European Stars and Stripes (Newspaper) - November 10, 1991, Darmstadt, Hesse                                Sunday november 10, 1991 the stars and stripes a Page 17mcdonnell Douglas to Lay off 1,500from wire reports los Angeles a Mcdonnell Douglas corp. Said Friday that it will Lay off an additional 1,500 Douglas aircraft co. Workers citing further reduced demand. For its commercial and military aircraft. The layoffs which will be effective Early next year will bring the number of workers furloughed from Douglas Southern California aircraft plants to nearly 9,000 in the last 18 months. Douglas employs about 38,500 workers in Southern California. The announcement came after the company concluded Long and bitter negotiations with its major labor Union Over a new contract. Douglas also has said it will Divide itself into separate commercial and military divisions by years end the split is seen As preparation for Selling a stake of its commercial aircraft operations to an outside investor to raise Cash. Company spokesman John Thom said Friday that the latest layoffs will affect All three of Douglas major aircraft production programs the md-80 twin Jet the md-11 Tri Jet and the c-17 military transport. The spokesman said airline company orders for the md-80 and md-11 have been cancelled in recent months and options for purchases of both Craft have been dropped. The c-17 construction program will not proceed As expected because air Force funding for the project has been Cut. Thom said company officials think Congress May try to significantly reduce funding of the c-17. The air Force has estimated that Mcdonnell Douglas could lose As much As $900 million on the first six planes but the company has insisted it will break even on the $6.6 billion contract. The first c-17 was delivered in september and will go into service in 1994 after a three year test program. The second should be delivered Early next year. Production rates for the md-80, which Sells for about $30 million per plane will be Cut from 140 per year to about 100 per year Thom said. The 140 my sos expected to be produced this year would be a record for the company. Rates for the md-11 will fall from about 40 this year to about 35 next year. 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