Southwest Airlines Warned Investors About Its Reliance on the Boeing 737

14 March, 2019, 15:58 | Author: Trevor Moore
  • Boeing B737 MAX

PGV's Executive Director Bill Hopper says American Airlines has 24 Max Eights and the airline is working with passengers who may be affected while flights are grounded.

Yesterday, Boeing grounded its entire global fleet of 737 Max aircraft after investigators uncovered new evidence at the scene of the fatal Ethiopian Airlines crash.

The department added it had been in close contact in the past few days with the US Federal Aviation Administration and relevant organisations, including two airlines - India's SpiceJet and Globus Airlines of Russian Federation - that have recently used the 737 MAX for flights to Hong Kong.

The order will be in place "until further notice", the president said while voicing confidence that Boeing would get to the bottom of the issue.

Canada is halting flights of the 737 Max a day after the U.S. Federal Aviation Administration reiterated its view that there is "no basis" for grounding Boeing's revamped single-aisle workhorse, which debuted in May 2017.

Garneau said evidence about multiple Boeing 737 Max 8 flights suggests a worrying correlation between the Ethiopian Airlines crash and another off Indonesia in October.

"We are making adjustments to our schedule to minimize the disruption to customers as much as possible, by optimizing the deployment of the rest of our fleet and looking at alternative options, including accommodating customers on other airlines", an Air Canada spokesperson said.

America's emergency order was made independently of other countries, FAA acting administrator Daniel Elwell told CNBC in an interview.

Tewolde said he is confident the "investigation will reveal that the crash is not related to Ethiopian Airlines' safety record".

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Any planes now in the air will fly to their destination and be grounded immediately, Trump said.

Trump said the safety of the American people is of "paramount concern", and added that the FAA would soon put out a statement on the action.

Before Sunday's disaster, more than 370 jets of the model were in operation.

Tewolde said that the boxes would be sent overseas "because we don't have the equipment here" to analyze their data.

Early on Wednesday morning, the DGCA issued a 4pm deadline for all Boeing 737-MAX 8 aircraft in India to be grounded. "Southwest operates a fleet of more than 750 Boeing 737s, and the 34 MAX 8 aircraft account for less than five percent of our daily flights". A Lion Air Max 8 crashed off the coast of Indonesia, killing all 189 people aboard, following a malfunction of a software feature on the plane that repeatedly forced it into a dive.

In the case of Sunday's disaster, the pilot reported a flight-control issue shortly after departing Addis Ababa.

A MAX 8 flight from Los Angeles into St. Louis-Lambert International Airport was in mid-flight when the announcement was made. Exact figures on how many flights were being canceled weren't available Wednesday.

The 737 Max airlines are a small percentage of the fleets for both American and Southwest Airlines, having been introduced into service just two years ago.

Ellis Taylor, Asia Finance Editor at Flight Global, said the grounding of the aircraft "will have some impact" on USA schedules.



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