China Eastern to claim losses in 737 MAX grounding

Saul Bowman
April 12, 2019

Boeing has conceded that new software added to the MAX and called MCAS was involved in both crashes but questions have also been raised about the actions of the flight crews.

737 MAX deliveries accounted for the highest totals in the first quarter for Boeing, which is lowering the aircraft's monthly production rate from 52 to 42 airplanes per month starting in mid-April.

The family of a Minnesota man who died when an Ethiopian Airlines plane crashed last month has filed a wrongful death lawsuit against Boeing, the manufacturer of the 737 Max aircraft that was involved in the crash and is now being investigated by USA prosecutors.

Boeing said last week that it will cut production of its troubled 737 MAX airliner this month, underscoring the growing financial risk it faces the longer that its best-selling plane remains grounded after the two crashes. "As part of this effort, we're making progress on the 737 MAX software update that will prevent accidents like these from ever happening again", the CEO said in his statement.

The plane maker reportedly delivered a total of 54 aircraft in March, more than a one third of 149 supplied jets since the beginning of the year.

Boeing has acknowledged that in each crash, a faulty sensor triggered an anti-stall system when it wasn't needed, pushing the plane's nose down.

So far, most of Wall Street and Boeing's airline customers have publicly stood behind the company during its crisis. Boeing disclosed Tuesday, April 9, that it received no new orders for the Max in March.

"I am confident that Boeing will solve this issue" with the Max, he said. Boeing has a backlog of about 4,600 orders for the plane. "I expect that to be a hiccup".

Over the weekend, American removed the plane from its schedule for an additional six weeks, through June 5.

The MAX grounding caused 1,200 American flight cancellations during the first quarter, in addition to 940 cancellations due to American's decision to remove 14 737-800 aircraft from service after pilots complained that overhead bins were not closing on some recently retrofitted cabins. They have lost 13% since the Ethiopian crash.

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