The Chicago-based aerospace manufacturer (BA: news, chart, profile) said the halting of its 717 program and expenses of its U.S. Air Force 767 tanker program will force it to record a pre-tax charge of $615 million, or 48 cents a share in the fourth quarter.

Boeing said it will take a charge of about $340 million, or 27 cents a share, for 717 supplier terminations, and a charge of $275 million, or 21 cents a share, related to the tanker program.

"Unfortunately, the overall market for the [717] airplane does not support continuing 717 production beyond delivering our current commitments," Boeing said.

Shares of Boeing closed at $50.91, up 28 cents.

The company said it "remains firmly committed to the 767 tanker program and is ready to support its customer in whatever decision is made regarding the recapitalization of the nation's current aerial refueling fleet."

No decision has been made on the potential phase out of the 767 program, which has been saddled with delays linked to an Air Force procurement scandal, the company said.

Boeing noted that it used its own money and received no government funding in the development of the 767 tanker program.

The company's revised guidance prompted some Wall Street analysts to lower their 2004 estimates.

J.P. Morgan cut its full-year forecast for Boeing to $2 a share, from $2.24. Jeffries pared its projection to $2.13, from $2.61.

Standard & Poor's left Boeing's debt ratings and outlook unchanged. The credit ratings agency rates Boeing debt "A."

Orlando-based AirTran Airways (AAI: news, chart, profile) said in a statement the end of 717 production will not have a negative financial impact on it, and that the status of the 717 program helped influence AirTran to order 100 Boeing 737 jets in 2003.