Boeing 2011 Annual Report Download - page 13

Item 1. Business
The Boeing Company, together with its subsidiaries (herein referred to as “Boeing,” the “Company,”
“we,” “us,” “our”), is one of the world’s major aerospace firms.
We are organized based on the products and services we offer. We operate in five principal segments:
ŠCommercial Airplanes;
ŠOur Boeing Defense, Space & Security (BDS) business comprises three segments:
ŠBoeing Military Aircraft (BMA),
ŠNetwork & Space Systems (N&SS) and
ŠGlobal Services & Support (GS&S); and
ŠBoeing Capital Corporation (BCC).
Our Other segment includes the unallocated activities of Engineering, Operations & Technology
(EO&T) and Shared Services Group (SSG), as well as intercompany guarantees provided to BCC.
EO&T provides Boeing with technical and functional capabilities, including information technology,
research and development, test and evaluation, technology strategy development, environmental
remediation management and intellectual property management.
Commercial Airplanes Segment
The Commercial Airplanes segment develops, produces and markets commercial jet aircraft and
provides related support services, principally to the commercial airline industry worldwide. We are a
leading producer of commercial aircraft and offer a family of commercial jetliners designed to meet a
broad spectrum of passenger and cargo requirements of domestic and non-U.S. airlines. This family of
commercial jet aircraft in production includes the 737 narrow-body model and the 747, 767, 777 and
787 wide-body models. Development continues on the 787-9 derivative. In the third quarter of 2011 we
launched a variant of the 737 that will feature new more fuel efficient engines – the 737 MAX. The
Commercial Airplanes segment also offers aviation services support, aircraft modifications, spares,
training, maintenance documents and technical advice to commercial and government customers
worldwide.
Boeing Defense, Space & Security
Our BDS operations principally involve research, development, production, modification and support of
the following products and related systems: global strike systems, including fighters, bombers, combat
rotorcraft systems, weapons and unmanned systems; global mobility systems, including transport and
tanker aircraft, rotorcraft transport and tilt-rotor systems; airborne surveillance and reconnaissance
aircraft, including command and control, battle management and airborne anti-submarine aircraft;
network and tactical systems, including electronics and mission systems; information solutions
including cybersecurity, secure mobile applications, analytics and secure infrastructure; strategic
missile and defense systems; space and intelligence systems, including satellites and commercial
satellite launching vehicles; and space exploration. BDS is committed to providing affordable,
best-of-industry solutions and brings value to customers through its ability to solve the most complex
problems utilizing expertise in large-scale systems integration, knowledge of legacy platforms and
development of common network-enabled solutions across all customers’ domains. BDS’ primary
customer is the United States Department of Defense (U.S. DoD) with 76% of BDS 2011 revenues
being derived from this customer. Other significant revenues were derived from the National
Aeronautics and Space Administration (NASA) and international defense markets, civil markets and
commercial satellite markets. BDS consists of three capabilities-driven businesses: BMA, N&SS and
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