agreement with American aerospace giant Boeing to purchase 100 aircraft to renew its ageing fleet, though the deal must still be approved by the US government. The Islamic republic has ordered about 200 planes from three Western manufacturers since mid-January, when economic sanctions were lifted following a deal on Tehran's nuclear programme. Ali Abedzadeh, head of Iran's civil aviation authority said in remarks published by the daily Iran newspaper that an agreement had been reached with Boeing for the purchase but said the deal was contingent on US Treasury permission. Deputy Transport Minister Asghar Fakhrieh Kashan however said Sunday that he hoped the initial accord could be completed within a month. He told the Fars news agency that the deal would be 'the largest and most important contract' with the United States -- barring military deals -- since before Iran's 1979 Islamic Revolution... He said the contract's reported value of $17 billion (15 billion euros) was not final and that more details will be provided after further negotiations." (AFP, “Iran reaches deal to purchase 100 Boeing planes,” 6/19/2016)

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"Top House Republicans are raising red flags about Boeing's potential sale of roughly 100 commercial jets to Iran, warning it could end up benefiting Iran’s military, as well as terror groups such as Hamas and Hezbollah. While the talks have not drawn objections from the Obama administration, Reps. Peter Roskam, R-Ill., and Jeb Hensarling, R-Texas, fired off a letter Thursday raising concerns about Tehran's history of using commercial planes to support 'hostile actors.' 'We strongly oppose the potential sale of military-fungible products to terrorism’s central supplier. American companies should not be complicit in weaponizing the Iranian Regime,' the lawmakers wrote in the letter to Boeing CEO Dennis Muilenburg. Whether Iran could or would use the aircraft for such purposes is unclear but the letter, obtained by FoxNews.com, seeks more information about the national security implications of the pending deal -- as well as the status of negotiations... Roskam and Hensarling reminded Boeing in their letter that the State Department recently branded the country 'the foremost state sponsor of terrorism.' They note Iran’s commercial aircraft are commonly used for military purposes and to back terrorist groups." (Fox News, “'Weaponizing' regime? Lawmakers raise red flags on Boeing-Iran jet deal,” 6/17/2016)

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"Iran has reached an agreement with the Boeing Company for the acquisition of new passenger planes to help modernize its outdated fleet, state-run Iranian news media reported on Tuesday. Such an agreement, if completed, would potentially be worth many billions of dollars to Boeing and amount to the most prominent commercial transaction between an American company and Iran since sanctions linked to Iran’s nuclear program were lifted six months ago. It also would send a strong signal that Iran and the United States, despite decades of antipathy, might be moving toward normalized ties. Numerous obstacles remain to such an agreement, most notably other American sanctions on Iran that are not related to the Tehran’s nuclear program, including a ban on using dollars in trade with the country... Iran’s minister of roads and urban development, Abbas Akhoundi, was quoted by Iranian news agencies on Tuesday as saying that a deal with Boeing had been completed and that details would be 'announced within the next few days.' Asked about Mr. Akhoundi’s assertion, a spokesman for Boeing at the company’s Chicago headquarters, John Dern, did not deny it... Mr. Dern’s statement also cautioned: 'Any agreements reached will be contingent on U.S. government approval.' ... Iranian officials have complained that nonnuclear American sanctions remain a major impediment, dissuading many foreign companies from investing in and trading with Iran." (The New York Times, “Iran Said to Have Deal With Boeing to Buy Passenger Planes,” 6/14/2016)

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"Two senior Iranian officials said last year that Iran was expected to buy 100 jets from Boeing once sanctions were lifted. Both Airbus and Boeing would need U.S. export licences to carry out their deals, due to the use of significant U.S. technology in all modern jetliners. Even then, industry sources caution that both deals could take some time to implement because of uncertainty over financing, with the U.S. financial system still closed to Iran… BOC Aviation, a Singapore-based leasing company in which Boeing recently invested as part of its stock market debut, is in discussions with Boeing about financing part of the deal, two people familiar with the matter said." (Reuters, “Iran says reaches deal to acquire Boeing planes,” 6/14/2016)

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“Iranair is discussing a historic aircraft purchase with Boeing, potentially matching an order for over 100 jets from Airbus, but obstacles to both deals need to be resolved so that last year's accord to lift sanctions can be honored, its chairman said. The Iranian flag carrier is also talking to Boeing about providing support for its aging fleet following the deal between Tehran and six major powers to ease economic sanctions in return for curbs on Iran's nuclear activities. ‘Meetings and negotiations are going on. We hope that in the future we can reach an understanding with each other,’ Iranair Chairman Farhad Parvaresh told Reuters in an interview. ‘The number and type of aircraft have to be discussed in the future, but the first step is to have a mutual understanding.’ ... The U.S. company would need another permit to strike a deal and then further export licenses, similar to those required by Airbus due to the use of U.S. technology, to complete it. Some industry sources expect a preliminary deal for at least 100 Boeing jets to be reached fairly soon. ‘We’re following the licensing process outlined by the U.S. government,’ said Boeing Middle East spokesman Fakher Daghestani.” (Reuters, “After Airbus, Iran edges toward historic Boeing deal,” 6/6/2016)

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"Iranian airlines could purchase Boeing passenger jets in euros rather than the industry-preferred dollar if the United States’ financial system does not open up to Iran, a Boeing executive suggested on Thursday. Boeing has been talking with 'more than' two Iranian carriers, including flag airline Iran Air but not the Revolutionary Guard-owned Mahan Air, since February after the US government granted limited approval. Boeing has spoken with Iranian airlines about all of its models currently in production, Marty Bentrott, Boeing’s vice-president for Middle East sales, told reporters in Dublin on Thursday at the International Air Transport Association (IATA) annual meeting. 'There is some very positive interest,' he said. Boeing was pipped by European rival Airbus who signed a preliminary agreement in January to sell Iran 118 aircraft valued at $27 billion. 'There is plenty of opportunity still for Boeing,' Bentrott said, who himself has visited Tehran since the plane maker was granted permission to engage in commercial discussions... Asked if Boeing could sell its aircraft to Iranian airlines in an alternative currency such as the euro, Bentrott said 'there is a number of different options that could be explored.'" (Gulf News, “Iran could buy Boeing aircraft in euros,” 6/2/2016)

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"Members of Congress have summoned the heads of airplane giant Boeing to a meeting to encourage the company to stop spearheading efforts to reenter the Iranian marketplace, a business pursuit that is jointly backed by the Obama administration, according to a letter sent Friday to Boeing leadership and obtained by the Washington Free Beacon. Boeing, like its French rival AirBus, has been working to woo the Iranian government following last summer's comprehensive nuclear agreement. Officials at Boeing-a top U.S. government contractor-opened discussions with Iran last month. The company is hoping to sell its aircraft and other services to Iran's national airline... Three House members from Washington state, a major base for Boeing operations, wrote to the company on Friday to request a meeting. The letter also was sent to the head of AirBus. 'We write to express our serious concerns over the sale of airplanes, parts, and other aircraft-related services to the Islamic Republic of Iran,' write Republican Reps. Cathy McMorris Rodgers, the GOP conference chair, Dave Reichert, chair of the House committee that regulates trade, and Dan Newhouse. 'With Airbus already conducting business in Iran and Boeing working with the Administration to begin its own sales, an extremely dangerous precedent is being set for Western companies,' the lawmakers wrote, according to a copy of the correspondence obtained by the Free Beacon. 'We ask both of your companies to consider the profound moral implications of engaging a nation that has proven time and time again that it cannot be trusted.'" (Free Beacon, “Boeing’s Budding Business Ties to Iran Face Congressional Review,” 5/20/2016)

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"Any deal between Boeing and Iran 'would effectively subsidize the world's leading state sponsor of terrorism' and would turn American airplanes into Iranian 'warplanes,' according to three members of Congress in a strongly-worded letter sent to the aircraft giant Monday. The letter to Boeing CEO Dennis Muilenburg implores the company to refrain from a reported deal with Tehran to supply planes and other services. Under the terms of the Iran nuke deal, commercial aircraft can be sold to Iran, a concession made 'at the behest of Tehran,' the letter said. The Islamic Republic's ruling regime holds a majority ownership stake in the country's national airline, Iran Air. 'This is not about doing what is legal - it is about doing what is right,' the letter said. The authors, Illinois Republican members of Congress Peter Roskam, Bob Dold and Randy Hultgren, repeatedly cite Iran's well-documented links to terror financing and allege that passenger air flights have played a particular role in Iran being able to supply deadly weapons - such as rockets or missiles - to notorious groups. 'We urge you not to be complicit in the likely conversion of Boeing aircraft to IRGC warplanes,' the letter said, using an acronym for the Islamic Revolutionary Guard Corps." (Fox News, “Congressmen: Boeing deal with Iran would turn airplanes into 'warplanes',” 5/3/2016)

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"Boeing Co. has opened talks to sell airliners to Iran in what would be one of the highest-profile deals between a U.S. company and Tehran since the West lifted nuclear sanctions on the country in January. Iran—eager to re-establish ties with Western companies after the deal to limit its nuclear program—quickly signed several landmark agreements with European companies to signal it had re-entered the international market. Agreements with U.S. companies have been slower to materialize, though, increasing the importance of a possible deal with a company like Boeing that is a flagship of U.S. technology and manufacturing around the globe. Boeing said Monday it had begun preliminary discussions in Tehran with Iranian airlines about the potential sale of its planes and aircraft services. Its representatives 'discussed the capabilities of its commercial passenger airplanes and aftermarket services with Iranian airlines approved by the U.S. government,' said a Boeing spokesman, who added that no formal deals on aircraft or services were made during the meetings. A deal for Boeing planes could become the biggest signal yet that the U.S. and Iran are moving toward normalized trade relations. The U.S. government has allowed Boeing to enter talks with select Iranian carriers, but delivering the planes still would require further clearance... U.S. officials on Monday said they have seen an uptick in American companies seeking to enter the Iranian market in the sectors allowed under U.S. law, which include automotive parts and medical services. General Electric Co., for instance, has been exploring business opportunities in Iran. Lorenzo Simonelli, chief executive of GE’s oil-and-gas business, visited Tehran earlier this year, he said in early March... Boeing was granted a license by the U.S. in February to discuss the needs of Iran’s airlines. Neither Boeing nor Iran would identify what specific airplane models are under discussion, though an Iranian official said the country was eager to buy 737 single-aisle jets from the Chicago-based plane maker, as well as 777 long-range planes... Fewer than 10 Boeing employees made the trip to Tehran for meetings with several Iranian carriers, including Iran Air, the country’s biggest airline, according to a person familiar with the meetings... Republican officials on Monday sharply criticized the Boeing move, arguing it will strengthen Iran’s military capabilities and further weaken international sanctions on Tehran. A spokeswoman for Sen. Ted Cruz, a presidential candidate, said Monday the lawmaker would write the Obama administration to formally oppose any Boeing sales to Iran.” (The Wall Street Journal, “Boeing Meets With Iranian Airlines to Discuss Jets, Aircraft Services,” 4/12/2016)

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"Boeing has been invited to talks with Iranian officials about modernizing Iran’s aged commercial aircraft fleet, the country’s transport minister said Thursday, in what could be a precursor to the biggest business arrangement with an American company after more than three decades of estrangement. The talks would be among the first tangible results of a less-hostile climate between the United States and Iran since a landmark international agreement on Iran’s disputed nuclear activities took effect in January... The Iranian transport minister, Abbas Akhondi, was quoted by Iran’s semiofficial Tasnim News Agency as saying that officials from Boeing had been invited to visit Iran regarding the purchase of Boeing aircraft. He did not specify the date for such a visit. Boeing said last month that as an outcome of the nuclear agreement, it had received a license from the United States government to conduct planning discussions with Iran about an aircraft fleet, a step meant to assess Iran’s needs before any negotiations for purchases. Reached for comment about Mr. Akhondi’s statement, a spokesman for Boeing, John Dern, declined to specify whether those planning discussions had even begun, but he said 'any engagement we have with the Iranians will be limited to the license.' A separate license from the United States government would be required for Boeing to sell aircraft to Iran... While Boeing has lagged in the newly opened Iranian market, Iran’s interest in purchasing Boeing jetliners is well known. Iranian aviation officials have been quoted in the domestic media as saying they would like to purchase equal numbers of Boeing and Airbus planes. Tasnim quoted the deputy transport minister, Asghar Fakhrieh Kashan, as saying that Iran wants Boeing 737s, one of the world’s most widely used jetliners. Despite the engagement with Boeing, Iran largely remains off limits commercially to American businesses because many other sanctions unrelated to the nuclear accord remain in effect, most notably a wide-ranging embargo on direct trade in many goods and services." (New York Times, “Iran Invites Boeing for Talks, a Stride Toward Business Ties With the U.S.,” 3/3/2016) 

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"Boeing Co. said Friday that it received a license from the U.S. government to begin commercial discussions with Iranian airlines, opening the door to what could be the first U.S. jet deliveries to the Islamic Republic since the 1970s... Iran is seeking to quickly catch up and refresh its airlines with new aircraft, with leasing industry officials forecasting the country could support 300 to 600 new planes. 'The license permits us to engage approved airlines to determine their actual fleet requirements,' a Boeing spokesman said… 'We understand that the situation in the region is complicated and ever changing and we will continue to follow the U.S. government’s guidance as it relates to conducting business with Iran,' the Boeing spokesman said." (The Wall Street Journal, “Boeing Secures Iran License,” 2/19/2016)

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"Aerospace giant Boeing lobbied hard for the nuclear deal that lifted sanctions on Iran, but the Iranian regime announced on Thursday that it would spend billions to buy aircraft from French competitor Airbus. Boeing spent millions of dollars since late last year on a lobbying operation that pushed for Iranian sanctions relief. It expected to be a major beneficiary of the lifting of sanctions on Iran’s aviation sector, despite U.S. lawmakers’ concerns that that sector supports Tehran’s international terrorist proxies. Though Boeing has long eyed business opportunities in Iran, it failed to show up at last week’s CAPA Iran Aviation Summit, the first such event in Iran in nearly 40 years. The company cited visa trouble, though some speculated that the State Department had discouraged Boeing from attending to avoid the appearance that U.S. companies that supported the Iran deal were profiting from its implementation... A team of 11 lobbyists with the Monument Policy Group pushed the Iran deal on Boeing’s behalf, according to disclosure forms. They included former aides to Senate Minority Leader Harry Reid (D., Nev.), House Ways and Means chairman Kevin Brady (R., Texas), and House Armed Services ranking member Adam Smith (D., Wash.), as well as a former White House senior counsel and special adviser to the president. Boeing’s in-house lobbying shop, which spent nearly $5 million in the fourth quarter of 2015 alone, also reported working on 'U.S.-Iran relations.'" (Free Beacon, “Tehran Buys Airbus Planes Despite Boeing’s Lobbying for Nuclear Deal,” 1/29/2016)

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"Iran plans to buy Airbus and Boeing passenger planes through long-term payment agreements once a nuclear accord with world powers is implemented, the transport minister said... To purchase new planes, 'our negotiations have been mostly with Airbus and Boeing, and we have provided them with our plans and needs until 2020,' Abbas Akhoundi was quoted as saying in Monday's Iran government daily. 'For shorter range planes, we have talked with other companies also,' he said, in remarks made to reporters on Sunday... Akhoundi said Iran had offered its 'proposals' to the aviation companies. 'A company will be founded. It leases or hire purchases the plane from the foreign companies, and provides the Iranian airlines with new planes, so that domestic companies are not involved with the purchase,' he explained." (AFP, "Iran plans Airbus, Boeing purchases under finance deals," 9/21/15)

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"Long-lasting sanctions against Iran has seen the average age of its commercial aircraft reach twice the industry average at 23 years. As a consequence and with a population of over 80 million, it is estimated that over the next ten years the country will need to purchase 400 commercial aircraft. A senior aviation official was quoted by the state news agency IRNA as indicating that the purchases would be split equally between Boeing and Airbus. 'Iran will buy a total of 80-90 planes per year from the two aviation giants in the first phase of renovating its air fleet,' said Mohammad Khodakarami who, according to IRNA, is currently the caretaker director of Iran’s Civil Aviation Organization. He also stated that 'We will purchase planes from Boeing and Airbus in equal numbers.'" (AviTrader, "Lifting of sanctions will see Iran purchase 80-90 aircraft per annum," 8/3/15)

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"Western planemakers look set to reap billions of dollars in deals with Iran, if a deal is done on its nuclear program to allow one of the world's most promising aviation markets to come out of quarantine... For Tehran, the prospect of sweeping economic sanctions and a long-standing U.S. trade embargo being lifted represents a chance to renew a fleet whose average age of 23 years is almost twice the international average, and to do so at affordable prices, after years of paying over the odds on the black market. For Airbus, Boeing and other manufacturers, that could mean up to $20 billion in deals, shaped in part by the negotiating positions of various camps during the lengthy nuclear talks. And for Iran Air's 38-year-old Boeing 747SP, the last of its kind, it should mean well-deserved retirement... Two senior Iranian officials said it was already understood that Iran would buy 100 planes from Boeing once sanctions are lifted, but U.S. industry officials deny any informal deals or commercial discussions. 'It's certainly an opportunity. We sold a lot of planes there before, and that fleet is really old. But until our government says it’s OK, we’re staying on the sidelines,' Boeing Commercial Airplanes CEO Ray Conner told Reuters in Washington this week." (Reuters, "Planemakers poised for Iranian buying spree if nuclear deal reached," 7/10/15)

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"Boeing Co is bullish on the Iranian market, believing that the Islamic republic's self-assessment for new aircraft is accurate. 'We've done a pretty good assessment on our side and we think the demand, should things open up, would be very strong,' Marty Bentrott, vice president - sales, Middle East, Russia & Central Asia at Boeing, told reporters in Dubai on Monday at the Arabian Travel Market (ATM). Iran has been barred by sanctions from buying western aircraft since the 1970s. But negotiations over its nuclear programme with the United States and other world powers that are set to come to close next month have raised hopes that the sanctions will be lifted. Last year, Iran's top aviation official said the country's airliners would need to order 400 aircraft over the next 10 years to replace its depleting and ageing fleet. Bentrott agreed that Iran's need for new aircraft 'would be in that ballpark'. In April 2014, Boeing was granted a license by the US Treasury Department to sells spare parts for commercial aircraft to Iran. The license has been extended on a number of occasions as the negotiations between Iran and the world powers progressed." (Gulf News, "Boeing bullish on Iran as nuclear negotiations near close," 5/4/15)

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"Iran says it has concluded three contracts with US aviation giant Boeing after it signed the Geneva nuclear agreement with the P5+1 group of countries in late 2013. Farhad Parvaresh, the CEO and Chairman of the country's flagship airline Iran Air, said on Saturday that the contracts with Boeing mostly involve repairing plane motors. 'Iran Air has so far received seven motors of its planes after they were repaired as the result of the contracts with Boeing,' Parvaresh said. 'There are several other motors that are being repaired by Boeing in a foreign country,' he said." (PressTv, Iran says three deals signed with Boeing," 2/25/15) 

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"Boeing said on Wednesday it had sold aircraft-related goods to Iran Air in the third quarter, marking the first acknowledged dealings between U.S. aerospace companies and Iran since the 1979 U.S. hostage crisis.The Chicago-based aerospace and defense company said in a filing that it sold aircraft manuals, drawings, navigation charts and data to Iran Air to help improve the safety of Iran's civil aviation industry. The sales did not include spare parts for aircraft, which were thought to be likely since Iran Air's fleet of planes includes vintage Boeing and Airbus jetliners delivered as long ago as 1978. Boeing and General Electric (GE.N) said in April that they had received export licenses from the U.S. Office of Foreign Assets Control allowing them to sell parts for commercial aircraft to Iran under a temporary sanctions relief deal that began in January." (ReutersBoeing books first sales to Iran since 1979, 10/22/14)

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“U.S. planemaker Boeing has disclosed an agreement with Iran to provide airplane parts, relaxing a three-decade freeze in ties as part of a broader package of sanctions relief. The agreement sets out general terms and conditions for the ‘potential sale of certain goods and services related to the safety of flight,’ Boeing said in a regulatory filing. It marks the first acknowledged dealings between U.S. aerospace companies and Iran since the 1979 U.S. hostage crisis led to sanctions that deepened during the decade-old international dispute over Iran's nuclear program. Boeing said its agreement with state carrier Iran Air covered airplane parts, manuals, drawings, service bulletins, navigation charts and data. Boeing has also opened discussions with Iran Air Tours, a subsidiary of Iran Air, for similar goods and services, it said… In April, Boeing and engine maker General Electric said they had received licenses from the U.S. Treasury Department to export spare parts. European planemaker Airbus reiterated on Thursday that it had applied for a U.S. export license but said it had not yet reached an agreement with Iran on how to implement it.” (Reuters, Boeing reaches plane parts deal with Iran, 7/24/14)

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“However, Boeing Co, the world's biggest airplane maker, and engine maker General Electric Co said on Friday they had received licenses from the U.S. Treasury Department to sell certain spare parts for commercial aircraft to Iran under an interim deal agreed in November that went into effect on January 20…The preliminary deal provides for the sale of parts to Iranian flag carrier Iranair, whose fleet includes vintage Boeing and Airbus jetliners delivered as long ago as 1978…He said the license covered only components needed to ensure continued safe flight operations of older Boeing planes sold to Iran before the 1979 revolution, and did not allow any discussions about sales of new aircraft to Iran…A senior Iranian official told Reuters in November that Iran could require between 250 and 400 jets if and when sanctions are lifted completely.” (Reuters, “Iran aviation official in Vienna to discuss sanctions relief,” 4/8/14)

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“Boeing Co, the world's biggest airplane maker, and engine maker General Electric Co said on Friday they had received licenses from the U.S. Treasury Department to export certain spare parts for commercial aircraft to Iran under a temporary sanctions relief deal that began in January...A Boeing spokesman said his company received the license this week and would now contact officials in Iran to determine which parts were needed. He said the license covered only components needed to ensure continued safe flight operations of older Boeing planes sold to Iran before the 1979 revolution, and did not allow any discussions about sales of new aircraft to Iran. ‘It's very limited,’ said the spokesman. The sales would be the first acknowledged dealings between U.S. aerospace companies and Iran since the 1979 U.S. hostage crisis led to U.S. sanctions that were later broadened during the dispute over Iran's nuclear activities…Boeing said the license was granted under the temporary sanctions relief deal, and was aimed at helping improve the safety of Iran's aircraft. ‘We take the safety of flight issue very seriously,’ said the Boeing spokesman. He had no immediate details on how many parts would be sold to Iran, or their potential value. Analysts say the sales could help American companies position themselves for potential sales of new aircraft if a broader softening of sanctions is agreed. A senior Iranian official told Reuters in November that Iran could require between 250 and 400 jets if and when sanctions are lifted completely.” (Reuters, “Boeing, GE say get U.S. license to sell spare parts to Iran,” 4/5/14)

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“Multiple companies currently exploring new business ventures in Iran are also cashing in on highly lucrative contracts with the U.S. Defense Department, raising questions about whether their dealings with Iran could run afoul of U.S. law. At least 13 major international companies have said in recent weeks that they aim to reenter the Iranian marketplace over the next several months. The companies have received Pentagon contracts totaling well over $107 billion, according to a Washington Free Beacon analysis that tracked DoD contracts awarded since fiscal year 2009. Many of the companies, which include carmaker Renault and oil giants such as BP, have already sent high-level trade delegations to Tehran to meet with Iranian officials about striking new business deals…These companies include Boeing and General Electric—which have DoD contracts worth $87 and $12 billion respectively—as well as the Italian oil company Eni, Merck, Safran, Vitol, Bosch Rexroth, Sanofi Pastuer, and AVL.” (Washington Free Beacon, “Pentagon Contractors Exploring Business with Iran,” 2/25/14)

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"U.S. aerospace companies are seeking permission to sell airliner parts to Iran for the first time in three decades, in a key test of the temporary relief on sanctions given under talks to curtail Iran's nuclear activities. At least two leading manufacturers, Boeing and engine maker General Electric, have applied for export licenses in a six-month window agreed by Iran and six world powers in November, industry officials and other sources familiar with the matter said. If approved, the sales would be the first acknowledged dealings between U.S. aerospace companies and Iran since the 1979 U.S. hostage crisis led to sanctions that were later broadened during the dispute over Iran's nuclear activities…A source familiar with the matter said that Boeing, the world's biggest manufacturer of passenger jets, had also filed a request for permission to export parts to Iran. Boeing declined to comment, referring questions to the U.S. State Department, which in turn referred queries to the U.S. Treasury. A spokeswoman for the Treasury Department, which enforces international sanctions, declined to comment on specific license requests or applications.” (Reuters, “Exclusive: Testing detente, U.S. firms move to sell jet parts to Iran,” 2/21/14)

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"In January 2004, the nose-wheel of an Iran Air Boeing 747 passenger airplane collapsed on landing in Beijing. Iran Air and the Civil Aviation Administration of China agreed to use the French civil aviation agency to conduct the accident investigation. This license authorized Boeing to export an electronic data map that was needed by investigators to gain access to the information on the flight data recorder." (New York Times, "Licenses Granted to U.S. Companies Run the Gamut," 12/24/10)

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In a correspondance with the SEC in 2009, Boeing disclosed details of their contracts and activities in Iran.

“Boeing’s principal contacts with the Sanctioned Countries [Iran] consist of products and services solely related to the safe operation of Boeing commercial aircraft and to the launch of commercial communications satellites on behalf of a consortium in which Sudan has a minor participation.”

“ The contacts with the Sanctioned Countries [Iran] have been limited to flight safety and commercial satellite launch activities, the sale of exempted flight-related navigational materials and the provision of international trip planning services.”

“Contracts with Iran include:

 

  • Boeing and National Transportation Safety Board authorized to share EAR99 information with Iranian civil aviation authorities regarding a Kyrgyz Airlines B737 incident in Kyrgyzstan.
  • Boeing and National Transportation Safety Board authorized to share additional information with Iranian civil aviation authorities regarding a Kyrgyz Airlines B737 incident in Kyrgyzstan.
  • Pending request to assess safety-critical parts and services that may be needed to ensure the safe operation of Boeing aircraft in Iran.” 

 

(CORRESP for BOEING CO , 10/14/2009)

 

 

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