Boeing’s Initial Compensation Payment for Plane Crash

admin

Boeing hoàn thành khoản bồi thường ban đầu cho hãng hàng không Alaska Airlines.

Boeing has made its initial compensation payment of around $160 million to Alaska Airlines, according to a recent update from Reuters. This payment is intended to address the impact of temporarily grounding the 737 Max-9 aircraft after the incident. The amount paid is equivalent to the airline’s lost profits in the first quarter of this year. Moving forward, Boeing will continue to compensate Alaska Airlines.

Financial Implications

Alaska Airlines’ stocks rose by 4.4%, and Boeing’s stocks increased by 1% following the announcement of the compensation payout. Despite the challenges faced after the accident and the grounding of several Boeing 737-9 Max-9 planes, both February and March showed positive business performance as expected.

Brian West, Boeing’s Chief Financial Officer, revealed that the compensation payments to customers affected by the incident on January 5th would be sourced from Boeing’s first-quarter earnings.

Ramifications for Airlines

To date, Alaska Airlines and United Airlines continue to bear the burden of the grounding of the 737 Max-9 planes since January. In a recent report, Reuters highlighted a significant decline in Boeing’s 737 Max production in recent weeks, which is expected to impact the aviation industry.

Alaska Airlines has adjusted its operating plans for this year due to the Boeing crisis. Ben Minicucci, the CEO of Alaska Airlines, stated that the company no longer expects to receive all 47 aircraft deliveries from the manufacturer in the next two years.

Meanwhile, another major aircraft supplier in the aviation industry, Airbus, has sold all of its single-aisle passenger jets until the end of the decade.

Read more:  NASA's Telescope Discovers a Planet with a Boiling Ocean

Accident Details

On January 5th, an Alaska Airlines-operated Boeing 737 Max-9 experienced a malfunction wherein the escape hatch fell off at an altitude of nearly 5,000 meters. The incident prompted the Federal Aviation Administration (FAA) to ground 171 aircraft of this type for approximately three weeks.

For more information, please visit Business Today.