Kansas Increasing Financing Capacity for Boeing Deal

Officials of Boeing's Wichita plant approached Kansas legislators last week seeking money for research and development costs on the next-generation 7E7 jetliner. Boeing is studying which of its plants and suppliers will develop and build the fuel-efficient midsize jet that the company wants to begin selling in 2004.

A bill allowing Kansas to issue $500 million in bonds to help Boeing Wichita secure work on the company's proposed new 7E7 jetliner won the endorsement of a state Senate committee yesterday. The full Senate won't act on the measure until legislators return April 30 from a recess that starts Saturday. But proponents said it was important to get moving on the legislation, which provides that The Boeing Co. -- not the state -- would repay the bonds.

Go here to read more.