Page 8 - AAA MAY - JUNE 2019 Online Magazine

According to the FAA, defective slat tracks will not lead to a crash, Economic Impact
but can cause damage to an aircraft while in flight. Not every airline is willing to give the aircraft
another chance. Within two weeks of the
According to Boeing, about twenty 737 Max and twenty-one 737 second crash, Indonesian airline Garuda said
NG aircraft may have defective slat tracks, but the company and that it would cancel its US$4.9 billion order for
the FAA are leaving nothing to chance. While the company has sent 50 Max 737s. The operator has received one
out a service bulletin, the regulatory authority has asked airlines jet from its 2014 order and does not intend to
to check an additional 179 Max planes and 133 NGs to determine take delivery of the other 49. Another airline
if their parts are also faulty. to decide against the 737s is Azerbaijan airline
AZAL, which has canceled, “due to safety rea-
The Road Ahead sons, a US $1 billion contract with the American
Max 737 operators, who have had to cancel thousands of flights plane maker to purchase 10 737 MAX jets.
since the aircraft was grounded, are aware that passengers would Icelandair has announced that it would be ter-
hesitate to fly on a 737 Max plane even when it is certified safe to fly minating 45 of its 737 MAX pilots.
and reintroduced into service. According to a recent survey, about
41 per cent of Americans say the plane will need to safely return As it to be expected, new orders for the 737
to service for at least six months before they consider flying on it. Max have been few and far between. According
to Boeing, only 10 of the planes were ordered
US operators, including United Airlines which has 14 of the Boeing in the first two months of 2019, and none in
737 Max 9s in its fleet, are prepared to wait before getting the March or April. In the first quarter of 2018, the
plane back in the air. “We will be incredibly communicative to all our company had received orders for 112 aircraft.
customers and very transparent when that aircraft comes back,” China’s biggest airlines, which according to
says United Airlines CEO Oscar Munoz Munoz. China Air Transport Association stands to
lose 4 billion yuan (US$579.41 million) if the
“THE FIRST AND FOREMOST OBJECTIVE IS TO grounding of the aircraft lasts until the end of
NOT ASSUME EVERYONE WILL WANT TO FLY OR June, have sought compensation from Boeing
ASSUME EVERYONE WILL GET OVER IT. WE WILL for the disruption caused by the grounding.
Air China, China Southern Airlines and China
WAIT UNTIL EVERYONE AGREES THE MAX IS SAFE Eastern Airlines together operate 53 of the 96
TO BRING BACK. WE’RE GOING TO DO THIS IN A Max planes in China. China Eastern Airlines,
SAFE MANNER.” which has 14 737 MAX aircraft, has also
delayed deliveries of future planes. Norwegian
Air is also hoping to reach an agreement with
The biggest 737 Max customer in the US, Southwest Airlines, has
grounded all 34 of its aircraft and removed the jet from its schedule Boeing on compensation for the grounded
until August. 5. Company chairman and CEO Gary Kelly says that planes. Indonesia’s Lion Air Group is expected
the airline has no plans to abandon the 737 Max and would, in fact, to incur losses of around US$20 million due to
purchase “hundreds” more. the grounding.

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