RENTON, WA—Boeing is taking measures to address its financial challenges by planning to raise up to $25 billion through stock and debt offerings, along with securing a $10 billion credit agreement. This move follows a difficult period for the company, marked by production issues with its 737 MAX jets, labor strikes, and a regulatory cap on production. The financial strain includes an estimated $1 billion per month in losses due to strikes and a need to refinance $11.5 billion of debt maturing by 2026.

Despite having nearly $11 billion in cash reserves as of June, Boeing's situation has led analysts to estimate it needs to raise between $10 billion and $15 billion to maintain its credit ratings. There is concern among analysts that the company's liquidity situation may be worse than previously thought, as Boeing has yet to tap into the new $10 billion credit facility arranged by major banks like BofA and Citibank.

The company also faces potential downgrades, with Emirates Airlines President Tim Clark warning that Chapter 11 bankruptcy could be on the horizon if Boeing fails to raise sufficient funds. Negotiations with the Machinists union, which represents 33,000 striking workers, are ongoing but remain unresolved. Meanwhile, Boeing's jet deliveries have declined, further widening the gap with competitor Airbus.

These developments reflect Boeing's struggle to stabilize its finances amid operational disruptions, significant debt obligations, and pressure to maintain investor confidence.