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Boeing says further 737 production increase likely

NEW YORK (Reuters) - Boeing Co said it likely would increase its production rate on 737 jets beyond its current forecast, which calls for 42 a month starting in the second quarter of 2014.

The company is currently building a third production line at its factory in Renton, Washington, to accommodate the 737 MAX, which will enter production in 2015.

"Eventually, we'll use the third line for future rate increases," Beverly Wyse, vice president and general manager of the 737 program, said in a conference call with reporters on Thursday.

She said Boeing officials "expect to see significant growth" in orders for single-aisle planes. "We don't have any specific plans when that next rate increase will be, but we're pretty sure it's coming."

Earlier Thursday, Boeing said it had settled on a "firm concept" for its new 737 MAX jet and had chosen Honeywell International Inc and Rockwell Collins Inc to supply new systems for the plane.

(Reporting by Alwyn Scott; editing by John Wallace)

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