Boeing set to lose biggest planemaker title as deliveries fall 37%
Jul 13 2019
With the previous MAX crashes having been attributed to software glitches, the fact that Boeing was laying off their most experienced engineers under the assumption that these less-experienced staff could handle the project has backfired, with many calling out Boeing for treating their engineers like a commodity. At the same time, over 150 undelivered MAX planes that airlines aren't interested in buying anymore are parked at sites around the country, adding to the 380 MAXs already grounded by airlines.
American Airlines, which has already pulled the Max off its flying schedule through September 3, had in April cut its annual profit forecast, blaming an estimated US$350-million hit from the groundings.
June was the third straight month of no new orders for the model.
If the numbers hold throughout the year, Airbus could replace Boeing as the world's largest aircraft maker.
The company suspended deliveries of new planes in March but has kept the assembly line open at a reduced production rate.
In India, SpiceJet is a customer of MAX planes.
"We continue to evaluate Boeing's software modification to the MCAS and we are still developing necessary training requirements. on the most recent issue, the FAA's process is created to discover and highlight potential risks", Federal Aviation Administration (FAA) said, adding that it will lift the aircraft's prohibition order when it deems that it is safe to do so. Airbus' popular A320 planes compete with Boeing's 737s in the single-aisle segment, which comprise most aircraft orders. Customers, including three of the four largest US airlines, have given no hint that they plan to nix orders from Boeing.
Delta hopes to utilize its new Airbus aircraft to partially replace older aircraft, such as the Boeing 757. "Our team continues to focus on safely returning the 737 Max to service and resuming deliveries of MAX airplanes", Boeing said in an emailed statement, according to CNBC. Last week, Boeing announced an "initial investment" of $100 million over several years to help families and communities affected by the crashes. Boeing wa up 8.9 per cent so far this year through Monday, compared with a 19 per cent rise on the S&P 500 Index. Flyadeal ordered 30 A320neo jets from Airbus and took options on 20 more, meaning that its entire fleet will consist of planes from that company.