S&P gives Boeing notes A

Standard & Poor's said it assigned its A rating to Boeing Co.'s proposed offering of $1.2 billion senior notes that it will issue in two tranches, due 2012 and 2016.

Boeing will use the proceeds for general corporate purposes, the agency said.

"Our ratings on Boeing reflect its position as one of two global producers of large commercial aircraft and one of the largest U.S. defense contractors, as well as significant liquidity," said credit analyst Philip Baggaley.

S&P noted that its concerns include the possibility of further production cuts due to airline order deferrals and cancellations and risks related to the development of the 787, which is more than two years behind schedule, and the 747-8 jetliners.

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