Boeing orders and deliveries tumble as Max jet is grounded
Boeing failed to win any requests as examination of the plane increased following a 2nd fatal crash in less than five weeks for its 737 Max airliner in March.
Deliveries of finished Max jets tumbled, from 26 to 11 in February. That was not surprising — Boeing suspended deliveries from mid-March after the airplane was arranged by regulators around the world.
The report Tuesday on deliveries and orders of boeing came only 3 days after the company announced it will cut generation of 737s to 42 from 52 per month. Meanwhile, the airlines that possess the nearly 400 grounded Max jets are canceling flights.
Analysts consider the deliveries will only be postponed, not unless airlines cancel orders for the airplane, missing forever.
The figures on March deliveries and orders are”secondary to getting the Max repair approved and its grounding lifted,” Cowen aircraft analyst Cai von Rumohr explained.
The plane was grounded when an Airlines Max crashed March 10, less than five weeks after having a Lion Air Max plunged off Indonesia’s coast. 346 people died.
Boeing has acknowledged that in each wreck, a sensor triggered an anti-stall system as it was not required, pushing the airplane’s nose down. Pilots on each flight fought unsuccessfully to recover control, based on flight data recovered from the planes.
The company is working on the program update, which has been delayed by several weeks due to the discovery of a software problem that is second. The issue hasn’t been described by boeing but says it isn’t related to this system.
The majority of Boeing’s and Wall Street airline customers have publicly stood behind the company throughout its catastrophe. Though Garuda Indonesia has said that it will cancel an order for 49 Max jets, boeing hasn’t disclosed any lost orders. Boeing has a backlog of about 4,600 orders for the plane.
Delta Air Lines owns nor has any orders for the Max — most of its orders are with Boeing’s rival. But Delta CEO Ed Bastian said he is interested if Boeing decides to build a plane bigger than the 737 and remains confident in the technical prowess of Boeing.
“I am confident that Boeing will figure out this issue” using the Max, he explained.
Airlines which own the Max are paying for a cost. After canceling 1,200 flights from the first quarter due to the regeneration of its own 24 Max jets, on Tuesday, a revenue estimate cuts.
The world’s biggest airline, american, said that it can’t predict the future fallout before it knows the jets will be parked and the circumstances under which they’ll be allowed to fly.
Over the weekend, Western eliminated the plane during June 5, for an additional six weeks.
Stocks of Chicago-based Boeing dropped $5.48, or 1.5%, to close at $369.04. They’ve dropped 13 percent because the crash that was Ethiopian.