Boeing (BA) is suspending its dividend for the first time nearly 80 years.
The company, which paid $4.6 billion in dividends last year even as it dealt with mounting costs from the 737 Max crisis, said it has suspended the dividend as it tries to preserve cash. The company said paid a dividend on common stock every year since 1942.
Boeing is seeking a $60 billion in government loan guarantees for aerospace makers such as it self as it tries to weather the plunge in air traffic that is likely to force airlines to delay or cancel orders for new planes.
The company also said that it would continue to refrain from share repurchases. It suspended buybacks in April because of the grounding of the 737 Max and the halt in deliveries. And it said that CEO Dave Calhoun and Chairman Larry Kellner will forgo all pay until the end of the year. Calhoun, who began the job in January, was due to receive base pay of $1.4 million and bonuses that could have taken his total compensation package up to $28 million.