Boeing defends 787 reliability; shares rally

AP Business Writer

Boeing says it has "extreme confidence" in its 787 Dreamliner even as federal investigators try to determine the cause of a fire that has prompted new worries about the plane.

The fire happened Monday in 1 of the plane's lithium ion batteries. Mike Sinnett, Boeing's chief engineer for 787, wouldn't comment on that specific incident, but said Wednesday that the area around the battery is designed to withstand a fire.

It's is the latest glitch for a high-profile jet that has a lot riding on it, both for Boeing and its airline customers. Boeing has delivered 49 of the 787s so far, and has about 800 more on order.

Investors are rallying behind the company. Boeing shares gained 3.3% to $76.54, after dropping 4.6% the two previous days.

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