737 Max issue is the newest stumbling block for airlines

Boeing’s 737 Max issue is the newest stumbling block for airlines desperate for new planes

Although the problem is tied to two of numerous categories in the aft fuselage of Boeing 737 Max jets, which also include the most popular model, Max 8.

According to a tally, Boeing has an accumulation of 4,196 Max planes on its website. However, on Friday, Boeing disclosed the production issue but has not said how many planes are affected or how long deliveries could be delayed.

Besides, the current delivery schedule of the planes has extended to the second half of the decade.

Spirit Aerosystems, Boeing, the fuselage supplier, and the FAA said the problem would not influence flight safety. But addressing the issue could result in time-consuming additional work. However, the two categories in question are on the interior of the plane and are not as simple to reach as a concern on the outside of the fuselage would be, a person familiar with the matter states.

Dave Calhoun, CEO of Boeing, will likely comment on the issue during the firm’s annual shareholder meeting held on Tuesday. Boeing disclosed the issue just weeks after an executive said it was gearing up to surge the output of the jets from the current rate of 31 a month.

Moreover, extensive delays would be bad news for airlines that are already crippled by a shortage of new aircraft globally. They may also jeopardise Boeing’s efforts to enhance cash flow, as airlines pay the majority of a plane’s price upon delivery.

Richard Aboulafia, Managing Director of AeroDynamics Advisory, said, “It doesn’t sound like it is going to be a terribly invasive fix, but on the other hand, I think everyone’s a bit spooked because of recent experience.”

Southwest Airlines, which operates an all-Boeing 737 fleet, said it was discussing the effects of the problem with the manufacturer.

On Friday, the company said in a statement that Boeing contacted us regarding an issue with a supplier’s manufacturing process that will affect the delivery of Boeing 737 MAX planes to Southwest.”

“We expect this to impact our current delivery schedule; we are in discussions with Boeing to understand what that impact will be in 2023 and beyond,” the firm added.

Bob Jordan, CEO of Southwest Airlines, said on an earnings call that took place in January that the airline anticipates roughly 90 Max planes this year, lowering its estimation from 100 “in light of recent discussions with Boeing and continued challenges in the supply chain.”

Furthermore, American Airlines stated that it is discussing the issue with Boeing. According to its 2022 report, the airline has 88 Max aircraft on order.

Whereas, both the airline firms have plans to report results on April 27, as they might likely face questions about the issue.

Later, United Airlines also reported, “Boeing is keeping us informed about this issue, and at this time we do not expect any significant impact on our capacity plans for this summer or the rest of the year.”

However, the latest problem exhibits the string of quality and aircraft delays at Boeing, which have also included its 787 Infoholic planes.

Besides, a global grounding and production pause of the 737 Max followed two fatal crashes of the aircraft. Although the planes were cleared to fly again as production resumed, the pandemic threw the industry into shambles as it outflows cash and loses thousands of skilled and reliable workers.

- Published By Team Genuine Reporter

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