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History’s most expensive corporate screwups

No. 1: British Petroleum, Deepwater Horizon disaster: $68 billion

No. 2: Volkswagen, emission cheating scandal: $38 billion

No. 3: Boeing, 737 MAX defects: $?

  • Direct costs to date: $20.7 billion
  • Interest costs: $3 billion – $4 billion
  • Crash victim settlements: $500 million+
  • Lost sales revenues: $25 billion – $67 billion

The best case outcome probably will put Boeing’s losses somewhere between British Petroleum’s and Volkswagens, in the No. 2 position. Worst case: Boeing could own the most expensive corporate disaster in the history of the world. Read story here.

Photo: Undeliverable planes compete for parking space with cars at a Boeing plant

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0 Comments Add Yours ↓

  1. Mark Adams #
    1

    Depends on what you allow. Usually lost sales revenue is not included as it is a factor that is unknown, and if there are future sales or those orders are eventually filled there are no lost sales or if there simply is no longer a flying public a change in tastes cannot be considered lost sales revenue. If you were to include lost revenue the first two disasters would be much higher.