Boeing again slashes production of its iconic 747

Don't watch this if you're afraid of flying
Don't watch this if you're afraid of flying

Boeing's iconic 747 is officially on life support.

The company announced Thursday that it will again cut production of the 747-8 as the air cargo market slows. Production will be halved from one new plane per month to just six a year beginning in September.

Ray Conner, the CEO of Boeing Commercial Airplanes, said that while air passenger traffic is strong, the cargo market has stalled -- creating less demand for the 747-8 freighter.

The company warned investors that the decision would result in a $569 million after-tax charge on its next earnings report.

Related: This is the plane you'll be flying on for the next 30 years

Dubbed the "queen of the skies," the 747 jumbo jet has long been a favorite of the flying public. But in recent years, airlines have shifted most of their purchases to smaller, two-engined aircraft in order to save on fuel costs. The Airbus A380, another massive jumbo jet, has also suffered from weak demand.

Boeing has at least one more high-profile 747 order to fill. Last year, the Pentagon announced the next generation of Air Force One will be a military version of the 747-8.

Air cargo volumes were down in November 2015 by 1.2% compared to November 2014, according to The International Air Transport Association. However, the organization said total cargo volumes may be bottoming out.

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