Boeing Co. shares fell more than 5 percent Monday, after a plan to cut its production schedule for 2010 due to the economic downturn and lower price demand, is likely just the beginning of a long downturn.

Cowen & Co. research analyst Cai von Rumohr cuts its giant airline maker to underperform from neutral, because of rate cuts and lower plane prices would pressure quarterly earnings all year.

Rumohr expects profit to be $4.35 per share next year and $3.65 per share in 2011, as the Company expects the downturn will reduce its first-quarter net earnings by 38 cents per share.

The Chicago-based firm said production of its 777 mini jumbo jet will decline from seven to five per month beginning in June 2010 and would delay modest planned production increases of its 747-8 and 767 planes as it faces global economic crisis.

We think that this is just the first of the cuts that Boeing will have to make to its aircraft production rates as it moves through this downcycle,'' Macquarie Research analyst Robert Stallard said in a note to clients.

Until there is a recovery in airline demand, profits, financing and confidence,'' Stallard added, we expect to see further delivery deferrals and probably lower production into 2011.''

Shares rose $2.00, or 5.1 percent, to close at $37.15.