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Thu, May 22, 2003

Boeing Bailed Out by Kansas Taxpayers

Governor Approves $500,000,000 Bond Deal

The state of Kansas will be selling half a billion dollars' worth of bonds for the state's biggest private employer; and Boeing will pay the interest from monies it's not going to be paying into the state's income tax withholding bucket, as a measure signed Wednesday by Governor Kathleen Sebelius spells out.

The Kansas Development Finance Authority will sell the bonds, which are earmarked to finance some of the work on the not-yet-officially-defined 7E7. As part of the deal, Boeing must hire 4000 new workers, in Kansas. That, given the number of laid-off Boeing workers already there, shouldn't pose major problems, once the airliner's design goes to production.

The mystery plane is scheduled to go to customers as soon as 2008.

FMI: www.boeing.com

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