Current:Home > StocksThe Boeing 737 Max 9 takes off again, but the company faces more turbulence ahead -MarketEdge
The Boeing 737 Max 9 takes off again, but the company faces more turbulence ahead
View
Date:2025-04-22 16:32:16
PORTLAND, Ore. — It's been three weeks since Alaska Airlines Flight 1282 took off from Portland International Airport, and then quickly returned without a door plug panel.
Now some of the first Boeing 737 Max 9 flights are departing from the same airport, and Alaska Airlines customers know it.
"I never paid any attention until this happened as to what I was flying in," said Corrie Savio.
Her traveling companion, James Vanarsdel, said the incident changed his opinion of Boeing, making him reluctant to fly on a Max 9 now.
"Until I am confident that the problem has been fixed," he said. "And I still don't think it has."
No one was seriously injured when the door plug panel blew off the Alaska Airlines plane in midair. But the latest incident on a Boeing Max jet has renewed big questions about the company's quality control.
Industry analysts say Boeing has even bigger problems as it struggles to hold on to its share of the market for commercial planes.
"People are focused on one incident, which is embarrassing," said Richard Aboulafia, the managing director of AeroDynamic Advisory. "But it's actually been a series of incidents and it's worse than that."
Boeing has failed to learn from two deadly crashes of 737 Max 8 jets in 2018 and 2019 that killed 346 people, Aboulafia argues. The company's management is so focused on cutting costs and speeding up production, he says, that it's lost sight of the basics, like safety and quality control.
"It's a broader company problem," Aboulafia said. "A management culture that under-resources and misunderstands what the people who build the planes actually need to do their job."
This week, Boeing CEO Dave Calhoun was doing damage control on Capitol Hill.
"We believe in our airplanes," he told reporters between private meetings with lawmakers. "We have confidence in the safety of our airplanes. And that's what all of this is about."
On Thursday, Boeing held what it called a "quality stand down" at its 737 factory in Renton, Wash. part of an effort to show that the company is committed to improving quality.
But it will take more than that to satisfy its customers. Alaska Airlines, for one, was the butt of the joke on Saturday Night Live last weekend.
"Our new slogan is Alaska Airlines: You didn't die and you got a cool story," said a cast member dressed as an Alaska employee.
"You know those bolts that, like, hold the plane together? We're going to go ahead and tighten some of those," another cast member said.
Alaska CEO Ben Minicucci was not laughing when he talked to investors this week. He says the company lost $150 million because of the grounding. Minicucci said the airline will try to recoup that money from Boeing, and it will push the company to improve quality control.
"We're going to hold Boeing's feet to the fire to make sure that we get good airplanes out of that factory," Minicucci said.
Regulators at the Federal Aviation Administration want to do the same. They've taken the highly unusual step of setting production caps — both on the Max 9 and 8, and two other 737 models that are awaiting approval from regulators, including the smaller Max 7 and the larger Max 10.
"Basically what the FAA has said is slow down," said Kathleen Bangs, an aviation safety analyst and a former commercial pilot who spoke to NPR's Morning Edition. "You're not going to expand the production line right now. And obviously, that's going to hurt Boeing's bottom line."
It gets even worse for Boeing. The company had been seeking an exemption from federal safety rules so that it could begin delivering the Max 7 this spring. But opposition to that is mounting in the wake of the door plug incident.
This comes as Boeing is steadily losing market share to its main rival, Airbus. Analyst Richard Aboulafia says Boeing management doesn't have a new plane on the drawing board to compete.
"They're not investing in the future," Aboulafia said. "If you're not investing in the workforce, it stands to reason, you're also cutting costs in terms of product development. And that is seriously weighing against their market share with Airbus."
If there's a silver lining for Boeing, it's that most airlines can't easily switch over to buy from Airbus, because the backlog for new orders is massive.
That means airlines have no choice but to stick with Boeing if they want new planes before the end of the decade. And ultimately, travelers may not have much choice, either.
NPR's Joel Rose reported from Washington, D.C. and Tom Goldman contributed from Portland, Ore.
veryGood! (5)
Related
- A White House order claims to end 'censorship.' What does that mean?
- The 'Margaritaville' snail: meet the new species named after a Jimmy Buffett song
- Video game clips and old videos are flooding social media about Israel and Gaza
- Deadly bird flu reappears in US commercial poultry flocks in Utah and South Dakota
- Man can't find second winning lottery ticket, sues over $394 million jackpot, lawsuit says
- Ron DeSantis to file for New Hampshire primary Thursday
- Georgia’s rising public high school graduation rate hits record in 2023
- Former Cincinnati councilman sentenced to 16 months in federal corruption case
- South Korea's acting president moves to reassure allies, calm markets after Yoon impeachment
- X promises ‘highest level’ response on posts about Israel-Hamas war. Misinformation still flourishes
Ranking
- Juan Soto praise of Mets' future a tough sight for Yankees, but World Series goal remains
- Former Dodgers, Padres star Steve Garvey enters US Senate race in California
- Florida to release more COVID-19 data following lawsuit settlement
- Scrutiny of Arkansas governor’s $19,000 lectern deepens after new records are released
- Federal Spending Freeze Could Have Widespread Impact on Environment, Emergency Management
- Austin Riley's home run, Michael Harris' amazing catch rescues Braves in Game 2 of NLDS
- 'The Voice': Reba McEntire loses 4-chair singer after sabotaging John Legend with block
- 'I am Lewis': Target's Halloween jack-o'-latern decoration goes viral on TikTok
Recommendation
Romantasy reigns on spicy BookTok: Recommendations from the internet’s favorite genre
Nebraska voters will decide at the ballot box whether public money can go to private school tuition
Misleading videos alleging to show Israel-Hamas conflict circulate on X
Why Meghan Markle Says She's Frightened for Her Kids' Future in a Social Media Age
Tom Holland's New Venture Revealed
'No one feels safe': Palestinians in fear as Israeli airstrikes continue
Good gourd! Minnesota teacher sets world record for heaviest pumpkin: See the behemoth
Texas prepares for inmate’s execution in hopes that Supreme Court allows it to happen