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Wednesday, May 5, 2004 - Page updated at 12:00 AM

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Snohomish County business

Boeing flies high after large order for its new 7E7

Times Snohomish County bureau

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EVERETT — April was anything but the cruelest month for Boeing: The company reported a profitable first quarter last Wednesday and announced that its newest jetliner, the 7E7, would officially launch, thanks to a 50-aircraft order from Japan's All Nippon Airways, the company's largest-ever launch order.

"It's official," said Alan Mulally, the president and chief executive officer of Boeing Commercial Airplanes, beaming before a crowd of workers at the Everett plant last Wednesday.

Now that manufacturing of the 7E7 is confirmed, the company's marketing staff will decide whether the 7E7 Dreamliner will become the new aircraft's permanent name. Mike Bair, the executive responsible for the 7E7 program, said no decision had been made.

Local Boeing officials and Bair debuted a multimedia presentation Thursday at the Everett Events Center for state, county and local officials who had worked on the pitch to secure Everett as the 7E7 final-assembly site. The presentation showcased the 7E7's ability to travel longer distances than other jetliners, its capacity for more cargo, and its lower fuel consumption and other money-saving features.

Mary Hanson, a company spokeswoman, said Boeing will make the presentation to prospective airline customers and government officials in Berlin, Rome, Dubai and London this month and next.

Locally, aerospace companies await resolution to two issues: how small suppliers will collaborate with larger ones on assembly of large parts and how Boeing and the state will fashion a $10 million employee-training center.

Last spring, the Legislature approved $10 million to fund the training center, which Boeing wants within a 10-minute drive of the Everett plant. City and county officials, as well as property owners within the vicinity, are preparing to submit property specifications to the state.

The state is seeking information by May 14 from property owners interested in leasing or selling space for a 40,000-square-foot facility that could contain at least four classrooms and a manufacturing space with at least one 35-foot-high ceiling and 30-foot-wide entrance.

The 7E7 program will have exclusive use of the center for its first five years of operation, after which the center will be available for public use, according to state documents.

Bill Dolan, a deputy airport director at Paine Field, said that as of mid-April, several county leaders had planned to propose use of a vacant three-story Boeing-owned office building on airport land in conjunction with an adjacent manufacturing building.

Together, he said, the two buildings could be configured to house the employee-resource center and a subassembly plant where Boeing suppliers would share work space as they jointly build large portions of the 7E7.

"This is one of the things that's been kicked around," Dolan said.

John Monroe, a retired Boeing executive who advises the Snohomish County Economic Development Council on aerospace issues, said the council had provided 15 to 20 real-estate firms with information about the project.

"We have so many really large buildings up here, and it would be nice to see them put to use," Monroe said.

Derek Heed, a senior vice president at Colliers International, said several properties represented by his firm would be worth pitching. The owner of Merrill Creek Center, a 180,000-square-foot building near Paine Field, has expressed interest, he said.

He also believes that the Harbour Pointe Tech Center, which has 350,000 square feet available, and the Everett Technical Park are logical choices.

Robin Pollard, a 7E7 project manager for the state Department of Community, Trade and Economic Development, said the state is open to public-private partnerships and collaborative proposals for the new center, as well as proposals from owners of property where the facility might be located.

Jane Hodges: 425-745-7813 or jhodges@seattletimes.com

Copyright © 2004 The Seattle Times Company

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