investorschatroom.com

People

These countries are grounding the Boeing 737 MAX 8

Share
Norwegian Air Shuttle to demand Boeing pay for grounding of planes

Garneau said evidence about multiple Boeing 737 Max 8 flights suggests a worrying correlation between the Ethiopian Airlines crash and the tragedy in Indonesia less than five months ago.

The government has not yet decided exactly where to send the data and voice recorders, though a European body will be approached, Ethiopian Airlines, which operated the crashed 737 Max jet, said on Wednesday (March 13).

Boeing tumbled the most on the S&P 500 Index as questions swirled around the newest version of its 737 family, a cash cow that generates nearly a third of the company's operating profit.

This move comes just days after an Ethiopian Airlines crash that killed everyone on board, including one Winnipeg woman.

U.S. Transportation Secretary Elaine Chao told reporters regulators would not hesitate to act if they find a safety issue.

Boeing shares were down 0.3 per cent at US$374.20 at 1:54 p.m.in NY. That was the biggest intraday decline since September 17, 2001, the first day of trading after the 9/11 attacks.

Other carriers, including China have grounded the B737 MAX 800 aircraft in their fleets due to safety concerns. Some carriers, including Ethiopian, parked their Max jets.

The pilots said they were able to recover quickly following the aggressive dive - descending as fast as 1,500 feet per minute - by disconnecting the autopilot.

Mr. Trump said the USA government had received "new information and physical evidence" both from the crash site and other places, as well as "a couple of other complaints", which led to the decision.

Air Canada, along with Southwest and American Airlines, had been the major outliers in resisting a grounding of the planes. But some labor unions expressed misgivings.

Trump wants spending cuts and $8.6bn for his border wall
That report projected muted economic gains in coming years, partly because of the fading impact of tax cuts and higher spending. The budget arrives as the Senate readies to vote this week to terminate Trump's national emergency declaration.

Gareth Bale's Agent: Real Madrid Fans Are 'A Disgrace'
The 29-year-old has had added pressure this season following the departure of Cristiano Ronaldo to Juventus. It's happened to me in the past.

Man U into top four after thrilling 3-2 win
Lukaku will probably be partnered by Marcus Rashford , who has recovered from an ankle problem picked up against Liverpool. He is first on the team-sheet in that back four now.

Norwegian Air said it would seek recompense for lost revenue and extra costs after grounding its 737 MAX aircraft. No attendants have refused to fly on the plane so far. United Airlines flies a slightly larger version of the plane, the Max 9. It had grounded the 787 Dreamliner in 2013 because of problems with smoking batteries. The agency only acted after the second such incident occurred.

Boeing had pushed regulators and airlines to keep flying the airplanes.

Foreign investigators examine wreckage at the scene where the Ethiopian Airlines Boeing 737 Max 8 crashed shortly after takeoff.

"We are supporting this proactive step out of an abundance of caution", the statement added.

Since he took the reins as CEO in July 2015, Boeing has dramatically expanded cash flow, repurchased shares and built a $490 billion backlog of unfilled orders.

"There is no greater priority for our company and our industry". Lion Air confirmed reports it has put on hold the scheduled delivery of four of the jets.

Canada's decision had left the US increasingly isolated in its decision to allow the planes to keep flying.

The cause of the crash is now unknown. Pilots are no longer needed, but rather computer scientists from MIT. The biggest impact could be on future deliveries given Boeing has almost 5,000 more 737 MAXs on order. United Airlines doesn't fly the Max-8, though it does have 14 of the Max-9 in its fleet.

The grounding of the aircraft has resulted in airlines around the world cancelling and rescheduling flights. The U.S. FAA said the black boxes were headed to France later on Wednesday.

Share