Expert: Boeing 737 program will take a hit after 2nd crash, but will recover
Mar 11, 2019, 9:16 AM | Updated: 3:51 pm
(File, Associated Press)
(File, Associated Press)
The exact cause of the tragic crash of a Boeing 737 MAX 8 in Ethiopia Sunday is unknown. What is known is that the incident includes the same model of airplane that crashed four months ago flying out of Indonesia, both MAX 8s were fairly new airplanes, and the FAA is already connecting the two crashes.
“External reports are drawing similarities between this accident and the Lion Air Flight 610 accident on October 29, 2018,” a Monday report from the FAA reads.
That said, its initial report goes on to note that the investigation has only just started, and that it has “not been provided data to draw any conclusions.”
“It’s psychologically a bit of a blow, could be a reputational blow,” Teal Group aviation industry analyst Richard Aboulafia told KIRO Radio. “Certainly, this could be expensive. But at the end of the day, I have no doubt that the 737 MAX will recover and they will still be able to make this program a commercial success, and a technical success, too.”
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A total of 189 people died in the Lion Air crash out of Indonesia on Oct. 29, 2018 when the plane nose dived into the ocean. A total of 157 people died in the Ethiopian tragedy Sunday. Similar to the Indonesian crash, the pilot of the plane in Ethiopia sent a distress call shortly after takeoff.
“Given the limited amount we do know about this particular crash, it does bear a resemblance to the Lion Air disaster … so there is a lot of concern out there,” Aboulafia said. “…. We really know nothing (right now). Worst case scenario is that it resembles what happened, or it is the same as what happened with the Lion Air crash. In which case, it’s less about production, and more about software and training and implementing fixes, which both of those could be expensive.”
“But no one is talking about this design, this model, being fundamentally flawed somehow,” he said. “…It’s a sad day, it might result in expensive changes, but at the end of the day, you are not going to see anything change with the commercial reality of the program.”
The Seattle Times reports that Boeing shares dipped 9.6 percent to $382.11 early Monday. The company has postponed a celebratory rollout of its new 777X, previously slated for Wednesday in Everett. In a statement, Boeing said, “A Boeing technical team is prepared to provide technical assistance at the request and under the direction of the U.S. National Transportation Safety Board.”
Meanwhile, Boeing 737 MAX 8 planes are being grounded in China, Indonesia, and Ethiopia. A total of 22 airlines grounded their MAX 8 planes across the globe. Though, dozens of MAX 8s remain in the air, according to the Associated Press.
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