Why Boeing Stock Is Moving Higher Monday

The Boeing Company BA shares are slightly higher on Monday after the company entered into a plea deal with the Department of Justice.

What Happened: Boeing agreed to a plea deal with the Department of Justice where Boeing would plead guilty and avoid going to trial for conspiracy to defraud the United States, according to the Associated Press.

Under the plea deal, Boeing will pay a $243.6 million fine and invest at least $455 million into its safety and compliance programs. Also, an independent monitor would be appointed to monitor Boeing’s quality procedures. This deal is still pending approval by a federal judge.

The case stems from two 737 Max crashes that killed 346 people. Originally Boeing and the Department of Justice entered into a settlement agreement that allowed Boeing to avoid prosecution for the two crashes for over three years. However, the justice department said that Boeing violated the agreement. Prosecutors then decided to file criminal charges against the company.

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BA Price Action: At the time of publication, Boeing shares are trading up 0.96% at $186.61, according to data from Benzinga Pro.

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