7E7 could be big boost to economy

SEATTLE — Boeing Co.’s new 7E7 airplane could brings thousands of jobs and billions of dollars to Washington state in the coming years, according to a study commissioned by the state’s economic development office.

To land the 7E7 final assembly project, Washington state offered tax breaks that could be worth $3.2 billion over 20 years.

The economic impact study, compiled by Deloitte Consulting for the state, said a conservative estimate showed that Boeing and its suppliers would receive nearly $245 million in income this year because of the project. In 2006, it said that figure jumps to nearly $562 million.

By 2012, the study said, annual income could be between $254 million and $1 billion for Boeing and its suppliers.

Those figures become much higher if you include indirect economic benefits, such as the income generated in the grocery stores where Boeing employees spend their paychecks, the study said.

The figures are based on data provided by Boeing and state agencies and could vary greatly depending on the success of the new airplane.

The project is also expected to create thousands of jobs. By 2006, it said, a conservative estimate is that Boeing and its suppliers will create 7,120 jobs in Washington state.

Including “indirect” jobs — created by the effect of those original jobs and the income they generate — the study said the project would generate thousands more.

In 2012, the project’s ongoing operations could generate between 3,250 and 9,280 Washington jobs at Boeing and its suppliers, the study said.

Boeing has said that final assembly of the 7E7 will bring between 800 and 1,200 jobs to the state.

Mark Klender of Deloitte Consulting said Boeing’s initial figures don’t include administrative support jobs at Boeing, or the jobs created by Boeing’s suppliers.

Boeing said it did not immediately have estimates on the economic impact of previous airplane programs.